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November 16, 2010 1 Satellite Executive Briefing Industry Trends, News Analysis, Market Intelligence and Opportunities Vol. 3 No. 17 November 16, 2010 The Changing Military Satellite Market T he military satellite market just a few years ago was one of the fastest growing segments of the satellite communi- cations industry. However, a global eco- nomic downturn and de-escalation of conflicts in the Middle East and South West Asia coupled with changing warfighter requirements have had a profound effect on the future of military satel- lite communications. Pressures to cut the U.S. defense budget by about US $ 100 Billion a year will certainly have an effect on the military satellite market. Al- ready we have seen the cancellation of the Transformational Satellite Communications Sys- tem (TSAT) program last year which would have provided the next-generation satellite con- stellation for the US military and its allies through the next dec- ade and beyond. Rebecca Cowen-Hirsch, President of Inmarsat Government Ser- vices, who previously spend 20 years in a senior capacity in the DoD procurement division, is bullish about the prospects of the military and government markets. ―The challenge is that the military is your proverbial disconnected user. When they are unable to plug into a land line they are dependent upon satellite communications, the vast majority of which are provided by commercial satellite companies. There is therefore an increasing demand for connectivity in remote locations via satellite and that continues to grow.‖ Cowen-Hirsch sees the growth continuing in the next few years, despite budgetary constraints. ―The demand continues to exceed current capacity and now they (the military) are looking to leverage the commercial satcom sector to finding the right value proposition to ensure that the warfighter has the capabilities he needs when and where he needs it,‖ she added. This was echoed by Bruce Bennett, Director of the SATCOM Program Executive Office of DISA (Defense Information Sys- tems Agency) in a panel discussion at the re- cent SATCON Conference in New York on ―Military Challenges in Theater.‖ He said that the military sitcom situation is characterized by having ―not enough bandwidth and not enough interoperability.‖ He said that there will never be enough bandwidth and the challenge is ―to effectively use what we have and to distribute it properly to those who need it.‖ Melinda Ratz, Commercial Satcom Assistant Program Manger for the US Navy acknow- ledged the budgetary and technical challenges faced by military and challenged commercial satellite service providers to ―bring in innovation.‖ The challenges are indeed daunting. Military demand will con- tinue to grow, but budgets will be less, so it‘s imperative that the commercial sector continue to innovate and provide solutions at less cost. Continued on page 4… By Virgil Labrador Editor-in-Chief From the Editor............................................................... News Briefs..................................................................... Market Briefs.................................................................. Executive Views : Capt. Cherondra V. Spann………… The Far and Middle East GVF Event Horizon………… Show Report: SATCON 2010……………………………. Featured Event: Satcom Africa 2011………………….. Vital Statistics................................................................. Stock Monitor.............................................................. CONTENTS 3 6 8 12 15 19 21 23 24 Photo: Viasat

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Page 1: Vol. 3 No. 17 November 16, 2010 Industry Trends, News Analysis, … · 2014-09-04 · Satellite Executive Briefing . November 16, 2010 . 1 . Industry Trends, News Analysis, Market

November 16, 2010 1 Satellite Executive Briefing

Industry Trends, News Analysis, Market Intelligence and Opportunities

Vol. 3 No. 17 November 16, 2010

The Changing Military Satellite Market

T he military satellite market just a few years ago was one

of the fastest growing segments of the satellite communi-

cations industry. However, a global eco-

nomic downturn and de-escalation of conflicts in

the Middle East and South West Asia coupled

with changing warfighter requirements have had

a profound effect on the future of military satel-

lite communications.

Pressures to cut the U.S. defense budget by

about US $ 100 Billion a year will certainly have

an effect on the military satellite market. Al-

ready we have seen the cancellation of the

Transformational Satellite Communications Sys-

tem (TSAT) program last year which would

have provided the next-generation satellite con-

stellation for the US military and its allies through the next dec-

ade and beyond.

Rebecca Cowen-Hirsch, President of Inmarsat Government Ser-

vices, who previously spend 20 years in a senior capacity in the

DoD procurement division, is bullish about the prospects of the

military and government markets. ―The challenge is that the

military is your proverbial disconnected user. When they are

unable to plug into a land line they are dependent upon satellite

communications, the vast majority of which are provided by

commercial satellite companies. There is therefore an increasing

demand for connectivity in remote locations via satellite and that

continues to grow.‖

Cowen-Hirsch sees the growth continuing in the next few years,

despite budgetary constraints. ―The demand continues to

exceed current capacity and now they (the military) are looking

to leverage the commercial satcom sector to finding the right

value proposition to ensure that the warfighter has the capabilities

he needs when and where he needs it,‖ she added.

This was echoed by Bruce Bennett, Director of the SATCOM

Program Executive Office of DISA (Defense Information Sys-

tems Agency) in a panel discussion at the re-

cent SATCON Conference in New York on

―Military Challenges in Theater.‖ He said that

the military sitcom situation is characterized by

having ―not enough bandwidth and not enough

interoperability.‖ He said that there will never

be enough bandwidth and the challenge is ―to

effectively use what we have and to distribute

it properly to those who need it.‖

Melinda Ratz, Commercial Satcom Assistant

Program Manger for the US Navy acknow-

ledged the budgetary and technical challenges

faced by military and challenged commercial

satellite service providers to ―bring in innovation.‖

The challenges are indeed daunting. Military demand will con-

tinue to grow, but budgets will be less, so it‘s imperative that the

commercial sector continue to innovate and provide solutions at

less cost. Continued on page 4…

By Virgil Labrador Editor-in-Chief

From the Editor............................................................... News Briefs..................................................................... Market Briefs.................................................................. Executive Views: Capt. Cherondra V. Spann………… The Far and Middle East GVF Event Horizon………… Show Report: SATCON 2010……………………………. Featured Event: Satcom Africa 2011………………….. Vital Statistics................................................................. Stock Monitor…..............................................................

CONTENTS

3 6 8 12 15 19 21 23 24

Photo: Viasat

Page 2: Vol. 3 No. 17 November 16, 2010 Industry Trends, News Analysis, … · 2014-09-04 · Satellite Executive Briefing . November 16, 2010 . 1 . Industry Trends, News Analysis, Market

November 16, 2010 2 Satellite Executive Briefing

Page 3: Vol. 3 No. 17 November 16, 2010 Industry Trends, News Analysis, … · 2014-09-04 · Satellite Executive Briefing . November 16, 2010 . 1 . Industry Trends, News Analysis, Market

November 16, 2010 3 Satellite Executive Briefing

EDITORIAL Virgil Labrador Editor-in-Chief [email protected] Peter I. Galace Editor, Asia-Pacific [email protected] Howard Greenfield Contributing Editor, Europe, Middle East and Africa [email protected] Contributing Editors: North America: Robert Bell, Bruce Elbert, Dan Freyer, Elisabeth Tweedie, Lou Zacharilla Latin America: B. H. Schneiderman Europe: Martin Jarrold, Roxana Dunnette Asia-Pacific:Tom van der Heyden, Chris Frith

ADVERTISING

Michelle Elbert Director of Marketing

[email protected]

Satellite Executive Briefing is published biweekly by

Synthesis Publications LLC and is available for free at www.satellitemarkets.com

SYNTHESIS PUBLICATIONS LLC

P.O.Box 4174, West Covina CA 91791 USA

Phone: +1-626-931-6395 Fax +1-425-969-2654

E-mail: [email protected]

©2010. No part of this publication may be re-printed or reproduced without prior written consent from the publisher.

