ONCOR JOINS THE 900 MHz PRIVATE WIRELESS NETWORKS MOVEMENT WITH ANTERIX SPECTRUM AGREEMENT
Anterix announced a significant agreement with Oncor Electric Delivery Company. Under this deal, Oncor will acquire 900 MHz broadband spectrum from Anterix to deploy a private wireless broadband network across its service territory. This next-generation network aims to enhance Oncor's mission-critical data and voice services, improving resiliency and operational intelligence. Oncor is the largest electricity transmission and distribution system operator in Texas, serving over 4 million homes and businesses. The partnership is expected to bolster energy resilience and reliability in the ERCOT market.
- Oncor's acquisition of 900 MHz broadband spectrum from Anterix enables deployment of a private wireless network, enhancing mission-critical data and voice services.
- The new network improves Oncor's operational intelligence, data transmission, and overall communication.
- This agreement adds another utility to Anterix's nationwide network, highlighting the benefits of private LTE.
- None.
Insights
The agreement between Anterix and Oncor to deploy a private wireless broadband network utilizing 900 MHz spectrum marks a significant technological evolution. Private LTE networks, as opposed to public ones, provide more secure and reliable communications, which is essential for mission-critical applications in utility sectors. With enhanced resiliency and operational intelligence, Oncor is expected to benefit from improved data transmission and real-time insights, which can lead to quicker response times and better management of the grid.
This agreement could be an important driver for Anterix's financial performance. The deployment of a private LTE network for a major utility like Oncor is likely to generate substantial revenue streams. Additionally, expanding their network footprint in the utility sector can create long-term recurring revenue from maintenance and future upgrades. For Oncor, while the initial investment might be significant, the potential operational efficiencies and cost savings over time could outweigh these upfront costs, leading to better financial results in the long run.
The deal with Oncor places Anterix in a strong position within the utility market, emphasizing the importance of private wireless networks in enhancing grid reliability and efficiency. This development might prompt other utilities to consider similar upgrades, potentially expanding Anterix's market opportunities. For investors, it's important to watch how this agreement influences market share and customer expansion, potentially driving stock appreciation if executed successfully.
WOODLAND PARK, N.J., June 26, 2024 /PRNewswire/ -- Anterix (NASDAQ: ATEX) announced today that it has entered into an agreement with Oncor Electric Delivery Company LLC ("Oncor") under which Oncor will acquire 900 MHz broadband spectrum from Anterix necessary to deploy a private wireless broadband network throughout its service territory.
The new licenses will enable Oncor to move to next generation broadband for mission-critical data and voice services within Oncor across its service territory. The network will provide a host of capabilities that are expected to benefit Oncor and its customers, including enhanced resiliency, data transmission, and overall communication and operational intelligence.
Headquartered in
"Oncor is an exciting customer for Anterix," said Rob Schwartz, Anterix's President & Chief Executive Officer. "Not only does this agreement address another 'complex system,' but it also adds another utility to our nationwide network of utility networks. This agreement highlights the benefits of private LTE. We look forward to working with Oncor and other
For additional information about the Anterix-Oncor agreement, see the Anterix-Oncor Agreement Fact Sheet in the investor information section of Anterix's website.
Shareholder Contact
Natasha Vecchiarelli
Vice President, Investor Relations & Corporate Communications
Anterix
973-531-4397
nvecchiarelli@anterix.com
Media Contact
Paul Gaige
Vice President
Hill+Knowlton Strategies
504-957-1434
Paul.Gaige@hillandknowlton.com
About Anterix
At Anterix, we partner with leading utilities and technology companies to harness the power of 900 MHz broadband for modernized grid solutions. Leading an ecosystem of more than 100 members, we offer utility-first solutions to modernize the grid and solve the challenges that utilities are facing today. As the largest holder of licensed spectrum in the 900 MHz band (896-901/935-940 MHz) throughout the contiguous
Forward-Looking Statements
Certain statements contained in this press release, other than historical information, constitute forward-looking statements within the meaning of the federal securities laws. Words such as "believes," "anticipates," "estimates," "expects," "intends," "aims," "potential," "will," "would," "could," "considered," "likely," "estimate" and variations of these words and similar future or conditional expressions are intended to identify forward-looking statements but are not the exclusive means of identifying such statements. Forward-looking statements include, but are not limited to, statements regarding: (i) the timing of payments under Oncor's agreement with Anterix to acquire 900 MHz broadband spectrum, (ii) Anterix's ability to negotiate and enter into agreements with incumbents to clear the 900 MHz broadband spectrum allocation in Oncor's service areas on a timely basis and on commercially reasonable terms; (iii) Anterix's ability to qualify for and timely secure broadband licenses in Oncor's service areas; and (iv) Anterix's ability to satisfy the other terms of its agreement with Oncor. Any such forward-looking statements are based on the current expectations of Anterix's management and are subject to a number of risks and uncertainties that could cause Anterix's actual future results to differ materially from its management's current expectations or those implied by the forward-looking statements. These risks and uncertainties include, but are not limited to: (i) Anterix may not be successful in commercializing its spectrum assets to its targeted utility and critical infrastructure customers on a timely basis and on favorable terms; (ii) Anterix may be unable to secure broadband licenses from the FCC on a timely and cost-effective basis; (iii) Anterix has a limited operating history with its current business plan, which makes it difficult to evaluate its prospects and future financial results and its business activities, strategic approaches and plans may not be successful; and (iv) the value of Anterix's spectrum assets may fluctuate significantly based on supply and demand, as well as technical and regulatory changes. These and other risk factors that may affect Anterix's future results of operations are identified and described in more detail in Anterix's most recent filings on Forms 10-K and 10-Q and in other filings that it makes with the SEC from time to time. These documents are available on Anterix's website at www.anterix.com under the Investor Relations section and on the SEC's website at www.sec.gov. Accordingly, you should not rely upon forward-looking statements as predictions of future events. Except as required by applicable law, Anterix undertakes no obligation to update publicly or revise any forward-looking statements contained herein, whether as a result of any new information, future events, changed circumstances or otherwise.
View original content to download multimedia:https://www.prnewswire.com/news-releases/oncor-joins-the-900-mhz-private-wireless-networks-movement-with-anterix-spectrum-agreement-302183696.html
SOURCE Anterix Inc.
FAQ
What agreement was announced between Anterix and Oncor regarding 900 MHz spectrum?
How will the Anterix and Oncor agreement impact Oncor's services?
What is the scope of Oncor's service territory affected by the Anterix agreement?
Why is the Anterix and Oncor agreement significant for the ERCOT market?
