Iridium Communications Inc. (IRDM, Financial) is the second largest provider by revenue of mobile voice and data communications services via satellite, and the only commercial provider of communications services offering true global coverage. The stock fell after its renewal with the Department of Defense took longer than the company expected. In addition, management reduced its Certus guidance, the device they sell for use on maritime ships and now expect it to ramp up to 15% of the business over the next two years from just 5% today. Iridium’s satellite architecture is unique. We believe the company will benefit from growing market share in existing and new markets and leveraging its new NEXT constellation.
From Ron Baron (Trades, Portfolio)'s Baron Focused Growth Fund third-quarter 2019 shareholder letter.
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