VANCOUVER, British Columbia—Wireless modem maker Sierra Wireless cut its revenue forecasts due to problems with its supply agreement with AT&T Wireless Services Inc., causing investors to drop its stock and analyst firms to downgrade the company.
The company’s stock dropped from about $6.50 to about $4.50 per share following the news.
Sierra said the contractual problems with AT&T over the AirCard 710 could result in a “significant reduction” in the amount of modems AT&T would buy from the company.
Separately, rival modem maker Novatel Wireless Inc. said it expanded distribution into Italy through a deal with Speeka.
