Highlights

• Spacetalk (ASX: SPA) has signed sales representation agreements with TIOGO Limited in the United Kingdom and upsell digital GmbH (VALOQ) in Germany.

• Combined non-binding hardware sales targets for the first 12 months exceed $1.6 million in net wholesale Revenue received by Spacetalk, covering the full current and future smartwatch range.

• Both agreements commenced immediately following signing, with device sales designed to create recurring subscription opportunities across mobile connectivity and premium app services.

• The agreements are designed to build household Acquisition at scale, introducing the broader Spacetalk family safety ecosystem including Online Safety and 24/7 emergency monitoring.

Spacetalk Ltd (ASX:SPA), an ASX-listed developer and seller of hardware and software for family safety and connected devices, has announced agreements with two European sales partners targeting expansion into the United Kingdom and Germany. The agreements with TIOGO Limited in the UK and upsell digital GmbH, trading as VALOQ, in Germany are designed to establish local commercial distribution channels for Spacetalk's connected smartwatch range, with combined non-binding first-year hardware sales targets exceeding $1.6 million.

Agreement Structure and Sales Targets

Each agreement provides local commercial representation in its respective market, with the partners responsible for market development, commercial engagement and the development of relevant sales and distribution channels. The combined first-year hardware sales target of more than $1.6 million is measured as net wholesale revenue received by Spacetalk from device sales. This figure explicitly excludes all incremental revenue from mobile connectivity, app subscriptions and premium family safety services. The targets are non-binding and do not represent guaranteed minimum purchase commitments; actual performance will depend on customer demand, channel development, product availability and market execution.

From Hardware to Household Platform

A key element of Spacetalk's strategy is to use hardware device sales as the entry point into a broader family safety ecosystem. A smartwatch purchase creates an initial household relationship through device connectivity and the Spacetalk App, which then provides opportunities for recurring engagement through mobile subscriptions and additional software services. The UK and German partnerships are expected to increase the number of households accessible through this platform. Premium services such as Online Safety and 24/7 emergency monitoring form part of this extended household opportunity, with subscription outcomes subject to customer activation, service availability in each market and ongoing take-up.

Building International Distribution

The UK and German agreements form part of Spacetalk's broader strategy to broaden international distribution while growing recurring subscription revenue alongside its hardware business. By establishing local commercial partners in two of Europe's most significant consumer technology markets, the company aims to accelerate hardware sales and create a larger base of households engaging with its digital services. The agreements also provide a platform for future Spacetalk devices, with the potential to extend household relationships as the product range evolves. The company has emphasised that all incremental mobile and app subscription revenue from these markets will be in addition to — and excluded from — the stated $1.6 million hardware target.

Key Insights

The $1.6 million combined hardware target is a meaningful commercial milestone for a company of Spacetalk's scale, particularly as a framework for multi-country European expansion.

The strategic importance lies less in the hardware revenue itself and more in the household acquisition base it creates — a larger device user base provides the foundation for recurring subscription revenue over time.

The non-binding nature of the sales targets is an important caveat; actual outcomes depend on distribution channel development and market acceptance, which are inherently uncertain in new markets.

Entering the UK and German markets simultaneously demonstrates ambition, though managing two new country launches requires sustained commercial and operational attention from management.