From the Editor

L ooking back, the major broadcast trade shows this year such

as the NAB in Las Vegas, Broadcast Asia in Singapore and

the IBC in Amsterdam highlighted 3D television as the next big

wave to sweep the industry. At year‘s end, it‘s becoming more

evident that the growth of 3D adoption is not going as fast as may

have been expected. It‘s not even clear whether 3D will really

take off or will be a passing fad like its first incarnation in the 50s.

This was the consensus among key satellite industry executives at the

SATCON Conference and Expo held in New York City from October 14-15.

Intelsat CEO David McGlade said in one of

the panels that 3D ―is not a game changer for

satellite capacity.‖ He cited that the pro-

jected increase in bandwidth requirements

resulting from the transition to 3D might be

compensated by developments in bandwidth

compression and optimization technologies.

McGlade‘s point illustrates the tendency for

the industry in the last few years to look for

the next ―killer app‘ when the greater chal-

lenge is how to thrive in the new multiplat-

form media environment that we are facing

today. As NBC Universal‘s SVP for Broad-

cast Operations Matthew Braatz said in another panel on ―Strategic Challenges

for Multiplatform Delivery‖ that what we should ask is ―what is our core

competency? We should shift from delivery to asset management.‖

The new multiplatform media environment will certainly form a major part of

the discussions in the industry in 2011 and beyond. As always, we will help

you navigate through these exciting developments.

Multiplatform Media Environment

AAE Systems………………....23

www.aaesys.com

ATCi Technologies……..……..2

www.atci.com

Avcom of Virginia...................20

www.avcomofva.com

CABSAT/Satellite MENA

2011………………………..…11

www.cabsat.com

CommunicAsia 2011…….….18

www.communicasia.com

Gazprom Space Systems….....14

www.gazprom-spacesystems.ru

Globecomm Systems...............22

www.globecommsystems.com

Intersputnik..............................5

www.intersputnik.com

The Spaceconnection……..…..9

www.thespaceconnection.com

W.B. Walton Enterprises…...10

www.de-ice.com

ADVERTISERS‟ INDEX

View video and audio inter-views of key satellite indus-try executives at SATCON

2010 at www.satellitemarkets.com/

current

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November 16, 2010 4 Satellite Executive Briefing

The Military Market…. from page 1

One innovative solution put forward by

satellite operators are ―Hosted Pay-

loads.‖ Hosted payloads are dedicated

transponders on commercial satellites

leased to the military. It can save the

military millions as it precludes the

need for them to develop and launch

their own satellites. A hosted payload

on a commercial satellite can be leased

for a fraction of the cost of launching a

satellite on their own plus it offers the

flexibility and redundancies available to

commercial operators. It also reduces

the risk for military planners associated

with developing their own satellites

transferring all of that risk to commer-

cial operators. Intelsat and SES World

Skies have active hosted payload pro-

grams.

The concept of Commercial Off-The-

Shelf (COTS), whereby the military can

take commercial products and adapt it

for their use, has also been around for

some time and its relevance has in-

creased in the new military environ-

ment.

A recent Frost and Sullivan study em-

phasizes the importance of COTS solu-

tions: ―The next generation of techno-

logical development for military com-

munications is expected to be greatly

influenced by the goal of a fully inter-

operable solution, wherein data can be

obtained from various sources irrespec-

tive of the solution. Network centric

warfare (NCW), enhanced situational

awareness and increased use of COTS

technology are witnessing increasing

technological development and funding

activities.‖

―Integration of existing technologies

with new cutting edge technologies is

further driving the research activities in

this sector. The market for defense

communications is likely to be sup-

ported by a number of demand drivers,

notably the need for allied information

advantages in large-scale operations

such as those in Iraq and Afghanistan.

The defense industry is entering into a

new phase where huge R&D efforts are

being concentrated on defense commu-

nications, as increasing number of de-

fense establishments realize the need

for empowering their defense forces

with the latest communications tech-

nologies available,‖ said the report.

The U.S. government and military de-

pends for up to 80 percent of its needs

on commercial satellite providers and

this reliance is projected to continue

according to Frost and Sullivan.

According to NSR's market research

and forecast report, Government and

Military Satellite Communications

(GMSC), 6th Edition, users want more

capacity and coverage as the gap be-

tween demand and transponder supply

is growing, which will shift the market

towards one of two solutions: proprie-

tary or commercial systems. This gap

should propel the commercial GMSC

market alone from $3.5 billion in 2008

to $9.3 billion at the end of 2018, driven

in large part by land-mobile narrow-

band units and revenues from un-

manned aerial vehicles (UAVs) and

communications-on-the-pause (COTP)

services.

The conditions faced by warfighters

today facing irregular forces dispersed

in remote regions necessitate a different

set of weaponry that require precise

guidance and communications, accord-

ing to Gary Hatch, CEO of ATCi Tech-

nolgies. He sees the military relying

more on UAVs and drones to flush out

hidden enemies. These new weapons

require sophisticated guidance and

communications systems that satellites

are best suited to provide, said Hatch.

Perhaps the greatest impetus for contin-

ued military bandwidth demands are the

individual warfighters and service per-

sonnel who are very much tech-savvy

than their predecessors. Young military

personnel have come to demand the

same level of access speeds and reliabil-

ity that they are accustomed to in civil-

ian life.

In sum, government and military de-

mand for satellite communications will

continue to grow in the next few years.

However, their requirements are chang-

ing and the demands require innovative

and cost-effective solutions. It won‘t

be ―business as usual,‖ but satellite

companies should be used to that by

now.

Virgil Labrador is the Editor-in-Chief of Satellite Market and

Research based in Los Angeles, California. He is the author of two

books on the satellite industry and has been coering the industry for

various publications since 1998. Before that he worked in various

capacities in the industry, including a stint as marketing director for

the Asia Broadcast Center, a full-service teleport based in Singa-

pore. He can be reached at [email protected]

“...The U.S. government and military depends for up to 80 percent of its needs on commercial satellite providers and this reliance is projected to continue according to Frost and Sullivan…”

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November 16, 2010 5 Satellite Executive Briefing

