Canadian technology player BlackBerry detailed plans to separate its IoT software division from its core cybersecurity business, with plans to conduct an IPO for the former during 2024.

In statement, the former mobile device giant explained the plan followed a strategic review of the entire business conducted with a pair of investment banks.  

Following the split, its security business is set to operate independently from the new IoT company, which it claims is a “market leader for high-performance, safety-critical foundational software in automotive and other verticals”.

As of an update in June, the company said its IoT software was used in more than 235 million vehicles comprising big-name brands including BMW, Honda, Volkswagen Group and Mercedes-Benz.

Other sectors the company targets include industrial and healthcare.   

BlackBerry CEO John Chen said both businesses “have leading technology and talent, and address large and growing market opportunities”, with the new structure intended to give each unit the ability to focus on delivering their specific products.

The restructure of the business comes after a review of its portfolio announced earlier this year.

At the time, BlackBerry noted it was undertaking the assessment alongside the ongoing sale of IP related to its defunct mobile business.

It subsequently completed the latter deal, handing over 32,000 patents related to mobile phones, messaging and wireless networking to Malikie Innovations in a deal which could be worth up to $900 million including future royalties.