Siyata Mobile Inc. (NASDAQ: SYTA), a global vendor of Push-To-Talk over Cellular (PTToC) devices and cellular signal booster systems, has announced plans to relocate manufacturing of its SD7 rugged handsets and upcoming 5G handsets to the United States. The company expects to begin U.S. manufacturing operations in the first quarter of 2025, marking a significant strategic move that could expand its market reach and scale its business.
This decision comes amid a growing trend favoring U.S.-made products, supported by recent federal legislation and consumer preferences. The White House has implemented policies encouraging domestic manufacturing, including the Bipartisan Infrastructure Law and the CHIPS and Science Act. These initiatives have led to substantial private sector investments in American manufacturing, with nearly $900 billion committed and the creation of approximately 800,000 manufacturing jobs.
Marc Seelenfreund, CEO of Siyata Mobile, emphasized the strategic importance of this move, stating, ‘Users of our devices, especially governmental agencies and first responders value American manufactured products, but just as important, this move will enable us to shorten delivery lead times and operate within a stronger logistics infrastructure.’ The shift is expected to be particularly beneficial for Siyata’s government and first responder clients, who often prioritize domestically manufactured products.
The relocation of manufacturing aligns with consumer sentiment, as a recent survey indicated that two-thirds of U.S. consumers prefer to buy products made in America. This preference could potentially boost Siyata’s sales, especially in the public sector market.
Siyata’s decision comes at a time when the company is experiencing significant growth. In the third quarter of 2024, Siyata reported revenue of $5.9 million, a 218% increase year-over-year. The U.S. market represented 81% of the company’s revenue during this period, underscoring the importance of strengthening its presence in the country.
The company has also secured notable deals, including a partnership with T-Mobile US Inc. to offer its SD7 Ultra series 5G mission-critical push-to-talk (MCPTT) cellular radio handsets on T-Mobile’s 5G network starting next year. Additionally, Siyata received a $2.5 million order for its PTT handsets and Real Time View devices from an international emergency medical services organization, further demonstrating the growing demand for its products.
As Siyata Mobile prepares to shift its manufacturing to the U.S., the move represents a strategic alignment with market trends and government initiatives promoting domestic production. This transition could potentially enhance the company’s competitive position, particularly in the U.S. public sector market, while also addressing the growing consumer preference for American-made products.
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