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Open Insight #17


Zyntai product development is full steam ahead, first synchronization test order with major US operator, our IP and Cloud solutions gather interest at international events

Welcome to the seventeenth edition of Open Insight, our blog for investors. This is where you can find out more about our offering and market position, our progress, our challenges and our growth.

In this edition of Open Insight I will be sharing with you how the development of our 2nd generation Synchronization solution Zyntai is progressing ahead of schedule, with the first units now delivered for early customer testing. We are growing our synchronization presence in North America and have set up a strong local synchronization sales team. Our focused efforts have also led to an important first synchronization test order with a major US operator.

In this edition we are also delving into a second quarter that was rich with events – not only did we launch an Advisory Board, the first of its kind and hopefully one of many, but we also attended several events around the globe. All this customer-facing activity lets us keep up awareness of our solutions, both in the Media and in the Synchronization areas, and prove our increased focus on Customer Experience. The Nimbra platform continues performing as best-in-class in large events. This quarter we secured an order in Germany for a large-scale sports event, provided contribution for the 32nd South East Asian Games in Cambodia and enabled a large eSports event in Singapore using our media cloud transport solution Nimbra Edge.

With a successful first quarter and after launching a buyback program mandated by the Annual General Meeting, we are now preparing to share the results of the second quarter, and for our annual participation in the 2023 IBC Show in the Netherlands.


Launch of SEK 50M buyback program and first round of subscriptions under LTI 2020 series 1

On 12 May 2023, the Annual General Meeting in Net Insight AB (publ) was held in Solna, Sweden. At the meeting a mandate was approved for a buyback program for own shares with a value of SEK 50 million. The program will commence on June 7, 2023, and run until the next annual general meeting. Within the mandate, the board is given capacity to, on one or more occasions, decide on repurchases of own shares amounting to at most 10% of the total number of shares in the company. The subscription period for Series 1 of the long-term incentive program that was decided by the AGM 2020 (LTI 2020) commenced in June 2023 and in the first round of applications from the participants, 110,000 B-shares were subscribed. An additional 2,050,000 B-shares are anticipated to be subscribed latest end of September, which marks the conclusion of the subscription period for series 1 of LTI 2020.

You can find the full bulletin from 2023 AGM here: Bulletin From Net Insight’s Annual General Meeting 2023

You can read more about the buyback program here: Net Insight to Launch Buyback Program of SEK 50 Million

You can read more about the change in number of shares and votes here: Change in Number of Shares and Votes in Net Insight

Continued strong 5G sync market momentum with accelerated efforts in North America

During the last quarters we have increased our Synchronization engagements in North America, and in Q2 we established a dedicated sales team to leverage and grow the strong interest in our new Zyntai sync solution. Both Lance Craft, new Head of Regional Sales, and Tahmina Hoque, Regional Technical Sales Specialist, are now fully up and running. With their extensive experience in the North American telecoms industry, they are well-equipped to lead our efforts in this market. We have, throughout the quarter, actively engaged with numerous customers and participated in key industry events, including the “Big 5G event” in Austin. I am also happy to announce we have received our first commercial test order for a synchronization trial with a major US operator. An important milestone and a testament that our focused efforts on the North American market are successful.

Two PoCs (proof of concepts) have been successfully concluded in Q2, and we have now entered the negotiation phase with those customers. Additionally, we are currently initiating three new PoCs.

Resilient time synchronization is becoming a critical function in many industries, and we are seeing a growing interest in our synchronization solution, also outside 5G. One such sector is the power utility industry, where we are currently conducting a trial with a large European power utility. Other sectors are also being evaluated and it was truly valuable to participate in the Critical Communications World in Helsinki this spring. However, 5G is still the largest market for synchronization and our top focus.

Our geographic focus areas have primarily been Europe and North America. However, our participation and engagements during CommunicAsia in Singapore in May reinforced our belief in the Asian market potential due to strong 5G deployments and regulatory requirements for GNSS/GPS independent synchronization. We will increase our presence in the region during H2.

Second-generation sync hardware nodes, Zyntai, are now out in the field

The development of our second-generation time sync solution, Zyntai, is progressing very well. In Q2, we successfully sold and delivered the first Zyntai hardware units for testing with selected customers. This is a big milestone for us, and ahead of the original schedule. The Zyntai Director, used to orchestrate and manage the synchronization of the network, will be deployed with our first customers after summer. General release of the Zyntai solution is set for Q4 this year.


Strategic Customer Advisory Board successfully held in New York for key American customers

In line with Net Insight’s ongoing transformative journey, centred on the strive to go from focusing on products to focusing on solutions – and from prioritizing technology to prioritizing our customers’ needs, we organized a strategic advisory board meeting with our key Americas customers on the 25th of May in New York City. Among the participants were some of the largest US-based service providers and broadcasters.

The purpose of this event was for our customers to provide advice and guidance to Net Insight executive management about their strategic priorities in terms of technology investment areas, development, and operations, so that these might serve as considerations for Net Insight while planning our strategy and human and operational resources.

