Vol. 5 No. 4 April 2012 Industry Trends, News Analysis ... · Industry Trends, News Analysis,...

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Satellite Executive Briefing 1 April 2012 Industry Trends, News Analysis, Market Intelligence and Opportunities Vol. 5 No. 4 April 2012 Navigating the ‘Great Content Shift’ by Elisabeth Tweedie T he theme of this year’s NAB to be held this month in Las Vegas is “the great content shift.” If you haven’t attended the NAB in the last five years, you’ll hardly recog- nize it now. The focus is still on tra- ditional broadcasting, but it has since incorporated the many changes in how content is created, managed and dis- tributed in the new multiplatform en- vironment. The NAB now covers Over -the-Top (OTT), IPTV and other new and emerging technologies. OTT, IPTV, cord cutting, cord shaving no matter which variant and what you call it, it is regarded as a threat to tra- ditional TV, whether satellite, cable or OTA, but how imminent and how real is that threat? The 2011 Video over Internet survey from Accenture which covers the US, Brazil, UK, Germany, Italy, Spain and Australia states that between 2009 and 2013 IPTV households will increase by 35%. In the same time period sat- ellite TV households will increase by 11% and cable households by 2%, interestingly their projection for OTT was only 5%. To put these figures in perspective the 35% growth will result in 59 million IPTV households, the 2% cable growth will result in 473 million cable house- holds and there will be 170 million satellite TV households and only 37 million OTT households. Put it another way if IPTV continues a growth rate of 35% in eight years there will be more IPTV households than the combined cable and satellite households today. So yes, the rapid growth rate cannot be ignored, but what is also relevant, and often over- looked in these discussions, is the amount of time spent watching video from the dif- ferent sources. 85% of TV content in the US is still viewed live according to a report from Nielsen in Febru- ary of this year. Time-shifted TV using a DVR accounts for another 8%. While that leaves 7% of TV being viewed by other means, the total amount of time each person spends viewing live or time-shifted TV has actually increased by 19 minutes from the same time period in the previous year. Overall in the US time spent watching lin- ear and time-shifted TV is 146.8 and 10.9 hours per month respectively. This compares with 8.8 hours spent watching video on the internet or a mobile phone. The Accenture report similarly showed that across all age groups and geographies 92% of con- sumers watched TV via traditional sources (cable, Continued on page 4 What’s Inside From the Editor....3 Executive Round- table : The Maritime Satellite Market....8 Back & Forth with Lou Zacharilla: Bill Tillson, COO Encompass Digital Media……………....17 The How and Why of RFI in Oil and Gas by Martin Jarrold...30 Events Calendar....18 Products/Services MarketPlace………20 Industry Briefs…...24 Market Briefs….….28 Show Reports: Satellite 2012 & Cabsat 2012……....32 Vital Statistics....37 Stock Index……….38 This year’s NAB will be show- casing the new multiplatform media environment. (image courtesy of NAB)

Transcript of Vol. 5 No. 4 April 2012 Industry Trends, News Analysis ... · Industry Trends, News Analysis,...

Satellite Executive Briefing 1 April 2012

Industry Trends, News Analysis, Market Intelligence and Opportunities

Vol. 5 No. 4 April 2012

Navigating the ‘Great Content Shift’

by Elisabeth Tweedie

T he theme of this year’s NAB to be held this

month in Las Vegas is “the great content

shift.” If you haven’t attended the NAB in

the last five years, you’ll hardly recog-

nize it now. The focus is still on tra-

ditional broadcasting, but it has since

incorporated the many changes in how

content is created, managed and dis-

tributed in the new multiplatform en-

vironment. The NAB now covers Over

-the-Top (OTT), IPTV and other new

and emerging technologies.

OTT, IPTV, cord cutting, cord shaving

no matter which variant and what you

call it, it is regarded as a threat to tra-

ditional TV, whether satellite, cable or

OTA, but how imminent and how real

is that threat?

The 2011 Video over Internet survey

from Accenture which covers the US,

Brazil, UK, Germany, Italy, Spain and

Australia states that between 2009 and

2013 IPTV households will increase

by 35%. In the same time period sat-

ellite TV households will increase by

11% and cable households by 2%,

interestingly their projection for OTT was only 5%.

To put these figures in perspective the 35% growth

will result in 59 million IPTV households, the 2%

cable growth will result in 473 million cable house-

holds and there will be 170 million satellite TV

households and only 37 million OTT households.

Put it another way – if IPTV continues a growth rate

of 35% in eight years there will be more IPTV

households than the combined cable and satellite

households today.

So yes, the rapid growth rate

cannot be ignored, but what is

also relevant, and often over-

looked in these discussions, is

the amount of time spent

watching video from the dif-

ferent sources. 85% of TV

content in the US is still

viewed live according to a

report from Nielsen in Febru-

ary of this year. Time-shifted

TV using a DVR accounts for

another 8%. While that

leaves 7% of TV being

viewed by other means, the

total amount of time each

person spends viewing live or

time-shifted TV has actually

increased by 19 minutes from

the same time period in the

previous year. Overall in the

US time spent watching lin-

ear and time-shifted TV is

146.8 and 10.9 hours per

month respectively. This

compares with 8.8 hours

spent watching video on the internet or a mobile

phone. The Accenture report similarly showed that

across all age groups and geographies 92% of con-

sumers watched TV via traditional sources (cable,

Continued on page 4

What’s Inside From the Editor…....3

Executive Round-table: The Maritime Satellite Market…....8 Back & Forth with Lou Zacharilla: Bill Tillson, COO Encompass Digital Media……………....17 The How and Why of RFI in Oil and Gas by Martin Jarrold...30 Events Calendar....18 Products/Services MarketPlace………20 Industry Briefs…...24 Market Briefs….….28 Show Reports: Satellite 2012 & Cabsat 2012……....32 Vital Statistics…....37 Stock Index……….38

This year’s NAB will be show-casing the new multiplatform media environment. (image courtesy of NAB)

April 2012 2 Satellite Executive Briefing

Satellite Executive Briefing 3 April 2012

EDITORIAL Virgil Labrador Editor-in-Chief [email protected] Elisabeth Tweedie Associate Editor [email protected] Contributing Editors: North America: Robert Bell, Bruce Elbert, Dan Freyer, Lou Zacharilla Latin America: B. H. Schneiderman Europe: Martin Jarrold, London Jan Grøndrup-Vivanco, Paris Roxana Dunnette, Geneva Asia-Pacific: Peter Galace, Manila Tom van der Heyden, Hong Kong Riaz Lamak, India

ADVERTISING

Michelle Elbert [email protected]

Satellite Executive Briefing is published monthly by

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

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

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©2012. No part of this publication may be reprinted or reproduced without prior written consent from the publisher.

From the Editor

I have to admit, of all the industry trade shows on our calen-

dar, the one I’m most excited to attend is the NAB in Las

Vegas which will be held from April 14-19 this month. Not

because of the glitzy venue, Las Vegas, which frankly doesn’t

really have much of an appeal to me, but of all the industry

shows the NAB is the most dynamic and forward looking of all.

The NAB has expanded its scope to incorporate the many new content plat-

forms that have developed over the years. It is also the most diverse in terms

of technologies and companies from many different industries from over 100

countries.

The theme of this year’s NAB is “The Great Content Shift: Defining Your Evo-

lution.” This is radically different from themes of past NABs. Not only is the

show billed to provide a road map to the changing content creation, distribu-

tion and management ecosystem, it promises to provide an environment

where you—whether you are a user, distributor or producer of content—

define how you or your company will evolve amid all the changes impacting

the industry.

Our cover story by Elisabeth Tweedie provides some insights on the “Great

Content Shift.” If you are going to the NAB, don’t miss our Products and Ser-

vice MarketPlace Guide to the NAB on pages 20-23. The NAB can be very

overwhelming and complex, but we can help break it down for you, so con-

tinue to follow us on our website during and after NAB for breaking develop-

ments and insights in this constantly evolving industry.

‘Defining Your Evolution’

Stay Connected

Go to www.satellitemarkets.com to get the latest

updates, trends and analysis on the

global satellite industry

Sign up for our biweekly e-mail newsletter Read full versions of articles and Market reports Check out the latest statistics and stock indices

View, listen or download video and audio interviews with

key industry executives

It’s all free, go online now at www.satellitemarkets.com

April 2012 4 Satellite Executive Briefing

satellite and Over-the Air (OTA).

