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Highlights
- New Contract with AT&T: Etherstack (ASX:ESK) has signed a US$1.2 million contract with AT&T Services Inc. to provide wireless network equipment and associated services.
- Key Role in FirstNet Project: This contract builds on Etherstack’s collaboration with AT&T since 2021 on the FirstNet project, the largest mission-critical push-to-talk (MCPTT) initiative globally.
- Positive Market Reaction: Etherstack shares surged 5% to 29 cents following the announcement on 22 January 2025.
Etherstack (ASX:ESK) has announced a significant milestone with the signing of a US$1.2 million contract with AT&T Services Inc., the world’s largest telecommunications carrier. The agreement involves the supply of wireless network equipment and associated services and is set to contribute to Etherstack’s revenue for the current financial year.
Building on FirstNet Success
This latest contract is part of Etherstack’s ongoing collaboration with AT&T on its FirstNet project, the largest mission-critical push-to-talk (MCPTT) initiative in the world. Since 2021, Etherstack has supported FirstNet, which aims to provide reliable and secure communications for first responders across the United States.
Etherstack’s CEO, David Deacon, highlighted the significance of this new contract, stating:
“This direct award with AT&T for one of our innovative products in a rapidly evolving public communications product area is testament to Etherstack’s capability in building the best products for the world’s largest telco operators and switch vendors. We look forward to updating our shareholders in the near future with further good news.”
Revenue Impact
The US$1.2 million contract is expected to be fully recognized as revenue during the current financial year, boosting Etherstack’s financial outlook. This development underscores the company’s ability to secure high-profile contracts and strengthen its position in the public communications technology sector.
Market Response
Investors reacted positively to the news, with Etherstack’s share price rising 5% to 29 cents on January 22, 2025.
