Polar Power Receives $1.3 Million Purchase Order For Rural Telecom Backup Power Systems
October 03 2019 - 09:00AM
Polar Power, Inc. (NASDAQ: POLA), a global provider of prime,
backup and solar hybrid power solutions, announced today the
receipt of a $1.3 million purchase order for backup generators from
a rural telecom provider engaged in building high-speed rural
wireless broadband networks in 14 states to enhance public safety.
Telecom companies and the Federal government are jointly building
the rural networks throughout the nation to provide enhanced
high-speed communications across the United States. This rural
initiative is intended to provide more reliable communications
during emergencies and faster and more complete broadband services
for all public sector needs.
This purchase order reflects Polar’s renewed efforts to service
rural telecom providers. Over the past 5 years, our resources have
been centered on Tier 1 wireless carriers in the United States and
internationally. Our recent strategic initiative to return to rural
markets is a result of our increased production capacity and
expanded coverage in service infrastructure within our domestic
marketplace. We believe that our new propane (LPG) generators
and battery storage systems are ideally suited for off-grid and
backup / uninterrupted power supply (UPS) applications. Although
Polar sells directly to Tier 1 telecoms, sales to rural telecoms
will be made through a combination of direct sales and our existing
channel partners who are currently servicing our equipment in the
field. We believe that the placement of our solar and non-solar
hybrid systems on rural telecom sites will have a positive sales
spill-over effect into other local applications.
The lack of good broadband infrastructure in rural America has
been identified by numerous sources as a key hindrance in improving
health care services, farm productivity and academic expansion
which, in turn, hinders economic development in these regions.
The expansion of quality wireless 4G and later 5G technologies
into rural areas can eliminate the high cost of installing copper
or fiber optic cable services to connect farms, small businesses,
educational institutions, and households to a stationary broadband
service. The wireless service covers both stationary and mobile
needs.
The challenge to quality and cost effective broadband service is
the need for a reliable and low-cost electric power. Rural
communities typically experience more power outages and power
outages of longer duration than urban and metropolitan areas due to
the long distances the power lines must transverse. Many optimum
sites for cell coverage are located off-grid and connecting these
sites to the utility grid is oftentimes cost prohibitive, resulting
in the use of solar PV, diesel or propane generators to power these
sites. Polar believes that in these rural markets, its products
provide higher reliability at lower CAPEX and OPEX cost giving us a
competitive edge over other products and technologies.
In August 2019, the FCC proposed the Rural Digital Fund (RDF)
which would allow the FCC to provide up to $20.4 billion in grants,
loans or guarantees to telecom or cable companies to subsidize the
cost of building new network infrastructures to provide high speed
broadband connections to rural schools, libraries, medical
facilities and other local government buildings. In addition, the
U.S Department of Agriculture (USDA) in 2019 approved an additional
$600 million towards infrastructure grants named Re-Connect Program
aimed at delivering expanded deployment of high-speed broadband
internet access to benefit precision farming.
“We believe the FCC’s announcement of up to $20.4 billion in
potential subsidies and grants accessible to over 400 small to
mid-level rural telecom and cable providers will provide us with
both a significant sales opportunity and the platform to
demonstrate renewable technologies coupled with clean fuel
generators providing low cost and sustainable energy to other
applications and markets worldwide,” said Arthur Sams.
About Polar Power, Inc.Gardena,
California-based Polar Power, Inc. (NASDAQ: POLA), designs,
manufactures and sells direct current, or DC, power systems,
lithium battery powered hybrid solar systems and lithium battery
storage systems for applications in the wireless telecommunications
market and, in other markets, including military, electric vehicle
charging, cogeneration, distributed power and uninterruptable power
supply. Within the telecommunications market, Polar’s systems
provide reliable and low-cost energy for off-grid and bad-grid
applications with critical power needs that cannot be without power
in the event of utility grid failure. For more information, please
visit www.polarpower.com. or follow us on
www.linkedin.com/company/polar-power-inc/
Safe Harbor Statement Under the Private
Securities Litigation Reform Act of 1995 This news
release contains certain statements of a forward-looking nature
relating to future events or future business performance.
Forward-looking statements can be identified by the words
“expects,” “anticipates,” “believes,” “intends,” “estimates,”
“plans,” “will,” “outlook” and similar expressions. Forward-looking
statements are based on management’s current plans, estimates,
assumptions and projections, and speak only as of the date they are
made. With the exception of historical information, the matters
discussed in this press release including, without limitation,
Polar Power’s belief that its new generators and battery storage
systems are ideally suited for off-grid and bad-grid markets; Polar
Power’s belief that the placement of its solar and non-solar hybrid
systems on rural telecom sites will have a positive sales
spill-over effect into local applications; Polar Power’s belief
that in rural markets its higher reliability performance and lower
CAPEX and OPEX cost products makes its products a competitive
alternatives to other products and technologies; and Polar Power’s
belief that the announcement by the FCC of up to $20.4 billion in
potential subsidies and grants accessible to over 400 small to
mid-level rural telecom and cable providers will provide Polar both
a significant sales opportunity and the platform to demonstrate
renewable technologies coupled with clean fuel generators providing
low cost and sustainable energy to other applications and markets
worldwide are forward-looking statements and considerations that
involve a number of risks and uncertainties. The actual future
results of Polar Power could differ from those statements. Factors
that could cause or contribute to such differences include, but are
not limited to, cancellation of, or material changes in, the RAF;
regulatory changes to emissions requirements for telecom backup
generators; the introduction of new technologies that replace
current 4G and 5G technologies, adverse domestic and foreign
economic and market conditions, including demand for DC power
systems; trade tariffs on raw materials; changes in domestic and
foreign governmental regulations and policies; and other events,
factors and risks. We undertake no obligation to update any
forward-looking statement in light of new information or future
events, except as otherwise required by law. Forward-looking
statements involve inherent risks and uncertainties, most of which
are difficult to predict and are generally beyond our control.
Actual results or outcomes may differ materially from those implied
by the forward-looking statements as a result of the impact of a
number of factors, many of which are discussed in more detail in
our reports filed with the Securities and Exchange Commission.
Media and Investor Relations: Integra Investor
Relations Shawn M. Severson +1 415-233-7094 info@integra-ir.com
@Integra IR www.integra-ir.com
Company Contact:Polar Power, Inc.249 E. Gardena
Blvd.Gardena, CA 90248Tel:
310-830-9153ir@polarpowerinc.comwww.polarpower.com
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