While this is not to the exclusion of

other means, it does clearly indicate that

TV as we know it is not about to disap-

pear.

Similarly a global report from Ericsson

shows that in 2011 84% of consumers

watched live TV several times a week.

What is definitely changing is what else

people do when they’re watching TV,

with over 50% talking on the phone,

45% using social media and over 60%

browsing on the internet. Interestingly

the use of social media – tweeting and

commenting on Facebook etc means

that the demand for “live con-

tent” (reality TV, Dancing

with the Stars etc.) is actu-

ally increasing.

Much has been made of the

fact that Netflix has more

subscribers than each of the

individual major cable net-

works. This however is

comparing a national service

with a regional one, hardly a

fair comparison, so maybe

the better way to look at it

would be to compare Netflix

subscribers against premium

TV channel subscribers:

Showtime, HBO and Starz.

Netflix’s approximately 27

million subscribers are less

than any of those individual

channels and about 23% of

the combined premium

channel subscribers. Projec-

tions from IHS (formerly Screen Di-

gest) indicate that while Netflix will

grow to around 40 million subscribers

by 2015 putting it about on par with

HBO, it will still only be around 22% of

the combined subscribers of the three

premium channels.

All of these facts point very clearly to

the fact that for most – but not all –

consumers it will be a case of OTT and

IPTV providing complementary video

viewing and not substitution to the ex-

tent that satellite and cable TV are

dropped completely.

Satellite service revenues have grown

by 14% since 2005 to US$ 101.3 Bil-

lion of which $83.1 Billion is in the

consumer sector – primarily Direct-to-

Home (DTH) with 147M subscribers

globally. Revenues have been driven

by the growth in HD. Growth in this

sector will continue coming both from

Europe and Asia which currently lag the

US in numbers of HD channels and also

from higher quality bandwidth hungry

formats. 4K is poised to follow 2K

with 8K waiting in the wings. The de-

mand is there as evidenced by the 57%

of respondents in the Ericsson survey

citing “excellent quality (HD or HD+)”

as a key feature and something they are

willing to pay for which bodes well for

the satellite industry.

At the Broadcasters roundtable at Satel-

lite 2012 in Washington, DC recently it

was clearly evident that for Content

Distribution Networks (CDN) satellite

was here to stay. Several broadcasters

citing the reliability and wide reach of

satellite, neither of which fiber can

compete with.

Of course, given the recent launches,

one of the main topics of conversation

at the Washington Conference was Ka-

Band. It has previously been stated by

both Avanti and Eutelsat, operators of

the Hylas-1 and KA-SAT satellites re-

spectively, that consumer and enter-

prise broadband is only one of several

markets for Ka-Band: SNG, mobile

backhaul, edge-casting, maritime, mo-

bile, military and local TV being men-

tioned as other potential uses.

In March this year, Eutlesat

announced that it would be

broadcasting five TV chan-

nels and ten radio channels

on KA-SAT to Ireland to

provide service to the 1-2%

of customers out of reach of

RTÉ’s DTT service. How-

ever the real surprise came

from Philip Goswitz SVP,

Space & Communications/

Research & Development, of

DIRECTV who pointed out

that even though the manage-

ment of the company may not

have realized it yet, around

75% of their total revenue –

which was $27 Billion in

2011 - was coming from Ka-

band. DIRECTV currently

has 12 satellites in orbit of

which 5 are Ka-Band. The Ka-Band is

used exclusively for HD content and

that brings in around $20 Billion per

annum. There are a further two Ka-

Band satellites on order and Goswitz

predicted that in five years time 100%

of DIRECTV’s revenue would be from

Ka-Band. Interestingly all of

Echostar’s DTH satellites are Ku-Band.

In the near future the demand for tradi-

tional video – cable, satellite and OTA -

will continue and if the projections are

correct viewers will increase and it will

remain the most significant method of

viewing video for the vast majority of

viewers.

Cover Story

Navigating the “Great Content Shift’... From page 1

“...for most –but not all–consumers it will be a case of OTT and IPTV providing complementary video viewing and not substitution to the extent that satellite and cable TV are dropped completely…”

A recent European initiative is Hybrid Broadband Broadcast Television (HbbTV) supported by SES and Eutelsat, The viewer gets one remote to control one screen as in linear TV so making the source, which could be cable, satellite, OTA and broadband “invisible” to the user. (image: HbbTV)

Satellite Executive Briefing 5 April 2012

April 2012 6 Satellite Executive Briefing

Satellite Executive Briefing 7 April 2012

But change is afoot and as an industry

we would be foolish to ignore it. Ro-

main Bausch, President and CEO of

SES, summed it up very nicely at Satel-

lite 2012 when he said that satellite

needed to be an integral part of the mix

coming into the home Set Top Box or

Gateway. So that it can then be ac-

cessed wirelessly anywhere in the home

alongside other content, the source be-

ing transparent to the viewer.

A European Initiative Hybrid Broad-

band Broadcast Television (HbbTV)

supported by both SES and Eutelsat, is

doing exactly that. The objective is to

seamlessly integrate the delivery of

linear and non-linear video through TVs

and set-top boxes with an optional web

connection. The technology is based on

existing standards including Open IPTV

Forum, CEA, DVB and W3C. The

viewer gets one remote to control one

screen as in linear TV so making the

source, which could be cable, satellite,

OTA and broadband “invisible” to the

user.

At the end of last year Globecast and

FRANCE 24 announced that they

would hold trials of an HbbTV service

with Western European viewers early

this year. Viewers will use their con-

nected television to interact with

FRANCE 24’s linear TV services

(delivered via satellite) and non-linear

services delivered via broadband which

will effectively be integrated. Orange

will deliver the broadband content.

And at the end of March Eutelsat an-

nounced an exten-

sion to their Kabel-

Kiosk service also

utilizing the HbbTV

standard. The ser-

vice will provide

bundling of satellite

and terrestrial ser-

vices to offer linear

and on-demand ser-

vices through the

TV screen. Eutelsat

are offering the ser-

vice as a “white

label” so that opera-

tors can provide the service through

their own brand, but without having to

make significant investments in their

own infrastructure and service platform.

Industries that don’t innovate usually

die, in this case there is plenty of inno-

vation and although in the long run

there is a very real threat there is time to

continue innovating and experimenting

with new technologies and delivery

methods.

Cover Story

Elisabeth Tweedie has over 20 years

experience at the cutting edge of new com-

munication and entertainment technologies.

She is the founder and President of Defini-

tive Direction a consultancy that focuses on

researching and evaluating the long term

potential for new ventures, initiating their development and

identifying and developing appropriate alliances. During

her 10 years at Hughes Electronics she worked on every

acquisition and new business that the company considered

during her time there. www.definitivedirection.com She

can be reached at: [email protected]

April 2012 8 Satellite Executive Briefing

Executive Roundtable

The Maritime Satellite Market by B.H. Schneiderman

T hree-fourths of the Earth’s surface are covered by oceans and 90 percent of the world’s com-merce go through them. Satellite communications is the only means of communication among the various vessels operating in the high seas. Euroconsult has forecasted that the number of

satellite communications terminals in the global maritime market will nearly double over the next de-cade, with a compounded annual growth rate (CAGR) of seven percent over the 10-year period. While MSS terminals are still expected to account for the majority of terminals deployed over the decade, VSAT service providers should gain significant market share in terms of revenue in the coming 10 years. Euroconsult said the number of terminals used for global maritime satellite communications grew at around six percent in 2011, while revenues at the satellite operator level increased by over seven percent. The total size of the market reached about 317,000 active terminals in 2011 that gen-erated more than US$ 400 million in revenues at the service provider level. Established MSS services and especially the emerging VSAT business contributed to the overall growth of the maritime satellite communications market.