The Intersputnik International Organization of Space Communica-tions was established on November 15, 1971. Today, Intersputnik has 25 member states in practically all parts of the world from Latin America to Southeast Asia and from Europe to the south of the Arabian peninsula. Intersputnik’s core business is to make satellite capacity available to tele-communications operators, broadcasters and corporate customers under

agreements with partner operators and to offer full-scale services via its subsidiary Intersputnik Holding, Ltd. for the purpose of installing and operating satellite telecommunications networks. Such full-scale services in-clude access to internet backbones, uplink services, switching and digital platform services as well as supply and integration of ground equipment. The Russian satellite telecommunications operator Isatel LLC, which is part of the Intersputnik Holding, Ltd. group, offers Russian and international telecommunications operators and

corporate customers the required technological platform for the establishment of satellite telecommunications networks and provision of telecommunications services based on this platform. Today, Intersputnik provides to its customers the resource of telecommunications satellites located in the geo-stationary orbit from 14W to 140E. One of our key partners is the Russian Satellite Communications Com-pany, which owns a fleet of advanced Express-series satellites. Also, Intersputnik enjoys the status of the offi-cial distributor of Eutelsat’s satellite resource and Measat’s resource on the AFRICASAT-1 satellite. It markets and sells Intelsat’s satellite capacity and offers service on the ABS-1 (LMI-1) satellite. Intersputnik distinctive feature and main advantage is that it is an all-purpose supplier of satellite capacity and technological solutions. This is why Intersputnik’s government and private customers in over 40 countries have a very wide choice of satellite resources in various systems operating on the global market and can receive all kinds of information from a single source. Intersputnik’s principal asset is its long-standing experience while the availability of its own orbit and spectrum resource guarantees its successful development. Using this resource, Intersputnik is implementing projects aimed at procuring and deploying spacecraft in its own orbital positions to provide service in the most rapidly developing regions with growing demand for satellite telecommunications services. For more information go to: www.intersputnik.com

(Advertisement)

Intersputnik Satellite Fleet Overview

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November 16, 2010 6 Satellite Executive Briefing

MERGERS & ACQUISITIONS

NewsNewsNewsBriefsBriefsBriefs

A summary of the most important news and developments from November 1-15, 2010

Global Crossing Acquires Genesis Networks

Nov. 1, Florham Park, N.J. — Global

Crossing announced that it has acquired

global video services provider Genesis

Networks. Global Crossing paid an

aggregate consideration of approxi-

mately US $27 million, including US

$15 million in connection with the re-

payment of existing debt.

Founded in 2001, Genesis has a net-

work that stretches across 70 cities on

five continents and links important in-

ternational media centers through 225

on-net locations. By contrast, the

Global Crossing network offers access

to more than 700 cities around the globe

and a strong presence in Latin America,

a new market for Genesis Net-

works. For Global Crossing, this acqui-

sition provides opportunities to attract

new customers and expand service of-

ferings into vertical markets that require

high-performance, rich-media, video-

based delivery, such as healthcare,

cinema, music, gaming, government

and distance learning.

Comtech EF Data Acquires Stampede Technologies

Nov. 4, TEMPE, Ariz.– Comtech EF

Data Corporation completed the acqui-

sition of Stampede® Technologies, Inc.,

developer of the FX Series WAN opti-

mization and application acceleration

platforms. The acquisition enables

Comtech EF Data to further expand its

Wide Area Network (WAN) optimiza-

tion product offerings for commercial

applications.

"As the leader in satellite bandwidth

efficiency and link optimization, the

Stampede products enhance our ability

to deliver additional value for our cus-

tomers," said Daniel Enns, senior vice

president strategic marketing and busi-

ness development.

Permira Funds Complete Acquisition of Asia Broadcast

Satellite Nov. 15, Hong Kong— Permira Funds

has successfully completed the acquisi-

tion of Kingsbridge Limited, the hold-

ing company for satellite operator Asia

Broadcast Satellite (ABS). The acquisi-

tion represents a full exit for Citigroup

Venture Capital International Proprie-

tary Investment Partnership, L.P. and

Citigroup Venture Capital International

Co-Investment, L.P. which have been

the majority shareholders of ABS since

2006, along with ADM Capital and

certain other shareholders.

Founded in 2006 by CEO Thomas

Choi, ABS is one of the fastest growing

satellite operators in the world. ABS

has grown from a single satellite opera-

tor in 2006 to having three satellites in

orbit under the ABS brand, one under

co-brand with a third party and two

additional satellites in the pipeline in-

cluding the new state-of-the-art ABS-2

scheduled to be launched in early 2013.

Harris Corporation Acquires

Schlumberger Global Connectivity Services

Nov. 8, Melbourne, FL—Harris Cor-

poration has entered into a definitive

agreement to acquire the Global Con-

nectivity Services (GCS) business from

Schlumberger Information Solutions, an

operating unit of Schlumberger Lim-

ited. The acquisition will significantly

extend Harris' capabilities as a global

provider of mission-critical, end-to-end

managed satellite communications ser-

vices for customers operating in remote

and harsh environments - including the

energy, government and maritime in-

dustries. Schlumberger GCS will be

combined with recently acquired

CapRock Communications to form Har-

ris CapRock Communications.

Under the terms of the agreement, Har-

ris will purchase the Schlumberger GCS

business for US $397.5 million in cash,

subject to post-closing adjustments. The

goodwill arising on completion of the

acquisition will be an allowable tax

expense with an estimated net present

value of US $50 million, resulting in an

effective purchase price of $347.5 mil-

lion.

Pace Acquires Latens for US $46.9 Million

Nov. 8, Belfast, Ireland—Set-top box

manufacturer Pace has purchased the

Belfast-based Latens Systems for

£28.75 million (US$ 46.9 million). A

pioneer of cardless conditional access,

Latens also has its own middleware,

and gateway that allows a transition

between traditional cable and IP deliv-

ery. It also has offices in Hyderabad,

India, and Atlanta, United States.

The US$ 46.9 million purchase price

includes a deferred payment of US

$16.5 million, payable in 2012, and

subject to a number of conditions being

met.

The deal is the third acquisition an-

nounced this year by Pace, which also

announced a bid for residential gateway

provider 2Wire and a deal to buy Be-

wan, which also supplies gateways.

Those deals, combined with Latens,

would strengthen Pace's position in the

gateway and conditional access markets

and also potentially in the U.S., where

Latens supplies telcos with conditional

access solutions.

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November 16, 2010 7 Satellite Executive Briefing

TCS Awarded $315 Million U.S. Navy Satcom Contract

Nov. 12, Annapolis, MD– TeleCom-

munication Systems, Inc. (TCS) has

been named as the sole awardee on an

indefinite-delivery/indefinite-quantity

(IDIQ) contract for Military Sealift

Command‘s Next Generation Wideband

commercial satellite communications

infrastructure and service. The contract

– with a $315 million potential value

and a guaranteed first-year minimum of

$5 million – will replace the current

MSC Afloat Bandwidth Efficient Satel-

lite Transport commercial satellite com-

munications infrastructure.

TCS will provide the U.S. Navy's Mili-

tary Sealift Command (MSC) Next

Generation Wideband communications

with integrated systems and services for

a highly secure, turnkey solution

through a proven, commercial off-the-

shelf (COTS) antenna system and com-

prehensive wideband satellite coverage.

TCS and its supporting partners will

provide MSC with overall contract pro-

gram management; bandwidth and man-

aged services; engineering and integra-

tion expertise; information assurance

management; and installation, operation

and maintenance services.

US DoD Awards Iridium

Contracts to Upgrade Satcom Gateway in Hawaii

Nov. 11, Mclean, VA—Iridium Com-

munications Inc. has won three Defense

Information Systems Agency (DISA)

contracts to upgrade the U.S. Depart-

ment of Defense (DoD) Enhanced Mo-

bile Satellite Service (EMSS) Gateway

in Hawaii. This effort, which is part of

the DoD‘s EMSS Gateway Moderniza-

tion Effort, is driven by three predomi-

nantly firm fixed-price contracts total-

ing $12,215,576.

