Interesting post from Bobwins on SYATF
Talked with Siyata IR Arlen Hansen from Kin Communications. Have talked with him several times over the years of holding Siyata. He is a substantial holder of Siyata stock.
Called him because we haven't heard of any big orders out of Canada or the US. He said Bell Canada is approaching it much differently than AT&T in the US and he doesn't expect much in sales from Canada going forward. He is very happy with the AT&T approach. They recently had a mandatory meeting of all sales reps who would potentially sell the UV-350. It appears the First Responder customers will become the first big sales.
They have given the device to several municipalities for trial and all so far have said they want the device. But once the customer indicates an interest, they are directed back to AT&T to negotiate monthly subscription pricing as well as device pricing. Since they are buying in volume, they can demand discounts. I assume AT&T will negotiate a discounted price for the device rather than lower the monthly subscription. They can afford to subsidize the device purchase price of C$1,000 because the First Net customers are likely almost forever customers. Siyata gets full wholesale price no matter what kind of discount AT&T agrees to.
Hansen is very happy with what he has seen from AT&T so far. They truly want the First Responder customers, who are currently mostly with Verizon with personal communications devices and with Motorola with their two way radios. They also have mandatory goals for number of devices on the FirstNet network so they definitely have an incentive to aggressively sign up customers on the network.
Hansen indicated that the low hanging fruit is school bus fleets. There is some kind of additional certification needed for police and fire departments but no such requirement for school bus fleets. The good thing is that once a city/county decides to equip their school buses with PTT cellular, it's likely they will move later with the same or compatible equipment for their police and fire departments. The school bus fleets are also substantial in size so that will likely be the first sales announced.
I asked why there have been no announcements to date. Hansen reminded me that it's only been one month since AT&T approved the UV-350. He is happy with AT&T sales approach so far and expects significant sales shortly. Even though the year is half over, he is hoping for several thousand unit sales before year end representing 6 to 10 million in sales. Over the next several years, Siyata is expecting to reach $100million per year in UV-350 sales but obviously needs to walk before they can run.
As always with these microcaps, sales and profits talk so I will have to wait a few more months to see what happens with Siyata.
I remain optimistic that we will see proof of substantial sales before year end.
"that a rich man is not the one who has the most but the one who needs the least"
AI
