Wyless (London, England) and Wireless Maingate (Stockholm, Sweden), two M2M MVNO's, announced a strategic partnership that will provide both companies will access to the others networks.
Under the collaboration, Wyless will have access to local services in the Scandinavian market and Maingate will be able to access Wyless's global network, connectivity and managed services, says Wyless. Both companies have physically interconnected their networks and service management platforms, creating an aggregation point of 14 mobile operator networks with local connectivity in 10 countries.
According to Wyless CEO Dan McDuffie, Wyless will have access to Maingate’s Nordic operators including Telia in Sweden, KPN in the Netherlands, Tele2 and Telenor. On the other end, Maingate will have access to Wyless’s network operators including Sprint and T-Mobile in the U.S., Everything Everywhere in the UK, O2 in the UK and Ireland, Telefonica in Spain and Latin America and T-Mobile in Austria, among others.
“We’ve felt a need to have more of a local presence in some markets and Maingate will definitely help to do that by giving us this Nordic connectivity,” says McDuffie. “But also, it’s the same with Maingate. It’s a question of a build versus buy approach. Maingate clearly wants to get out of the Scandinavian market and go into other markets.”
Both companies will also work to build into new markets together, says McDuffie. These markets include certain parts of Asia and the Middle East.
With entrance into new markets and the potential to gain new customers, McDuffie says he expects an increase in revenue for both companies.
But, with each company entering the others market, the questions is will is create competition between the two companies when it comes to customers? According to McDuffie, the answer is no.
“We don’t see it as being that competitive,” says McDuffie. “There is always some competition, but Maingate is highly specialized in the vertical space, whereas Wyless is more of a horizontal managed services company more focused on connectivity and network management.”
In addition, Wyless and Maingate have been working on a number of joint opportunities over the last few months, according to Wyless. These applications range from industrial networking, municipal lighting to healthcare and will expand to other applications in the M2M space including utility solutions for smart metering, smart grid and demand/response services.