The DoD‘s Iridium EMSS Gateway

serves as a dedicated portal for the up-

link and downlink of voice and data

traffic through Iridium satellites for

DoD and other U.S. government users

throughout the world.

The scope of work covered under the

DISA contracts includes replacement of

key switching systems, upgrades to

critical components of the Message

Origination Center (MOC) and replace-

ment of antenna radomes at the EMSS

Gateway.

Nilesat Signs 10-Year

Transponder Agreement with Eutelsat

Nov. 8, Paris— Egyptian satellite op-

erator Nilesat, has signed a 10-year con-

tract with Eutelsat for five transponders

at the 7° West orbital position. The ca-

pacity will be activated in the first

phase on Eutelsat's ATLANTIC

BIRD™ 4A satellite, and subsequently

transferred to ATLANTIC BIRD™ 7

which is scheduled for launch and de-

ployment at 7° West in 2011.

This new contract forms part of the stra-

tegic agreement signed in March 2009

between Eutelsat and Nilesat to collabo-

rate on a long-term basis on optimising

resources at the 7° West position, which

is used by both companies for satellite

broadcasting across North Africa, and

the Middle East.

Eutelsat has been partnering with Nile-

sat since July 2006 when its ATLAN-

TIC BIRD™ 4 satellite was coposi-

tioned at 7° West with the Nilesat satel-

lites.

Globecomm Awarded $3.8 mil. Infrastructure Contract

Nov. 1, Hauppauge, NY-- Globecomm

Systems Inc has received a contract

from a major media & entertainment

company valued at US $3.8 million.

Under the terms of the contract, Globe-

comm will design and install antenna

diversity switching systems to enhance

direct-to-home service availability and

includes refurbishment of existing an-

tennas. In addition, Globecomm will

provide its Network Management Soft-

ware product, AxxSys(R) Orion, and

associated engineering support

CONTRACTS

ILS Successfully Launches SkyTerra-1 Satellite Nov. 14, Baikonur Cosmodrom, Kazahkstan—LightSquared™, the nation’s first wholesale-only integrated wireless broadband and satellite net-work, announced the successful launch of its SkyTerra 1 satellite. Launched by International Launch Services (ILS), the Proton Breeze M ve-hicle lifted off from Kazakhstan’s Baikonur Cos-modrome at 12:29 p.m. EST Nov. 14, followed by spacecraft separation and on-schedule signal acquisition nine hours later at approximately 9:45 p.m. EST. The satellite, a Boeing 702HP built by Boeing Space and Intelligence Systems, is designed to

provide wireless mobile services to millions of subscribers. LightSquared’s SkyTerra 1 satellite features a 22-meter L-band reflector-based antenna -- the largest commercial antenna reflector to be put into service. The satellite, among the most powerful commercial satellites ever built, will provide ubiquitous nationwide coverage and enable inte-grated satellite-terrestrial service using products that are similar to today’s typical mobile devices in terms of size, capabilities and build costs.

ILS photo

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November 16, 2010 8 Satellite Executive Briefing

Global Economic Crisis Has Little Effect on

Satellite Capacity Market

FSS market to grow at 5% or better through 2019 according to NSR

MarketMarketMarketBriefsBriefsBriefs

Key industry trends and opportunities.

A ccording to NSR‘s just released Global Assessment of

Satellite Supply and Demand, 7th Edition study, the

worst global economic crisis since the Great Depression did

little to slow down the worldwide commercial satellite ca-

pacity leasing market. NSR's study estimates the industry

picked up over $400 million in new leasing revenues in

2009, reaching US$9.7 billion as of the end of the year. Fur-

ther, results so far in 2010 indicate the sector could add an-

other US$500 million or more this year alone and increase

total commercial satellite capacity leasing revenues by

US$6.6 billion over the ten-year period between 2009 and

2019.

"On average, the

world's commercial

satellite operators are

seeing annual revenue

increases on the order

of 5.4% driven both by

new capacity leasing

and increased capacity

pricing", said the

study's author and

NSR Senior Analyst,

Patrick M. French.

"Most important to

industry revenue

growth is the diverse

set of C-, Ku-, and Ka-band transponder demand drivers plus

NSR's wholesale capacity leasing assessment for the High

Throughput Satellite segment," according to French.

NSR expects a net increase in capacity leasing revenues from

the direct-to-home (DTH) sector alone to amount to nearly

US$1.6 billion by 2019 with a further US$2.0 billion or

more coming from capacity leasing into the video distribu-

tion and video contribution & OUTV markets. Turning to

data services, NSR forecasts continued steady gains in the

broadband services sector with growth in broadband VSAT

networking pushing the increased lease of Ku-band capacity

and satellite broadband Internet access driving HTS capacity

leasing. The combined broadband services segment could

add almost US$2.2 billion in new revenues to the industry by

2019, plus other additional revenues will come from seg-

ments like mobility and backhaul.

In the prior version of this study, NSR introduced to the in-

dustry for the first time a complete and detailed analysis of

demand for High Throughput Satellite (HTS) capacity in

parallel to the traditional C-band, Ku-band and widebeam Ka

-band markets. Continuing pioneering work in the sector,

NSR has initiated for the first time in this GASSD 7th Edi-

tion a detailed analysis of expected demand uptake for full-

time 3D channels within the video distribution and DTH

markets. NSR examines the drivers and restraints impacting

the launch of 3D channels in each regional market and sup-

plements its traditional SD and HD channel forecasts with

specific 3D channel carriage predictions in order to assess

satellite capacity demand

leasing potential from the

emerging 3D segment.

About the Report

The Global Assessment of

Satellite Supply & Demand,

7th Edition study is a multi-

client report now available

from NSR. The GASSD 7th

Edition study is an industry

standard for the independent

analysis of drivers and re-

straints on the commercial

satellite capacity leasing

market. NSR maintains its rigorous methodology of rebuild-

ing from the ground up each year its entire transponder and

capacity supply and demand forecast for the commercial

satellite market to ensure that its forecast projections capture

the latest trends in the market.

More than 300 separate supply and demand forecasts have

been performed in order to provide one of the most granular

and detailed evaluations of demand for commercial FSS/BSS

C-, Ku- and Ka-band satellite transponder capacity as well as

leased commercial HTS capacity for seven specific satellite

applications in twelve distinct regional markets. For addi-

tional information on this report, including a full table of

contents, list of exhibits and executive summary, please visit

www.nsr.com or call NSR at +1-617-576-5771.

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November 16, 2010 9 Satellite Executive Briefing

Market Briefs

I n the third quarter of 2010, net subscriber additions in the

global pay-TV market increased 2% over 2Q-2010 ac-

cording to ABI Research‘s recent pay-TV market

data. ―The global number of pay-TV subscribers reached

692 million in the third quarter of 2010,‖ says ABI Research

practice director Jason Blackwell. ―Pay-TV subscriber

growth is holding steady in a number of world regions.‖

Pay television markets have experienced many changes due

to the entry of a number of new television platforms. These

new platforms, such as digital terrestrial TV and online

video, are stimulating more competition to the traditional pay

-TV services. As a result, we are seeing slower subscriber

growth in satellite and cable television services. The slow

growth in subscribers is notable especially in Western

Europe and North America where the penetration rate is

high. However, satellite and cable TV growth is expected to

remain strong in the regions such as Eastern Europe and

Latin America.

