Etherstack Signs A$1.7m Australian Defence Follow-on Contract
Sydney, Sep 7, 2022 AEST (ABN Newswire) - Etherstack plc (ASX:ESK) is pleased to announce that its subsidiary Etherstack Pty Ltd has entered into a second technology licencing agreement with the Commonwealth of Australia to supply Etherstack technology, services, and third-party equipment to the Australian Department of Defence.
This contract is a follow-on order to the initial A$4.1 million project announced on 7 December 2020. This second stage of the program is A$1.7 million, with the majority of revenue to be recognised over FY 2022 and 2023.
As with the first stage contract, management expects that further work packages will be contracted based on performance of the currently contracted work packages, but advises that future work packages cannot be guaranteed.
Anna Squires, Director of Etherstack's Defence Division said, "We are delighted that the successful progression of the first contract has been recognised with the award of a follow-on contract that extends the program and continues Etherstack's relationship with the Australian Department of Defence."
Etherstack CEO, David Deacon added, "This program builds upon existing Etherstack technology and creates a significant Australian export opportunity. The solution is repeatable and the first of its kind that will be compliant to a specific military standard. Etherstack expects interest from both existing and new radio manufacturer customers internationally, as well as other sovereign nations where we will attempt to rapidly capitalise through licensing the solution. We have a proven track record of engaging and contracting with this customer base."
About Etherstack Plc
Etherstack (ASX:ESK) is a wireless technology company specialising in developing, manufacturing and licensing mission critical radio technologies for wireless equipment manufacturers and network operators around the globe. With a particular focus in the public safety, defence, utilities, transportation and resource sectors, Etherstack's technology and solutions can be found in radio communications equipment used in the most demanding situations. The company has Research and Development facilities in London, Sydney, New York and Yokohama.