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KVH Expands its Reach in Brazil to Support New Business in Key Region

04.06.11

A combination of the fully licensed mini-VSAT Broadband service, a new Brazilian subsidiary, and in-country partners position KVH to support mariners throughout the growing Brazilian maritime market

MIDDLETOWN, RI – As part of an ongoing effort to offer sales, service, and support in key commercial maritime regions, KVH Industries, Inc., (Nasdaq: KVHI) today announced the creation of a Brazilian subsidiary, KVH South America Comunicacao Por Satelite Ltda. (aka KVH Brazil). With the fully licensed mini-VSAT Broadband service in Brazil, the new entity allows KVH to provide better local support for its TracPhone® satellite communications systems and mini-VSAT Broadband service as well as the company’s TracVision® satellite TV systems.

“Our growing presence in Latin America, and specifically in Brazil, now allows us to do business locally while simultaneously providing service to mini-VSAT Broadband subscribers in locations around the globe. In addition, our Brazilian subsidiary has dramatically expanded our ability to support the offshore oil and gas industry, including rigs, supply ships, and other vessels that operate in this critical area of the Americas,” explains Patricio Baez, KVH’s vice president for commercial sales, Americas. “A significant portion of the world’s oil is currently produced in Brazilian waters, and exploration is underway for newly discovered pre-salt oil fields. The vessels and crews carrying out this important task must be equipped with reliable, affordable, and flexible satellite connections at all times. KVH Brazil and local distributors such as Nexions Corp., Net System Telecomunicases Ltd., Telnav Telecomunicações Navais, Mar e Terra, and Radiomar, are committed to serving the Brazilian maritime market and its unique needs in both the oil and gas and commercial shipping industries.”

KVH’s mini-VSAT service has been fully approved by the Brazilian regulatory agency, Anatel, allowing the mini-VSAT Broadband service to be used anywhere in Brazil and its surrounding waters. Following testing in Brazil and approval of the test results by Anatel, KVH also homologated its TracPhone V7 system, which means it can now be sold and installed throughout Brazil, a country with very stringent licensing requirements for satellite communications services. Establishing a Brazilian subsidiary was a key part of KVH’s global mini-VSAT Broadband licensing initiative, which permits TracPhone V7 owners to use mini-VSAT Broadband service without concern wherever they travel. This access covers coastal waters and hundreds of ports around the globe, including those where unlicensed maritime VSAT services are barred, which is an important consideration for KVH’s commercial customers.

Of particular interest to oil and gas fleets are KVH’s mini-VSAT Broadband service and compatible TracPhone V7 hardware, which were designed from the ground up to be the first next-generation maritime satellite communications solution. The global spread spectrum satellite network, built with ViaSat’s patented ArcLight® technology, offers more affordable airtime, voice service and Internet access as fast as 512 Kbps (ship to shore) and 2 Mbps (shore to ship). More than 1,000 TracPhone V7 systems have been shipped in the three years since the product’s introduction, making the mini-VSAT Broadband network the world’s fastest growing maritime VSAT solution. Combined with offices in Denmark, Singapore, and Norway, KVH Brazil is a key part of KVH’s commitment to supporting mini-VSAT Broadband users throughout the network’s expanding global coverage area.

About KVH Industries, Inc.

KVH Industries, Inc., and its subsidiaries are leading providers of in-motion satellite TV and communication 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. The company is based in Middletown, RI, with facilities in Illinois, Denmark, Norway, and Singapore.

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; anticipated innovation and product development; and customer preferences, requirements and expectations. The actual results could differ materially. Factors that may cause such differences include, among others, those discussed in KVH’s most recent 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, TracPhone, and TracVision 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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