Pay digital terrestrial television has seen success in countries

such as France, Italy and Spain. Italian pay terrestrial televi-

sion provider Mediaset is the leader in the pay terrestrial TV

market. Mediaset added nearly 300,000 subscribers in 2Q-

2010 to reach a total subscriber base of 4.4 million. ―At this

moment Western Europe, with a comprehensive 99% of the

terrestrial pay-TV market, holds the largest terrestrial televi-

sion market share,‖ comments research associate Khin Sandi

Lynn.

There was strong growth in worldwide IPTV subscriptions in

the third quarter of 2010, with more than 2.7 million IPTV

subscribers added. Global broadband penetration is increas-

ing, as well as the broadband speed. High-speed broadband

opens an opportunity for operators to offer IPTV services.

Western Europe remains the largest IPTV market, followed

by the Asia-Pacific region and North America.ABI Research

expects that the worldwide IPTV subscriber base will exceed

53 million at the end of 2011.

Global Pay TV Market Reach 692 million Subs in 2009

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November 16, 2010 10 Satellite Executive Briefing

D espite the difficulties faced to date, the timing is ripe

for mobile video services to take off in certain Asia-

Pacific markets due to the enhanced capability of the net-

works, increasing popularity and affordability of smart-

phones, and improvements in the mobile video business,

according to a new report from Pyramid Research.

Pyramid Research estimates there will be 59 million mobile

video users in Asia/Pacific by year-end 2010. Over the next

five years, this user base will increase, at a CAGR of 23 per-

cent, to reach over 250 million subscribers and will generate

a cumulative US$31 billion from mobile video services in

Asia/Pacific.

Operators in Asia/Pacific can be assured that their networks

will be prepared to deliver an enjoyable mobile video view-

ing experience to their subscribers due to network improve-

ments allowing faster data transfer speeds with lower la-

tency, in addition to the development and deployment of

mobile broadcasting technology, notes Leslie Arathoon of

Pyramid.

―Ultimately, success will mean different

things for different stakeholders. Mobile

operators will want to make sure they are

able to monetize rising demand for mo-

bile video, particularly given the huge

strain that bandwidth-rich video and

streaming television can put on a mobile

network,‖ adds Arathoon.

Regardless of the different goals that dif-

ferent stakeholders have, however, one

thing is clear – the need to develop suc-

cessful business cases for all involved

parties in the provision of mobile video

services.

Mobile operators face the largest chal-

lenge of all, given the downward pressure

on ARPS that most are experiencing and

the significant strain on the network that

the launch of mobile video implies.

―Operators in the region that are serious

about their mobile video offerings are

starting to understand the type of content,

service, and pricing that best meets the

needs of consumers,‖ Arathoon explains.

―Simply put, the old system of simply

forwarding TV content to mobile devices has proven ineffec-

tive, and operators are now going beyond editing content to

producing content.‖

Network Upgrades Put Mobile Video on the Fast Track is

part of Pyramid Research's Asia/Pacific Telecom Insider

report series. Download an excerpt of this report. This report

is priced at $595 and can be purchased online or by contact-

ing [email protected]

Markt Trends

Mobile TV Primed for Takeoff in Asia-Pacific

Market Trends

“...the timing is ripe for mobile video services to take off in certain Asia-Pacific markets due to the enhanced capability of the networks, increas-ing popularity and affordability of smartphones, and improvements in the mobile video business…”

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November 16, 2010 11 Satellite Executive Briefing

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November 16, 2010 12 Satellite Executive Briefing

by Lou Zacharilla Director of Development, SSPI

I f having a the title Project Manager, SBIRS GEO-1

Space Vehicle, Space and Missile Systems Center,

United States Air Force on your business card doesn‘t

qualify you as an adult, we need a new classification.

On Tuesday October 12 the satellite industry, through

SSPI‘s ―Future Leaders‖ awards program, acknowledged the

owner of the above title, Captain Cheronda V. Spann as one

of its rising stars under 35 years of age. Despite a title long

enough to roll across time zones Captain Spann is firmly

grounded in the here and now, which defines an adult.

I will not reveal her age, but say that during that annual event

in Manhattan‘s Princeton Club, known for heckling and

heartfelt celebrations, Cheronda and two young colleagues,

Intelsat‘s Angela Wheeler and RRSat‘s Shlomi Izkovitz,

were clearly the only adults in the room! The future is in

good hands.

―Youth is wasted on the young,‖ Oscar Wilde reportedly

said. It was not the first time that the over-quoted Wilde had

it precisely wrong. In the case of Captain Spann, ranked first

in her category by the United States Air Force, not a minute

is wasted, much less formative years. She is responsible for

the assembly, integration and testing of the GEO-1 (URL)

satellite system. GEO-1 is a complex and critical space sur-

veillance effort. Its importance cannot be overstated. When

most of us were her age, we read about projects like GEO-1

in Popular Science magazine. Or we gained our knowledge

about such systems watching Captain James Kirk order his

starship‘s force fields to activate.

But this Spann kid, who Lt. Col. Jack Allen, Commander of

the SBIRS Space Squadron says ―epitomizes the values of

integrity, excellence and service,‖ runs a science fiction pro-

gram without the fiction.

Her government paycheck is tied to a mission that is straight-

forward and sobering: to improve her country‘s ability to

detect ballistic missiles. Using diplomatic savvy that she

may have learned in California hanging around with both

Dodgers and Giants fans, she has ―skillfully‖ interfaced gov-

ernment and commercial teams. In other words, she has the

apples playing nice with the oranges. She has boosted the all

critical software productivity component of the system by

300%. Productivity is im-

portant here, since the cost

of Capt. Spann‘s project

(US taxpayers go for your

Tums) is a whooping US $3

Billion.

But the mark of a true

leader, past, present or fu-

ture is always the degree of

success balanced by human-

ity. Last Christmas, when

most of us were home rest-

ing from our work, she led

20 members of her unit

in support of a Los An-

geles Food Bank. She raises funds for AIDS and is a regular

on the ward floors of the local Veterans Administration Hos-

pital. And if that guy sitting next to her at the dinner in New

York (who was sticking to her like Scotch tape) is not her

boyfriend or significant other, I have an email address for

any of you who might want to thank her for her service and

buy her a coffee.

Dianne VanBeber, Intelsat‘s Vice President of Investor Rela-

tions & Communications introduced her to the audience in

New York. She said, ―Captain Spann represents the type of

talent we need to remain in our industry. She is inquisitive

and always looking for the best way to accomplish a task.

She stays focused on the mission until it is done. I hope she

likes satellites enough to stay around them for awhile!‖

Me too. I gush at the thought of someone with so much po-

tential, who seems too good to be true. Will she and her two

fellow future leaders ―stay around‖ in the satellite industry?

I thought I would find at least talk to her about it.

Lou Zacharilla (LZ): You were recently given SSPI's Future

Leaders award. Which means a committee of your elders

thinks that you have what it takes to lead. What in your view

are the primary requirements of a leader: past, present or

future?

