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Kratos and SES demo new SATCOM system for the U.S. Army

EditorBrando Bricchi
Published 17/04/2024, 20:20
KTOS
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SAN DIEGO - Kratos Defense (NASDAQ:KTOS) & Security Solutions, Inc. (NASDAQ: KTOS) and SES have successfully conducted a demonstration of a fully virtualized satellite communications ground system for the U.S. Army's Combat Capabilities Development Command, as announced on Monday. The demonstration showcased a flexible network architecture that allows for simultaneous communication pathways, enhancing the resiliency of satellite communications (SATCOM).

During the demonstration, a virtualized and containerized architecture was employed, which is designed to enable soldiers to deploy their radio frequency (RF) hardware and software-defined hubs anywhere in the world. A notable feature of the demonstration was the seamless operation supporting satellites in Medium Earth Orbit (MEO) using a "make-before-break" mode over SES's O3b MEO satellite network. This capability is crucial for maintaining communication sessions as users move across different satellite coverage areas.

The system utilized a remote terminal in Port St. Lucie, U.S., and a gateway in Lima, Peru, connected to Kratos' OpenSpace® vStar hub system in Virginia, U.S. The Kratos OpenSpace® Platform, highlighted in the demonstration, is the industry’s only commercially available, fully software-defined satellite ground system that offers the reliability and agility required for modern military operations. The system's efficiency was further improved by hosting the OpenSpace hub on public cloud resources provided by SES.

Chris Badgett, Vice President of Technology for Kratos Space, emphasized that the use of a containerized architecture for the make-before-break handover represents a significant advancement in SATCOM technology. Saba Wehbe, Senior Vice President, Service Engineering and Delivery at SES, noted the demonstration's reinforcement of the importance of flexibility and agility in the U.S. Department of Defense (DoD) SATCOM modernization efforts.

The funding for this project came from the Network (LON:NETW) Cross-Functional Team (N-CFT) established by the Army Futures Command. This collaboration between Kratos and SES aims to future-proof ground systems and simplify the interoperability of multi-constellation, multi-orbit satellite services.

The information for this article is based on a press release statement.

InvestingPro Insights

In light of the recent demonstration by Kratos Defense & Security Solutions, Inc. (NASDAQ: KTOS) showcasing advanced satellite communications technology, investors may be intrigued by the company's financial health and market performance. According to InvestingPro data, Kratos has a market capitalization of approximately $2.64 billion, reflecting the market's valuation of the company. Despite not being profitable over the last twelve months, with a negative P/E ratio of -259.71, analysts are predicting that the company will turn profitable this year, which could signal a potential shift in its financial trajectory.

InvestingPro Tips suggest that while Kratos operates with a moderate level of debt, its liquid assets exceed short-term obligations, providing the company with financial stability to meet its immediate liabilities. Moreover, the company's revenue has grown by 15.45% over the last twelve months, indicating an upward trend in its earning capacity. However, it's noteworthy that the company is trading at a high EBITDA valuation multiple, which might raise questions about its current valuation.

For investors looking for a deeper dive into Kratos' financials and future outlook, there are additional InvestingPro Tips available at InvestingPro. As a special offer, readers can use the coupon code PRONEWS24 to get an additional 10% off a yearly or biyearly Pro and Pro+ subscription. Currently, InvestingPro lists 9 additional tips that could provide valuable insights into Kratos' performance and prospects.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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