New "Maritime Telecom Solutions by Satellite" report
concludes KVH is now the maritime VSAT market share leader with
more users than any other network
Launched in late 2007, the mini-VSAT Broadbandsm service from KVH
Industries, Inc. (Nasdaq:KVHI) has quickly grown to become the
world's leading maritime VSAT network, according to a new industry
research report from Euroconsult, the leading international
research and analysis firm specializing in the satellite and space
sectors. In "Maritime Telecom Solutions by Satellite, Global Market
Analysis & Forecasts," Euroconsult estimates at the end of
2011, KVH's mini-VSAT Broadband service accounted for 16% of an
estimated market of just under 9,000 activated maritime VSAT
terminals. KVH's market share was reported to be 20% higher than
the next closest competitor.
To date, more than 2,000 KVH TracPhone® systems have been
shipped for the mini-VSAT Broadband service, which KVH believes is
far more than any other maritime VSAT solution. KVH reported in its
2011 year-end investor conference call that its maritime VSAT
revenues grew by more than 60% in 2011. Euroconsult estimates the
overall maritime VSAT market has grown at a rate of 15% per year
since 2008, and that by the end of 2021 maritime VSAT services will
account for 55% of a $1.7 billion maritime communications
market.
"Our strategy from the launch of the mini-VSAT Broadband service
four and a half years ago has been to create a single global
satellite communications network that delivers very fast, very high
quality, reasonably priced broadband service to all types of
vessels, using onboard terminals that were small and easy to
install," commented Martin Kits van Heyningen, KVH's CEO. "Our
initial market research clearly showed that customers using
maritime L-band services felt the costs were prohibitively
expensive for their networking requirements, and that the older
maritime VSAT technology wasn't ideal due to the expense of
installing large antennas. We've leveraged a new generation of
spread spectrum technology to bring our customers the best of all
worlds – fast, high quality, global multimegabit service delivered
to small, affordable onboard terminals. It's exciting both to have
accelerating sales and to be acknowledged as being in the
leadership position in the growing maritime VSAT market."
KVH's mini-VSAT Broadband network was designed from the ground
up to be a new generation maritime satellite communications
solution. Unlike older maritime VSAT services using time division
multiple access (TDMA) technology, which was originally designed
for stationary land use, the KVH service relies on state-of-the-art
ArcLight® spread spectrum technology provided by KVH's partner
ViaSat (Nasdaq:VSAT), which was developed specifically for mobile
use. The spread spectrum technology enables KVH to use antennas for
its mini-VSAT Broadband service that are 85% smaller than TDMA VSAT
antennas, while providing similar speed and coverage, thereby
reducing the capital equipment and installation costs for maritime
customers. The service is very fast, providing Internet downloads
as fast as 4 Mbps, and has significantly lower latency (time
delays) in data transmissions, making it ideal for new cloud-based
applications being adopted by leading ship management
companies.
To build its global network, KVH has taken advantage of new
commercial satellite coverage over the oceans to create a seamless
web of multi-megabit service. Fourteen Ku-band satellite
transponders are already online, creating one of the widest Ku-band
networks in the industry. The company's TracPhone V3, with a 37 cm
antenna, and its enterprise-grade TracPhone V7, which uses a 60 cm
antenna, provide service throughout the Ku-band portion of the
network. Earlier this year KVH announced that three global C-band
transponders will be added, providing an overlay on the Ku-band
service that together will cover 95% of the earth, including all of
the world's major shipping lanes, fishing regions, and offshore oil
fields. The company's new TracPhone V11 dual mode system will be
able to seamlessly switch between C and Ku-band service.
KVH is the only maritime VSAT provider to manufacture its own
fully integrated onboard terminal, own and operate a global VSAT
network, and provide worldwide 24/7/365 after-sale support. In
2010, the company acquired the Norwegian maritime network
management company Virtek, and has incorporated their CommBox™
ship/shore network manager into the end-to-end TracPhone solution
for the mini-VSAT Broadband service. KVH's mini-VSAT Broadband
service delivered more than 100 terabytes of data in 2011 and more
than two million voice calls, and had a network uptime of 99.5%,
which is among the best in the industry.
Full details of the KVH mini-VSAT Broadband service and the
TracPhone V-series product line are available on the company's
website, www.minivsat.com.
Note to Editors: High-resolution, press-ready images of the
mini-VSAT Broadband coverage map and the TracPhone V-series product
line are available at http://press.kvh.com for download and
editorial use.
About KVH Industries, Inc.
KVH Industries, Inc., is the leading provider of in-motion
satellite television and communications systems, having designed,
manufactured, and sold more than 150,000 mobile satellite antennas
for applications on vessels, vehicles, and aircraft. KVH's mission
is to connect mobile customers around the globe with the same
digital television entertainment, communications, and Internet
services that they enjoy in their homes and offices. The company is
based in Middletown, RI, with facilities in Illinois, Denmark,
Norway, and Singapore.
This release may contain certain forward-looking statements that
involve risks and uncertainties. Forward-looking statements
include, for example, the functionality, characteristics, quality
and performance of KVH's products and technology; anticipated
innovation and product development; and customer preferences,
requirements and expectations. The actual results could differ
materially. Factors that may cause such differences include, among
others, those discussed in KVH's most recent Form 10-K filed with
the SEC. KVH does not assume any obligation to update its
forward-looking statements to reflect new information or
developments.
KVH, TracPhone, and CommBox are trademarks of KVH Industries,
Inc. "mini-VSAT Broadband" is a service mark of KVH Industries,
Inc. All other trademarks are the property of their respective
companies.
CONTACT: Nicole Mongillo
KVH Industries, Inc.
401-845-2443
nmongillo@kvh.com
KVH Industries (NASDAQ:KVHI)
Historical Stock Chart
From Jun 2024 to Jul 2024
KVH Industries (NASDAQ:KVHI)
Historical Stock Chart
From Jul 2023 to Jul 2024
