China keeps topping up the coffers for Netlinkz with 2 more deals
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Special Report: Demand for Netlinkz’ Virtual Secure Network (VSN) software in China is continuing strongly, with a new deal locked in with Pinnacle (Shanghai) Information Consultation.
Netlinkz’ (ASX:NET) 80 per cent-owned entity, the Beijing iLinkAll Science and Technology Co, will provide its VSN lite software to Pinnacle to sell to its customers.
Pinnacle Shanghai’s customers include notable names like Morgan Stanley, Nomura and Aon Insurance.
The company provides information technology services in various fields, such as web technologies, mainframe, system applications and products (SAP) and as a global outsourcing service supplier.
The one-year contract will boost iLinkAll’s revenues by 1m Chinese yuan ($225,000) and will lead to a second phase of revenue generation to provide additional on-premise services and licences according to demand from Pinnacle’s clients.
“We have now engaged with Pinnacle Access Solutions to provide a total solution for networking remotely and securely, following on from our selection by the Beijing Municipal authorities to assist with the fight against the coronavirus,” Netlinkz executive chairman James Tsiolis said.
The VSN software will provide a secure remote connectivity control system and an information management system platform.
Netlinkz’ has secured multiple large-scale deals this month alone. In mid-February it revealed iLinkAll had been selected by the Beijing municipal government, to provide remote information-sharing services as part of a coordinated effort to contain the virus.
Less than a week later it told investors it had signed a $1.1m deal that was backed by heavy hitter World Bank to provide its VSN secure-networking service to a water supply and sanitation project in the Deyang Municipality of the Sichuan Province.
The contract is expected to generate “material revenues”, with the $1.1m just the upfront payment to iLinkAll. The company will also receive monthly licensing fees for operating the software for the life of the project.
iLinkAll has also signed on another customer, Shanghai M-Soft Information Technology Co.
This contract covers the distribution and sale of VSN and VSN Lite, a deal that will initially bring in revenue of 500,000 yuan ($110,000) and lead to further enterprise sales of iLinkAll’s VSN product.
M-Soft’s client list includes China Aerospace Science and Industry Co and Abbott Laboratories (Shanghai).
“I am very pleased that we have signed up Pinnacle and M-Soft as our customers,” iLinkAll president Zen Wang said.
“Both companies have served the Chinese market for many years and know the market very well.
“These contracts once again demonstrate that our customers recognise iLinkAll’s innovative products and solutions and our engineering capability.”