NextNav Inc. (NextNav) is the market leader in delivering resilient, next generation, complementary positioning, navigation and timing (PNT) solutions designed to overcome the limitations and vulnerabilities of the existing space-based Global Positioning System (GPS) and Global Navigation Satellite Systems (GNSS).
The company is evolving its complementary PNT solutions to use 5G New Radio (5G NR) technologies (NextGen), in conjunction with its Petition for Rulemaking filed with the FCC, to upda...
NextNav Inc. (NextNav) is the market leader in delivering resilient, next generation, complementary positioning, navigation and timing (PNT) solutions designed to overcome the limitations and vulnerabilities of the existing space-based Global Positioning System (GPS) and Global Navigation Satellite Systems (GNSS).
The company is evolving its complementary PNT solutions to use 5G New Radio (5G NR) technologies (NextGen), in conjunction with its Petition for Rulemaking filed with the FCC, to update and reconfigure the Lower 900MHz band and its spectrum licenses. It expects the evolution of its platform to NextGen will significantly improve the efficiency, flexibility, and scale of its operations, technically enabling the delivery of high-quality PNT based on a 5G broadband network. The company’s NextGen solution is being designed to allow one or more partners to integrate its Lower 900 MHz spectrum into their 5G networks. The company expects that this will result in wide-scale availability of both complementary PNT services and additional broadband capacity.
The company's complementary PNT solutions are built on a deep asset base, including valuable FCC licenses. Its licenses include a contiguous 8 MHz block of 900 MHz M-LMS spectrum covering over 90% of the U.S. population and on March 7, 2024, the company signed an agreement, subject to appropriate regulatory approvals, to acquire an additional 4 MHz of M-LMS licenses covering part of the U.S. population. On April 16, 2024, the company petitioned the FCC to commence a rulemaking to reconfigure and update the rules governing the Lower 900 MHz band plan to allow it to utilize a 15 MHz nationwide configuration for both PNT and 5G broadband (Petition). The Petition is subject to an ongoing FCC regulatory review process. The company has been granted more than 145 patents related to its systems and services, and standardized certain of its technologies with the 3rd Generation Partnership Project (3GPP), a global telecommunications standards-setting body.
The company's spectrum licenses, which lie in the Lower 900 MHz band, are referred to as low-band spectrum. There is a finite amount of low-band spectrum available, and low-band spectrum has favorable coverage characteristics compared to higher frequencies, including the ability to provide services indoors and over greater distances. These characteristics result in its ability to be used for coverage and to be deployed more economically, with higher-frequency spectrum often used to provide additional capacity in targeted locations. The transition to 5G NR for the company's Positioning, Navigation, and Timing (PNT) services will provide a technical capability to support broadband data services, which, subject to appropriate regulatory approvals, may allow the spectrum to be utilized to help meet the continued, growing demand for wireless data capacity.
As the company evolves its technology platform to NextGen and pursues regulatory changes to the Lower 900 MHz band and its spectrum licenses, it continues to deliver high-quality Positioning, Navigation, and Timing (PNT) services through its Pinnacle and TerraPoiNT solutions. The company’s Pinnacle solution, launched in partnership with AT&T Services, Inc. (AT&T) as part of its FirstNet initiative, can provide accurate altitude service to any device with a barometric pressure sensor and covers over 90% of commercial structures over three stories in the U.S. The company’s Pinnacle system is primarily used for public safety applications, including enhanced 911 (E911) for Verizon Communications, Inc. (Verizon), and a growing number of devices operating on the remaining national cellular network providers.
The company's TerraPoiNT system is a terrestrially based dedicated, complementary PNT network designed to overcome the limitations inherent in the space-based nature of GPS. GPS is a faint, unencrypted signal that is often unavailable indoors, distorted in urban areas, and vulnerable to both jamming and spoofing. TerraPoiNT overcomes these limitations through a network of wide-area location transmitters that broadcast a PNT signal on its licensed Lower 900 MHz M-LMS spectrum. Unlike GPS, the TerraPoiNT signal can be reliably received indoors and in urban areas, is difficult to jam or spoof compared to GPS, and can support signal authentication (e.g., encryption). Furthermore, the TerraPoiNT signal can embed Pinnacle information to provide a full three-dimensional PNT solution. TerraPoiNT received the highest scores in testing by the DoT reported in 2021 regarding potential PNT backup solutions, in each category tested, and was the only solution evaluated capable of providing the full set of services provided by GPS. Continuing the company’s engagement with the DoT, in 2024 the company was awarded a contract to establish performance characteristics for TerraPoiNT to allow DoT to incorporate its solutions into a clearinghouse of solutions defined in the DoT Complementary PNT Action Plan, for potential use by Federal government customers.
