Otis Launches Flexible Elevator Modernization Packages for North America

Rhea-AI Summary

Otis (NYSE: OTIS) launched two flexible elevator modernization packages for North America on Feb 25, 2026: Arise MOD Prime and Arise MOD Plus. The offerings target low- to mid-rise residential and commercial buildings and enable phased upgrades to improve safety, reliability, accessibility and energy efficiency.

Key features include updated control systems, Otis ONE™ IoT analytics, ReGen™ energy-recapture drives, and optional mechanical upgrades such as new geared machines, cables and advanced door systems.

Key Figures

Elevators in U.S. & Canada: more than 1 million Daily passengers moved: 2.5 billion Customer units maintained: approximately 2.5 million +5 more

8 metrics

Elevators in U.S. & Canada more than 1 million Installed base across U.S. and Canada mentioned as modernization market

Daily passengers moved 2.5 billion People moved per day by Otis equipment globally

Customer units maintained approximately 2.5 million Service portfolio size worldwide

Global employees 72,000 Total Otis workforce cited in company description

Field professionals 45,000 Number of field professionals supporting installation and service

Current share price $89.91 Pre‑news market price for OTIS

52-week high $106.83 Upper end of 52-week trading range

52-week low $84.00 Lower end of 52-week trading range

Market Reality Check

Price: $89.91 Vol: Volume 3,255,868 vs 20‑da...

normal vol

$89.91 Last Close

Volume Volume 3,255,868 vs 20‑day average 4,622,727 (relative volume 0.7x), indicating lighter trading ahead of this news. normal

Technical Trading at $89.91, slightly below the 200-day MA $91.21 and 15.84% below the 52-week high of $106.83.

Peers on Argus

OTIS was down 0.71% while key peers like XYL, IR, ROK, AME and SYM all showed po...

OTIS was down 0.71% while key peers like XYL, IR, ROK, AME and SYM all showed positive price changes, suggesting the move was more stock-specific than sector-driven.

Historical Context

5 past events · Latest: Jan 29 (Positive)

Pattern 5 events

Date	Event	Sentiment	Move	Catalyst
Jan 29	Dividend declaration	Positive	-2.0%	Announced quarterly dividend of $0.42 per share with March 13 payment date.
Jan 28	Earnings results	Positive	-2.1%	Reported 2025 results with higher adjusted EPS and strong modernization orders and backlog.
Jan 21	Product launch EMEA	Positive	+1.5%	Launched eight connected Gen3 vertical mobility products with embedded Otis ONE IoT platform.
Jan 14	STEM program expansion	Positive	+0.2%	Expanded Little Engineers STEM program globally to build community and brand engagement.
Jan 08	London contract win	Positive	+2.2%	Selected to modernize 172 escalators across London Underground, expanding installed base.

Pattern Detected

Recent news, contracts and product launches have often seen positive price alignment, while dividends and earnings updates saw short-term declines.

Recent Company History

Over the last few months, Otis has combined financial updates with strategic growth in modernization and services. On Jan 28, 2026, earnings showed $14.4 billion in 2025 net sales, higher adjusted EPS and strong modernization orders, yet shares fell modestly afterward. A quarterly dividend of $0.42 announced on Jan 29 also coincided with a small decline. In contrast, news on new connected elevator offerings in EMEA and a major 172‑escalator London Underground modernization contract drew positive reactions, underscoring investor focus on growth and modernization themes relevant to today’s North America product launch.

Regulatory & Risk Context

Active S-3 Shelf

Shelf Active

Active S-3 Shelf Registration 2026-02-13

An effective Form S-3ASR shelf filed on Feb 13, 2026 allows Otis and its subsidiary Highland Holdings S.à r.l. to offer various securities, including common stock, debt, preferred stock, units and warrants, with specific terms and uses of proceeds to be detailed in future prospectus supplements.

Market Pulse Summary

This announcement highlights Otis’s push to modernize an aging North American elevator base of more ...

Analysis

This announcement highlights Otis’s push to modernize an aging North American elevator base of more than 1 million units through Arise MOD Prime and Plus, emphasizing safety, reliability, energy savings and IoT‑enabled monitoring. It extends themes seen in recent connected product launches and large modernization contracts. Investors may watch how quickly these offerings translate into modernization orders and service revenue, alongside any future use of the effective Form S-3ASR shelf and the cadence of insider equity transactions.

Key Terms

iot

1 terms

iot technical

"Otis ONE™ IoT platform collects and analyzes data from elevators' smart sensors..."

The Internet of Things (IoT) describes a network of everyday devices—such as appliances, vehicles, and equipment—that are connected to the internet and can share data automatically. For investors, IoT represents a growing trend that can drive efficiency and innovation across many industries, potentially creating new opportunities for growth and value. Its expansion influences how companies operate and compete in a digitally connected world.

AI-generated analysis. Not financial advice.

• Customers can carefully choose the scope and pace of elevator modernization
• Otis Arise™ MOD solutions align with the latest safety standards, and enhance reliability and efficiency with advanced technology

FARMINGTON, Conn., Feb. 25, 2026 /PRNewswire/ -- There are more than 1 million elevators in use across the U.S. and Canada, including many that are at least 20 years old – posing a risk of operational challenges and frustration for building owners and passengers in the event of an unplanned shutdown.

