Scott Buys JPS Assets, Opens JPS Interoperability Solutions
Thursday, April 14, 2016 | Comments
JPS Interoperability Solutions will open for business April 15. Don Scott, one of the three founders of JPS Communications, and a group of investors acquired the assets of the former JPS Communications and created the new company with about 20 former JPS employees.

Scott said in February he was in talks with Raytheon to buy the key assets of Raytheon JPS Communications, which closed its business operations Jan. 29.

Scott said he plans to send agreements to all the manufacturer’s representatives and dealers who had agreements with the previous owner. The agreement terms will be the same as the previous owner’s terms. The acquisition agreement will see the new JPS Interoperability Solutions take over the warranty requirements in the market, Scott said.

The acquisition includes a large amount of inventory, “so we’ll be able to satisfy a number of needs that are there very quickly,” Scott said. The company aims to begin manufacturing additional products within its two product lines, the SNV-12 voters and ACU interoperability gateways.

“We will start shipping as soon as we can, which means finding the inventory packed by the seller and going through the documentation. We’ll begin additional production runs because we know we’ll use up our inventory quickly,” he said.

After several months of market research, Scott determined there is still a strong demand for the interoperability products and future growth areas. He said voice interoperability needs will continue for 10 – 20 years and growth will come in the convergence of data, video and voice networks. He envisions at least four product lines in the future.

“The market now includes the international arena, which is huge and hungry for that technology, and individual gateways that all need to be netted together using software control packages like the state of Alabama uses so they have interoperability across the state for daily and emergency use,” Scott said.

The state of Alabama opened a statewide contract with Raytheon JPS Communications in 2005 and was still doing business with them when the company was closed. The Alabama Interoperability Network (ALIN) consists of numerous ACU-1000s, ACU-Ms and other networked components. Alabama's Strategic Technology Reserve (STR) relies heavily on the JPS products used in ALIN to communicate via satellite and/or Long Term Evolution (LTE) from units in the field back to the state emergency operations center (EOC) and other points of presence for decision-makers during times of emergencies and disasters.

"We have used JPS's products in numerous emergencies and disasters affecting our state over the past 10 – 12 years," said Charles R. Murph, assistant director, statewide interoperability coordinator, Alabama Law Enforcement Agency, in February. "Fortunately, JPS employed some of the finest sales and service representatives in the public-safety communications sector. Our sales representative was a former first responder and understood the importance of interoperability. Because of JPS' team, our communications techs and users are very capable of operating and maintaining our assets. However, we do have a concern about purchasing replacement equipment and potential problems with upgrades.”

“The market remained patient during the acquisition process,” Scott said. “So I can’t see a lot of market erosion at the moment. The belief is this whole effort is driven by the customers themselves and their needs, so we’ll continue to produce those high-quality products that agencies have been accustomed to and have used in emergency situations.”

The new company will operate out of the same building in Raleigh, North Carolina, as the previous owner. JPS Investment Holdings is the funding vehicle with about 10 investors and funds the operating company, JPS Interoperability Solutions. The company’s mission is to provide high-tech solutions for traditional communications problems.

Tom Jacks and Peter Pflasterer, who is deceased, are the other founders of JPS. They founded the company in 1988 and sold it to Raytheon in 2002.

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Sandra Wendelken is editor of MissionCritical Communications and RadioResource International magazines. Contact her at swendelken@RRMediaGroup.com.

 
 
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Comments
On 4/20/16, Kevin Persing said:
This is great news to both the communicators in the public-safety space, as well as the many fine folks that have worked with JPS prior to Raytheon who are back at work. Best wishes as you grow.

On 4/18/16, Bob Meyer said:
This is great news for the many people and organizations that depend on JPS equipment and interoperability solutions. Good luck to all.


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