It’s with good reason that the normally self-effacing Oozi Cats admits to me that he’s ‘very proud’ of his company’s achievements to date. Telit Communications is poised to become the third largest wireless machine-to-machine (m2m) technology solutions provider in Europe, producing a range of communication modules that utilise GSM/GPRS technology.

The company’s flotation on AIM in April raised £23 million at 140p a share, which is being used to fund further expansion. ‘Since the IPO, we have added five offices to our worldwide network, including a UK arm, and are now servicing 44 countries,’ says Cats.

Telit evolved in 1986 from an engineering company selling research and development (R&D) services to multinationals within the communications industry. Cats seized the opportunity to launch into the wireless technology market, recognising the potential for m2m technology that enables automated, wireless communication between a remote machine and a central management system, or directly between remote machines.

Since inception, Telit has forged a strong reputation for quality in the wireless technology marketplace, built on a history of exceeding expectations. ‘The business was profitable virtually from day one,’ says Cats, ‘returning the shareholders’ investments after the first year in operation.

‘We’ve been able to sustain growth using generated revenue and we are debt free, but we’re now looking to dramatically enlarge our research and development capacity and strengthen our infrastructure in order to take full advantage of worldwide expansion opportunities.’

Product potential

Because Telit Communications is involved both in the development of this technology and the hardware that incorporates it, the company is one of the few in the industry with full control over the underlying expertise in its products. ‘We are only one of around ten firms in the world in a position to utilise this technology,’ adds Cats.

He’s passionate about the potential for commercial and domestic applications, including automated stock control in vending machines, home and vehicle security alarm systems, point-of-sale credit card equipment and automatic fuel meter reading, to name but a few.

‘Ten years from now, there’s no question that every water, electric and gas meter will incorporate AMR [automated meter reading] technology so they can be monitored remotely,’ he enthuses. ‘And imagine a washing machine that can tell you the parts that are about to wear out in advance, before it floods your kitchen! All this is just around the corner.’

Handset and match

In addition to the m2m branch, Telit operates a second business unit: its branded enhanced value-added reseller (EVAR) division. It has European distribution rights for cellular handsets from manufacturers around the globe, helping non-branded Far Eastern cellular phone producers penetrate Western markets. As Cats points out: ‘We add value by branding and customising each cellular device to meet European standards, and leveraging our existing distribution channels saves manufacturers new to the market time and money.’

According to Gartner research, the non-branded sector of the mobile phone handset market is currently 22.3 per cent, which represents 133 million handsets worldwide. This is expected to hit 30 per cent in 2007.

Cats believes both divisions of the business are of equal importance and he is adamant this view should filter down through the company. He says: ‘I still take a very personal interest in the business – after all, it’s what I do every day.

‘In quiet moments, I have time to reflect on how far we’ve come, but there’s not much time for that at the moment. There’s still so much to achieve.’