Below is part of the announcement announced on 9th Dec 2019. Regardless how conservative the numbers are used, still worth a multi bagger IMO.
Global sales and recurring revenue.
The ZOLEO concept was specifically designed to drive recurring revenue from a loyal and sticky customer base. The device can only be activated by ZOLEO Inc., the joint venture between Beam and Roadpost Inc., and unlike mobiles, cannot be used on rival networks or a competing service.
Global connectivity is provided by the recently upgraded US$3B ubiquitous Iridium NEXT global satellite network. Iridium provides complete coverage of the globe, from pole-to-pole, through 66 interlinked Low Earth Orbit (LEO) satellites.
ZOLEO Inc. will receive a monthly ongoing fee for each subscriber and Beam anticipates that ZOLEO will contribute materially to group revenue from FY21 onwards.
ZOLEO will initially be available in the Australian and North American markets before a staged rollout to other regions. Beam is responsible for the entire Asia Pacific region and Roadpost will promote and the product in North America under the previously announced 50-50 joint-venture arrangement. Both companies will jointly develop all other geographic markets.
“We are excited by the impending launch of the device as it fills an unmet need in the market. Our experience in developing and selling mobile satellite devices to adventurers in Canada and the US for more than 20 years tells me that ZOLEO will be a big success,” said the chief executive of Roadpost, Morris Shaun.
“We have already received pre-orders from several satellite communications dealers and are close to signing up a large North American outdoor equipment retailer.”
The Managing Director of Beam, Michael Capocchi said: “It’s taken us less than two years to design and launch an innovative product like ZOLEO, and that’s a testament to the expertise we’ve developed over almost 20 years in designing communication equipment for the world’s largest satellite operators.
BCC Price at posting:
30.0¢ Sentiment: Buy Disclosure: Held
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