Etherstack plc (ASX:ESK), a wireless technology company specialising in developing, manufacturing, and licensing mission critical radio technologies, has announced a significant Master Supply Agreement (MSA) with AT&T Services Inc. The agreement will see Etherstack’s US subsidiary, Etherstack Inc., provide telecommunications solutions and services related to Mission Critical Push-to-Talk (MCPTT) technologies, including Etherstack’s LMR-IWF product. Etherstack focuses particularly in the public safety, defence, utilities, transportation, and resource sectors; its technology and solutions can be found in radio communications equipment used in the most demanding situations.
The MSA has an initial term of seven years, with potential extensions subject to performance. Etherstack is set to receive a minimum of US$2.5 million per annum (indexed) in support and service fees during the initial term and any subsequent terms. In addition to these fees, Etherstack will also earn variable revenues based on subscriber volume and professional services requests, commencing from FY2026. The value of these variable revenues cannot be quantified at this time.
Etherstack management anticipates that the contract will contribute approximately US$4 million to the company’s revenues for the current financial year ending 31st December 2025. Of this amount, US$2.37 million was previously disclosed to the market in the first half of the year, ending 30th June 2025. The company has offices and R&D facilities in Reading, Sydney, New York, Annapolis and Yokohama.
The agreement is subject to standard terms and conditions for contracts of this nature and further solidifies Etherstack’s position in the critical communications sector.
