Globalstar expands Yippy deal, takes 20% stake

|By:, SA News Editor

Globalstar (GSAT -5%) has formed an expanded pact with tiny cloud servie provider Yippy (YIPI +5.8%) to use its next-generation platform.

The two had formed an initial deal for private cloud services in June. The new agreement will build out Yippy's EASE 360 platform and data compression, optimization and security software to offer broadband-like service for subscribers.

Globalstar takes possession of 19.99% of Yippy's outstanding securities, passing IBM to become Yippy's second-largest shareholder.

In the deal, Yippy will also be able to resell Globalstar services to customers in industries including Oil and Gas, Defense/Military, Aviation and Maritime.

Previously: Globalstar +4.5%; selects Yippy for cloud service (Jun. 02 2015)