To shed light on the trends in the maritime satellite market, Satellite Executive Briefing invited several key executives from some of the leading companies in the maritime field. We asked Jay Yass, Vice- President, Global Accounts and Strategic Sales of Intelsat; Frank Coles, President, Inmarsat Mari-time; Joel Thompson, Vice-President, Product Management, Iridium; Terry Neumann, Director, Corporate Marketing of iDIRECT; Atul Chawla, Product Marketing Manager of Sea Tel Products, Cobham Antenna Systems; Sharon Goldenberg, Senior Director, Product Marketing of Orbit Sat-ellite Communications: Jim Dodez, Vice-President, Marketing and Strategic Planning, KVH Indus-tries; and Noah Chung, International Sales Director of KNS Inc. to share their views in a roundtable discussion on this important market. Follows are excerpts of the discussion:

Phot

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sy o

f KN

S

Satellite Executive Briefing 9 April 2012

Satellite Executive Briefing (SEB):

What trends do you see shaping up for

the maritime satellite market in the next

few years?

Jay Yass, Vice President, Global Ac-

counts and Strategic Sales of Intelsat:

The demand for broadband connectivity

has increased significantly over the past

few years. Demand is expected to grow

steadily, with traffic driven by new ap-

plications as well as continued growth

in sectors such as oil and gas and cruise

sectors. Market studies predict growth

around the globe, with especially strong

demand in the Asia-Pacific region.

There are several factors and applica-

tions driving the growth in maritime

broadband demand. When you look at a

vessel as an expensive node on the cor-

porate network, maritime broadband is

a necessity not a nice-to-have. Auto-

mated on-board control sys-

tems, electronic charts and real-

time weather require reliable,

cost-effective, always-on broad-

band connectivity. Emergence

of IP M2M applications go be-

yond asset tracking to allow

fleets to gain efficiency through

real-time monitoring of key

systems. This trend is bolstered

by cloud computing, which also

requires always-on affordable commu-

nications. And finally, traditional appli-

cations like VPN, VoIP and GSM are

growing even faster due to devices like

smart phones and tablet computers.

Frank Coles, President, Inmarsat

Maritime: The over-riding trend is for

more and better access to data commu-

nications; whether it is for operational

reasons – such as navigational informa-

tion, real-time weather updates or re-

mote engine monitoring – or for crew

welfare and communications, which is

growing in importance as shipping

companies seek to retain their highly-

trained personnel. Many ships are now

in effect floating nodes on a corporate

network, and as such high quality data

communications is a crucial enabler.

There are two other key issues in the

market right now. One is the depend-

ability and longevity of satellite opera-

tors; ship owners want to know that the

communications service they install

today can be relied upon to deliver a

high-quality service tomorrow. Inmar-

sat is a solid business with an advanced

global network that is operational now,

and with very clear plans for the future

– all of which are fully funded and cur-

rently ahead of schedule. The other is-

sue is price. Obviously ship owners are

sensitive to the cost of satellite commu-

nications, but more than anything they

want an element of predictability – they

want to fix their costs. Inmarsat has

recently overhauled our pricing struc-

ture to not only bring prices down but

also to introduce various packages with

fixed Gigabyte allowances.

Joel Thompson, Vice-President,

Product Management, Iridium: A

decade ago, the primary use of ship-to-

shore satellite communications was

voice traffic, with relatively high per-

minute rates for phone calls. These

days, we are seeing much more data

traffic for crew email, text messaging,

social media and Internet browsing, as

well as exchanging data files with the

home office. As users all over the world

continue to expect higher-capacity

global connectivity, the demand for

these types of data communications

services should only continue to in-

crease in the years to come. To meet

this demand and to address maritime

communications costs, a large number

of VSAT network operators are now

offering bundled services under a fixed

monthly charge. The use of short-burst

data for applications such as GPS track-

ing and status monitoring of containers

and shipboard equipment has also in-

creased.

Iridium is working closely with major

VSAT network operators to our bundle

Iridium PilotTM device and our Iridium

OpenPort® service, the most afford-

able, high-value maritime broadband

solution on the market, with VSAT net-

work operators’ proprietary software

and hardware solutions to offer low-

cost broadband service plans to custom-

ers. This combination is an industry

first that enables customers to use a

VSAT system backed by the reliability

of the Iridium satellite network, giving

them a new level of customization and

control that was not available previ-

ously. Iridium Pilot is optimized to

seamlessly integrate with a vessel’s

VSAT platform to overcome the cover-

age gaps, data-rate constraints and com-

paratively higher prices of other L-band

mobile satellite service providers. Irid-

ium currently offers VSAT companion

packages with partners KVH Industries

Inc. and Vizada, but we expect to add

other maritime partners later this year.

Terry Neumann Director,

Corporate Marketing of

iDIRECT: The next five

years will be very exciting

for the maritime satellite

market. The use of VSAT

technology has finally taken

hold and you are seeing it

implemented across many

different sectors of the mari-

time market. C-band and

Ku-band services have provided reli-

able, higher speed connectivity options

for this market that legacy L-band solu-

tions couldn’t offer. With the expected

launch of spot beam based satellites,

especially in Ka-band the maritime

market will see a greater amount of

capacity available and more cost effec-

tive services being offered. This will

further open up the for VSAT connec-

tivity to be deployed on more vessels

enabling them to run advanced IP based

business or entertainment applications

while at sea.

Atul Chawla, Product Marketing

Manager of Sea Tel Products, Cob-

ham Antenna Systems: Over the last

five years, C, Ku and L band services

have worked independently and service

providers have built services around

these frequency bands. Over the next

five years, we will see “the great mash-

ing” where these bands will become

somewhat irrelevant to the end-user.

Executive Roundtable

“...These days, we are seeing much more data traffic for crew email, text messag-ing, social media and Internet browsing, as well as exchanging data files with the home office…” -Joel Thompson, Vice-President, Product Management, Iridium

April 2012 10 Satellite Executive Briefing

Satellite Executive Briefing 11 April 2012

The new networks will be hybrids tak-

ing advantage of the benefits that each

of these schemes offer. We will also

see the emergence of Ka band services.

These services will offer practically

global coverage on their own as well as

stitching various regional services, pro-

viding roaming on each other’s net-

work. The mega trends for the next

several years will include more band-

width being made available to the mar-

ket. I believe this supply will be met

with unarticulated demand by end-users

for more bandwidth as the maritime

personnel get better connected to their

counterparts on land. For

capital equipment such as

our antenna systems, we

expect products to come to

market with more versatil-

ity and with inherent future

proofing of investments

such as the Sea Tel 4012,

Ku band system that is Ka

upgradable and the 9711

QOR multi band antennas.

The nebulous market for

sub 1m Ku VSAT systems

will finally emerge in 2012

and we expect that it will open up new

markets who are looking for fixed costs

for communication like the 1m market

of today. Unlike today, the majority of

the ships are expected to have maritime

broadband services in the next five

years. This includes large yachts for

leisure market, commercial shipping,

fishing and oil and gas.

Sharon Goldenberg, Senior Director,

Product Marketing of Orbit Satellite

Communications: The next 5 years

are expected to be exciting for the mari-

time satellite markets. There is no

doubt that fixed price broadband con-

nectivity will become a MUST on most

of the major fleets, and eventually, like

we have at home, broadband internet

will become a standard need. We be-

lieve that in addition to the legacy Crew

Welfare needs, the introduction of mis-

sion and business critical applications,

especially for enhanced operational

effectiveness and better centralized

control, will increase the adoption of

reliable broadband and global VSAT

solutions. Such applications, and thus

VSAT systems, are widely used by

some of the maritime segments such as

cruise liners, LPG and Oil Tankers, Oil

and Gas rigs, seismic survey vessels

and Naval vessels, but we foresee that

other segments of the market will

gradually adopt such applications and

therefore VSAT solutions in the years

to come. Having said that, we believe

that in addition to the segments listed

above, the commercial shipping seg-

ment, as well as the O&G service ves-

sels and Naval vessels will drive the

VSAT market in the near future. We

strongly believe that as VSAT will be-

come more common, customers will

not compromise on the reliability, qual-

ity of service and regulatory compli-

ance of their VSAT solution. As such,

customers will demand strict regulation

compliance as well as unified quality of

service, regardless of where their ves-

sels tend to sail or what is the weather

condition in that area. The expected

introduction of Ka coverage for mari-

time, for sure will have an effect on the

maritime VSAT market. While it will

take about 1-2 years until actual ka

coverage will be fully operational, the

effect of the expected Ka constellation

is already sensed in the market.

