This month, Sonim Technologies (OTC: SONM) is characterized by agreements, after the US leading provider of ultra-robust mobility solutions announced a partnership with Acuraflow on the first day of this month. The partnership is in place to distribute the specialist ultra-rugged Sonim devices in Latin America. Now three weeks later, the company is announcing a software development relationship with none other than Coforge. Sonim seems to close this year strongly with hopeful developments waiting in 2021.
In addition to the software development agreement, an asset purchase has also been announced with Coforge, an Indian group that operates internationally offering IT solutions to large companies. As a result, the software development resources managed by Sonim in India will be transferred to Coforge, in return Sonim will receive software development services. Furthermore, the brand new partner will be committed to the worldwide introduction of Sonim devices to its business customers.
The agreement with Coforge has several advantages for Sonim’s future business. In this way, the company can reduce its personnel and real estate costs, which makes more financial room for innovation and possible expansions. It is also believed that cash flow will improve significantly and that the partnership will provide a better fit with future ODM development plans. Finally, Coforge will take over the tasks that are currently assigned to Sonim’s India Development Center (IDC). The assets will be merged with Coforge to further reduce staff and real estate savings, enhancing job opportunities for IDC staff.
Despite the fact that many companies worldwide are experiencing problems, mostly thanks to the Covid-19 pandemic, it is now clear to Coforge that the current staff and capabilities will be retained. This is very desirable, since it allows the maximum use of software efforts for its products, while the company can also focus on the differentiators that are important to Sonim’s customers.
At last, an addition to the previous agreement concluded with Acuraflow. The partnership will provide field workers in public safety, oil and gas, mining, utilities, manufacturing and other demanding work environments with more ultra-rugged mobility options. The partnership enables Acuraflow customers to provide their employees with an innovative smartphone that ensures a good and reliable connection in the most extreme environments.
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