Motorola's $1.5 Billion D-Fend Acquisition Reignites Its Direct Competition with Axon Enterprises
Key takeaways
- MSI AXON On June 1, mission-critical public safety juggernaut Motorola Solutions (NYSE: MSI) acquired counter-drone technology specialist D-Fend Solutions for $1.5 billion.
- Second, the D-Fend purchase further pits Motorola and Axon Enterprise (NASDAQ: AXON) against each other as direct competitors in the public safety industry.
- In 2009, a "Double Down" signal flashed for a little-known chipmaker called Nvidia.
MSI AXON On June 1, mission-critical public safety juggernaut Motorola Solutions (NYSE: MSI) acquired counter-drone technology specialist D-Fend Solutions for $1.5 billion. I find that deal interesting for a few reasons. First, D-Fend s operations complement Motorola s expertise with various radio frequency (RF) capabilities, which reside in the company s leading land-mobile radio (LMR) networks and quickly growing mobile ad hoc networks (MANET) unit. D-Fend uses "advanced RF cyber-takeover technology" to safely mitigate unauthorized drone activity at airports, stadiums, military bases, and other critical locations. Said another way, through this acquisition of a company with complementary technology, Motorola should be able to expand its leadership in the public safety niche.
Second, the D-Fend purchase further pits Motorola and Axon Enterprise (NASDAQ: AXON) against each other as direct competitors in the public safety industry. However, even though the companies are going head-to-head in public safety, I don t think investors necessarily need to try to pick a "winner" between the two.
Missed Nvidia in 2009? This Rare Signal Is Flashing Again. In 2009, a "Double Down" signal flashed for a little-known chipmaker called Nvidia. For the first time in years, that same "Total Conviction" signal is flashing for a company 1/100th the size of Nvidia. Continue »