Satellite telephony might just be coming into its own quickly.
Satellite telephony company Viasat (VSAT -1.30%) had quite a memorable week as far as its stock went. Driven by broad investor optimism on space-related titles generally and recent positive company-specific news items, it booked a near-double-digit gain over the period. According to data compiled by S&P Global Market Intelligence, Viasat’s share price rose in excess of 9% across the week.
Viable Viasat
What also helped was a live demonstration of its capabilities. On Thursday in Mexico City, Viasat put its direct-to-device satellite service through its paces.
Image source: Getty Images.
During the demonstration, Viasat sent text messages between two Android smartphones, one of which was linked to its satellite network and one through a traditional cellular matrix. It also flexed its satellite-powered services through a different device, the HMD Offgrid.
In the press release detailing the demonstration, the company quoted its general manager of Viasat Mexico Hector Rivero as saying that “This technology has the ability to bridge the connectivity gap in areas where traditional services are unreliable or non-existent, opening up possibilities for millions of individuals and devices to connect through satellite.”
“We are confident that this will have significant advantages for consumers and various industries worldwide,” he added.
Major contract in force
Viasat’s services seem to be striking a chord with major institutional customers, at least. Earlier this month, the company announced, no doubt happily, that it had earned a prime contract award from the U.S. Space Force. This will see it contribute to a dedicated satellite network for that branch of the American military.
Eric Volkman has no position in any of the stocks mentioned. The Motley Fool has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy.