[SatNews] A subsidiary that handles satellite hardware is sold to a M2M communicator manufacturer.

ORBCOMM Inc. (Nasdaq: ORBC) has entered into an agreement to sell the assets of Stellar Satellite Communications LTD., a wholly-owned subsidiary that sells satellite hardware, to Quake Global, Inc., a manufacturer of M2M based satellite and terrestrial communicators. Through this acquisition and the planned continuation of Stellar’s operations in Dulles, Virginia, QUAKE will establish an East Coast office. This will enable the company, whose headquarters are in San Diego, to expand and improve its customer service and sales efforts. Stellar’s strong presence products tailored to the transportation and trailer tracking markets will open new market segments for QUAKE.

ORBCOMM Inc. has also announced their financial results for the second quarter ended June 30, 2010. Total revenues for the quarter ended June 30, 2010 were $7.8 million, an increase of 15.8 percent from the second quarter of 2009. Service Revenues for the second quarter of 2010 increased 8.3 percent to $7.3 million from the comparable period of 2009. Product Sales increased in the second quarter to $560,000 from $50,000 in the second quarter of 2009 attributable to increases in sales at our Japanese subsidiary. Costs and Expenses in the second quarter of 2010 were $7.6 million, decreasing 3.7 percent compared to the same period in the prior year. Costs and Expenses in the second quarter of 2010, excluding Costs of Product Sales decreased 7.7 percent or $603,000 versus the second quarter of 2009. The lower costs are driven by lower insurance costs and lower professional service fees in the quarter. To read the entire financial report, access this direct link to the .pdf file.