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MSI Boosts Norway's Emergency Communication Network: Stock to Gain?

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Motorola Solutions, Inc. (MSI - Free Report) recently announced that it has received a five-year contract from the Norwegian Directorate for Civil Protection (DSB). The long-term contract, valued at 1.78 billion NOK, or about $160 million, will remain in effect from 2027 to 2031 and has an option of a two-year extension.

Nødnett is Norway’s extensive communication network, spanning across the country. Around 60,000 first responders rely on the network every day. The network acts as a lifeline for the country, covering 100% of the population and supporting emergency services even in the most geographically challenging areas, mountain terrains and hundreds of tunnels. Since 2012, MSI has been a key partner of Nødnett, delivering consistent and reliable digital radio communication services.

Per the recent agreement, MSI will continue to manage Norway’s communication network, incorporating Motorola TETRA devices and protocols. TETRA radio solution is one of the most comprehensive and advanced mission-critical communication solutions in the market. The robust, reliable TETRA product suite includes a wide range of portable mobile radios and accessories that are customizable and match distinct requirements across various industries, including railways, oil & gas, utilities and public safety. Motorola also offers support services to reduce training and maintenance time and optimize the management of the TETRA network.

Facing growing challenges and escalating pressure on its emergency response system, the DSB is committed to elevating Nødnett’s network to bolster the emergency preparedness of public safety organizations. The recent contract extension with Motorola is a significant step in that direction. MSI’s TETRA products will boost radio communication by improving operational management and providing technology upgrades under the new agreement.

Will This Venture Drive MSI’s Share Performance?

Around 1,000 Motorola TETRA devices have been deployed around the world, supporting networks on local and national levels. Several countries including Austria, Denmark and Portugal are making steady investments in advanced radio communications. The demand for digital radio network technology is expected to grow at a substantial rate in the upcoming years, owing to its ease of use, consistency and durability. With its comprehensive portfolio and solid track record, Motorola is well positioned to gain from this emerging market trend.

MSI Stock Price Movement

The stock has gained 11.7% in the past year compared with the industry’s growth of 74.7%.

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MSI’s Zacks Rank & Stocks to Consider

Motorola currently carries a Zacks Rank #3 (Hold).

Keysight Technologies, Inc. (KEYS - Free Report) sports a Zacks Rank of 2 (Buy) at present. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

In the last reported quarter, it delivered an earnings surprise of 5.10%. Keysight is expected to benefit from the growing proliferation of electronic content in vehicles, momentum in space and satellite applications, and rising adoption of driver-assistance systems globally.

InterDigital (IDCC - Free Report) sports a Zacks Rank #1 at present. In the last reported quarter, it delivered an earnings surprise of 114.47%.

It is a pioneer in advanced mobile technologies that enable wireless communications and capabilities. The company designs and develops a wide range of advanced technology solutions used in digital cellular, wireless 3G, 4G and IEEE 802-related products and networks.

Plexus Corp. (PLXS - Free Report) flaunts a Zacks Rank of 1 at present. It is a leading electronic contract manufacturing services provider to original equipment manufacturers in a wide range of industries. In the last reported quarter, PLXS delivered an earnings surprise of 20.92%.

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