The event was a success and I’m satisfied that we gained unique insight in their strategic viewpoints, together with confirming mutual trust and tightening our business relationship. The event will be followed up by regular updates where we inform our customers of how we have implemented their insights in our strategic planning, and hopefully this becomes a recurring event to uphold a close relationship between our executive team and our customers.

Nimbra is reaffirmed as best-in-class platform as order is secured for prestigious high-end event in Germany

I am thrilled to mention once again that this May we secured a media network order with our partner MTI – Germany’s media backbone operator – and SHM Broadcast GmbH for a prestigious live sports event, confirming the trust in our ongoing partnership.

The collaboration focuses on delivering a complete live media transport solution with low latency, resiliency, redundancy, security, scalability, and manageability. Net Insight will supply network equipment based on Nimbra 1060, Nimbra 680 and Nimbra 640, including Nimbra Vision Management, for primary contribution between the main IBC centers in Berlin and Munich. I believe that this project showcases our and our partner’s mutual dedication to delivering best-in-class solutions, to satisfy the demanding requirements of high-end media transport.

Read more about the order here: Net Insight Secures Order for Prestigious High-End Live Sports Event Network in Germany

Nimbra 400 is selected for top-of-the-line contribution at Cambodia’s 2023 South East Asian Games by our partner Globecast

Globecast Asia collaborated with Net Insight for the Cambodia2023 multi-sport event, using Net Insight’s Nimbra 400 series for efficient media transport between Cambodia and Singapore. Leveraging Secure Reliable Transport (SRT) technology, the signals were encoded at the event’s International Broadcasting Center and transported to Globecast Asia’s control center in Singapore. There, signals were refined and transmitted via satellite. This partnership guaranteed secure, high-quality, and consistent content delivery for broadcasters and rights holders.

Read more about the partnership here: Globecast Asia boosts contribution services with Net Insight at Cambodia2023 – 32nd SEA Games

Nimbra Edge enables major eSports event with partner MoMe and service provider Cingularity

We collaborated with our Spanish partner MoMe and service provider Cingularity to successfully deliver video services for a high-profile eSports event in Singapore in June. The delivery used Net Insight’s cloud native Nimbra Edge technology, with deployments in Madrid and Frankfurt, ensuring uninterrupted and flexible video service, even with last-minute additions of new media rightsholders. Cingularity was responsible for the reliable transport of the video services from Singapore to London via its Nimbra MSR based global core network, showing our joint commitment to innovative solutions for major sports events.

Read more about the partnership here: Mome Delivers Video for Major Esports Event with Net Insight’s Cloud Solution

Participation in key local events to accelerate growth in our strong IP and Cloud solutions

The last quarter was rich with events all over the world. After NAB in April, we participated in several local events, where we had valuable conversations with our customers, demonstrated our IP and Cloud solutions, and showcased our thought leadership with speaker opportunities.

On May 31st and June 1st, we attended and presented at the MBT Conference in Montenegro. Our primary focus as one of the main speakers was to present the IP Media Trust Boundary solution, which received an exceptional reception from the participants, as modern IP-based networks often struggle with reliable transmission of media. In addition, we also had the opportunity to present the future of critical network synchronization with Zyntai. Overall, our presentations at the MBT Conference were met with enthusiasm and positive feedback.
From June 7th to 9th, we attended CommunicAsia 2023 in Singapore. Among the highlights was our IP Media Trust Boundary solution, which garnered significant attention and received positive feedback from industry experts and visitors alike for its advanced features and robust capabilities. Furthermore, our strong collaboration with our solution partner, Skyline, and their renowned orchestration platform, Dataminer, was showcased during the event. The overwhelming interest we received at the event assures us of the region’s potential.

On the 8th and 9th of June we had the pleasure to be invited at the FED Forum in Lucca, Italy. We presented the challenges of cloud video transport and how Net Insight is approaching these issues head-on to bring robust, secure, scalable and media-appropriate solutions to the broadcast industry. It was fantastic to support our innovative product position with the case study of our work with CBS Sports and the Golazo Network – what impressed the audience was our ability to deliver Tier-1 sports content across a scalable, software-defined global transport network leveraging internet connectivity. After the event’s success, Net Insight is set to have a spot at the follow-up ‘Tech Talks’ on the 6th of July.

Q2 report to be published on July the 18th

We welcome you to the presentation of our second quarterly report on July 18th, the invitation is now published on the website and online. The report will also be available online after publication.

Find the invitation here: Invitation to Presentation of Net Insight’s Interim Report January – June 2023

Upcoming: the IBC Show 2023

This year we are attending the annual IBC conference in Amsterdam, where we will have a stand and networking activities.

Our continued attendance to the show has proved time and time again a valuable chance for us to have rich conversations to global customers and partners, and boost awareness of our latest news, both in terms of solution updates, deals and partnerships. It has also proved to be successful for accelerating or even securing important agreements, so we are looking forward to attending once more this year.

More information on our demonstrations and plans for the show will be published on our website and social media channels.

Wishing you a beautiful summer

I want to conclude this edition of Open Insight by wishing everyone a wonderful summertime. We wish for you to enjoy the weather and time with your loved ones, and in the meantime our global organization never sleeps, so we will be hard at work as always – and we will be back with the next edition after summer.

Crister Fritzson,

CEO of Net Insight