Gilat Satellite Networks Ltd. (Nasdaq: GILT; TASE: GILT) has begun deployment of a 1,500-site SkyEdge II broadband satellite network for Colombia-based satellite service providers Axesat SA. The company did not disclose the size of the follow-on contract, but industry sources estimate at $1.5-2 million based on the industry price of about $1,000 per very small aperture terminal (VSAT) unit.
Axesat will use the SkyEdge II VSATs to provide enterprises in Latin America with private networking services including interactive data, broadband Internet access, and VoIP.
Gilat Network Systems CEO Erez Antebi said, “Axesat and numerous other operators are discovering how deployment of SkyEdge II can result in lower operational expenses and increased capabilities."
Last month, Gilat announced that it was supplying Brazil's Petroleo Brasileiro SA (Petrobras) a 500-site SkyEdge broadband network platform for enterprise and offshore maritime applications. At the end of March, the company announced that Gores Group LLC, Mivtach Shamir Holdings Ltd. (TASE:MISH), DGB Investments, and three private investors will acquire the company for $475 million.
Published by Globes [online], Israel business news - www.globes-online.com - on April 22, 2008
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