Jim Dodez, Vice-President, Market-

ing and Strategic Planning. KVH

Industries: This is an exciting time for

maritime satellite communications pro-

viders like KVH. Commercial mariners

are adopting advanced onboard com-

munication and crew welfare solutions

more than ever before, making satellite

communications for commercial ves-

sels a key growth opportunity for enter-

prise solutions like KVH’s mini-VSAT

BroadbandSM network and TracPhone

V7 and V3 antennas. An estimated 90%

of the world’s cargo volume is moved

by ship, making efficient business op-

erations and retention of crew members

essential for this massive industry, and

we expect others to follow suit. Innova-

tive providers will expand as well, de-

veloping new, more effective solutions

to help mariners continually increase

productivity and lower costs. As cost-

efficient services like mini-VSAT

Broadband become more readily avail-

able, ship managers are updating their

onboard communication solutions to

improve compliance with various regu-

lations, including electronic filing of

port entry forms and

more convenient

Electronic Chart

Display & Informa-

tion System

(ECDIS) updates, as

well as better inte-

gration with shore-

based systems for

business efficiency.

Network manage-

ment solutions like

KVH’s CommBox™

Ship/Shore Network

Manager offer a variety of benefits to

support these efforts, including roaming

crew e-mail, least cost routing capabili-

ties, and robust security features. Reli-

able satellite communication solutions

are also important for the commercial

fishing industry as environmental regu-

lations and reporting requirements

grow more complex, and for the oil and

gas industry as vessel operators up-

grade their onboard technology to im-

prove operational efficiencies. Satellite

communications and network manage-

ment solutions are critical tools that

help things run properly aboard any

vessel, regardless of size, location, or

application.

Noah Chung, International Sales

Director of KNS Inc. I see a trend for

the next five years in smaller antennas

such as the KNS Supertrack Z6 (60cm)

and Z7 (76cm) VSAT antennas. I feel

that the Americas region will have

great growth due to the Oil and Gas

markets.

SEB: Do you have a specific set of so-

lutions that cater to the Offshore, Com-

Executive Roundtable

“...This is an exciting time for maritime satellite communications providers like KVH. Commercial mariners are adopting advanced onboard commu-nication and crew welfare solutions more than ever before, making satellite communications for commercial vessels a key growth opportunity for enterprise solutions..” -Jim Dodez, Vice-President, Marketing and Strate-gic Planning, KVH Industries

April 2012 12 Satellite Executive Briefing

Satellite Executive Briefing 13 April 2012

mercial Cargo, Oil & Energy and Pas-

senger/Tourism Shipping or is there

one market segment that you organiza-

tion is currently focusing on?

Jay Yass: Intelsat has anticipated the

trend in maritime broadband communi-

cations and has designed a global net-

work of Ku-band solutions that will be

available in 2012. The launches of the

Intelsat-19, -21, -22 and -27 satellites

will fulfill the demand for broadband

unmet by current mobile services by

providing seven ocean beams that will

enable maritime service providers to

offer a truly global broadband service

that is both scalable and affordable.

These solutions also fully address the

Aero and Oil & Energy sectors. In fact

Intelsat 21 has offshore Brazil, Nigeria

and Angola coverage.

Frank Coles: There isn’t a “one size

fits all” approach, and different types

and sizes of vessels will have different

needs. Inmarsat offers the widest range

of services: the industry’s leading L-

band maritime service, FleetBroadband,

capable of providing up to 0.5Mbps in

any conditions; voice communications

such as FleetPhone or the global hand-

held phone, IsatPhone Pro; and, as the

only satellite operator to support the

Global Maritime Distress & Safety

System (GMDSS), potentially life-

saving “red button” services. Certain

vessels will have high demands for data

connectivity – such as cruise ships that

need to offer internet access to passen-

gers, or seismic vessels that transmit

large files for on-shore analysis – and

their needs move beyond the capabili-

ties of L-band. They will typically use

VSAT services, such as provided by

Inmarsat XpressLink or the forthcom-

ing Inmarsat Global Xpress.

Joel Thompson: Yes, our Iridium Pi-

lotTM powered by Iridium OpenPort® is

an ideal product and service combina-

tion for any mariner looking for reli-

able, high-value connectivity at the

industry’s most affordable price. It en-

ables vessels of all sizes, from private

yachts and small fishing boats to large

ocean-going merchant ships, to enjoy

the benefits of broadband communica-

tions no matter where they are. Both

are supported by the

industry’s best service

plan (via the Iridium

Global Service Pro-

gram) and the indus-

try’s only standard

five-year limited war-

ranty.

Terry Neumann: The

core iDirect platform

is designed to support

the requirements of

most sectors within

the maritime mar-

ket. The top service

providers in these mar-

kets rely on the iDirect platform as the

backbone of their maritime service

offerings. We have pioneered a number

of features in this particular market that

enabled service providers to offer a

reliable, seamless, fixed price service to

their maritime customers. Our partners

have been market leaders in the Off-

shore Oil and Gas as well as the Cruise

industry for many years and these seg-

ments quickly realized the value of

VSAT and were early adopters of the

technology. Despite nearly 100% pene-

tration in these segments, opportunity

continues to grow as the requirements

for IP based applications in these seg-

ments continues fostering growth for

additional satellite services. In the past

few years we have seen growing inter-

esting in Commercial cargo space with

bulkers and tankers taking a look at the

value VSAT technology can bring to

their business. Maritime organizations

are becoming smarter about their com-

munications expenses and no longer

just looking at it as basic phone connec-

tivity, but realizing that their communi-

cations network can impact multiple

areas of their business from operations,

fleet management, HR and even Cus-

tomer Service where they can provide

real time information to their customers

about the status of their goods being

transported. Satellite communication

has moved to a more business level

discussion in many of these organiza-

tions.

Atul Chawla: Practically all our solu-

tions are cross platform. We design our

systems based on the ship size, ship

route and ocean conditions. Recently

we launched QOR (Quadrature Ori-

ented Reflectors) based TV and VSAT

communications products for truly

global operations to work on C and Ku

band systems. This technology is useful

for those that require improved produc-

tivity. For instance, ships that operated

globally prefer QOR based products

because they can work in practically

any environment with lower total cost

of ownership. We have also an-

nounced Sea Tel 4012 which offers Ku

to Ka upgradable path. End-users can

get a Ku band version of 4012. The

system will be field upgradable to Ka

band services when these services be-

come available. We are doing this to

future proof the investment decisions

that ship owners have to make. We

think end-users will like this approach

to product design. Our plan is to incor-

porate such functionality in all our new

designs.

Sharon Goldenberg: Orbit has full set

of VSAT and TVRO solutions that fits

to the needs of Offshore, Commercial

Cargo, Oil & Energy and Passenger/

Tourism Shipping as well as the de-

fense market. From the field-proven

OrSat™ system to the revolutionary

OrBand™ and OrMax™ systems, Orbit

has the right solution to enable mari-

time systems integrators (SIs) and sat-

com service providers to meet the spe-

cific needs of maritime VSAT. Orbit’s

systems set the standard for RF per-

formance, stabilization and operational

Executive Roundtable

Orbit’s OrBand™ AL 7107 C– or Ku-Band Mari-time VSAT antenna (Photo courtesy of Orbit)

April 2012 14 Satellite Executive Briefing

ease, and are designed to perfectly ad-

dress the broadband satellite communi-

cations needs of these markets. Smaller

and easier to install than competitive

offerings, Orbit VSAT solutions offer

exceptional technical performance,

ensure strict regulatory compliance, and

provide unmatched system availability-

leading to bottom-line business bene-

fits.

Jim Dodez: We are focused on the

commercial shipping, oil and gas, and

government sectors right now, as these

segments have an immediate need for

affordable, reliable, and global commu-

nications to support their rapid growth

in regions around the globe. KVH’s

mini-VSAT Broadband service and the

TracPhone V-series antennas offer a

combination of affordability, reliability,

and global coverage that meets the

needs of vessel operators managing one

vessel or one thousand, from 20-foot

fishing vessels to 300-foot tankers and

oil platforms. However, the same bene-

fits that are in such high demand for

shipping and oil and gas operators now

are crucial to any maritime business,

and we are proud to serve a variety of

industries, including commercial fish-

ing, defense operators, seismic re-

search, and more

Noah Chung: We have specific solu-

tions for each individual market. For

the Offshore and workboat industry we

focus and recommend the plug and play

KNS Supertrack Ku-Band Z6 (60cm),

Z8 (85cm), Z15(1.5M) in conjunction

with our partner ESSi. For Passenger/

Tourism industries we offer a plug and

play 1.0M and 1.2M ULTRA VSAT

Package through our partner Link-

scape. The package includes a KNS

VSAT antenna system with a combined

ACU and Modem. This package is

ideal for the vessels with limited space

and for those who want a 1 unit modem

and antenna control unit. Commercial

Cargo solutions include a 1M or 1.2M

Intelsat qualified antenna system for

vessel that travel worldwide.

