Now that Honeywell’s $603 million purchase of Intermec has been finalized, word should start to leak out about Honeywell’s intentions for Intermec, a pioneer in the data collection field with strong roots in RFID.
There has been lots of speculation about Honeywell’s plans since the deal was announced in December, including what will become of the Intermec brand, and whether Honeywell will sell off parts of the business.
Honeywell could seek buyers for Intermec’s barcode printing business. VDC Research analyst Richa Gupta predicted earlier this year that Honeywell would likely ditch Intermec’s printing business, with Zebra and Sato Corp. being likely acquirers.
One certainty is that Honeywell becomes a major player in the RFID field now that the deal has gained regulatory approval in the U.S. and in Europe. At the time of the purchase, Honeywell had just two RFID products. The company didn’t enter the RFID space until 2012, when it unveiled its Optimus 5900 reader.
Intermec’s 154 RFID patents will provide Honeywell with great leverage as it pursues RFID over the long haul. Still, questions linger about integrating the two companies, and how Honeywell will handle the well-established royalty and licensing program introduced by Intermec years ago.
“The acquisition of Intermec will add innovative products and solutions, as well as deep engineering expertise and a broad global sales channel that further demonstrates our commitment to provide our customers an increasing array of innovative technologies in the highly attractive AIDC industry,” John Waldron, president of Honeywell Scanning & Mobility, said in a press release.
Intermec will be integrated with Honeywell Scanning & Mobility, within the company’s Automation and Control Solutions business. The completion of this acquisition follows the approval by Intermec shareholders on March 19 as well as the receipt of required regulatory approvals in the United States and European Union.