CyanConnode signs $4m licensing deal with Chinese partner
CyanConnode, a world leader in narrowband radio frequency mesh networks, has signed a $4 million licensing agreement with Beijing Jingybeifang Instrument Co., Ltd (“Beijing Instruments”).
The deal gives Beijing Instruments the right to use CyanConnode’s reference designs to manufacture Advanced Metering Infrastructure, including RF mesh network technologies, which Beijing Instruments hopes to supply to its customers.
Beijing Instruments is a well-established meter manufacturer and since 1998, has been a main supplier to the State Grid Corporation of China. CyanConnode and Beijing Instruments have also agreed to collaborate on sales opportunities outside of China.
According to a report from analyst Navigant Research, China’s shipment of smart electric meters hit 130 million units in 2016. They have also calculated that the compound annual growth rate (CAGR) of shipments for the period 2017 to 2021, will be between three and five per cent.
Beijing Instruments will pay a license fee each time a RF module and/or gateway unit is manufactured, for a total number of modules and gateways over a two year time frame totalling the £4m headlined in the agreement.