Brulines founder Derrick Collin has acquired rival beer flow monitoring company Smartcellar for an undisclosed sum.
Collin launched Brulines back in 1995 and left after floating the company to focus on other business interests.
He also used to run the 33-strong pub company, Thornaby Leisure, prior to founding Brulines.
Collin said the industry needs a viable alternative to Brulines. "Since Brulines acquisition of Nucleus Data in 2008, pubcos have had no alternative to Brulines," he said.
"Lack of competition is not healthy in any industry."
Collin said he had been attracted by the "excellence and professionalism" of the team and a product, which he believes, is more in line with market needs.
Mike Lawton, Smartcellar co-founder, managing and business development director, said: "Having Derrick on board as chairman is a clear endorsement of the potential for Smartcellar.
"With his understanding of the industry and hard won experience with our competitor, we're well placed to deliver our superior offering.
"The industry sorely needs a credible alternative."