Capt. Spann: I believe there are three requirements. One is

taking care of your people. The second is understanding the

mission, and the third is knowing how to balance compas-

Executive Views

“The Only Adults in the Room”

A Conversation with Captain Cheronda V. Spann

Project Manager, Space & Missille Systems Center, USAF

Capt. Cheronda V. Spann

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November 16, 2010 13 Satellite Executive Briefing

sion and a stern demeanor, while understanding the context

of a situation.

LZ: I agree, especially with the second requirement. I be-

lieve one of the primary reasons for mission failure, as well

as personal failure, is an inability to remember what the

mission really is. You forget the mission and you lose your

focus. It’s a formula. I think you would agree that it is also

is up to leaders to remind you. So who are leaders or men-

tors that have helped you stay on mission in life?

Capt. Spann: They are Lt. General John Sheridan, Major

General Susan Mashiko, and Lt. Colonel Heath Collins.

LZ: That’s interesting. Three people in the Air Force. Why?

Capt. Spann: I admire them for their hard work, dedication

to mission and how they understand the needs of their peo-

ple. They embody the Air Force's core values and they are

easy to talk to. They let you know when you are doing some-

thing less than desired and they aim to point you in the right

direction. They do so without telling you exactly what to do.

They really are inspirational for me.

LZ: Gee, that doesn’t sound like the bossing around I re-

member from the Army. It actually sounds like a breeding

ground for innovation. But then, the Air Force needs to be

innovative. Do you believe it is a requirement in your pro-

ject management work with GEO-1? Or are you just there to

take orders?

Capt. Spann: Well, sir, I am here to take orders. But yes.

Innovation is important, because if something doesn't go

according to plan, you need to try something else.

LZ: You need to be adaptive.

Capt. Spann: In my work the need is always there to adjust,

and there is a constant pressure to provide for the war

fighter. That is Job One. Therefore, if the plan doesn't work

as is, it is time to gather the team and develop a better plan.

As the saying goes "There is more than one way to skin a

cat.".

LZ: The most rigid things break. Colonel William Harding,

the Vice Commander of the Military Communications System

Wing (Space & Missile Systems Center) said that the major

challenge of the work is to ensure the synchronization of the

space segment with the ground segment, including terminals

and missile control elements. Where do you fall within that

chain of command and mission task?

Capt. Spann: My team and I are in charge of ensuring we

have the space vehicle ready. Colonel Harding is right. The

ground segment is an essential part of the mission. Both are

needed to succeed. In our program we do our best to ensure

that both space and ground segments are in sync.

LZ: I don’t think people fully appreciate the degree of diffi-

culty of your work. The same is true for our industry overall.

We make it look increasingly easy and seamless. That is the

intention on the commercial side. We know that it is not like

turning on a light switch, but the complexity needs to be

minimized. Or at least it cannot look too complex to the cus-

tomer. You are of course a “future” leader. So look into the

future and tell me what the satellite industry will look like

when you are my age.

Capt. Spann: I think the satellite industry will continue to

grow, but I really think it will remain complex. As technol-

ogy continues to evolve, so will our space systems. My hope

is that we will be able to produce advance systems faster.

The mission depends on it for the Air Force.

LZ: With a $46 billion dollar portfolio for military satellite

communications, $3 billion of it committed to your GEO-1

project, we will be watching to see how it evolves. Good

luck, Captain. Thank you for your service and congratula-

tions once again.

Lou Zacharilla is the Director of Develop-ment of the Society of Satellite Professionals International (SSPI). He can be reached at: [email protected]

“...I think the satellite industry will con-

tinue to grow, but I really think it will re-

main complex. As technology continues

to evolve, so will our space systems. My

hope is that we will be able to produce

advance systems faster…”

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November 16, 2010 14 Satellite Executive Briefing

(Advertisement)

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November 16, 2010 15 Satellite Executive Briefing

by Martin Jarrold Chief, International Programs, GVF

A s illustrated by the inclusion of such subject matter

as „Cloud Computing and Future Oil & Gas In-

dustry Networking‟; and, „Commercial Applica-

tions in the Oil & Gas Sector Context: Helping Develop-

ers Get on the Satellite Wavelength‟; to „Building-Out the

Hybrid Opportunity: Evolving Regional Broadband Sat-

ellite-Wireless Integrated Solution Deployments‟, and

„Satellite in MENA: The Future is Ka...„, the GVF ―Event

Horizon‖ over the next several months can be characterized

as having both vertical market-related and horizontal market-

related elements.

These elements offer

to the satellite com-

munications solution

provider sector, and

to a range of particu-

lar solution end-user

communities, impor-

tant opportunities to

network ideas and

discuss business de-

velopment strategies.

Two of the most

prominent amongst

these opportunities

during this period

will take place at

GVF Oil & Gas

Communications

South East Asia

2010, a conference

taking place in Kuala Lumpur in November, and GVF ME-

NASAT 2011, a Summit taking place during the Satellite

MENA exhibition in Dubai in February 2011.

GVF Oil and Gas Communications South East Asia

2010

O&GCSEA2010 is the abbreviation for the GVF Oil & Gas

Communications South East Asia 2010 conference, which

carries the title „Redefining the Digital Oilfield Onshore,

Offshore, Deep & Ultra-Deepwater‟. The conference is

scheduled for 23rd - 24th November 2010 at the Crowne Plaza

Mutiara Hotel, Kuala Lumpur, Malaysia. Held in association

with Schlum-

berger,

Hughes, and

Intelsat, the

conference is

supported by the GVF‘s sister association, the Asia Pacific

Satellite Communications Council (APSCC).

O&GCSEA2010 in Kuala Lumpur brings the GVF-EMP

Conference Series to its landmark 10th event and features the

participation of key international and regional players in the

energy exploration and production (E&P) market, including

both regular supporters of the GVFs South East Asia re-

gional events, and

first-time partici-

pants: iPerintis;

Petronas; Talis-

man; Technip;

Sime Darby; New-

field; JP Difinietik;

Talisman; Mott

Macdonald; JPD

Petroleum Syn-

ergy; AZ Sepakat

Sdn Bhd; Scomi

Marine; and, Bumi

Armada.

Featured topics of

the 2010 conference

program include:

An Intelsat

focus on ―The Satel-

lite Operators‘ Ca-

pacity-versus-Demand Dynamic: Developing Fixed & Mo-

bile Service Market Strategies for Asia‘s Oil & Gas Patch‖;

Analysis of ―End-to-End Networking Solution Deploy-

ments: First, Last & the All the Offshore Drilling Environ-

ment‖ from both Schlumberger, and Hughes;

A profile from Spacenet Thailand of ―Cloud Comput-

ing and Future Oil & Gas Industry Networking: The Satellite

Communications Interface with Virtualization, Grid Com-

puting & Service Oriented Architecture‖;

Opinion

The Far and Middle East GVF „Event Horizon‟

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November 16, 2010 16 Satellite Executive Briefing

―Saving Lives, Saving Money:

New Horizons in Oil & Gas Safety

Monitoring & VSAT Data Networking

in the Field‖, examined by iDirect-

SatManage;

Perspectives on ―Commercial Ap-

plications in the Oil & Gas Sector Con-

text: Helping Developers Get on the

Satellite Wavelength!‖ will be investi-

gated by Schlumberger;

―Satellite Signal Interference Miti-

gation for Oil & Gas in South East

Asia: Installation Training Dynamics,

Equipment Installer Certifications &

Type Approvals‖, profiled by PTS

Thailand/GVF Capacity Building

Division;

A Hughes focus on ―The Accelera-

tion & Compression Factor: Matching

Evolving Technologies & Satellite Link

Efficiencies to Oil & Gas Customer

Requirements‖; and,

―Oil & Gas Communications and

‗Community Engagement‘: Merging

Community & Profitability in the

Patch‖, investigated by GVF.

