Operator donates the Digital Asset Broker platform it launched at MWC 2022 and associated assets to the new standalone entity
Vodafone and Sumitomo Corporation have set up an 80:20 joint venture, which will operate as a standalone business, to progress the Economy of Things. It will focus on IoT devices, electric vehicles, and smart street furniture.
Vodafone launched its Digital Asset Broker (DAB) platform at MWC in 2022, which is blockchain-based and designed to enable businesses to easily and securely manage their digital assets, like contracts, licenses and intellectual property through a single platform.
The plan is to help companies streamline operations, reduce costs and improve their overall efficiency. It is intended to underpin a new Economy of Things which allows verified IoT devices, electric vehicles and smart street furniture to transact securely, without human intervention, yet controlled by the assets’ human owners.
Contributing assets and IP
Under the agreement, Vodafone will transfer its “global” DAB as well as intellectual property, contracts, technology and software to the new business. Sumitomo will invest in the new business and work with Vodafone to attract additional investors, partners, and customers.
Vinod Kumar, Chief Executive Officer of Vodafone Business, stated, “Sumitomo is the ideal partner to help drive the Economy of Things and associated new business opportunities for us, our customers, and partners.
“For example, a rental car could charge motorists on either a pay-as-you-drive or subscription basis; motorists of electric vehicles can receive real-time information on the availability of the nearest charging point and recharge effortlessly; and fleet management firms can automatically pay tolls.”
Phased roll out
Both parties intend to roll out the DAB platform in phases, starting by targeting automotive and transport sectors in Germany and the UK, then other European countries and North America at a later date.
The companies will also look at forming a partnership with Sumitomo Corporation Group company SCSK Corporation to establish a presence in Asian markets, including Japan, with a long-term vision of entering the smart city business.
The announcement said the agreement builds on the strategic alliance agreed by Vodafone and Sumitomo – one of the largest international trading and business investment companies – in November 2020.
The first joint investment project from this partnership was setting up Safaricom Ethiopia, which is owned by an international consortium including Vodafone and Sumitomo.