Siyata Mobile Issues Letter to Shareholders to Provide Business Update - Seite 2

Certification from these wireless carriers initiated a seismic shift in our sales and distribution channels. Siyata historically marketed and sold In-Vehicle devices through smaller Middle Eastern cellular carriers, two-way radio dealers, and directly to end customers. After receiving certification from the North American wireless carriers, the UV350 became marketed primarily through the large sales teams and dealer networks established by these wireless carriers. This massive and growing distribution channel has increased sales dramatically, already producing 66% of the business’s revenue in the first quarter of 2020.

The UV350 addresses a sizeable market, one in which there are 17.6 million commercial vehicles and 3.5 million first responder and public service vehicles in the US, and 3.5 million first responder, public sector and commercial vehicles in Canada.  Reflecting this large market opportunity and the early success that we are enjoying with the carriers, we have already seen our sales pipeline of active customer proof of concept trials surge to over $20 million in our short time working with the carriers.

Another part of our business with tremendous potential is our rugged handset portfolio which is also focused on the Push to Talk Over Cellular market.  Building upon our earlier success with PTT 3G rugged handheld phones, we recently added new 4G rugged handheld phones to our offering. Within Siyata’s focus geographies, there are a combined 40 million public service and enterprise workers that are potential customers for this product line so this too represents a large market opportunity. Our rugged phones are extremely durable, waterproof, can be cleaned with bacteria disinfectants, are cost effective and offer key features workers normally associate with two-way radio devices while also offering superior range as they work over nationwide cellular carrier networks. 

We are also very excited about our rapidly growing cellular booster business. Expanding upon our earlier 3G cellular boosters originally introduced in 2016, we recently introduced 4G cellular boosters to improve cellular signals in homes, cottages, warehouses, offices and vehicles. A new and improved 4G booster model introduced earlier in 2020 will be sold specifically with our UV350 In-Vehicle device to provide superior cell coverage when driving in remote areas. We are expanding our sales channels dramatically, recently launching on Amazon.com with plans to launch with a major US carrier in the coming months. During COVID-19 as people needed better cellular connectivity from their home offices, we have seen revenues increase substantially and expect this product line to grow dramatically in the coming months as we launch in the U.S., a market ten times larger than our primary market in Canada.