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KVH TracPhone V7 Generating $1 Million in Hardware & Airtime Sales from U.S. Government and Military Units in the Persian Gulf


KVH TracPhone V7 satellite communications systems using the mini-VSAT Broadband service are now in place on U.S. government and military units operating in the Persian Gulf

MIDDLETOWN, R.I., -- The recent expansion of the mini-VSAT Broadband(TM) service into the Persian Gulf is paying immediate dividends for KVH Industries, Inc., (Nasdaq: KVHI) as an initial order of TracPhone(R) V7 satellite communications systems is now installed and operating on various U.S. government and military units operating in the region. The completed hardware sales in this first deployment, together with recurring mini-VSAT Broadband airtime service, are expected to generate more than $1 million in combined revenue over the first 12 months. Due to contractual restrictions, the number of systems and additional details regarding the customers and mobile platforms cannot be disclosed at this time.

"We are extremely gratified by this first use of the TracPhone V7 system and the mini-VSAT Broadband service by government and military units. This is a key strategic growth area for KVH as we expand our global broadband service and we look forward to future installations and expanding use of the mini-VSAT Broadband airtime service," explained Martin Kits van Heyningen, KVH's chief executive officer. "By offering an unprecedented combination of broadband capabilities, compact hardware, and affordable airtime, we are in a position to equip U.S. and allied vessels and vehicles with a complete mobile communications solution with secure voice and data connections on the move. Doing so will ensure that government and military units have the critical information they require as well as a convenient means for crew calling and Internet access."

The mini-VSAT Broadband service, along with the KVH TracPhone V7 antenna, comprise the first end-to-end 24-inch VSAT hardware, service, and support package available for maritime communications and offers Voice over IP phone service and Internet access as fast as 512 Kbps (upload) and 2 Mbps (download) at fixed monthly rates. The compact TracPhone V7, which is 75% lighter and 85% smaller by volume than traditional 1-meter VSAT antennas, brings a blend of the economy and speed of VSAT communications with lower costs and easier installation, making the system exceptionally well suited for a wide range of mobile applications. The recent addition of Persian Gulf coverage along with service in the northern Pacific Ocean were the latest steps in the KVH and ViaSat (Nasdaq: VSAT) joint effort to provide affordable mobile Ku-band broadband connections worldwide.

About KVH Industries, Inc.

Middletown, RI-based KVH Industries, Inc., and its wholly owned subsidiary, KVH Europe A/S, are leading providers of in-motion satellite TV and communications systems, having designed, manufactured, and sold more than 150,000 mobile satellite antennas for applications on vessels, vehicles, and aircraft. KVH's mission is to connect mobile customers around the globe with the same digital television entertainment, communications, and Internet services that they enjoy in their homes and offices.

This release may contain certain forward-looking statements that involve risks and uncertainties. Forward-looking statements include, for example, the functionality, characteristics, quality and performance of KVH's products and technology; and customer preferences, requirements and expectations. The actual results could differ materially. Factors that may cause such differences include, among others, the potential inability to secure adequate Ku-band satellite capacity or the licenses necessary for the network; risks associated with the delivery or performance of critical hardware; future decisions about the expected profitability of additional satellite regions; changes in the costs and capabilities of competing offerings; uneven military sales cycles, changes in military fielding and equipment requirements, and changes in international situations, as well as those discussed in KVH's most recent Annual Report on Form 10-K filed with the SEC. KVH does not assume any obligation to update its forward-looking statements to reflect new information or developments.

KVH and TracPhone are registered trademarks of KVH Industries, Inc. "mini-VSAT Broadband" is a service mark of KVH Industries, Inc. All other trademarks are the property of their respective companies.

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