- Beam Communications Holdings (BCC) has delivered the first 1000 Zoleo Satellite Communicators to Zoleo Inc
- The Canadian company is a 50-50 joint venture between Beam and satellite communication company Roadpost
- Beam developed the Zoleo device which uses the Iridium Satellite network in space to allow messaging outside of mobile coverage
- The remaining 4000 units of the initial order will be shipped to Zoleo and invoiced by the end of this financial year
- Around the same time, Beam expects to receive another order from Zoleo for more devices
- Shares in Beam are up 1.56 per cent, and worth 32.5 cents each
Beam Communications Holdings (BCC) has delivered the first 1000 Zoleo Satellite Communicators to Zoleo Inc.
Based in Canada, Zoleo is a 50-50 joint venture between Beam and satellite communication company Roadpost.
The Zoleo device uses the Iridium Satellite network which is made up of 66 interlinked low earth orbit satellites. This allows the device to send messages from outside of mobile coverage. It also has SOS features and a 200-hour battery life.
Beam hold the Intellectual Property for the device which has an initial retail price of $345 and monthly service plans from $32 to $80.
In a statement, Beam said it will only make a small margin on sales but will fund its growth from recurring monthly subscription revenue.
The initial order from Zoleo was for 5000 units, the first 1000 of which have now been shipped and invoiced. The remaining 4000 will be shipped by the end of the current financial year.
Roadpost and Beam have split sales cost and profits into two areas with Roadpost responsible for the U.S. and Canada while Beam will cover Australia, China, Japan and New Zealand.
Within their respective zones either Roadpost or Beam will cover costs associated with sales and will receive 85 per cent of profits from those sales. For sales in other areas, the joint venture partners will share the costs and profits equally.
Shares in Beam are up 1.56 per cent, worth 32.5 cents each at 3:26 pm AEDT.