In Kansas, AgJunction, Inc., a provider of precision agriculture hardware and software solutions entered into a new strategic agreement with Hemisphere GNSS, Inc. a global navigation satellite systems provider. In return for an undisclosed, one-time payment and a new long-term supply agreement, AgJunction released Hemisphere from a license restriction that prevented Hemisphere from selling their GNSS products directly into the global agricultural market.
Supply and market restriction agreements previously created between AgJunction and Hemisphere ended in 2016 while the market restriction agreements continued indefinitely. The agreement is expected to provide customers a more direct relationship with their GNSS supplier, creating better efficiencies for original equipment manufacturers, value-added resellers and growers.
This agreement is consistent with AgJunction’s desire to provide its steering customers the ability to choose among several GNSS options. This agreement does not affect AgJunction’s exclusive right to sell certain steering and machine control technology into the agriculture market.