NetComm continues Nth America expansion

ASX-listed networking vendor, NetComm, has reported it is continuing its penetration of the North American market, signing up Canadian company Rogers Communications.

The deal will sees NetComm (ASX:NTC) supply its HSPA WiFi mobile broadband gateway which incorporates a wireless LAN, an HSPA module and voice capabilities to run over Rogers’ HSPA network.

The company already has a relationship with Canadian carrier Telus.

In an ASX statement Netcomm, citing analyst figures, said mobile broadband was managing to buck the global financial crisis downturn, with 3G connections in North America expected grow some 25 per cent during the 2010 calendar year.

The news follows an announcement from NetComm in June that it was predicting a bullish 18 months ahead, forecasting a tripling of its revenues by the second half of 2011.

In a market guidance the company said investment in the development of 3G gateway technology and international expansion in 2009 and 2010 would see revenues grow from $22.9 million in the first half of 2010 to between $33.9 and $39.3 million in the second half of 2010.

In a May investor update presentation the company said growth in the mobile broadband equipment segment was estimated to average more than 55 per cent for the next four to five years.