SEB : Did you launch any new solu-

tions in the last 12 months and are you

planning to launch any new products or

solutions in the next 12 months?

Jay Yass: Intelsat's broadband solu-

tions allow for high-speed uni- and

multi-cast for economical distribution

and updating of fleet management soft-

ware. Global network management

control can be accomplished through

the IntelsatONE IP/MPLS infrastruc-

ture. Intelsat's capability also allows

service provider to develop services

tailored to crew requirements for voice

and data.

Frank Coles: At the start of 2012, In-

marsat launched XpressLink.

XpressLink meets the increasing need

for high-speed global communications

today, while building a bridge to better

and faster communications in the fu-

ture. For a fixed low cost, XpressLink

provides vessels around the globe with

access to both Ku-band VSAT and L-

band FleetBroadband services in a bun-

dled package. It is a communications

solution that offers the best of both

worlds: the high data speeds available

through VSAT and the global reach and

reliability of FleetBroadband.

XpressLink also offers a guaranteed

free upgrade of the Ku-band hardware

to Ka-band Global Xpress (GX), with a

guaranteed doubling of bandwidth,

when GX becomes operational in 2013.

Global Xpress will be the world’s first

global Ka-band network, combining

ultra high bandwidth and exceptional

service quality with global coverage

and seamless mobility. With Inmarsat

GX, vessels will have access to data

speeds of up to 50Mbps through a 60-

100cm antenna. The Global Xpress

network will allow customers to cross

satellite spot beam boundaries seam-

lessly, providing vessels with continu-

ous, uninterrupted connectivity. We

anticipate the service will eliminate

many of the disadvantages associated

with Ku-band VSAT today. GX will be

delivered alongside our existing L-band

maritime services. We see a future

where mobile satellite services are de-

livered through a combination of L-

band and Ka-band satellites, harnessing

the strengths of each to offer an unri-

valled package of services based on

speed, price and portability. With two

global constellations managed by one

operator, Inmarsat is in the unique posi-

tion to provide the right solution to

every sector and customer type in the

maritime market.

Joel Thompson: Yes, Iridium’s relent-

less dedication to uncovering new and

better ways to communicate anywhere

at any time has led to the development

of some of the most cutting-edge com-

munications devices and services avail-

able on the market. We are continually

investing in product development, our

satellite network and our partners. We

recently launched Iridium Pilot TM, our

second-generation maritime broadband

device, which is more reliable, afford-

able and compact than any other mari-

time broadband solution on the market

today. Powered by our Iridium Open-

Port® service, Iridium Pilot is built

with further enhanced durability to

withstand the harshest maritime condi-

tions and features a Performance En-

hancement Proxy (PEP), which pro-

vides for improved data throughput.

Iridium Pilot is the latest example of

Iridium’s long-term commitment, in-

vestment and innovation focused on

improving the customer experience and

satisfying communications needs in the

farthest reaches of the world. It is the

third of many products the company

plans to “power by” the Iridium Open-

Port service. This strategy provides a

growth path for Iridium to expand into

new markets and underscores our dedi-

cation for uncovering new and better

ways to help people communicate any-

where at any time.

To better serve all of our network sub-

scribers, including our maritime cus-

tomers, we are continuing to make

great strides in Iridium NEXT, Irid-

ium’s next-generation satellite constel-

lation scheduled for deployment start-

ing in 2015. It is the most significant

commercial space program underway

today.

Iridium NEXT will use an IP-based

architecture with faster data speeds up

to 1.5 Mbps for increased connectivity

and will be backward compatible with

the existing satellites, meaning all ex-

isting Iridium® satellite terminals, in-

cluding the Iridium Pilot, will be able

Executive Roundtable

Satellite Executive Briefing 15 April 2012

to work on the new network. Ship op-

erators installing Iridium Pilot can reap

immediate benefits from this high-

value, broadband service on our current

constellation and take full advantage of

the higher data speeds and other ad-

vanced capabilities planned for Iridium

NEXT.

Terry Neumann: As the technology of

choice for many maritime service pro-

viders our development focus is around

expanding the flexibility and capability

of our platform to enable them to offer a

very customized and tailored solution to

meet the needs of their customers. One

feature we added to our platform last

year was SCPC return. Without getting

into too much detail, this allows a ser-

vice provider to switch from the stan-

dard TDMA mode of an iDirect system

which takes advantage of a shared pool

of bandwidth, to function in SCPC

mode and utilize a dedicated amount of

bandwidth when necessary. In the mar-

time market you could see this having

an impact in a segment like the Off-

shore market. Most of the time they are

just sending basic information and us-

ing the service for communications, so

a shared pool of bandwidth will meet

their needs. But at other times they may

use the system to transport large

amounts of data if they are streaming

video from the drill floor or sending

seismic data during exploration pro-

jects. For these times the operator could

flip their existing service over to a dedi-

cated SCPC connection to guarantee the

bandwidth is available and being used,

then flip the service back to TDMA

mode when they are finished. All of this

can now be done using a single net-

work, where previously you needed a

separate SCPC network if you wanted

to do this type of service. Once again

this brings value to our partners, and

enables them to offer better service to

their maritime customers.

iDirect is focused on the maritime mar-

ket and we will continue to bring new

features and products to market to meet

the needs of our service providers. Our

commitment and experience in the

maritime communication market is part

of the reason that Inmarsat selected us

to build the ground infrastructure for

their next generation satellite platform.

This has provided a great opportunity to

expand our maritime development

efforts that will not only benefit Inmar-

sat, but our larger service provider com-

munity. The future looks good for

VSAT communications.

Atul Chawla: Three new products we

currently focusing on include: Sea Tel

9711 QOR: QOR based for truly global

operations. Sea Tel 4012 1m VSAT

system that is Ku to Ka upgradable in

the field and Sea Tel 3011: Sub 1m

VSAT system 3-Axis system that can

work on practically all Ku band net-

works.

Sharon Goldenberg: ORBIT's recently

launched OrBand™ system represents a

Executive Roundtable

April 2012 16 Satellite Executive Briefing

Executive Roundtable

new paradigm in maritime C-Band

VSAT solutions. OrBand™ is a com-

pact C-band maritime VSAT system

that was built specifically to overcome

the limitations of traditional C-band

systems. OrBand is differentiated from

competing solutions by its extraordinar-

ily small footprint, outstanding RF per-

formance, strict regulatory compliance

and support of multiple optional RF

feeds. Featuring a 2.2m/87” dish and a

2.7m/106” radome, OrBand takes up

40% less deck space than industry-

standard systems that feature a

2.4m/95” dish and a 3.8m/150” radome.

The system is also more than 30%

lighter than competitive solutions.

Small enough to be shipped as a single,

fully assembled and tested unit in a

standard 20-foot container, and de-

signed for quick and simple single-day

installation, ships can use this system to

enjoy broadband satellite communica-

tions with full global coverage. The

system's extraordinarily compact form

factor makes it ideal also for smaller

vessels that cannot accommodate tradi-

tional C-Band solutions. This means

that OrBand can be installed while ships

are on routine port calls, substantially

driving down operational costs and

eliminating the need for vessels to await

dry dock. OrBand delivers reliable

"always on" connectivity in all weather

conditions, while offering customers a

high level of cost-effectiveness. With

OrBand™, ocean-going vessels can

achieve true global connectivity today,

with constant quality of service any-

where and under any weather condi-

tions than solutions such as hybrid Ku/

FBB and future Ka can provide.

