AERKOMM Inc. (Euronext: AKOM, OTCQX: AKOM), an innovative satellite communication technology company providing solutions to both public and private sectors, announces the acceleration of negotiations in the merger discussions with EJECTT Inc. (3089.TWO). Following the signing of a Letter of Intent (LOI) for a merger between the company’s subsidiary, AERKOMM Taiwan Inc., and EJECTT Inc. in July 2023, the Board of Directors authorized the management on February 22, 2024, to expedite negotiations on the terms of the merger to capitalize on the rapid growth of the SatCom business in the Taiwan market.
In the months ahead, active discussions will be conducted on key merger details. With EJECTT as AERKOMM Taiwan Inc.’s exclusive agent in Taiwan, the accelerated merger aims to seamlessly integrate resources in both entities, with the goals of pursuing opportunities in the deployment of global military-grade communication systems, as well as satellite communication opportunities in 6G, which are the key trends highlighted at the 2024 Mobile World Congress (MWC).
The satellite communication market in Taiwan is currently experiencing robust growth, driven by integration applications in government-related satellite communications. EJECTT has successfully secured several contracts since 2021, with projects spanning multiple years. As global satellite constellation operators expand their presence, there will be a strong demand for continued end-to-end system integrations for Low Earth Orbit (LEO), Medium Earth Orbit (MEO), and Geostationary Orbit (GEO), alongside advanced HTS semiconductor antennas, software-defined radio modems, and waveforms, which are unique strengths of AERKOMM Taiwan and EJECTT. Moving forward, the contracts obtained by EJECTT are set to transition from successful completion of military-grade operational tests and evaluations to real-world applications across various sectors. With EJECTT having secured AVL (Approved Vendor List) qualification, the market for its services can now be further expanded from aviation to the mobility sector. And AERKOMM is actively exploring opportunities in the global military communication system arena.
Furthermore, in the transition to 6G as defined by 3GPP, the Non-Territorial Network (NTN) plays a major role in communication standards, particularly in utilizing satellites and High-Altitude Platform Stations (HAPS) to extend coverage to the sky, sea, space, and other locations not currently covered by mobile communication systems. Moreover, satellite communication remains a prominent topic in 6G discussions at the 2024 Mobile World Congress (MWC) held in February. And on February 26, the Governments of the United States, Australia, Canada, the Czech Republic, Finland, France, Japan, the Republic of Korea, Sweden, and the United Kingdom jointly announced a statement endorsing principles for 6G. These shared principles aim to foster collaboration in promoting open, free, global, interoperable, reliable, resilient, and secure connectivity. In the era of 6G, AERKOMM is endeavoring to seize business opportunities within the 6G ecosystem, collaborating closely with global telecom operators, telecommunications equipment providers, and solution providers.
AERKOMM remains committed to developing and integrating satellite communication technology and solutions. In addition to fostering partnerships and strong engagement with major global players, the company is continuously pursuing its goal of guiding the future of satellite communication for a better-connected world.