Otis (NYSE: OTIS), the world's leading elevator and escalator manufacturing, installation, service and modernization company, is introducing its new flexible Arise MOD Prime and Arise MOD Plus solutions in North America to modernize and refurbish low- to mid-rise residential and commercial buildings.

"Modernizing elevators is one of the most effective ways to enhance safety, elevate the passenger experience, and improve energy performance," said Joseph Armas, President, Otis Americas. "With our new Arise MOD packages, customers can tailor their modernization approach and phase upgrades over time in alignment with operational needs, long-term goals and budgets."

FAQs about Otis modernization packages: Arise™ MOD Prime and Otis Arise™ MOD Plus

What are the benefits of Otis' Arise MOD packages?

• Customers are in control, making informed choices about the level, cost, pace, and planning of elevator modernization
• Otis experts provide guidance, offering the solution to best suit each building
• Customers have the flexibility to start with the Arise MOD Prime solution and upgrade later to the Arise MOD Plus solution – or opt straightaway for the Arise MOD Plus package

What benefits are included in the Otis Arise MOD Prime solution?

• Elevator control systems are brought up to the latest elevator safety standard
• Common tripping hazards are reduced with a new frequency variation electronic drive that precisely controls elevator speed for accurate floor-leveling
• Otis ONE™ IoT platform collects and analyzes data from elevators' smart sensors to deliver performance information, proactive communication and predictive insights to Otis' customers, and the field professionals servicing their units¹
• Energy consumption is reduced with the Otis ReGen™ drive, which recaptures energy generated by the elevator and returns it to the building's grid

What benefits are included in the Otis Arise MOD Plus solution?

• All Otis Arise MOD Prime upgrades are included and more
• An Arise MOD Plus solution includes a new geared machine and cables for smoother and more comfortable rides
• A new state-of-the-art car door system designed to reduce shutdowns and repairs by precisely controlling elevator door opening and closing

What other options are available?

• New landing fixtures and hall signage
• In-car control panels
• Modern cab designs to match style and budget
• Braille and voice announcements for elevator calls to improve accessibility for people of all ages and abilities

How can you find out more about flexible elevator modernization with Otis?

• Visit the Arise™ MOD webpage

About Otis

Otis gives people freedom to connect and thrive in a taller, faster, smarter world. The global leader in the manufacture, installation, service and modernization of elevators and escalators, we move 2.5 billion people a day and maintain approximately 2.5 million customer units worldwide – the industry's largest Service portfolio. You'll find us in the world's most iconic structures, as well as residential and commercial buildings, transportation hubs and everywhere people are on the move. Headquartered in Connecticut, USA, Otis is 72,000 people strong, including 45,000 field professionals, all committed to manufacturing, installing and maintaining products to meet the diverse needs of our customers and passengers in more than 200 countries and territories. To learn more, visit www.otis.com and follow us on LinkedIn, YouTube, Instagram and Facebook @OtisElevatorCo.

Media Contact: Edward.Jacovino@otis.com, +1 860-674-3351

¹ Otis ONE features are subject to a maintenance contract and paid tiered subscription with Otis.

View original content to download multimedia:https://www.prnewswire.com/news-releases/otis-launches-flexible-elevator-modernization-packages-for-north-america-302696948.html

SOURCE Otis Worldwide Corporation

FAQ

What is the difference between Otis Arise MOD Prime and Arise MOD Plus (OTIS)?

Arise MOD Prime updates controls, leveling and energy recovery; Arise MOD Plus adds mechanical replacements and advanced doors. According to Otis, Prime brings systems to current safety standards and includes Otis ONE™ analytics, while Plus includes a new geared machine, cables and a state-of-the-art car door system for smoother rides and fewer shutdowns.

Which buildings qualify for Otis Arise MOD Prime and MOD Plus modernization (OTIS)?

Low- to mid-rise residential and commercial buildings are the primary targets for Arise MOD packages. According to Otis, these solutions are designed for units often 20+ years old, addressing operational risks and enabling phased modernization aligned with building needs and budgets.

How does the Otis ONE platform factor into Arise MOD modernizations (OTIS)?

Otis ONE collects and analyzes elevator sensor data to provide performance and predictive insights to customers and service teams. According to Otis, Otis ONE requires a maintenance contract and paid subscription tiers and supports proactive communication and field servicing.

Will Otis Arise MOD upgrades improve elevator energy efficiency (OTIS)?

Yes; Arise MOD Prime includes the Otis ReGen drive to recapture and return energy to the building grid. According to Otis, the ReGen drive reduces energy consumption and, combined with updated controls, improves overall power efficiency and operational performance.

Can building owners phase Arise MOD upgrades from Prime to Plus and how (OTIS)?

Owners can start with Arise MOD Prime and later upgrade to Arise MOD Plus to add mechanical components and doors. According to Otis, customers may tailor scope, pace and planning to operational needs, budgets and long-term goals while receiving Otis expert guidance.