Strategy
Domestically, the company operates primarily as a service provider, leveraging its intellectual property, spectrum assets, and partnerships with key customers. The company's target customers include wireless carriers, applications developers, and adjacent businesses selling PNT products and systems to end users, and federal, state, and local governmental entities. Subject to regulatory approvals and the successful evolution of its technology to align with 5G NR standards, its NextGen platform and spectrum can be used to offer both high-quality PNT and high-bandwidth data capabilities. The company deploys sensor and network capabilities, either directly or with its customers and partners, and licenses access to its technologies and the data generated by its networks to its customers. Internationally, the company provides equipment, software, and services to its customers to enable them to partner in the operation of its systems in their home markets.
The key elements of the company's strategy are to continue to build on its leadership in complementary PNT; evolve the company’s system to be fully aligned with 5g nr standards; and pursue the completion of its petition before the FCC to modernize rules governing the lower 900 mhz band.
Solutions
The company’s location systems have been engineered to provide comprehensive solutions to the limitations and vulnerabilities inherent in GPS and other satellite-based services.
The company's service platforms include Pinnacle, its altitude (z-axis) solution, and TerraPoiNT, which is similar to a terrestrial GPS constellation, and it is developing NextGen, which is being designed to bring complementary, high-quality PNT capabilities to a standards-based 5G NR broadband platform. The company expects its NextGen solution to offer wide-scale service, be inherently secure, and provide broad service access to appropriately equipped devices that use location services, including consumer devices such as smartphones.
NextGen
The company is evolving its operations to NextGen, which utilizes 5G NR technology. Once fully realized, it expects 5G NR-based NextGen services to result in wide-scale geographic deployment and broad 5G device compatibility. PNT systems are the core services provided by GPS, and NextGen can be thought of as a shared, land-based GPS satellite constellation, operating simultaneously with 5G broadband data services. The company expects that NextGen services will be naturally resilient to service disruption and significantly more resistant to jamming than GPS. If GPS is disrupted or destroyed, a NextGen transmitter is designed to continue to operate and provide similar service within the NextGen service area. If one NextGen transmitter is disrupted, service is designed to continue from other nearby transmitters. Thus, there is the potential for both local- and wide-area resilience embedded in the basic system design. The company's NextGen services are expected to leverage proven cellular infrastructure, which has been designed to provide wide-scale coverage, and will be able to complement GPS by extending PNT availability to urban canyons and indoor locations where GPS reception is challenging.
The company anticipates that NextGen will increase its spectrum utilization, allowing it to offer both high-quality PNT services and broadband data using the same spectrum. This increased data transmission capacity could be used, subject to FCC approval, to provide other types of 5G NR-based two-way voice and data transmission services while simultaneously improving its PNT capabilities. The company's plans to deploy NextGen with one or more broadband data partners could result in minimal capital expenditures by the company related to the operation of its high-quality PNT services, while its wireless broadband partners could benefit from the proven economics of additional broadband capacity.
TerraPoiNT
TerraPoiNT is the company’s prior-generation 3D PNT system, which was standardized in the global telecommunications standards group, 3GPP, Release 13 as Metropolitan Beacon System (MBS). TerraPoiNT was designed to maximize compatibility with GPS and other GNSS receivers. The company has licensed elements of its receiver technology to third-party chipset providers and device vendors, typically with no per device royalty, to enable the reception of its signal on their devices.
TerraPoiNT can be thought of as a dedicated, land-based GPS satellite constellation. TerraPoiNT service is made available through a highly distributed terrestrial network of transmitters and is naturally resilient to service disruption and significantly more resistant to jamming than GPS. If GPS is disrupted or destroyed, a TerraPoiNT transmitter continues to operate and provide similar service within the TerraPoiNT service area. If one TerraPoiNT transmitter is disrupted, service continues from other nearby transmitters. Thus, there is both local and national resilience embedded in the basic system design.
Pinnacle
Pinnacle provides devices equipped with a barometric pressure sensor and software connected to the company’s systems with high quality wide-area altitude service. This service is available in the top 105 major U.S. markets, which include more than 4,400 cities and more than 90% of commercial buildings that exceed three stories. In November 2022, Pinnacle service was launched by MetCom in Japan. The technologies underlying Pinnacle are integrated into its TerraPoiNT services and are planned to be incorporated into NextGen.
Because the company’s Pinnacle technology relies on measurements available with the hardware used in most mobile phones and tablets, it can be made available for mass market applications, as well as enterprise, public safety, and other applications. The company’s Pinnacle service is delivered to customers over an applications programming interface (API) or via a software development kit (SDK) integrated into the relevant applications.
Privacy and Data Security
The company understands that the protection of data and privacy is critically important to the end-users of its services. Its core privacy principles are:
Transparency: The company is transparent about its data practices, and it complies with the company’s privacy policies and agreements so customers and business partners can make informed decisions.