Jim Dodez: In February, 2011, KVH

introduced the world’s smallest mari-

time VSAT antenna – the 37cm

TracPhone V3. This groundbreaking

new system offers global coverage and

outstanding reliability in a compact

package, and mini-VSAT Broadband

airtime is one-tenth the cost of compet-

ing solutions. Under published rates,

mini-VSAT Broadband subscribers pay

$0.99 per megabyte when using data for

e-mail, Internet access, VPN, etc., while

an Inmarsat FleetBroadband subscriber

pays about $8-$10 for that same mega-

byte, used for the same pur-

pose. The difference adds up

quickly when considering that

just visiting a website like

www.kvh.com uses up nearly

half a megabyte. With that

kind of airtime savings, true

broadband connections (and

all the convenience and added

safety that come along with

them) become a real possibil-

ity for fishing vessels, tugs,

and other commercial ships as

small as 30 feet.

The TracPhone V3 brings

maritime broadband to vessels

for which it was not previ-

ously practical otherwise, due

to equipment size, service

cost, or both. Maritime busi-

nesses of all kinds are becom-

ing more reliant on Internet

connections, for sharing infor-

mation with shore-based of-

fices, complying with industry

regulations, and even helping crew

members stay in touch with family and

friends at home. The TracPhone V3

offers all the features necessary to ad-

vance maritime operations, at a price

that won’t eat up the bottom line.. In the

upcoming year, KVH will make excit-

ing new announcements that will pro-

vide maritime customers with the global

coverage, multimegabit speed, and the

complete end-to-end IT and communi-

cations connectivity of a true next-

generation service.

The global economic climate in recent

years has affected many industries, and

maritime business has been particularly

hard hit. Mariners are certainly more

budget-conscious in this environment,

which can be a challenge for providers

of next-generation solutions. However,

KVH offers some of the most competi-

tive airtime rates in the industry (mini-

VSAT Broadband plans are available

for as little as $995 per month) as well

as competitively priced hardware and

an attractive commercial lease program,

so we’re positioned to help them make

the most of their onboard communica-

tions budgets, which in turn will help

them reduce costs and enhance effi-

ciency, thereby driving profitability.

Finally, KVH has developed a compre-

hensive selection of value-added op-

tions for these systems. The CommBox

Ship/Shore Network Manager offers a

wide range of benefits, which are com-

pletely customizable based on each cus-

tomer’s needs, the KVH Crew Calling

Gateway brings an easy-to-manage so-

lution onboard for pre-paid crew access

to Internet and voice services. All of

these factors come together to create an

end-to-end solution that offers each

mariner exactly the services they need

and none of what they don’t, and that’s

what today’s mariners are looking for.

Noah Chung: KNS will have four new

antennas and also a 60cm Ka-Band an-

tenna and a 1M upgradable Ku-Ka an-

tenna this year. The Ka-Band antenna

is nearly complete and we expect test-

ing during the 2nd quarter of 2012.

B. H. Schneiderman is the Prin-cipal of Telematics Business Consultants. He can be reached at: [email protected]

KVH’s TracPhone V3 VSAT antenna. (photo courtesy of KVH)

Satellite Executive Briefing 17 April 2012

Back and Forth with Teleport Executive of the Year Bill Tillson

Executive Spotlight

by Lou Zacharilla

O n February 29th, Bill Tillson, President and Chief

Operating Officer of Encompass Digital Media in

the United States was named the teleport industry’s

2012 Executive of the Year by World Teleport Association.

In a ceremony in Washington, D.C., hosted by SES, Tillson

was honored by his peers, including most of the world’s

leading teleport operators, satellite companies and technol-

ogy providers.

The German writer Goethe once said, “Tell me who your

friends are and I will tell you who YOU are.” What was

noticeable about Bill, was the degree to which his customers

and competitors, among them the most respected names in

the industry, are friends and admirers. Many were seated at

the Encompass table during the awards luncheon, including

Ed Horowitz, director of U.S. Space, along with Vincent H.

Roberts, Chief Technology Officer at the Disney/ABC Tele-

vision Group. Both had submitted letters on Bill’s behalf,

each of which began with what they believed to be his most

striking characteristics. They included words such as

“integrity,” “honesty” and “incredibly smart.” Tillson was

offered the highest accolade by Horowitz, who said that he

was a person “demonstrating the best qualities a human be-

ing can possess.”

These are not generally the characteristics the old business

stereotype would offer up to a guy who led a series of acqui-

sitions in a tough industry. These included the purchase of

Andrita Studios in Los Angeles, and finished with Bill and

his group picking up the tab for the content distribution busi-

ness of Ascent Media. In the process, Encompass has

emerged as a teleport operator and digital media services

company with a global footprint. It is a major player now.

Will the acquisitions work in the long-term? If anyone can

do it, friends say, it will be Bill. Is he building a new type of

teleport-enabled operation? What is the lesson for teleport

operators and want-to-be’s with ground assets?

In the past 12 months he has expanded the focus of his com-

pany beyond sports, media and entertainment ,and has

launched 60 new channels. The company today delivers

nearly 285,000 transmissions across its 132 antennas, fiber

and an IP backbone network.

As I prepared my remarks as Master of Ceremonies for the

WTA luncheon, I kept thinking, “It is hard to bust the chops

of a guy like this.” But it was easy to choose him as the sub-

ject for this segment of “Back and Forth.” And, as his testi-

monial letters also said, “he has a great sense of humor.”

Excerpts of our exchange follows:

Lou: On February

29th you were named

Teleport Executive of

the Year. When you

were named, what

was your first reac-

tion?

Tillson: I was very

flattered. The execu-

tives who represent

the WTA members

are all senior execu-

tives in our industry

and it is very special

to be honored by

them, because they

are my peers.

Lou: At the Luncheon you spoke about having been on both

the client and the operator side of the business. This pre-

sumably gives you insight into the markets Encompass

serves. How much of a factor was this experience as you

were putting together the acquisitions and strategic plan for

today’s Encompass?

Tillson: The experience of having served 18 years represent-

ing the major media companies was invaluable. At Encom-

pass we work very hard to instill in our employees the per-

spective that ultimately we work for our customers. Ulti-

mately our customer’s success is critical to Encompass’ suc-

cess. That is not lip-service, because it is easy to say. It is

something that I have built my professional belief system

around.

Lou: At the Awards Luncheon I prefaced my remarks with a

quote from a book called Everything is Illuminated. “The

great advances are made not by individuals so much as by

environments. It is not a coincidence that innovations tend

to come in bundles.” Is there an environment at Encompass

that will drive innovations?

Tillson: I think so. We try to foster two perspectives, or

stages, which allow a platform for innovation. First, we

must provide the infrastructure, technology and services to

support any innovations our customers require, and then we

must deploy new technologies as services for our customers

so that they can remain competitive.

Lou: I note the key phrase “technologies as services,” rather

than simply technology for its own sake. Let’s talk about the

business platform for the delivery of services. Through ac-

quisition, you are able to offer geographically diverse disas-

Bill Tillson (right) accepting the 2012 Teleport Executive of the Year Award from SSPI Director of Development, Lou Zacharilla. (SSPI photo)

April 2012 18 Satellite Executive Briefing

April 14 – 19, 2012, 2012 NAB Show® Conferences: April 14 – 19, 2012, Exhibits: April 16 – 19, 2012, Las Vegas Convention Center, Las Vegas, Nevada, USA e-mail: [email protected], web: www.nabshow.com

May 8, 9, 10, 2012, SPACECRAFT TECHNOLOGY EXPO 2012, LA Convention Center, LA, California. US Toll Free: +1 877 842 6289, International Callers: +44 1306 871348, e-mail: [email protected] web: www.spacetechexpo.com/

Events Calendar

ter recovery options for network origination and content ar-

chival storage. Aside from the obvious advantage of protec-

tion for clients, are there any innovations you foresee in

these two areas of service that would keep a competitor from

entertaining the idea of doing the same thing in your markets

over time?

Tillson: The innovations come, as I say, through the two-

phase process. To be able to offer services at a viable cost

you need multi-channel facilities in geographically diverse

locations. That’s a strategic decision. Each of these facili-

ties must have a large fixed customer and channel base that

covers the enormous overhead associated with the technical

infrastructure, such as redundant HVAC, UPS, generators,

security and all the rest of that stuff; which you know from

your years in the teleport industry. Add to that a requirement

for an engineering and operations staff that goes around the

clock which is needed to run the facilities in order to provide

these services and you have the basic scenario. Not so easy,

right?

