MIDDLETOWN, R.I., April 3, 2014 (GLOBE NEWSWIRE) -- The mini-VSAT Broadbandsm service from KVH Industries, Inc., (Nasdaq:KVHI) increased its dominance of the maritime VSAT market according to the latest edition of a report from Euroconsult, the leading global consulting firm specializing in space markets. "Maritime Telecom Solutions by Satellite: Global Market Analysis & Forecasts, 3rd Edition," released last week, reports that KVH's share of the industry's 11,000 activated maritime VSAT terminals is 26%, up from 16% two years ago. In the new analysis, KVH's market share was reported to be double that of its next closest competitor [see graph].
KVH recently shipped its 4,000th TracPhone® system for the mini-VSAT Broadband service, which provides satellite Internet and phone services to commercial ships, government vessels, and pleasure yachts around the globe. KVH reported in its 2013 year-end investor conference call that its maritime VSAT service revenues grew by 33% in 2013. Euroconsult estimates the overall maritime VSAT market has grown at a 28% compounded annual growth rate since 2010, and that by the end of 2023 maritime VSAT services will account for 61% of a $1.5 billion maritime communications market.
"The maritime industry has begun to see broadband connectivity as a business necessity, both for operational efficiencies and for crew welfare, and they are looking for fast and affordable solutions to their satellite communications needs," says Martin Kits van Heyningen, KVH's CEO. "Our mini-VSAT Broadband service provides that combination, and we are unique in the industry for being the only global player with a true end-to-end solution not only for connectivity and antenna hardware, but also for content. We see content delivery as the next big area of demand from maritime vessels, and we already have a solution."
KVH launched the mini-VSAT Broadband service in 2007 and designed it from the ground up to be a new generation maritime satellite communications solution, utilizing ArcLight® spread spectrum technology from ViaSat, Inc., (Nasdaq:VSAT), KVH's technology partner. This advanced technology enables KVH's TracPhone V-IP antenna systems to be 85% smaller than traditional maritime VSAT antennas, thereby reducing the installation time and cost for maritime customers. The mini-VSAT Broadband service is very fast, providing Internet downloads as fast as 4 Mbps, and has low latency, making it ideal for new applications being adopted by leading ship management companies.
In response to its increasing customer base worldwide, KVH has more than doubled the capacity of the mini-VSAT Broadband network in the last 12 months by deploying Adaptive Coding, Spreading, and Modulation (ACSM) technology provided by ViaSat, which enables the network to handle transmissions more efficiently and increases the amount of data that can be carried. The mini-VSAT Broadband network uses a combination of 19 Ku-band transponders and 3 C-band beams to provide total global coverage. KVH's line of antenna systems designed exclusively for mini-VSAT Broadband service includes: the TracPhone V11-IP, a 1.1 meter diameter, dual-mode C/Ku-band antenna for global VSAT connectivity; the TracPhone V7-IP, a 60 cm diameter enterprise-grade antenna for Ku-band service worldwide; and the TracPhone V3-IP, a 37 cm diameter Ku-band antenna that is the world's most compact maritime VSAT antenna.
The recent enhancements to the mini-VSAT Broadband network play a key role in KVH's recently announced IP-MobileCastTM content delivery service. This service, which is expected to be available later this year, is designed to deliver news, entertainment, sports, and training content directly to subscribing vessels over the top of the mini-VSAT Broadband network using a separate data stream. IP-MobileCast will also deliver operational data such as electronic chart updates and weather information. The IP-MobileCast content will be provided by KVH Media Group, which was formed after KVH's May 2013 acquisition of Headland Media.
A graph accompanying this release is available at http://media.globenewswire.com/cache/12808/file/25634.jpg
Note to Editors:
For more information about the Euroconsult report, "Maritime Telecom Solutions by Satellite: Global Market Analysis & Forecasts, 3rd Edition," visit the Euroconsult website (http://www.euroconsult-ec.com/research-reports/satcom-reports/maritime-telecom-solutions-by-satellite-39-41.html). In addition, Euroconsult has provided a high-resolution slide detailing maritime VSAT market share, which is available for download from KVH's Press Room (www.kvh.com/Press-Room). High-resolution, press-ready images of KVH's TracPhone V-IP series systems and mini-VSAT Broadband coverage maps are available at the KVH Image Library for download and editorial use. For more information about the mini-VSAT Broadband service, TracPhone V-IP series, and new IP-MobileCast content delivery service, visit www.minivsat.com/vip.
About Euroconsult
Euroconsult is the leading global consulting firm specializing in space markets. As a privately-owned, fully independent firm, they provide first-class strategic consulting, develop comprehensive research, and organize executive-level annual summits for the industry. With 30 years of experience, Euroconsult is trusted by more than 560 clients in 50 countries. Euroconsult is headquartered in Paris, with offices in Montreal and Washington, D.C., and permanent representation in Japan.
About KVH Industries, Inc.
KVH Industries is a leading provider of in-motion satellite TV and communications systems, having designed, manufactured, and sold more than 175,000 mobile satellite antennas for applications on vessels, vehicles, and aircraft. KVH is also a leading news, music, and entertainment content provider to many industries including maritime, retail, and leisure. KVH is based in Middletown, RI, U.S.A., with facilities in Illinois, Denmark, Norway, the U.K., Singapore, the Philippines, Cyprus, and Japan.
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 IP-MobileCast 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: Jill Connors
Media & Communications Manager
KVH Industries, Inc.
401-851-3824
jconnors@kvh.com
