Government-owned JT has sold its 'Internet of Things' business to a private investor for £200 million.
The island's largest digital technology business, which was started in Jersey, connects around 10 million devices via SIM cards around the world.
It has many applications including in smart homes, medical devices and wearable technology.
Proceeds from the sale will be used to invest in the island's 5G network and cyber defenses.
JT will remain a shareholder of the company which will be headquartered in Jersey.
The company's Chief Executive Officer says the deal highlights the potential of the island's digital technology industry on the world stage.