AOTMP Market Alert: AOTMP Research & Advisory Talks Synergies Between Tangoe and MOBI, Advises Customer Satisfaction as Top Priority

INDIANAPOLIS, IND., 6 December 2018 - The telecom, mobility and IT management industry has experienced dozens of TEM/EMM vendor mergers and acquisitions over the past decade, and that trend likely won’t slow down. Rollups will remain a go-to growth strategy as vendors seek to fortify solutions and mature the capabilities sought by enterprises wanting control of, and visibility into, the $3.85 trillion worldwide spend on technology.

Tangoe’s latest acquisition – this time, of Indianapolis-based MOBI – serves as a prime example of this rollup activity. Tangoe announced in early December it has acquired MOBI, bringing to $40 billion the amount of annual technology spend it administers. MOBI now is the managed mobility services (MMS) division of Tangoe.

AOTMP Research & Advisory sees both Tangoe and MOBI – and their respective customers – benefiting from the deal.

MOBI becomes part of a global organization, able to leverage its expertise throughout the world. At the same time, its existing clients gain access to Tangoe’s fixed services management platform and to the vendor’s consulting teams.

Tangoe, meanwhile, stands to make the most of MOBI’s platform and associated services arm. And with mobility spend projected to outpace traditional wireline telecom services by 165 percent CAGR over the next three years, according to AOTMP Analytics, Tangoe’s timing couldn’t have been better. Buying MOBI significantly accelerates Tangoe’s mobility positioning.

Tangoe also gains a stable customer base through MOBI. These enterprises will continue to use MOBI’s software and, again, have the option to use Tangoe’s Atlas platform for fixed services management.

Overall, AOTMP Research & Advisory sees synergies between Tangoe and MOBI, which should serve Tangoe well from a capabilities perspective. However, customer satisfaction will be a leading indicator defining the success of the acquisition in the eyes of enterprises. Tangoe should make it a top priority to sustain, or even improve, satisfaction among the combined client base. After all, the market is crowded with competitors offering TEM, EMM, MMS and CLM solutions and, while all solutions are not equal, capabilities alone do not ensure positive business relationship results. The telecom, mobility and IT management industry is replete with examples of TEM/EMM rollups that have left customers frustrated and shopping for a new vendor as a result of inadequate experiences.

AOTMP Research & Advisory recommends customers and prospects of Tangoe and MOBI embrace the acquisition and look for opportunities to use the companies’ combined capabilities. Current customers should monitor engagement SLA performance during the integration process, while increasing communication with customer experience resources to align ongoing business needs and expectations.

MOBI will stay in Indianapolis, becoming the headquarters for the combined company’s global MMS business. Both MOBI co-founders will stay on as well. Josh Garrett, MOBI Co-Founder and President, will join Tangoe as President of MMS, reporting to Tangoe CEO Bob Irwin. Scott Kraege, MOBI Co-Founder and CEO, will join Tangoe’s Board of Directors in an advisory role.

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This release was published on openPR.