Synchronica plc – Second Order for MessagePhone Low-Cost Devices

Second Order for MessagePhone Low-Cost Devices

Synchronica plc, the AIM listed mobile email, instant messaging and data synchronisation provider announces that its partners have received an initial purchase order for 20,000 MessagePhone low-cost mobile devices (“MessagePhones”) from one of the largest worldwide operator groups in emerging markets. 

This is the second purchase order received since the collaboration agreement with third parties to design, build, market and sell low cost mobile devices was announced on 7 July 2009. The MessagePhones will utilise the infrastructure provided by Synchronica’s Mobile Gateway, building an end-to-end entry-level push email product.  Under the collaboration agreement, Synchronica will receive a commission of 3% of the net sales revenue from the sales of the MessagePhones. This revenue will be in addition to licence, professional services, support and hosting revenues from Mobile Gateway.

The MessagePhone is optimized for push email and mobile synchronisation services provided by Synchronica Mobile Gateway, provides a full HTML web browser and access to social networking sites. The partners will officially introduce the MessagePhone to the market on February 10th, 2010.

A recent report by Informa estimates the mobile social networking market will undergo substantial growth over the next 3 years. At the end of 2008, there were approximately 92.5 million mobile social networking users globally, with conservative estimates putting this number at 641.6 million by 2013.  With mobile social networking activities ranging from simple chat services to multimedia-rich dialogue, the MessagePhone support all levels of networking that the user requires.
                                                                                                                                                    
Carsten Brinkschulte, CEO of Synchronica, said, “Synchronica’s technology and end-to-end solutions enable operators to supply low cost devices to emerging markets and meet the increasing demand for devices that can facilitate next-generation messaging and mobile social networking. The order from such a dominant operator in the telecommunications market and in Latin America shows the traction of Synchronica’s product in regions where PC ownership is low and where operators can offer email and mobile synchronisation direct to customers on a low cost device.”

The revenue from this order will be recognised in the financial year ending 31 December 2010.