First AGCO, now Qualcomm — Topcon Tierra is on the move. Qualcomm begins to transition out of the construction equipment market with their announcement that Topcon Tierra will acquire some of Qualcomm’s customer contracts for their GlobalTRACS fleet management suite. This raises eyebrows and questions. In addition to the numerous high-profile customers Qualcomm had already acquired, just last July they announced that JCB, the largest privately-held construction machinery manufacturer in the world, and LOXAM, Europe’s leading construction equipment rental company, had also adopted the GlobalTRACS system. JCB has since begun testing and development of a co-branded product under the LiveLink brand that was scheduled to be placed on all of their heavy machinery at the factory.
At this time there has not been an announcement as to what contracts specifically Topcon will acquire but, considering the difficulties involved with adopting any new technology, every customer around that globe that is utilizing the GlobalTRACS system should be concerned.
This past March Topcon made a splash in the US when the AGCO Corporation selected them as their sole provider of remote asset management technology for their global telematics initiative under the AGCONNECT brand name. This is a multi-year agreement that includes all of AGCO’s equipment lines, very significant considering they are a top 5 manufacturer of agriculture equipment around the globe. However, Topcon’s expertise is in positioning equipment, not M2M communications. So a cautionary congratulations, these next few months should be interesting.