5 Nov 2013 07:00
Inmarsat and ORBCOMM to form strategic alliance to collaborate on M2M opportunities
Alliance creates synergies and opportunities to accelerate growth in the satellite M2M market
5 November, 2013 - LONDON: Inmarsat plc (LSE: ISAT), the leading provider of global mobile satellite communications services, and ORBCOMM Inc. (Nasdaq: ORBC), a leading global provider of Machine-to-Machine (M2M) solutions, today announced a strategic alliance to collaborate on joint product development and distribution to address the needs of the rapidly growing satellite M2M market. In addition, they will investigate opportunities for future satellite network expansion and integration.
Inmarsat and ORBCOMM will work together to create a standard satellite platform and develop cost-effective hardware and flexible service pricing models for the global M2M industry. ORBCOMM is in the process of building a series of interchangeable modems powered by ORBCOMM's OG2 VHF network and Inmarsat's L-band network. These modems are expected to have the same footprint, connectors, power input, and programming environment. Manufacturers and partners will be able to drop in the appropriate modem that corresponds with either the ORBCOMM or Inmarsat network based on geography, message size and delivery speed for unrivaled ease of use and flexibility.
In addition, users will be able to take advantage of ORBCOMM's relationships with Tier One cellular providers for dual-mode service, including either satellite network. ORBCOMM also will offer its unique MAPPTM (Multi-Network Access Point Platform), which seamlessly translates and integrates the communications from its diverse network service partners into a uniform set of commands and information. This will facilitate a uniform platform for provisioning, billing and multi-mode access for M2M applications, supported by Inmarsat's M2MAP (M2M Access Platform), enabling access to network and terminal management tools for wholesale integration with ORBCOMM.
These versatile offerings are expected to be available in ORBCOMM's end-to-end solutions businesses in the heavy equipment, fixed asset and transportation industries, as well as through ORBCOMM's Value-Added Reseller (VAR) and Original Equipment Manufacturer (OEM) channels. ORBCOMM will be leveraging off Inmarsat's IsatData Pro (IDP), a satellite packet data service offering the highest payload and lowest latency in the market, and BGANM2M, a 3G service offering real-time IP data up to 512 kbps on a single global SIM - the only service of its kind in the satellite M2M space. ORBCOMM and Inmarsat expect to distribute these solutions globally through their extensive commercial and government distribution networks. Given the compelling complementary, respective strengths in coverage, response time, antenna size, and message size, the quality of service and geographic footprint of the ORBCOMM and Inmarsat offering will be unmatched.
ORBCOMM and Inmarsat will also look to find potential synergies in multiple areas, which could include leveraging technologies, capital expenditures, product development, satellite operations, and ground infrastructure support for future satellite deployments. Today, ORBCOMM operates a constellation of low-Earth orbit (LEO) satellites, and Inmarsat operates a constellation of geostationary (GEO) satellites.
"By working with ORBCOMM and leveraging their 20 years of expertise in M2M, we can round out our mobile communications offerings by delivering ORBCOMM's dynamic M2M solutions and dual-mode network services to our global customer base," said Rupert Pearce, Inmarsat's Chief Executive Officer. "Our combined strengths will be unmatched in the satellite M2M space. We look forward to working with ORBCOMM to maximize our service offerings in the satellite industry and expand our footprint in M2M through our ground-breaking standard satellite platform."
"As the leader in satellite M2M, we are excited to team with Inmarsat, the industry's largest MSS player, to set the standard for satellite solutions in M2M," said Marc Eisenberg, ORBCOMM's Chief Executive Officer. "Our goal with Inmarsat is to create a compelling offering for the M2M industry by developing a truly innovative, scalable - and most importantly - a standard satellite-based global M2M platform. We want to make it as easy as possible for M2M solutions companies to use the most appropriate network for their unique application needs without having to invest huge amounts of development time and capital in each capability."
