AERKOMM Expands Presence in Asia Through New Partnership with Eutelsat's OneWeb LEO Services

Oct. 21, 2024

AERKOMM Inc.  is excited to announce the signing of a Distribution Partner Agreement (DPA) with Eutelsat Group to leverage its OneWeb Low-Earth Orbit (LEO) satellite services.  The agreement, concluded in late September 2024, grants AERKOMM Inc.'s subsidiary, AERKOMM Japan, the distribution rights for LEO connectivity services in Japan for the commercial fixed and land mobility sectors, as well as in Taiwan for the commercial land mobility market. This partnership underscores the company's commitment to expanding its global footprint and delivering advanced satellite communication solutions across Asia.

With Eutelsat OneWeb's LEO satellite coverage, users can benefit from superior features like low latency and high throughput compared to Geostationary Orbit (GEO) satellites. The OneWeb constellation's 634 satellites, provide global coverage coupled with the reliability, affordability, and lightweight design of satellite user terminals, along with attractive pricing and innovative value-added services, which are expected to accelerate adoption in target markets and enhance the overall user experience.

"We are delighted to partner with Eutelsat OneWeb to extend our advanced satellite communication solutions and services across Japan and Taiwan," said Louis Giordimaina, CEO of AERKOMM, "This collaboration marks a pivotal milestone in our growth and expansion strategy, enabling us to deliver cutting-edge multi-orbit and multi-network connectivity solutions to a broader range of customers in these key markets."

Neha Idnani, Regional Vice President, APAC, Eutelsat OneWeb added: "We are excited to collaborate with AERKOMM to provide low latency, high-speed connectivity services across Asia. Our OneWeb LEO network is ideally positioned to deliver real-time communications and connectivity for remote and rural businesses and communities, while also supporting land mobility applications, such as connected public safety vehicles. Together, we are paving the way for a more connected future."

With respect to the land mobility distribution rights in Japan and Taiwan, market research indicates significant global growth in the land mobility sector, particularly among "Comms on-the-Move" users such as roamers, RVers, and campers. These groups embody "work and play" lifestyles that align well with LEO satellite broadband services, providing high-speed connectivity along with user terminals that are easy to carry and convenient to use while on the move, addressing the unique demands of land-based customers.

Research by Mordor Intelligence projects that the Recreational Vehicle (RV) market will grow from USD 33.23 billion in 2024 to USD 49.18 billion by 2029, reflecting a compound annual growth rate (CAGR) of 8.15%. This growth is driven by the recovery from the COVID-19 pandemic and a notable shift in consumer preferences toward caravans over traditional hotel accommodations. Additionally, the proliferation of rental services in emerging markets and an increasing number of active campers are boosting demand for RVs. Given these trends, LEO satellite broadband communication services emerge as the optimal connectivity solution for this expanding market.

In Japan's commercial fixed market, some metropolitan areas experience inadequate broadband coverage, while many rural and offshore areas lack service altogether, highlighting the urgent need for enhanced connectivity solutions. LEO satellite broadband services are well-positioned to effectively address these coverage gaps. Given the competitive landscape of broadband in Japan, the Company is set to provide enhanced service solutions, value-added services, and implement unique marketing and sales strategies while collaborating with potential sales channel partners to attract target users and convert existing subscribers with inadequate internet service.

For upfront technology development, "Direct to Cell" technology, which integrates satellite communication into 5G and future 6G mobile phones or user terminals, is emerging as a key trend that AERKOMM is actively pursuing. This technology enables users to connect directly to satellite networks without the need for a terrestrial base station, thus providing mobile connectivity in areas with limited or no traditional cellular coverage. Concurrently, AERKOMM is proactively developing Mesh network solutions for Non-Terrestrial Networks (NTN) and satellite networks to enhance efficient and resilient connectivity, as well as improve resource management performance.

This partnership with Eutelsat OneWeb marks a crucial step toward meeting the growing demand for reliable and resilient broadband access in various regions. By harnessing innovative satellite technology and strategic marketing initiatives, AERKOMM aims to offer diverse connectivity solutions and services for users across Japan and Taiwan while capitalizing on the unique needs emerging in expanding markets. This collaboration not only strengthens the Company's market position but also underscores its commitment to advancing technological innovations in satellite communications, driving new revenue growth and enhancing customer experiences across multiple sectors.

AERKOMM is dedicated to investing in technology, talent, and global partnerships, positioning itself as a premier partner in the Civilian Telecommunications and Defense sectors. This strategic focus ensures a competitive edge and the delivery of exceptional value, underscoring the Company's unwavering commitment to excellence.