The deal will include hardware and software research in several emerging technologies including wearables, the "connected car" and Internet of Things (IoT) technologies.

Wireless carriers are looking to diversify into new markets in which to sell data and services as the smartphone industry matures. One significant are is the Internet of Things — an emerging technology that is transforming thermostats, locks, bulbs and refrigerators into "smart devices," able to transmit data to smartphones and even amongst themselves.