Pareteum Awarded 3-Year $1,000,000 Contract to Provide Mobile Virtual Network Enablement for IoT Connectivity in the Middle East
Pareteum Awarded 3-Year $1,000,000 Contract to Provide Mobile Virtual Network Enablement for Internet of Things Connectivity in the Middle East
• Enormous market for Pareteum – Internet of Things (IoT) devices to overtake mobile phones as the most connected devices in 2018
• In 2021 there will be 28 billion connected devices, with 16 billion of these being IoT
NEW YORK, NEW YORK, September 19, 2017 – Pareteum Corporation (NYSE American: TEUM), (“Pareteum” or the “Company”), the rapidly growing mobile Cloud Communications Platform company, today announced it has been awarded a 3-year contract for its Global Mobility Cloud services from an Internet of Things (IoT) service provider to expand into the Middle East using Pareteum’s platform and connectivity. This contract is estimated to add $1,000,000 to Pareteum’s revenue backlog over the course of the next 36 months.
Pareteum’s Global Mobility Cloud Platform enables this customer to provide machine-to-machine (M2M) management and connectivity for IoT devices. Each IoT device is a mobile subscriber with connectivity, enabled to conduct transactions and send and receive data.
Recurring monthly fees will be generated by Pareteum for each IoT device on its platform, as well as transactional revenue each time one of these IoT devices makes a data transaction. Revenues are expected to ramp over the course of the 3-year contract with potential to exceed the estimated $1,000,000 contract value.
IoT devices will become the largest category of connected devices in the world next year, overtaking mobile phones in number, according to the 2016 Ericsson Mobility Report. The report projects that in 2021 there will be a total of 28 billion connected devices globally, with 16 billion being IoT devices. In 2015, 400 million IoT devices were already cellular subscribers. In the coming few years, cellular IoT subscribers are expected to be the highest growth category amongst all connected devices. This is driving the growth of overall M2M connections market, which is expected to be worth $27.62 billion by 2023.
“Our customer is rapidly expanding to provide mobile enablement and connectivity for the growing IoT device market in enterprise networks globally,” stated Vic Bozzo, Pareteum’s CEO. “By leveraging Pareteum’s platform and connectivity reach, our customer can move into new markets without spending more capital and benefit from our seamless connectivity on any network, anywhere, anytime.”
“It is increasingly clear that Pareteum has become the mobile platform of choice for the IoT economy. With an estimated 23% compound annual growth rate for IoT devices through 2021, Pareteum has an enormous market to address with our turn-key mobile enablement service that saves our customer capex and enables market opportunity. These customer successes will continue to translate into growth and additional service revenue for our Company,” stated Hal Turner, Executive Chairman of Pareteum.
About Pareteum Corporation
The mission of Pareteum Corporation (NYSE American: TEUM) is to connect “every person and everything”. Organizations use Pareteum to energize their growth and profitability through cloud communication services and complete turnkey solutions featuring relevant content, applications, and connectivity worldwide. By harnessing the value of communications, Pareteum serves retail, enterprise and IoT customers. Pareteum currently has offices in New York, Sao Paulo, Madrid, Barcelona, Bahrain and the Netherlands. For more information please visit: www.pareteum.com.
Forward Looking Statements:
Certain statements contained herein constitute “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995. Such statements may include, without limitation, statements with respect to Pareteum’s plans and objectives, projections, expectations and intentions. These forward-looking statements are based on current expectations, estimates and projections about Pareteum’s industry, management’s beliefs and certain assumptions made by management. Readers are cautioned that any such forward-looking statements are not guarantees of future performance and are subject to certain risks, uncertainties and assumptions that are difficult to predict. Because such statements involve risks and uncertainties, the actual results and performance of Pareteum may differ materially from the results expressed or implied by such forward-looking statements. Given these uncertainties, readers are cautioned not to place undue reliance on such forward-looking statements. Unless otherwise required by law, Pareteum also disclaims any obligation to update its view of any such risks or uncertainties or to announce publicly the result of any revisions to the forward-looking statements made here. Additional information concerning certain risks and uncertainties that could cause actual results to differ materially from those projected or suggested in Pareteum’s filings with the Securities and Exchange Commission, copies of which are available from the SEC or may be obtained upon request from Pareteum Corporation.
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