Other communications solution provid-

ers featuring in the conference pro-

gramme will include SpeedCast and

Telekom Malaysia. Further topics to be

discussed during the two days of the

conference programme include:

Implications for E&P ICT in cer-

tain regions of the oil & gas patch aris-

ing from deep-water drilling moratoria

in other hydrocarbon extraction ocean

regions;

Revenue Stream Maximisation

from Oil & Gas Vertical Customers:

Matching the Vendor Offering to the

Customer Requirement;

The Dynamics of the Oil & Gas

Communications Technology Market:

VAS in Project Deployment Case Stud-

ies;

For information please visit the confer-

ence website at www.uk-

emp.co.uk/3rd.O&G.SEAsia.2010/ or

contact Martin Jarrold at mar-

[email protected] or Paul Stahl at

[email protected].

GVF Middle East and North Af-

rica Satellite Summit

Organised by GVF – in partnership with

Dubai World Trade Centre (DWTC)

and the Dubai International Convention

& Exhibition Centre (DICEC) – the

GVF MENASAT Summit 2011 is part

of the Satellite MENA exhibition

KNOWLEDGE EXCHANGE & CAB-

SAT ACADEMY.

On 9th February 2011 the Summit, enti-

tled „New Drivers, New Dynamics:

MENA Communications Markets,

Applications & Technologies‟, will be

supported by Satellite Markets & Re-

search, and Arab Advisors Group are

Summit Research Partners. It will bring

together communications industry lead-

ers to identify and discuss the develop-

ment of new opportunities in satellite

and satellite-hybrid services and tech-

nologies across the Middle East and

North Africa region. Emphasising dis-

cussion and the exchange of new ideas,

Summit attendees – including represen-

tatives of communications technology

end-users; platform and network opera-

tors; technology developers and equip-

ment manufacturers; and, market ana-

lysts – will contribute to making this

event an unrivalled networking opportu-

nity for the entire MENA region.

Large-enterprise, SME, SOHO, govern-

ment and consumer users alike, con-

tinue to clamour for cost-effective ac-

cess to reliable communications solu-

tions which accelerate the accessibility

of Internet-based, bandwidth-hungry,

interactive applications, and to meet

this demand multiple delivery platforms

and technologies are rapidly being de-

ployed around the Middle East & North

Africa region.

A combination of pent-up demand for

broadband access solutions, progressive

satellite liberalization, and new satel-

lites at Ku- and Ka-band is driving busi-

ness opportunity across the MENA re-

gion.

From government networks to financial

services, from oil & gas to the maritime

transportation environment, from news

gathering/media content generation to

applications innovation, and from edu-

cation to the health sector, the interna-

tional satellite communications industry

is moving rapidly to address fixed satel-

lite service (FSS) and mobile satellite

service (MSS) requirements for band-

width, hardware, and value-added ser-

vices. Additionally, this pent-up de-

mand for telecoms/Internet access solu-

tions comprises one element of the sat-

ellite transponder supply & demand

interplay with the DTH arena and

broadcast satellite service (BSS).

These themes will be treated in depth

during the GVF MENASAT Summit

@ Satellite MENA 2011 which will

include:

MENA Communications Markets – The

Opinion

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November 16, 2010 17 Satellite Executive Briefing

Landscape & ―Visionscape‖: Under-

standing Today‘s & Forecasting Tomor-

row‘s Regional Growth Drivers

Building-Out the Hybrid Opportu-

nity: Evolving Regional Broadband

Satellite-Wireless Integrated Solution

Deployments

Satellite in MENA: ―The Future is

Ka...‖

Satellite Broadband for the Remote

Un/Underserved: Communications So-

lution End-User Industries,

‗Community Engagement‘ & the

‗Digital Divide‘

Mitigating Disaster, Promoting

Development, Driving Sustainability:

GVF Disaster-Preparedness Initiatives

& Beyond

The MENA Regulatory Landscape

in 2011

Applications Focus

1: FSS, BSS & MSS in MENA: Future

Satellite Transponder Supply & De-

mand Dynamics

2: Enhancing Web Mobility: Satellite-

Wireless Access to Multimedia Solu-

tions on the Move

3: From New Technology to New Con-

tent: Auto-Deploy Platforms & the

Changing DSNG Paradigm

Regional End-User Vertical Market

Focus

1: Commerce & Consumers: Demand

Dynamics & Satellite Broadband Solu-

tions for Dedicated Markets

2: Oil, Gas, Mining: Communications

Imperatives for the Extraction Indus-

tries

3: Middle East Maritime Broadband

Communications: The Global Context

of a Bandwidth Evolutionary Transition

Technology Focus

1: Paradigm Shift among Paradigm

Shifts: ‗Carrier-In-Carrier‘ & the Cut-

ting-Edge Progress in Modem Design

2: DVB-S2 & Beyond: Innovation in

the Satellite Networking Advantage

3: Signal Interference Mitigation Strate-

gies: Regional Initiatives & the Global

Satellite Industry Challenge – Enhanc-

ing the Installer Training Horizon

Additionally, GVF has issued a “Call

for Papers” to the satellite industry, in

order that the very latest industry initia-

tives, and the most up-to-date and cut-

ting-edge product provisions and ser-

vice deliveries, are reflected in the

Summit programme. Proposals for

presentation themes/topics should be

submitted to me – mar-

[email protected]. The Satellite

MENA website, which provides Sum-

mit information, is at

www.satellitemena.com.

Martin Jarrold is Director of Inter-national Pro-grams of the GVF. He can be reached at:

[email protected]

A combination of pent-up demand for broadband access solu-tions, progressive satellite liberalization, and new satellites at Ku- and Ka-band are driving business opportunity across the Middle East North Africa region. GVF will be covering these issues in the GVF MENASAT Summit durng the Cabsat / Satel-lite MENA 2011 exhibition in Dubai (photo courtesy of Cabsat)

Opinion

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Satellite Executive Briefing 18 November 16, 2010

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November 16, 2010 19 Satellite Executive Briefing

Show Report

SATCON 2010 Highlights the New Multiplatform Media Environment

by Virgil Labrador and Elisabeth Tweedie

T he SATCON Conference and Expo, one of several

exhibitions and conferences held concurrently under

the umbrella Content and Communications World

(CCW) event focused on business solutions for content crea-

tion, production and post production, media management,

distribution and delivery, infrastructure management, and a

wide range of communications solutions including satellite,

fiber, hybrid networks, IPTV and other delivery formats.

The conference sessions and

exhibits showcased the dra-

matic changes in how we re-

ceive and relate to video and

the diversity of choices and

multiplicity of formats and de-

livery media available today.

Organizers of CCW, featuring

SATCON, HD World and the

new 3D World Conference &

Expo, said that the 2010 confer-

ence, which was held October

13-14, was their biggest event

to date. The event welcomed a

record-breaking 5,537 atten-

dees, an 11 percent increase

from 2009.