Lou: If it was more would be doing it. So the capital costs

and requirements create a barrier to entry?

Tillson: Yes.

Lou: The investments that were made in a global, high-end

facility infrastructure allow you to keep existing clients and

develop new ones. It is a truism that tier one customers, for

the most part, carefully evaluate vendors and partners and,

once committed, will stay committed so long as the pricing,

relationship and investment in technology remain adequate.

Tillson: We are fortunate to have world-class facilities

around the world with a customer base made up primarily of

tier one broadcasters. Now, the falling cost of digital storage

and the emergence of IP playout have materially driven our

disaster recovery services as well, allowing us to provide real

time network backup that includes the playout of long form

and interstitial media, as well as commercials.

Lou: I suspect that was part of the plan and that you did your

homework. You are said to be a very insightful guy with

regard to the trends in the market. To that point, Euroconsult

recently issued a report which said that the satellite industry

is set for a decade-long growth spurt. First, do you agree?

Second, what can teleport operators do to ensure that they

ride along with this projected growth?

Tillson: We agree with Euroconsult that the satellite industry

will have strong growth for at least the next decade. We

believe this will be driven by, among other factors, new

channel launches, SD to HD conversion, high growth mar-

kets in Latin America, Asia, Central and Eastern Europe and

emerging markets in Africa and the Middle East. In addi-

tion, the HD backhaul of premium sports events to multiple

territories and the demand for breaking HD news coverage

will drive more growth.

Lou: How about 3D in this mix?

Tillson: At some point 3D distribution will add to this

growth. It will be focused, we believe, on special event tele-

casts in the initial period.

Lou: There is always angst, despite the positive performance

of the total industry, that teleports are not quite sure where to

point themselves. How can teleports, generally, participate

in this overall industry growth?

Tillson: To participate in this growth, teleports will have to

emerge as multi-media processing facilities offering large

bandwidth connectivity to fiber and the Internet in addition

to the traditional satellite option. The teleport of the future

will have to provide transcoding, storage and streaming in

multiple formats as well as value added origination services,

in addition to traditional compression, uplink and downlink

services.

(To be continued in the next issue, watch out for it…)

Executive Spotlight

“...To participate in this growth, teleports will have to emerge as multi-media processing facilities offering large band-width connectivity to fiber and the Internet in addition to the traditional satellite option. The teleport of the future will have to provide transcoding, storage and streaming in multiple formats as well as value added origination services…”

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

Satellite Executive Briefing 19 April 2012

April 2012 20 Satellite Executive Briefing

Products and Services MarketProducts and Services MarketProducts and Services MarketPlacePlacePlace

A guide to key products and services showcased at NAB 2012 exhibition in Las Vegas, Nevada, USA from April 16-19, 2012.

Advantech Wireless Booth no. SU 6915 www.advantechwireless.com

Advantech Wireless a Canada-based manufacturer of satel-

lite, RF and microwave equipment,

offers the newest generation, lowest

cost, most fully functional and soft-

ware upgradeable VSAT solution in

the market, the Discovery Hub. Guests can learn, see and

touch the new Hub at the NAB 2012 show at Booth #

SU6915. The new Hub includes powerful standard features

and easy software selectable upgrades to enable customers to

increase capacity with their demand thereby minimizing

CAPEX and OPEX with the ability to upgrade in an instant.

Advantech Wireless

provides World Class

Antennas Solutions.

The company offers a

complete line of An-

tennas, from the small-

est VSAT to the larg-

est Broadcast Antenna

at the best possible

price. Easy to operate,

reliable satellite acqui-

sition and powerful

performance that ex-

cels today’s increas-

ingly demanding market.

Advantech Wireless offers world leading, state-of-the-art

solid State Power Amplifiers featuring GaN technology –

the smallest, lightest, highest power amplifiers available

today, at the best price.

Advantech Wireless is shaping the world with leading-edge

wireless broadband communications. Since 1988, Advantech

Wireless manufactures and deploys networking solutions for

broadband connectivity, broadcast solutions and backhaul

requirements using satellite and terrestrial wireless commu-

nications.

ATCi Booth no. SU 4809 www.atci.com

ATCi enhances its customers’ opportunity

for profit by providing custom global satel-

lite communications systems and services.

The company is committed to delivering

innovative technologies to meet the emerging needs of cable

television, corporations, government, educational institutions

and small- and medium-sized enterprises. ATCi is headquar-

tered in Chandler, Arizona with operating sales offices in

North America and China.

For over 20 years, ATCi has been the world leader in multi-

beam technology and the ATCi proprietary Simulsat multi-

beam has been providing programming to over 30 million

cable subscribers in the U.S. market and abroad.

For further information on ATCi products and services,

please call +1-480-844-8501.

AvL Technologies Booth no. SU 4602 and OE 1706 www.avltech.com

AvL Technologies designs and manufac-

tures mobile, motorized antenna systems

and positioners featuring high performance

carbon fiber reflectors, auto-acquisition controllers, and the

unique AvL cable drive system. Ideal for small aperture an-

tennae, it boasts zero backlash, high stiffness, light weight

ruggedness, reliability, and cost effectiveness. AvL has de-

signed and developed SNG antennae for 1.0M,1.2M,

1.4M,1.6M, 2.0M and 2.4M apertures and a diverse product

line of rugged motorized FlyAway packages, many available

in back-pack configurations, some as small as to meet airline

requirements for cabin baggage. AvL, now recognized as the

leading producer of SNG antenna systems in the USA and

fast becoming known worldwide, developed the first motor-

ized, auto-acquisition Mobile VSAT antenna system de-

signed specifically for IP broadcast. AvL has over fifteen

thousand high-quality antennae for C-band, X,-band, Ku-

band, DBS-band, and Ka-band in service throughout the

world for SNG, military, emergency communications, disas-

ter management, mobile medicine, and other speciality ap-

plications.

AvL is now offering three-year warranties on its 2012 mo-

bile VSAT antennas.

Cobham Tracstar Booth no. C7916 and OE 306 www.cobham.com/tracstar Cobham TracStar Land Systems is an international pro-

vider of mobile satellite communications technology to Gov-

ernment (military and civil), Commercial Media, Energy and

Mining, and Enterprise markets. We have a comprehensive

offering of products and services including Comm-on-the-

Discovery Series Next Generation VSAT Hub

Satellite Executive Briefing 21 April 2012

Move, Comm-on-the-Pause, and

Man-Packable antenna systems

delivering video, data and voice

connectivity worldwide.

The TracStar LVT Series of Man-

ual Backpack Terminals provides

a heavy duty, ruggedized, self-

contained mobile system de-

signed for easy portability and

field-swappable Ku-, Ka- and X-

band operations. Pictured here is

the LVT 750P8, with an 8-

segment carbon fiber reflector and tripod. BUCs, LNBs, and

manual pointing tools for smartphones are also available.

For more information, contact Cobham at +1 (407) 650-

9054 or [email protected].

Comtech Xicom Technology Booth no. SU 5519 www.xicomtech.com

Comtech Xicom Technology, Inc.

continues to be the world's leading

SATCOM power amplifier supplier,

offering the broadest product line in

the industry. For more than 20

years, our focus on customers, inno-

vation and quality has created a tremendous breadth of prod-

ucts and established a company with a reputation for excel-

lence.

Comtech Xicom is introducing

a new line of compact, high

efficiency, TWTAs that yield

400W performance in a 200W

package and 750W perform-

ance in a 400W package. The

XTD-400KHE high power am-

plifier is in a compact, rugged package weighing only 32

pounds. Drawing only 860W at 185W of linear RF output

power, the amplifier is ideal for transport­able applications

where high efficiency, light weight, and high ambient tem-

perature operation are required. The XTD-750HE con-

sumes only 1450 Watts at 400W of linear output power and

is an ideal upgrade for existing 400W systems.

Comtech Xicom Technology’s new HPAs will help you

achieve your green goals.

• As much as 50% Space Savings

• Up to 40% Lower Power Consumption

• One-Third Lighter than Traditional Amplifiers

For more information about our High efficiency amplifiers

visit http://www.xicomtech.com/GettingGreener.aspx

GlobeCast Booth no. SU 812 www.globecast.com

”Any Time, Any Screen, Any-

where" will be the theme as

GlobeCast spotlights multi-

platform delivery at the 2012

NAB Show, at booth SU 812. In addition to announcing the

launch of a new over-the-top (OTT) platform in the Ameri-

cas, GlobeCast will display a streaming Web TV service and

highlight its solutions for global satellite and fiber delivery.

