Motorola Solutions Acquires Silvus Technologies for $4.4 Billion, Bolstering Drone and Tactical Communications
CHICAGO – Motorola Solutions (NYSE: MSI) announced today the completion of its acquisition of Silvus Technologies, a global leader in advanced wireless networking. The deal, valued at $4.4 billion, is set to significantly enhance Motorola’s capabilities in mission-critical communications, particularly at the tactical edge where drone and unmanned system operations are vital.
Silvus Technologies, based in Los Angeles, is renowned for its sophisticated Mobile Ad-hoc Network (MANET) technology. This technology enables the creation of large, self-healing communication networks that operate securely without the need for fixed infrastructure like cell towers. These robust mesh networks are critical for providing reliable data, video, and voice links for frontline personnel in the most challenging and remote environments.
The acquisition is seen as a strategic move to integrate Silvus’s cutting-edge solutions with Motorola Solutions’ existing portfolio of land mobile radio and video technologies.
“Silvus’ advanced solutions for drone and unmanned systems are trusted in the world’s most demanding defense environments, and offer vital applications for border security and public safety,” said Greg Brown, chairman and CEO of Motorola Solutions. “Their capabilities are an excellent complement to our land mobile radio and video technologies, and we look forward to bringing them to more customers around the world.”
The importance of Silvus’s technology is growing alongside the increased deployment of autonomous systems, including drones, unmanned vehicles, and robots. These systems help create a safer distance between personnel and potential threats. Silvus’s low-latency networks allow human operators to securely control these autonomous platforms, enabling life-saving actions and better-informed tactical decisions.
With a diverse customer base that includes defense agencies, autonomous systems manufacturers, law enforcement, and the intelligence community, Silvus has already proven the value of its technology. Motorola Solutions plans to leverage its global scale and established relationships with government and public safety clients to expand Silvus’s market reach.
“At our core, both our companies are driven by innovation that makes the world safer,” said Babak Daneshrad, PhD, CEO of Silvus Technologies. “Bringing our advanced engineering teams together amplifies our ability to build more powerful solutions to serve more customers globally. I am incredibly optimistic about the future we have with Motorola Solutions.”
Erik Fagan, Partner and Head of Industrial Technology at TJC (formerly The Jordan Company), which previously invested in Silvus, commented on the company’s success. “They’ve built an exceptional company serving a critical need, and we are excited to watch their next successful chapter unfold with Motorola Solutions as a global leader in safety and security.”
Transaction Details
The acquisition involves an upfront payment of $4.4 billion, which includes approximately $4.38 billion in cash and $20 million in restricted stock for certain employee equity holders. The agreement also includes a potential earnout payment of up to $600 million based on business performance through 2028.
Motorola Solutions will provide further information on the acquisition during its quarterly conference call with financial analysts on August 7 at 4 p.m. Central Time. A live webcast will be available on the company’s investor relations website.
