VSAT Showcases SATCOM Innovation in Saudi Arabia: Stock to Gain?

Core Insights - Viasat, Inc. has partnered with Skylo to demonstrate direct-to-device satellite connectivity in Saudi Arabia, marking the first D2D trial in the Middle East [1] - The trial utilized commercial NTN-enabled Android smartphones to send satellite-enabled two-way messages and SoS communications, employing 3GPP standards-compliant infrastructure [2] - D2D connectivity is emerging as a transformative technology, allowing standard consumer devices to connect efficiently with satellite and terrestrial networks, reducing operating costs by eliminating the need for additional hardware [3] Industry Trends - D2D services address connectivity issues in dead zones and lower the significant upfront investment required for terrestrial networks, making it easier for enterprises to establish connectivity in underserved areas [4] - The technology is gaining attention globally due to its cost efficiency, lower deployment costs, greater coverage, and higher resiliency compared to traditional networks [4] Company Strategy - Viasat is advancing its satellite connectivity portfolio, recently collaborating with BSNL in India for a D2D trial, as part of its strategy to enhance commercial prospects in the Gulf and Asia-Pacific regions [5] - The company is investing in the ViaSat-3 broadband communications platform, which will have nearly 10 times the bandwidth capacity of ViaSat-2, aiming to form a global broadband network [6] Competitive Landscape - Viasat faces intensifying competition from major players like AT&T, Comtech, Starlink, and DISH Network, which is impacting net sales [7] - Over the past year, Viasat's shares have decreased by 54%, contrasting with the industry's growth of 41.1% [8]