"We're excited about CCW's

growth this year," said Michael

Driscoll, Event Director for CCW. "Not only is our increased

attendance a sign of an improving economy, but it's also a

testament to the undeniable value CCW brings to this indus-

try."

One of the highlights of

this year's CCW show

was the addition of 3D

World, where attendees

interacted with experts

already creating, pro-

ducing and delivering

3D content, and met

with over seventy ven-

dors providing practical

and affordable technol-

ogy 3D solutions. Another highpoint of the show was the

expanded Post Production offerings, with new collaborations

involving The New York Post Production Conference

(NYPPC), produced by Future Media Concepts and the Mo-

tion Picture Editors Guild (MPEG).

It is evident from the discussions during the conference that

the tendency for the industry in the last few years to look for

the next ―killer app‘ when the greater challenge is how to

thrive in the new multiplatform media environment that we

are facing today. As NBC Universal‘s SVP for Broadcast

Operations Matthew Braatz said

in another panel on ―Strategic

Challenges for Multiplatform

Delivery‖ that what we should

ask is ―what is our core compe-

tency? We should shift from

delivery to asset management.‖

One thing that CCW demon-

strates is that content providers

such as the traditional broad-

casters and programmers, and

service providers that distribute

content through various media

and platforms, need each other

to develop their businesses to

its full potential. Both can

benefit from their core compe-

tencies and offer the consumer

an integrated user experience

across many platforms. As the NBA‘s EVP of Operations,

Steve Hellmuth said at SATCON: ―If we‘re going to be suc-

cessful we have to be as convenient as Apple–the ultimate

winner will be the provider that makes it easiest for the con-

sumer.‖

SATCON 2010 New York City, October 13-14, 2010

Virgil Labrador is Editor-in-Chief of Satellite Markets and

Research. He can be reached at:

[email protected]

Elisabeth Tweedie s the founder and President of Definitive

Direction (www.definitivedirection.com She can be reached

at: [email protected]

View video and audio inter-views of key satellite indus-try executives at SATCON

2010 at www.satellitemarkets.com/

current

The 2010 edition of SATCON, part of the Con-tent Communications World event that included HD World and #d World, attracted over 5,000 participants this year—an 11 percent increase from the previous year. (JD Events photo)

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Satellite Executive Briefing 20 November 16, 2010

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November 16, 2010 21 Satellite Executive Briefing

Featured Event

Satcom Africa 2011

T he opportunities for satellite

communications in Africa

has never been greater. We

saw a glimpse of this in June this

year during the World Cup finals

held in South Africa. The successful holding of the World

Cup in South Africa demonstrated to the world that Africa is

coming of age in the

world‘s stage.

Growth in the African

communications sector

has been exponential, but

market penetration for

telecommunications still

stands at around 40%;

only ¾ of households own

a TV set; and over a ¼ of

households have access to

a computer at home.

More than anything else

this shows the large po-

tential for growth in the

African market.

The potential of the Afri-

can market for telecom-

munications services has

not been lost with satellite

operators and service providers who have been establishing a

foothold in this market. Major satellite operators have ex-

panded their fleet to cover Africa and even regional opera-

tors from Asia such as Measat and Asia Broadcast Satellite

have joined in the fray.

SatCom Africa, now going on its 14th year, is the forum for

operators, developers and users of satellite technology to

come together to find solutions to the problems, do business

and form strategic alliances. SatCom Africa is the largest

satellite communications conference and exhibition focusing

specifically on the needs of the African continent. It brings

together end-users and suppliers of satellite technology to

find cost effective and reliable communications solu-

tions.Satcom Africa will be held in Johannesburg, South

Africa from May 30-June 2, 2011.

Africa‘s largest gathering of key players in the communica-

tions sector saw top names and key players converged yet

again for an unbelievable business-networking event. 2010

hosted a greater show of international and local solution pro-

viders; African broadcasters; ISP‘s and telcos.

All-round, 2010 was a successful show where delegates

learned new strategies and forged new relationships while

sponsors and exhibitors met senior buyers face-to-face and

acquired new leads.

Satcom Africa is Africa‘s defini-

tive satellite communications

event with a core mission: To

promote development and im-

provement of connectivity across

Africa by providing a platform

where ideas can be shared and

sound business can be done.

SatCom Africa will focus on:

Remote and rural access

Backhaul

Network integration

Accessing new markets

Regulation

Broadcasting

Internet usage and uptake

For more information on Satcom

Africa contact Tatum Willis at phone +27 11 516 40 or e-

mail at [email protected] More information on

the event can be obtained at their website at:

www.terrapinn.com/2011/satcomza/

Satcom Africa Conference and Exhibition Johannesburg, South Africa May 30-June 2, 2011

The potential of the African market for tele-communications services has not been lost with satellite operators and service providers who have been establishing a foothold in this market. (photo courtesy of Terrapinn)

What they are saying about Satcom Africa:

―Spot on. Fast, furious and fascinating!‖ Jason Simpson, Head of procurement, Cable & Wire-

less Communications

―A wonderful and very educative experience‖ Silas Mudekhere, Programs Director, National Council

for Science and Technology / AfyaNet Kenya ―Informative and extremely relevant to my area of

work – the broadcasting industry‖ Umikywo Yengwa, Platform Specialist, MultiChoice

Africa

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November 16, 2010 22 Satellite Executive Briefing

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November 16, 2010 23 Satellite Executive Briefing

Source: ABI Research. (www.abiresearch.com)

3D TV Market

The 3D TV market will spend

the next couple of years estab-

lishing itself and accumulating

a base of content and devices

(both TVs and Blu-ray players).

In 2013, according to ABI Re-

search, market growth will start

to accelerate, and shipments of

3D TV sets will approach 50

million in 2015.

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November 16, 2010 24 Satellite Executive Briefing

Stock Monitor

The Satellite Markets 25 IndexTM is a composite of 25 publicly-traded satellite companies worldwide with five companies representing each major market segment of the industry: satellite operators; satellite and component manufacturers; ground equipment manufacturers; satellite service providers and con-sumer satellite services. The base data for the Satellite Market Index is January 2, 2008--the first day of operation for Satellite Market and Research. The Index equals 1,000. The Satellite Market Index TM pro-vides an investment benchmark to gauge the overall health of the satellite industry.

© 2010 Satellite Markets and Research, Satellite Executive Briefing and the Satellite Market IndexTM are trademarks of Synthesis Publications LLC. Synthe-sis Publications LLC is the owner of the trademark, service marks and copyrights related to the Index. This newsletter does not constitute an offer of an investment product. Satellite Executive Briefing makes no representation regarding the advisability of investing based on the information provided in the Satellite Markets IndexTM. All information is provided ‘as is’ for information purposes only and is not intenteded for trading purpose or advice. Ne ither Satel-lite Executive Briefing nor any related party is liable for any informational error, incompleteness or for any actions taken based on information contained herein.

INDEX Index Value

(Nov. 12)

% Change

2 Weeks Ago

% Change

Jan. 2010

% Change

Jan. 2008

Satellite Markets 25 IndexTM 1125.80 +2.49% +14.85% +12.58%

S & P 500 1199.58 +1.31% +6.92% -16.81%