Nokia struck a deal to acquire IoT and AI-analytics company SpaceTime Insight for an undisclosed fee, as the Finnish vendor continues to bolster its presence in software.

SpaceTime Insight, which has offices in the US, Canada, UK, India and Japan, provides enterprise customers in transport, energy and utilities with machine-learning powered analytics and IoT applications.

Nokia said the acquisition supports its ‘software strategy’ by bringing SpaceTime Insight’s sales expertise and proven track record in IoT application development, machine learning and data science to its Nokia Software IoT unit.

Specifically, SpaceTime Insight’s machine learning powered models and other advanced analytics are designed for asset intensive industries, helping to predict asset health with a high degree of accuracy and optimise related operations. The services are intended to help customers reduce cost and risk, increase operational efficiencies and reduce service outages.

Nokia argued the acquisition will help broaden its ability to “deliver new, advanced applications for key vertical markets”, including energy, logistics, transportation and utilities.

The play forms part of a wider strategy by the vendor to expand its software reach, as demand for traditional telecoms network equipment begins to slow. Last year, the company acquired Finnish software company Comptel in a deal worth $370 million. Its software arm, Nokia Software, generated a total of €1.6 billion in revenue in 2017.

Bhaskar Gorti, president of Nokia Software, said the addition of SpaceTime Insight “is a strong step forward in our strategy, and will help us deliver a new class of intelligent solutions to meet the demands of an increasingly interconnected world”.

SpaceTime Insight and its CEO Rob Schilling will join the IoT product unit within the Nokia Software business group.