A certification has been granted by the UN’s International Maritime Organization which will compel Inmarsat to lose its monopoly system. The UN has approved a certification for the Iridium communication system to impart the Global Maritime System services. This will automatically end up Inmarsat’s monopoly system which was actively running over a decade on an international level over ships.
The granting of UN’s certification has raised a communal conflict between the two service providers Inmarsat and Iridium on a large scale. Over a decade, Inmarsat was working as the sole service provider for the ships. But a new service provider Iridium communication became a fierce competitor for Inmarsat where it started seeking certification from the UN’s Maritime Organization in 2013. But initially, it was said it would take two long years to execute the entire proceedings. Then the CEO of London-based Inmarsat communication, Rupert Pearce made a counter-attack to Iridium communication service policies by quoting ‘’It Would Put Lives at Risk’’.
After a long struggle for newly-granted certification, Iridium made a statement on Inmarsat long-run communication service ‘’ends a decades-long satellite industry monopoly’’.
On a positive side, this has created a historical evolution for the maritime industry which has been seen never before. The vice president of Iridium Bryan Hartin has made a notable remark, ‘’it is a very proud moment for the second largest known satellite service provider Iridium as the recognized GMDSS services’’.
On the other hand, the mobile satellite service provider GMDSS seek to deliver emergency communication network for the crew sailing in the ship which will serve as emergency help for further assistance. This entire procedure indulges for international trips where Inmarsat was the sole independent service provider for the ships since 1999.
The outcome of the UN’s declaration has pulled down the shares of Inmarsat by 14 percent. But the GMDSS has not triggered any revenue loss for Inmarsat. It also in a way has pulled down the sales of the drive equipment on a large scale. To be very precise, it serves as a great opportunity with the certification of Iridium where it can increase the market of GMDSS adaptability of hardware and services.
The GMDSS service provided by Iridium communication is happened to begin by 2020. Everything operating under the Iridium communication is expected to be adequately monitored by the International Mobile Satellite Organization.