Globecomm CEO Extending Video, Software Offerings to Military Markets

Satellite-based managed network service provider Globecomm Systems acquired independent testing and long-term application developer ComSource for $20 million on April 8, continuing Globecomm’s shift from hardware provider to software developer. Globecomm CEO David Hershberg spoke with Via Satellite about how this expansion helps drive the company’s multi-vertical market business model.
 

Via Satellite: How important is it for Globecomm to include the government/military market as part of a multi-vertical approach?

Hershberg:  It’s a strategy that keeps us strong and stable because when one of these markets is experiencing a slowdown, the growth in our other divisions take over and lessen the impact. We’re in wireless, media, government, maritime and now enterprise application development, so we have plenty of areas to fall back on.

Via Satellite: How has your company progressed in its military business?

Hershberg: Our government and military division is coming off of a $152 million, five-year contract win from a U.S. government prime contractor where we’ll provide satellite Earth stations and services that leverage our global service network. We’ll provide voice, video and data services that use the same managed network service offerings in the company’s other divisions.

Via Satellite: Will your recent expansion into software and application development help create offerings for other markets?

Hershberg: We’ve been interested in the software and application market for two reasons. The first and most important reason is that our customers demanded it. Building a business unit based on what the customer wants is always a better move than a bunch of executives trying to guess what the customer wants and then hoping we’re right. The second is because of the synergies that software and applications create between our business units. We’ll invest in the robust mobile technologies vertical marketplace and simultaneously develop technology to support multiple aspects of our current engineering capabilities in the broadcast, multi-media and now enterprise markets with our Tempo platform.

Via Satellite: What developments can we expect out of your U.S. military business in the long-term?

Hershberg: Look for us to come out with news on the GSA schedule 70 contract in the next couple of months. We met three of the government’s major requirements in our single proposal, and I believe that we were the only company to do that. I’m very confident that we’ll be under that contract vehicle by the summer.”