Control: The company has implemented appropriate means for its customers and business partners to control relevant personal and business information.
Security: The company endeavors to protect the data entrusted to it by using strong security protocols. It maintains a cybersecurity team responsible for threat monitoring, protection of internal and customer-facing systems, and third-party compliance testing of its cybersecurity controls.
Compliance: The company respects and complies with local privacy laws, ensuring that privacy-by-design is a core consideration as it develops its products and services.
Consent: The company requires appropriate opt-in consent for the provision of all of its services, consistent with the requirements of local law.
Network Operations
The company's Pinnacle network is primarily operated in partnership with AT&T. The Pinnacle altitude stations are co-located at AT&T wireless sites and take advantage of the power systems, including battery backup and generators, at the AT&T sites. The company monitors the Pinnacle network health through its network operations center (NOC) and works with AT&T to resolve any issues that may arise. Connectivity among the Pinnacle altitude stations, its cloud service platform, and its NOC is enabled through wireless connections, currently provided by AT&T.
The company is not required to use AT&T wireless sites for network expansion and may establish new service areas through independently acquired site leases or with other partners.
The company's TerraPoiNT network is deployed, operated, and maintained by it. The equipment is installed at traditional wireless sites with a mix of towers and rooftops. The company monitors the network health through the same network operations center (NOC) as the Pinnacle network and directly dispatches its employees or maintenance contractors if needed.
The company anticipates operating its NextGen services in partnership with one or more broadband data providers. The company anticipates that the radio network infrastructure will be deployed, and the broadband services operated, by such broadband data providers. The company plans to utilize these facilities to operate its PNT services, the signal for which will be embedded in the 5G NR broadband transmission.
AT&T Relationship
The company has entered into a series of agreements with AT&T to provide its Pinnacle services to FirstNet, built with AT&T, and to enable the co-location of elements of its network at AT&T’s wireless sites. By co-locating the Pinnacle equipment at AT&T wireless sites.
The company's agreements with AT&T provide for: AT&T’s marketing and resale of Pinnacle services to FirstNet subscribers and certain pricing requirements for its SDKs based on the quantity of usage, revenue sharing, compliance with data rights and privacy, and support requirements; and AT&T hosting of Pinnacle equipment for altitude determination at AT&T sites, at no recurring cost to the company.
The company has provided AT&T with performance assurances and certain intellectual property and transition support rights in the event it is unable to continue providing services to AT&T, experiences significant service outages, or engages in transactions with certain persons. The parties have also entered into escrow arrangements on customary terms for intellectual property storage and verification of the deposited escrow materials in various different escrow lockers, which could be accessed by AT&T based on different conditions under which the drawdown could be made.
In 2019, the company entered into an equipment hosting agreement with AT&T that has a seven-year term (subject to earlier termination after three years in certain circumstances), expiring in October 2026. Under the terms of the equipment hosting agreement, AT&T is providing all site-related services during its continued use of the service. The company's services agreement with AT&T for the distribution of its services to FirstNet customers expires in October 2025.
Intellectual Property
The company regularly files applications for patents and has a significant number of patents in the United States and other countries where it does business.
As of December 31, 2024, the company had approximately 149 issued patents domestically and internationally, which includes approximately 129 issued patents in the U.S. In addition, it had approximately 82 pending patent applications, which includes approximately 43 pending patent applications in the U.S.
Sales and Marketing
The company sells its solutions directly to customers or through partners. For example, it maintains an equity interest in its partner in Japan, MetCom, to operate its high-quality PNT systems for commercial services. Additionally, the company expects existing customers to expand their contracts with it for the deployment of additional services. New service offerings and product features will be introduced over time to increase market share and grow the total addressable market for its services.
Research and Development
The company's research and development expenses were $16.2 million for the year ended December 31, 2024.
Competition
The company’s services compete against other satellite and terrestrial based location technology offerings, such as GPS, Observed Time Difference of Arrival and terrestrial beacons; other providers of Wi-Fi and cell-based positioning, such as Google, Apple and Polaris; venue-based solutions such as Bluetooth Low Energy; and other proprietary location solutions.
Regulatory
The company holds radio licenses issued by the FCC that authorize the use of 8 MHz of contiguous spectrum in the 900 MHz band, covering more than 90% of the population in the United States and on March 7, 2024, it announced an agreement, subject to appropriate regulatory approvals, to acquire an additional 4 MHz of M-LMS licenses in parts of the United States.
The company is required to comply with the U.S. export control laws and regulations, including the Export Administration Regulations (EAR) administered by the U.S. Department of Commerce’s Bureau of Industry and Security and the foreign asset control regulations administered by the U.S. Department of the Treasury’s Office of Foreign Assets Control.
History
NextNav Inc. was founded in 2007.
