Mitec Telecom Inc. ("Mitec") (TSX: MTM), a leading designer and manufacturer of mobile wireless, fixed wireless, broadcast and satellite components announced today it has received the first in a series of orders from a large network operator for its new MTX series VSAT Block Upconverter. Deliveries are expected to take place in Q2, fiscal 2011 and additional orders are expected from this customer throughout the year.
In Q4, fiscal 2009, Mitec officially launched this new series of products and began to phase out its legacy line of WTX Series Block Upconverters. Following significant investment in R&D and marketing, the MTX product line has differentiated Mitec from its competition.
The customer is currently involved in a network expansion project in Africa, where there is significant demand for 2-way satellite communication to support the growth of multimedia, voice and data services in geographically challenging areas.
Mitec's VSAT division generally demonstrates consistent revenues quarter over quarter because network build-outs are planned well in advance and operators consider Mitec's components the backbone of these expansion projects. This order was generated as a result of the performance standard that the new MTX product line established in the market.
Mitec expects continued success increasing its penetration into the VSAT market with the launch of these new products, which have generated better than anticipated interest and have been accepted as the industry standard going forward.