Toshiba says that it will become the world’s largest provider of smart grid products and services after announcing plans to buy Landis+Gyr for $2.3 billion in cash.

The Japanese firm wants to use Landis+Gyr as a platform for growth in the global market for smart grid solutions. Switzerland-based Landis+Gyr has over 8000 customers globally and is the world leader in energy management solutions for utilities.

“We welcome Landis+Gyr, the world leader in smart metering products and services, to the Toshiba family,” said Hideo Kitamura, Toshiba’s corporate executive vice president. “Our intent is to become a global leader in the Smart Community business by 2020.

“Together with Landis+Gyr, we will accelerate the development of our combined product and service portfolio to empower utilities and their end customers and to provide sophisticated smart community solutions in the global market.”

Toshiba intends to build the smart grid business as a standalone platform and says it will retain the Landis+Gyr brand. It has no plans to restructure the business or make job reductions.

“Over the past ten years we have built the world leader in smart metering,” said Landis+Gyr CEO Andreas Umbach. “As a growth platform for Toshiba, Landis+Gyr will have the resources and power to complement, and indeed accelerate, our product offering to utilities.”