ORBCOMM and Inmarsat will host a conference call to discuss their strategic alliance on Tuesday, November 5, 2013, at 10:00 A.M. Eastern Time (USA)/3 P.M. GMT (UK).
To access the conference, UK callers should dial 0800-358-5271, while US participants should dial 1-888-549-7880 at least ten minutes prior to the start of the call. All other international callers should dial 1-480-629-9643. To hear a live web simulcast or to listen to the archived webcast following completion of the call, please visit the Company's website at www.orbcomm.com, select the "About Us" tab, then the "Investor Relations" tab, then select "Presentations and Webcasts," to access the link to the call. To listen to a telephone replay of the conference call, please dial 1-800-406-7325 domestically or 1-303-590-3030 internationally and enter reservation identification number 4649158. The replay will be available from approximately 12:00 PM ET on November 5, 2013, through 11:59 PM ET on November 19, 2013.
About Inmarsat
Inmarsat plc is the leading provider of global mobile satellite communications services. Since 1979, Inmarsat has been providing reliable voice and high-speed data communications to governments, enterprises and other organizations, with a range of services that can be used on land, at sea or in the air. Inmarsat employs around 1,600 staff in more than 60 locations around the world, with a presence in the major ports and centres of commerce on every continent. Inmarsat is listed on the London Stock Exchange (LSE: ISAT.L). For more information, please visit www.inmarsat.com.
About ORBCOMM Inc.
ORBCOMM is a global provider of Machine-to-Machine (M2M) solutions. Its customers include Caterpillar Inc., Doosan Infracore America, Hitachi Construction Machinery, Hyundai Heavy Industries, I.D. Systems, Inc., Komatsu Ltd., Cartrack (Pty.) Ltd., and Volvo Construction Equipment, among other industry leaders. By means of a global network of low-earth orbit (LEO) satellites and accompanying ground infrastructure as well as our Tier One cellular partners, ORBCOMM's low-cost and reliable two-way data communication services track, monitor and control mobile and fixed assets in our core markets: commercial transportation; heavy equipment; industrial fixed assets; marine; and homeland security.
ORBCOMM is an innovator and leading provider of tracking, monitoring and control services for the transportation market. Under its ReeferTrak®, GenTrakTM, GlobalTrak®, and CargoWatch® brands, the company provides customers with the ability to proactively monitor, manage and remotely control their cold chain and dry transport assets. Additionally, ORBCOMM provides Automatic Identification System (AIS) data services for vessel tracking and to improve maritime safety to government and commercial customers worldwide. ORBCOMM is headquartered in Rochelle Park, New Jersey and has its network control center in Dulles, Virginia. For more information, visit www.orbcomm.com.
Forward-Looking Statements
Certain statements discussed in this press release constitute forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. These forward-looking statements generally relate to our plans, objectives and expectations for future events and include statements about our expectations, beliefs, plans, objectives, intentions, assumptions and other statements that are not historical facts. Such forward-looking statements, including those concerning the Company's expectations, are subject to known and unknown risks and uncertainties, which could cause actual results to differ materially from the results, projected, expected or implied by the forward-looking statements, some of which are beyond the Company's control, that may cause the Company's actual results, performance or achievements, or industry results, to be materially different from any future results, performance or achievements expressed or implied by such forward-looking statements. In addition, specific consideration should be given to various factors described in Part I, Item 1A. "Risk Factors" and Part II, Item 7. "Management's Discussion and Analysis of Financial Condition and Results of Operations," and elsewhere in our Annual Report on Form 10-K for the year ended December 31, 2012, and other documents, on file with the Securities and Exchange Commission. The Company undertakes no obligation to publicly revise any forward-looking statements or cautionary factors, except as required by law.
Inmarsat Contact
Media Queries: Investor Queries:
Jonathan Sinnatt Simon Ailes
Head of Corporate Communications Senior Director, IR
+44 (0)20 7728 1935 +44 (0)20 7728 1518
jonathan.sinnatt@inmarsat.com simon.ailes@inmarsat.com