U-blox to Focus on Locate Business, Phase Out Cellular

u-blox AG, a Swiss provider of positioning and wireless technologies, announced a strategic shift to prioritize its Locate business and discontinue its Cellular business. This move aims to strengthen u-blox's position as a leader in GNSS semiconductor solutions while enhancing its Short-Range segment.

The decision follows a strategic review where the continued viability of the Cellular business was assessed. With over 200 employees, this segment reported CHF 27 million in revenue and an adjusted EBIT loss of over CHF 15 million in H1 2024. u-blox will support affected stakeholders through a transitional period starting immediately.

The phase-out is expected to eliminate at least CHF 30 million in annual EBIT losses, though it will incur a one-time negative EBIT impact of CHF 65 million in Q1 2025 due to restructuring. An impairment of CHF 31 million was recorded in Q4 2024 for intangible assets.