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Siyata Mobile Exploits Leadership Position In Push-To-Talk Over Cellular Market, Shares Respond By Rising 31% YTD ($SYTA)

Siyata Mobile (NASDAQ: SYTA) is early to a massive opportunity. And although its microcap share price may reflect that position, sometimes, being early can be quite fashionable – especially when targeting a more than $20 billion market opportunity. In fact, with SYTA doing things differently than its competitors and having better products embedded with 21st-century technology, they may become more than just a stylish sector investment play; they may set the trend by leveraging a leadership role in the global Push-to-Talk Over Cellular (PoC) sector. If so, current prices, even after a more than 31% YTD increase*, expose a valuation disconnect worthy of immediate consideration. (* share price % change calculation taken January 1, 2023- January 13, 2023, $0.213, Yahoo! Finance)

Indeed, at roughly $0.21, SYTA's market cap doesn't reflect anywhere near the intrinsic value already held, nor does it account for the tremendous growth and operational expansions made in 2022. Those initiatives are paying off quickly as the company continues to disrupt traditional Land Mobile Radio (LMR) markets with its next-generation cellular technology. Converting trials to sales, SYTA increased comparative Q3 revenues by 588% to $1.9 million in Q3. The better news is that those increases come through sales of its leading product, the SD7, its next-generation PoC device already considered a game-changing field asset and an excellent upgrade from land mobile radio. 

That's no coincidence. The SD7 is easy to use, purpose-built, highly functional, and enhanced by a rugged Android-based design. That's not the only feature attracting client interest; it's also earning praise for its robust IP68-rated design that protects against dust and debris, making it the only known push-to-talk device meeting the needs of especially rigorous field use applications. More importantly, it provides excellent noise-reducing sound quality that allows for clear communication, a benefit typically not inherent to the current generation of rugged smart and feature phones. 

That means most competing products can't do what SYTA's can.



Video Link: https://www.youtube.com/embed/bSrm4XOtMoU

A $20 Billion Shot On Goal

That puts a massive revenue-generating opportunity into SYTA's crosshairs. In fact, the $20 billion market mentioned is only what's been in play for this year. Estimates into the next few years more than double the market size, with analysts pegging market opportunity at over $50 billion in the North American markets alone. Put another way: SYTA is in the right markets at the right time. And, just as significantly, it has the right products to target revenues from several of the most potentially lucrative categories in the PoC industry, including advanced rugged smartphones, in-vehicle mounted IoT cellular communications devices, cellular signal boosters for global first responders, and channel relationships allowing SYTA to market devices with international cellular carriers and distributors who sell to their enterprise customers. 

That focus, combined with strategic moves made in 2022, could be the driving force in taking share from the industry's largest LMR players like Motorola Solutions Inc. (NYSE: MSI), L3Harris Technologies Inc. (NYSE: LHX), and overseas brands such as JVCKenwood Corp. (TSE: 6632) and Hytera Communications Corp (SZSE: 002583). Q3 numbers indicate that's happening quickly. Moreover, SYTA's revenue surge could be the precursor to better things, especially as SYTA continues to aggressively capitalize upon PoC market opportunities with disruptive solutions that are accretive to growth by maximizing synergies that use the same core channels and service the same customers. But streamlined growth is just one attractive feature of SYTA. 

Another advantage built into the SYTA consideration is that no other known competitor offers a similarly comprehensive portfolio of products. That distinction accelerates SYTA's plan to penetrate the PoC markets thanks to an expanding client list of global and national carriers that are appreciably receptive to the breadth of its single-vendor asset portfolio. That advantage is attractive to clients and helps SYTA revenues fall faster to the bottom line through synergistic sales benefits and simplifying integration processes.

A Synergistic Approach To Revenue Generation 

What’s more, the 588% spike in Q3 comparatives may get a boost from an expanding product lineup. While its SD7 is a formidable field PoC asset, so is its VK7: a first-in-class, in-car solution that pairs with its SD7. Like the SD7, the VK7's strength is its unique design, which includes connections to vehicle power, an integrated 10W speaker, a simple Slide-In connection, and internal active cooling. Additionally, the kit has a modularity that allows for the integration of multiple accessory solutions. Another product in the in-vehicle family is the UV350, an in-vehicle smartphone specifically designed to optimize mobile communications while driving. The UV350 is already considered a preferred IoT device for commercial vehicles because its 4G/LTE speed is always powered and supports FirstNet® certified apps, including fleet management, dispatch, GPS mapping, and other custom solutions.

Notably, SYTA is focused on monetizing its channel relationships too. That facilitates SYTA marketing devices with global cellular carriers and distributors who sell to their enterprise customers. Leveraging these carrier sales channels and their broad customer base with SYTA's three complementary product categories benefits a lean operating cost structure. Furthermore, Siyata brings a unique advantage in providing client carriers the ability to activate a SIM card and generate income otherwise not captured with customers using traditional LMR. Again, an edge is created by differentiation.

Products That Communicate Effectively

Still, excellent products are only as valuable as the markets they serve and the demand they get from them. Siyata expects plenty, and not from unwarranted hope. Rather, SYTA is made confident through a product lineup able to overcome the limitations of traditional LMR services, which can include limited coverage, restricted voice and low-capacity functionality, and high start-up and tower maintenance costs. Those inefficiencies, while bad news for the brands that sell them, are excellent motivators supporting SYTA's growth. 

