Motorola Solutions Prepares for MCPTT Standard with Kodiak Networks Acquisition

Motorola Solutions announced that it will be acquiring push-to-talk (PTT) solution and management provider Kodiak Networks. Considered the lesser of the mobile communications applications in contrast to cellular voice and mobile broadband, PTT technology has been widely applied in public safety communications, as well as private communications systems in the past several years. With the proliferation and expansion of LTE’s capabilities on mobile carrier networks, new life is being breathed into PTT services.

Kodiak Networks has built a solid roster of carrier partners offering its PTT management solutions across the Americas and Europe, including AT&T (U.S.), Bell Mobility (Canada), HOT Mobile (Israel), KPN (Netherlands), Movistar (Latin America), Sprint (U.S.), Telefónica (Latin America), Tigo (Guatemala), Verizon Wireless (U.S.), Vivo (Brazil), and Vodafone (Netherlands).

Privately-held Kodiak Networks is based in Plano, Texas. Terms of the transaction were not disclosed; but the deal is expected to close, subject to standard approvals, in the 2H 2017.

Motorola Solutions has had a lock on essential intellectual property rights (IPR) for both land-mobile radio (LMR) and public safety radio protocols for the past decade. Kodiak Networks’ PTT-over-cellular solution is viewed as complementary to Motorola Solutions’ WAVE PTT portfolio, which utilizes over-the-top (OTT) broadband for PTT applications.

Here are three reasons why Kodiak Networks became an acquisition target for Motorola Solutions:

• The Kodiak Networks solution offers interoperability with legacy LMR systems. The oldest installed base of two-way radio systems can be grandfathered into the Kodiak Networks-powered solutions while bringing users the benefits of PTT over a broadband network.
• With AT&T recently winning the FirstNet next-generation public safety service contract, Kodiak Networks is well-positioned to extend its service relationship with AT&T. However, Motorola Solutions has said that it plans to offer its WAVE platform for the nationwide public safety network. The Kodiak Networks acquisition will aid in growing the company’s carrier-integrated commercial market presence.
• Kodiak Networks has been actively involved in the development of PTT standards. The company was an architect of the OMA PoC specifications, a contributor to the OMA’s PCPS project, and participating in the 3GPP MCPTT standard.

The future of PTT resides in the 3GPP MCPTT standard. Even though the name suggests a mission-critical focus, the standard has direct ramifications for private PTT networks, in addition to first responder use cases. For public safety, MCPTT will become a common platform to replace APCO Project 25 (P25) and TETRA trunking systems. The same MCPTT standard will also become the evolutionary path for legacy PTT systems to utilize the digital LTE network infrastructure, as well as for private TETRA networks in Europe, Asia, Latin America, the Middle East, and Africa.

The acquisition is both an offensive and defensive move for Motorola Solutions. The PTT market entered its long tail phase, and Motorola Solutions is looking at mobile broadband (specifically LTE evolutions) to extend its viability. Motorola Solutions’ success in LMR and public safety radio networks has also included its PTT portfolio, though the company is not expected to have the licensing monopoly with MCPTT that it previously enjoyed in Europe and the Americas, as more technology companies participated in the development of the latest standard.

Kodiak Networks could probably survive on its own without Motorola Solutions, yet the combined development, marketing, field engineering, and sales teams will be able to accelerate digital PTT market goals. Beyond the public safety and private network rollouts of MCPTT, the next market to benefit from these technologies will be the carrier-integrated services. A combined Motorola Solutions + Kodiak Networks are primed to lead the charge into the carrier channel through the operator partnerships of both vendors.