The Dawn of Octave: Hexagon's Strategic Spin-Off and Its Implications
June 19, 2025, 11:23 am
In the world of business, change is the only constant. Hexagon AB, a titan in measurement technologies, is poised to undergo a significant transformation. The company has announced plans to spin off its Asset Lifecycle Intelligence and Safety, Infrastructure & Geospatial divisions into a new entity named Octave. This strategic move is not just a rebranding; it represents a shift in focus towards a pureplay software and SaaS model. The spin-off is expected to be completed in the first half of 2026, pending stakeholder approval.
Why Octave? The name evokes a sense of harmony and growth. It symbolizes the company’s ambition to optimize customer outcomes and enhance decision-making through data-driven insights. With a workforce of approximately 7,200 employees and revenues nearing EUR 1.45 billion, Octave is set to carve its niche in the competitive landscape of software solutions.
The new entity will encompass not only the existing divisions but also integrate ETQ and Bricsys, which currently operate under Hexagon’s Manufacturing Intelligence and Geosystems divisions, respectively. This consolidation aims to create a robust platform that empowers organizations to design, build, operate, and protect their assets more effectively. In a world where data is the new oil, Octave aims to refine this resource into actionable intelligence.
Mattias Stenberg, the current President of Hexagon’s Asset Lifecycle Intelligence division, will take the helm as CEO of Octave. His leadership will be crucial as the company navigates the complexities of separation and establishes its identity in the market. The expectation is clear: Octave must leverage its depth, scale, and expertise to capitalize on opportunities across various sectors, including industrial and public domains.
However, the path to independence is fraught with challenges. The spin-off is subject to the approval of Hexagon’s Board and shareholders, as well as regulatory consents. There are no guarantees that the separation will proceed as planned. Stakeholders will be watching closely, weighing the potential benefits against the risks involved.
The implications of this spin-off extend beyond corporate restructuring. It reflects a broader trend in the tech industry where companies are increasingly focusing on core competencies. By shedding non-core divisions, organizations can streamline operations and enhance shareholder value. For Hexagon, this means a sharper focus on software solutions that drive efficiency and innovation.
The timing of this announcement coincides with other significant developments within Hexagon. The company recently celebrated Rishabh Engineering Services' fifth win of the Hexagon Elite Award at the Hexagon LIVE Global 2025 event. This recognition underscores the importance of collaboration and innovation in achieving excellence. Rishabh Engineering’s success story highlights how companies leveraging Hexagon’s solutions can enhance design accuracy and operational efficiency. It serves as a testament to the value of partnerships in the digital age.
Moreover, Hexagon has also forged a strategic partnership with Prevas, a leading Nordic technology firm. This collaboration aims to accelerate digital asset management across the Nordic region. By combining Hexagon’s industry-leading technology with Prevas’s local expertise, the partnership seeks to unlock greater value for organizations navigating the complexities of asset management. This move reinforces Hexagon’s commitment to expanding its footprint in key markets while enhancing its service offerings.
As the digital landscape evolves, the demand for sophisticated asset management solutions continues to grow. Companies are increasingly recognizing the need for intelligent, data-driven decision-making to remain competitive. Octave is poised to meet this demand head-on, offering a suite of tools designed to optimize asset performance and enhance operational efficiency.
The future of Octave hinges on its ability to deliver on its promises. The company must navigate the intricacies of establishing itself as a standalone entity while maintaining the high standards set by its parent organization. Success will depend on its capacity to innovate and adapt to the ever-changing market dynamics.
In conclusion, the spin-off of Octave from Hexagon is more than just a corporate maneuver; it is a strategic pivot towards a future defined by data-driven insights and intelligent asset management. As the world becomes increasingly interconnected, the ability to harness data effectively will be paramount. Octave stands at the precipice of this new era, ready to embrace the challenges and opportunities that lie ahead. The journey is just beginning, and the stakes are high. The question remains: will Octave rise to the occasion and redefine the landscape of software solutions? Only time will tell.
Why Octave? The name evokes a sense of harmony and growth. It symbolizes the company’s ambition to optimize customer outcomes and enhance decision-making through data-driven insights. With a workforce of approximately 7,200 employees and revenues nearing EUR 1.45 billion, Octave is set to carve its niche in the competitive landscape of software solutions.
The new entity will encompass not only the existing divisions but also integrate ETQ and Bricsys, which currently operate under Hexagon’s Manufacturing Intelligence and Geosystems divisions, respectively. This consolidation aims to create a robust platform that empowers organizations to design, build, operate, and protect their assets more effectively. In a world where data is the new oil, Octave aims to refine this resource into actionable intelligence.
Mattias Stenberg, the current President of Hexagon’s Asset Lifecycle Intelligence division, will take the helm as CEO of Octave. His leadership will be crucial as the company navigates the complexities of separation and establishes its identity in the market. The expectation is clear: Octave must leverage its depth, scale, and expertise to capitalize on opportunities across various sectors, including industrial and public domains.
However, the path to independence is fraught with challenges. The spin-off is subject to the approval of Hexagon’s Board and shareholders, as well as regulatory consents. There are no guarantees that the separation will proceed as planned. Stakeholders will be watching closely, weighing the potential benefits against the risks involved.
The implications of this spin-off extend beyond corporate restructuring. It reflects a broader trend in the tech industry where companies are increasingly focusing on core competencies. By shedding non-core divisions, organizations can streamline operations and enhance shareholder value. For Hexagon, this means a sharper focus on software solutions that drive efficiency and innovation.
The timing of this announcement coincides with other significant developments within Hexagon. The company recently celebrated Rishabh Engineering Services' fifth win of the Hexagon Elite Award at the Hexagon LIVE Global 2025 event. This recognition underscores the importance of collaboration and innovation in achieving excellence. Rishabh Engineering’s success story highlights how companies leveraging Hexagon’s solutions can enhance design accuracy and operational efficiency. It serves as a testament to the value of partnerships in the digital age.
Moreover, Hexagon has also forged a strategic partnership with Prevas, a leading Nordic technology firm. This collaboration aims to accelerate digital asset management across the Nordic region. By combining Hexagon’s industry-leading technology with Prevas’s local expertise, the partnership seeks to unlock greater value for organizations navigating the complexities of asset management. This move reinforces Hexagon’s commitment to expanding its footprint in key markets while enhancing its service offerings.
As the digital landscape evolves, the demand for sophisticated asset management solutions continues to grow. Companies are increasingly recognizing the need for intelligent, data-driven decision-making to remain competitive. Octave is poised to meet this demand head-on, offering a suite of tools designed to optimize asset performance and enhance operational efficiency.
The future of Octave hinges on its ability to deliver on its promises. The company must navigate the intricacies of establishing itself as a standalone entity while maintaining the high standards set by its parent organization. Success will depend on its capacity to innovate and adapt to the ever-changing market dynamics.
In conclusion, the spin-off of Octave from Hexagon is more than just a corporate maneuver; it is a strategic pivot towards a future defined by data-driven insights and intelligent asset management. As the world becomes increasingly interconnected, the ability to harness data effectively will be paramount. Octave stands at the precipice of this new era, ready to embrace the challenges and opportunities that lie ahead. The journey is just beginning, and the stakes are high. The question remains: will Octave rise to the occasion and redefine the landscape of software solutions? Only time will tell.