So is the fact that as a first-to-market provider replacing decades-old technology with a 21st-century solution, SYTA is ideally positioned to capitalize on multiple high-dollar market opportunities utilizing walkie-talkie-like technology that benefits users by having an unlimited coverage range. That distinction, combined with the technology's other features, opens the door to mass sales - which the channel relationships mentioned earlier can make happen. Go to any significant cellular service provider and check the inventory for sale. Those are examples of channel relationships, which, by the way, SYTA is scoring. 

In November, SYTA announced inking a deal with Bell Mobility Inc. to launch its rugged SD7 device onto their network in the fourth quarter of 2022. The opportunity could be a windfall for SYTA, noting it facilitates SYTA tapping into Bell Mobility's leading wireless operator position and more than 10 million subscribers. As a division of Bell Canada, that deal could be the first of several, each bringing significant new revenue opportunities. That's not the only near-term value driver.

In December, SYTA announced adding RadioTrader, the UK and Ireland's premier two-way radio supplier, to distribute the ruggedized, mission-critical SD7 PoC device and VK7 vehicle kit accessory. That deal is expected to attract business from a wide variety of industries that rely on RadioTrader and its over 20 years of industry experience for two-way radio solutions. Moreover, the addition of SYTA's SD7 device and VK7 vehicle kit validates the quality of SYTA products and, more importantly, could provide fuel to score considerable near-term sales. 

Remember that SYTA offers more than innovative, well-built devices. The inherent strength is that they operate over 4G LTE networks, enabling consistent domestic and international connectivity to facilitate messaging, one-to-one, or one-to-many instant call communications. In addition, running on the high bandwidth 4G LTE network also supports data-intensive services such as pictures, video, and a host of other third-party applications. There's still more benefit, perhaps the biggest being that with no need to invest in infrastructures such as radio towers or repeaters, SYTA's client list can grow appreciably and quickly. That's potentially excellent news on the revenues front, made even better by Siyata’s lean operating structure helping those gains fall faster toward the bottom line.

Set Up For A Breakout 2023

Simply put, SYTA is doing the right things at the right time. More importantly, as a leading global vendor of next-generation Push-To-Talk over Cellular devices and cellular booster systems, and by having the right products to help shape the 21st-century of cellular communications, the impressive growth shown by SYTA last quarter could be set the trend for Q4 and all of 2023. Deals made with some of the world's largest carriers are expected to fuel that proposition. 

Still, it's not only what they've already accomplished supporting the SYTA value proposition; it's what they are doing now that truly exposes the "share price to performance" disconnect. But as SYTA continues to earn business traction where others aren't, that disconnect will likely close quickly. 

After all, feedback and market share growth are more than validating; they show that clients want what SYTA sells. And in any business model, that creates a defining path to success.

 

Disclaimers: Shore Thing Media, LLC. (STM, Llc.) is responsible for the production and distribution of this content. STM, Llc. is not operated by a licensed broker, a dealer, or a registered investment adviser. It should be expressly understood that under no circumstances does any information published herein represent a recommendation to buy or sell a security. Our reports/releases are a commercial advertisement and are for general information purposes ONLY. We are engaged in the business of marketing and advertising companies for monetary compensation. Never invest in any stock featured on our site or emails unless you can afford to lose your entire investment. The information made available by STM, Llc. is not intended to be, nor does it constitute, investment advice or recommendations. The contributors may buy and sell securities before and after any particular article, report and publication. In no event shall STM, Llc. be liable to any member, guest or third party for any damages of any kind arising out of the use of any content or other material published or made available by STM, Llc., including, without limitation, any investment losses, lost profits, lost opportunity, special, incidental, indirect, consequential or punitive damages. Past performance is a poor indicator of future performance. The information in this video, article, and in its related newsletters, is not intended to be, nor does it constitute, investment advice or recommendations. STM, Llc. strongly urges you conduct a complete and independent investigation of the respective companies and consideration of all pertinent risks. Readers are advised to review SEC periodic reports: Forms 10-Q, 10K, Form 8-K, insider reports, Forms 3, 4, 5 Schedule 13D. For some content, STM, Llc., its authors, contributors, or its agents, may be compensated for preparing research, video graphics, and editorial content. STM, LLC has been compensated up to ten-thousand-dollars cash via wire transfer by a third party to produce and syndicate content for Siyata Mobile Corp.. for a period of two weeks. As part of that content, readers, subscribers, and website viewers, are expected to read the full disclaimers and financial disclosures statement that can be found on our website.

The Private Securities Litigation Reform Act of 1995 provides investors a safe harbor in regard to forward-looking statements. Any statements that express or involve discussions with respect to predictions, expectations, beliefs, plans, projections, objectives, goals, assumptions or future events or performance are not statements of historical fact may be forward looking statements. Forward looking statements are based on expectations, estimates, and projections at the time the statements are made that involve a number of risks and uncertainties which could cause actual results or events to differ materially from those presently anticipated. Forward looking statements in this action may be identified through use of words such as projects, foresee, expects, will, anticipates, estimates, believes, understands, or that by statements indicating certain actions & quote; may, could, or might occur. Understand there is no guarantee past performance will be indicative of future results. Investing in micro-cap and growth securities is highly speculative and carries an extremely high degree of risk. It is possible that an investors investment may be lost or impaired due to the speculative nature of the companies profiled.

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