Telekom Austria sets up European M2M unit

Alan Burkitt-Gray
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Elisabetta Castiglioni to be CEO of A1 Digital to expand Telekom Austria’s M2M and IoT services across Europe

Telekom Austria has launched a new division to promote machine-to-machine (M2M) and internet of things (IoT) services across Europe.

A1 Digital, the new subsidiary, will be based in Vienna and will be run by Elisabetta Castiglioni, who was hired to build the unit in June 2016.

Castiglioni said: “Digitalisation will change traditional business models, ushering in structural change. Digitalisation will thus become a key strategic issue.”

The company will focus on western Europe and on Telekom Austria’s existing markets in central and eastern Europe. “We are not constrained by national borders, because our services and customers are not limited to any borders,” said Castiglioni. However, the German operation will be based in a separate company in Munich.

“Digitalisation offers huge opportunities and possibilities and we as A1 digital can offer products and services that support our customers in precisely this area and help them to generate the greatest possible benefit,” said Castiglioni.

The group says it has already invested €30 million in data centres in Austria, as well as making further investments in data centres elsewhere.

Castiglioni was CEO of the global media business in Siemens until 2011. Earlier she worked for four years in London for MCI Business, now Verizon Business. She joined Telekom Austria in 2013 as a member of the group’s supervisory board.

Group CEO Alejandro Plater said: “With Elisabetta Castiglioni we have gained a top manager who has a wealth of international experience and a proven track record in the telecommunications and technology industry. With her experience in growing new business areas and her deep knowledge of how global companies act, Elisabetta is the ideal candidate to drive the paradigm shift away from our traditional core business toward digitalisation.”