Ubiquiti Networks, Inc. (UBNT - Free Report) recently made Ubiquiti World Network (UWN), a wireless Internet platform, available to the public. The network has launched out of beta and is expected to benefit consumers with limited access to reliable networks, especially in remote areas.
UWN is a consortium of independent internet service providers (ISP) across the globe. It has been designed to provide the ISPs with a unified platform to foster growth and innovation in the wireless industry while catering to consumer’s needs.
UWN provides independent ISPs sales assistance and marketing necessities along with an improved scope to endorse their solutions. With this initiative, Ubiquiti strives to bridge the gap between the consumers and the service providers in the wireless broadband industry.
In Oct 2013, Ubiquiti launched the beta network which allowed ISPs to develop their public profiles along with articulating their geographical coverage. They also benefited from Ubiquiti’s efficient co-branded marketing solutions.
The company is also initiating an advertising campaign across the U.S. to boost the permeation of UWN. DGWB Advertising and Communications, an advertising firm based in Los Angeles, will be responsible for executing the operation. This campaign will complement the regional marketing endeavors undertaken by the ISPs.
As per a recent survey by Research Now – State of Broadband Connectivity – a substantial 61% of rural consumers in the U.S. are faced with limited Internet service options. Moreover, only 19% of the population is familiar with fixed wireless solutions. Wireless solutions can compensate for the limited provision of phone and cable lines in these areas. In such a scenario, Ubiquiti’s novel solutions and UWN have the potential to provide cost efficient and reliable broadband access in both rural and urban areas.
Other Stocks to Consider
Ubiquiti currently carries a Zacks Rank #3 (Hold). Some better–ranked stocks operating in the same sector worth reckoning include ShoreTel, Inc. (SHOR - Free Report) , Comtech Telecommunications Corp. (CMTL - Free Report) and Nokia Corp. (NOK - Free Report) . All these stocks sport a Zacks Rank #2 (Buy).