An AIS transponder normally works in an autonomous and continuous mode, regardless of whether it is operating in the open seas or coastal or inland areas. AIS transponders use two different frequencies, VHF maritime channels 87B (161.975 MHz) and 88B (162.025 MHz), and use 9.6 kbit/s Gaussian minimum shift keying (GMSK) modulation over 25 or 12.5 kHz channels using the High-level Data Link Control (HDLC) packet protocol.

Although only one radio channel is necessary, each station transmits and receives over two radio channels to avoid interference problems, and to allow channels to be shifted without communications loss from other ships. The system provides for automatic contention resolution between itself and other stations, and communications integrity is maintained even in overload situations.