Motorola Focuses on Holistic Growth to Fuel its Expansion Efforts

Motorola Solutions Inc. MSI is poised to benefit from a holistic growth focus, with healthy organic growth and opportune acquisition initiatives backed by disciplined capital deployment. Its competitive position and attractive portfolio for a large addressable market augur well for the long term. The company has been very active on the acquisition front to expand its geographical presence and extend its operating portfolio.

The company recently completed the buyout of Silvus Technologies, Inc. – a leading developer of software-defined high-speed mobile ad-hoc network technology that efficiently supports highly secure data, video and voice communications without any requirement for fixed infrastructure. Its vast client base includes several militaries, law enforcement enterprises and autonomous systems manufacturers worldwide. The acquisition of Silvus Technologies has boosted MSI’s portfolio and allowed it to capitalize on the growing demand for flexible, adaptive network systems for mission-critical communication.

Silvus’ mission-critical mobile ad-hoc networks (MANET) technology connects people, devices and other nodes over distance and seamlessly supports bandwidth-intensive technologies like video, sensors and drones. The MANET technology enables human operators to securely control drones, autonomous vehicles and robots with low latency, helping to save lives while facilitating the tactical decision-making process. Motorola plans to extend Silvus’ reach through its global scale and capitalize on the long-standing relationships with government and public safety customers around the world.

Road Ahead

As a leading provider of mission-critical communication products and services worldwide, Motorola has ensured a steady revenue stream from this niche market. The communications equipment maker intends to boost its position in the public safety domain by entering into strategic alliances with other players in the ecosystem.

Motorola expects to record strong demand across video security and services, land mobile radio products and related software while benefiting from a solid foundation. These systems drive the demand for additional device sales and promote software upgrades and infrastructure expansion. The comprehensive suite of services ensures continuity and reduces risks related to critical communications operations.

Other Players Operating in This Space

InterDigital Inc. IDCC is a pioneer in advanced mobile technologies that enable wireless communications and capabilities. The company designs and develops a wide range of advanced technology solutions used in digital cellular, wireless 3G, 4G and IEEE 802-related products and networks. In the trailing four quarters, it delivered an earnings surprise of 158.41%. 

Headquartered in New York, Ubiquiti Inc. UI offers a comprehensive portfolio of networking products and solutions for service providers and enterprises. Its service-provider product platforms provide carrier-class network infrastructure for fixed wireless broadband, wireless backhaul systems and routing, while enterprise product platforms provide wireless local area network infrastructure, video surveillance products and machine-to-machine communication components. In the trailing four quarters, it delivered an earnings surprise of 7.5%.

Headquartered in Carlsbad, CA, Viasat Inc. VSAT designs, develops and markets advanced digital satellite telecommunications and other wireless networking and signal processing equipment. It serves high-bandwidth, high-performance communication solutions to the public as well as military, enterprises and government agencies. Viasat’s impressive bandwidth productivity sets it apart from conventional and lower-yield satellite providers that run on incumbent business models. 

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