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Startups AST SpaceMobile and Lynk Global are also developing constellations that aim to provide high-speed connectivity services directly to smartphones. Meanwhile, Iridium’s U.S.-based rival Globalstar is rumored to be working with Apple to connect iPhones with satellites for emergency services. Potential revenues from expanding an addressable market to the seven billion smartphones in the world “could be quite substantial,” Prentiss said. Like InReach, phones on the market for connecting to Iridium satellites are specialized devices that are optimized for low-bandwidth mobile telephony, monitoring and tracking applications in harsh and remote locations. That partnership sells the InReach product along with a satellite subscription to Iridium’s L-band network to end users. Raymond James analyst Ric Prentiss speculated that the service provider agreement could be similar to one Iridium has with Garmin for the GPS technology provider’s InReach handsets. Iridium declined to disclose details about the project. “To protect each company’s investment in this newly developed technology, the overall arrangement will include substantial recoupment payments from each company for commercializing a similar capability with another party.”
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