Another leading Internet of Things (IoT) hardware and software developer will establish new research and development facilities in Melbourne.

The move by Freestyle Technology, which creates connected technology in the agriculture, manufacturing, logistics and healthcare sectors, will create 150 new jobs and reinforce Melbourne's credentials as a major digital tech investment destination in the Asia Pacific.

Internationally respected fDi Markets report recently ranked Melbourne second in the Asia Pacific for the number of new Software Headquarters set up in the last six years, behind only Singapore and ahead both of Hong Kong and Sydney.

Freestyle Technology's new centre in Mount Waverley in the south-east of Melbourne will seek to establish its technology as the global standard for applying IoT innovation to the smart water, gas and electricity utilities sectors,

The company expects to generate exports up to A$200 million in the next few years.

The move follows the announcement earlier this year that global software developer Two Bulls will expand their global HQ in Melbourne to deliver a major IoT contract.

Earlier this month, Melbourne-based tech startup Culture Amp also confirmed it will establish its global HQ and Asia Pacific Engineering Hub in Melbourne with 200 new jobs.

The IoT market forecast to grow to US$200 billion by 2022.

The State Government of Victoria's recently established A$60 million startup initiative, LaunchVic, will work with industry to build the best startup ecosystem for local tech businesses.