Today's News Lite Access put out news today regarding a product order from long-time installation partner, Spectrum Services. After being questioned as to the material relevance and lack of contract details included in the release, I wanted to add some colour to those that have asked or may be wondering.
It’s important to take into consideration that not every press release that LTE puts out is for stock market exposure. Releases that include LTE certified installation partners help market more awareness to FTTx services and deployments in different geographical areas. In the case of Spectrum, businesses and entities may be looking for a solution different than traditional methods and PR helps get the word out locally to their products and services. PR also highlights the installer’s success in their respective locale.
Specific contract detail announcements with private and public businesses in most cases will not be provided. LTE is the wholesale provider, in this case with Spectrum, and would put itself and the customer in a terrible competitive state if announced. Can you imagine LTE announcing what the customer was paying for the product and having your customer and competition knowing those details? Spectrum needs to mark up their products and services after buying the product from LTE.
Partners like Spectrum are very important for Lite Access’ business as a whole. I understand this order is about the 20th one to date, continuing business over time certainly adds up. They may not be huge orders all the time, but orders from Spectrum and others are material. LTE has groups worldwide that continue to order products on an ongoing basis.
Contract/RFQ bids are generally different, as there is no competitive disadvantage to announcing these contracts like the $7 million Haida Gwaii deployment. LTE will announce these contract details as they are won, most of these are public information.
I also spoke to the company, and up-to-date booking numbers will be forthcoming in news releases so we won’t have to wait for the upcoming quarterlies in what is proving to be a transformational year for Lite Access.