Kleos Space enters sales channel agreement with L3Harris
L3Harris Technologies will market Kleos’ product suite to a wide range of US government agencies.
Space-enabled intelligence data company Kleos Space (ASX: KSS) has pushed ahead in its bid to dominate the US market by entering into a commercial channel partner agreement with L3Harris Technologies to market the Kleos product suite to government agencies in the US.
Under the terms of the agreement, L3Harris has agreed to place the Kleos product suite on their GSA Earth Observation Solutions (EOS) Schedule and will collaborate with the organisation to prepare and present mission scenario demonstrations to the National Geospatial-Intelligence Agency.
Kleos Space says it aims to guard borders, protect assets and save lives by delivering “global activity-based intelligence and geolocation as a service”. The first Kleos Space satellite system, known as Kleos Scouting Mission (KSM), will deliver commercially available data and perform as a technology demonstration.
Having struck several early adopter contracts, the next stage is to transport its satellite to the launch site and eject its “scout mission satellites”.
South America bound
Calling itself a “space-powered radio frequency reconnaissance data provider”, Kleos appointed a regional space expert just yesterday.
Mr Pierre Duquesne was hired as a sales representative for the South American market to target planned investments of over €45 billion in the maritime and port sector in Latin America and the Caribbean.
“The valuable data Kleos provides will allow mission-critical geospatial solutions to be offered to the US defence community,” said Andy Bowyer, chief executive officer of Kleos.
Mr Bowyer spoke with Small Caps last month and explained that Kleos’ primary target is the global maritime information market.
He made a tentative revenue forecast by confirming that Kleos’ revenue target for 2020 is approximately $31.9 million, which equates to less than 1.5% of the global maritime information market.
As it stands, L3Harris has acquired decades of experience partners with agencies including the US Intelligence Community and geospatial intelligence customers.
Kleos said that during the term of a GSA Schedule Contract, any federal customer can order an unlimited amount of products or services.
Originally, GSA Schedule Contracts were developed to assist federal employees in purchasing products and services given that they contain pre-negotiated prices, delivery terms, warranties, and other terms and conditions which streamline the buying process.
Currently, GSA Schedule Contracts are the most widely used US government contract accounting for US$45 billion (A$64 billion) in annual sales, providing access to additional bid opportunities and provide a shorter, simplified sales process.
According to Kleos, GSA Schedule Contracts can be used to sell to hundreds of federal customers, including Federal and Executive Agencies, Department of Defense (DOD) and all Civilian Agencies, government-owned corporations and international organisations.