IQGeo expands partnership with North American telecom

20th Dec 2023 13:49

(Sharecast News) - Geospatial software specialist IQGeo announced a significant expansion of its partnership with one of its key tier-one telecom customers in North America on Wednesday.

The AIM-traded firm said the expansion followed its initial agreement with the unnamed customer in July 2022.

Under the terms of the extended deal, the telecom company was set to amplify its use of IQGeo's software, significantly increasing user licences and demand points.

Specifically, the customer was boosting user licences sevenfold and scaling up the number of demand points by 11 times.

The board said the move aimed to expedite the deployment of a fibre broadband network, extending connectivity to millions of previously underserved customers.

It said the two-year contract extension carried substantial financial implications, with annual recurring revenue (ACV) exceeding $2.7m.

Furthermore, the total contract value would top $10m.

"In 2023 the Fiber Broadband Association reported another record year for fibre deployments, with more than nine million additional homes passed in the United States," said chief executive officer Richard Petti.

"We continue to see very strong investment momentum for fibre deployment projects around the world, and IQGeo is recognised as an industry leader.

"We are successfully securing new fibre-focused customers, large and small, and growing our footprint within existing accounts, as is evidenced by this exciting new expansion contract."

At 1248 GMT, shares in IQGeo Group were up 2.29% at 313p.

Reporting by Josh White for Sharecast.com.