Inmarsat loses 20-year monopoly on distress signals

Satellite communications specialist Inmarsat (LON:ISAT) plunged 9.21% to 352.80p after the company lost its 20-year monopoly on international maritime distress signals. US rival Iridium Communications has been certified by the UN to also provide the service, in theory.

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Iridium’s ability to commercially operate in the sector still relies on its passing a number of safety tests, so no available products are expected to compete with Inmarsat’s until the early 2020s. However, it is a significant blow to the company on the day that it announced its new range of fleet safety products had been approved.