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What's going on?
Verizon, the big American wireless carrier (like Vodafone in the UK), announced on Thursday that it bought a four-year old drone services startup called Skyward huh?!
What does this mean?
Verizon didnt tell investors how much it paid for Skyward. But it did say that Verizon will use Skywards services which vary from pilot certification to linking drones up to a wireless network to make it easier for companies to use drones commercially (think: surveying a large industrial site). In turn, those companies will link their drones to Verizons 4G network and purchase other Verizon services (e.g. wireless data management of the images the drones capture).
Why should I care?
For markets: Wireless companies are desperate for the next big thing. (tweet this)
The mass popularization of the mobile phone in the 1990s turned telecom companies, like Verizon and AT&T, into wireless giants. All those calls and texts generated billions of dollars in revenue. When smartphones came along, they used their networks to provide data (e.g. 3G) so you can get an Uber and use WhatsApp. But, right now, they are left wondering whats next? Other wireless companies have turned to buying content providers in order to find some other sort of way to drive growth (e.g. AT&T buying Time Warner). Powering new technologies, like drones, is another potential answer.
The bigger picture: Drones could become a big deal pretty quickly.
Drones are quickly moving beyond a quirky Christmas present. To much fanfare, Amazon delivered its first package via a drone late last year. Realtors use them to market houses, farmers to monitor crops and Hollywood directors to make movies. A whole industry is developing, from network providers (like Verizon) to drone service providers (like Skyward) to makers of the chips that power them (e.g. ST Microelectronics).
Originally posted as part of the Finimize daily email.
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