The company will also highlight the expansion of its com-

mercial footprint in the Americas, with a dedicated Latin

American sales team now in place. GlobeCast will exhibit

alongside its sister company, NETIA.

Launch of OTT product in the Americas. On Tuesday,

April 17, GlobeCast will announce the launch of an OTT

product for the international broadcast community in the

Americas. More details will follow in the days leading up to

the show.

Any Time, Anywhere, Any Device. GlobeCast will also be

demonstrating a streaming product called GlobeCast Multi-

screen, which allows broadcast clients around the world to

stream their content to any Internet-connected device. At the

2012 NAB Show, representatives will be on hand to demon-

strate the new solution.

Expansion in the Americas. There will be a perceptible

Latin American accent to GlobeCast's participation at NAB

this year, as it has maximized its commercial footprint in the

Americas, including the creation of a dedicated Latin Ameri-

can sales team and a refocusing and strengthening of ad hoc

services in North America for the broadcast of major events.

Already present with a major technical facility in South Flor-

ida and with extensive satellite coverage of the entire Latin

American region, GlobeCast last year extended its fiber net-

work to Buenos Aires and São Paulo.

Playout including localization/regionalization of content GlobeCast will run video and flash animations demonstrat-

ing the company's ability to adapt content to local markets

around the world, simplifying the global distribution of con-

tent. From ad and graphic insertions to program substitution,

GlobeCast can provide localized playout and origination

from its strategically located centers in Florida, the U.K.,

Paris, and Singapore.

Globecomm Systems Booth no. SU 6219 www.globecomm.com Globecomm offers broadcasters a pre-engineered, configur-

able system for analog-to-digital conversion of terrestrial

TV. The DTT Solution Kit makes it possible to upgrade

MarketPlace

Tracstar LVT 750P8

April 2012 22 Satellite Executive Briefing

digital TV systems without impact-

ing analog programming operation.

As a leading technology integration

company, Globecomm takes end-to-

end responsibility from design con-

figuration to installation, testing and

lifecycle support.

As part of the transition, Globe-

comm will upgrade multiple ele-

ments of the network. In short, it

covers the network from beginning

to end. Everything starts with the

program acquisition subsystem;

from there the upgrade also includes

the compression subsystem, followed by transmission sub-

system, ending with any required confidence monitoring.

Lastly, Globecomm provides technical lifecycle support in

an effort to make sure everything not only meets, but ex-

ceeds our client’s expectations. Backed by our 24 X 7 NOC,

we will monitor your TV stations, provide remote support

when needed and include mandatory site visits.

Hispasat/Hispamar Satélites Booth no. SU 9406 www.hispamar.com.br

Covering all of the Americas, Hispamar Satélites – a His-

pasat Group company – offers an extensive range of satel-

lite communication services through the Amazonas 1 and

Amazonas 2 satellites: IP,

Broadcast, Corporate, Telecom,

Government, Distance Learn-

ing, Telemedicine and Digital Signage. Amazonas 1 and

Amazonas 2 are two of the biggest and most powerful satel-

lites serving the American Continent and operate collocated

at 61º W offering both C- and Ku-band capacity, with imme-

diate availability of high quality Ku-band capacity for North

America.

The Amazonas 1 satellite, is specifically designed to provide

broadcast and multimedia services, provides services

throughout the American continent including the entire US

mainland, with connectivity to Europe and North Africa.

The Amazonas 2 satellite was launched in 2009 in the 61º

West orbital position and serves the entire American conti-

nent from Alaska in North America to Tierra del Fuego in

South America.

Hispasat has developed into one of the leading satellite op-

erators in the world today and one of the leaders in terms of

licenses on the American conti-

nent. Landing rights have been

obtained through after exten-

sive effort during the past few years in almost all of the

countries in the Americas and North Africa.

Walton De-Ice Booth no. OE 1307 www.de-ice.com Walton De-Ice designs and manu-

factures the broadest line of equip-

ment available for preventing the

accumulation of snow and/or ice on

satellite earth station antennas.

Walton De-ice offers several options for heating including,

gas heaters with their economical operation advantages or

the low maintenance Stainless Steel Electric Heaters.

At the NAB 2012, Walton De-ice will be providing demos

of its Ice Quake System configured to conform to broadcast

and military requirements. The Ice Quake system (U.S.

patent pending) enhances the reliability of de-ice and snow-

shield systems by a factor of 100 percent.

Wavestream Booth no. SU 9709 www.wavestream.com Wavestream sets the standard in the design and manufac-

ture of next generation high power solid state amplifiers.

Wavestream’s family of C-, Ku-, Ka- and X-band Solid

State Power Amplifiers

(SSPA) and Block Upcon-

verters (BUC) provide sys-

tems integrators with field-

proven, high performance,

high reliability solutions de-

signed for mission-critical

satellite communications

systems worldwide.

By leveraging Wavestream’s

Spatial advantEdge™ technology across all our product plat-

forms, we are able to consistently deliver indoor and outdoor

amplifiers with greater reliability and efficiency, in smaller,

lighter product packages.

Wavestream has shipped thousands of our Ka- and Ku-band

products to support military ISR, first responders, Comms-

on-the-Move, Comms-on-the-Halt, flyaway, and fixed satel-

lite communication systems. Our product line has expanded

to support X-band SATCOM requirements. We also offer a

growing line of PowerStream® C- and Ku-band amplifiers

for broadcast SATCOM systems, including VSAT, Satellite

News Gathering (SNG), and teleport applications.

When compact size and lighter weight is critical, when en-

ergy efficiency is paramount, and when reliability is essen-

tial, Wavestream is the choice to get the job done. Call us

at +1 877 214-6294 or visit our website at

www.wavestream.com

Analog-to-Digital Conversion equipment

80W X-Band Amplifier

MarketPlace

Satellite Executive Briefing 23 April 2012

April 2012 24 Satellite Executive Briefing

IndustryIndustryIndustryBriefsBriefsBriefs

Major industry news and developments

MERGERS & ACQUISITIONS

Seachange to Divest its Broadcast and Storage

Businesses

Acton, Mass., March 21-- SeaChange

International, Inc. has signed a defini-

tive agreement to sell its broadcast

server and storage business, allowing

the company to focus on its core soft-

ware and services operations including

its next generation back office, video

streamers, gateway software and adver-

tising solutions.

The sale to a group of financial inves-

tors, led by a leading US-based venture

firm, is expected to close after custom-

ary regulatory approvals. The new,

independent company will be named

XOR Media.

SeaChange CEO Raghu Rau com-

mented, "This divestiture is an impor-

tant part of our strategy to transform

SeaChange into a pure play software

company, significantly reduce our over-

all cost structure, and strengthen our

ability to compete in delivering next

generation multiscreen video solutions,

while generating cash.”

Ericsson to Acquire

Technicolor's Broadcast Services Division

Stockholm, Sweden, March 12--

Ericsson announced that it has submit-

ted a binding offer to acquire the

Broadcast Services Division of Techni-

color, a worldwide technology leader in

the media and entertainment sector,

headquartered in France. The closing of

the acquisition is subject to relevant

customary regulatory administrative

approvals and consultations.

The Purchase price is reported to be

EUR 19 million (US$ 24.7 mil.) and a

potential earn-out based on 2015 reve-

nues of the Broadcast Services activity

of up to EUR 9 million (US$ 11.7 mil.).

The acquisition will bring approxi-

mately 900 highly skilled professionals

and playout operations located in

France, UK and the Netherlands serv-

ing several leading broadcasters and

will allow Ericsson to substantially

increase its current broadcast operations

in terms of channels managed and

households reached.

Closing of the acquisition is expected in

mid-2012.

New Chairperson for Hispasat

The Board of

Directors of

Hispasat has

unanimously

appointed

Elena Pisonero

as their new

Chairperson.

She was nomi-

nated to that

position by the

Spanish gov-

ernment, which

controls 25.7 per cent stake in Hispasat

through INTA, the holding company

SEPI and CDTI. The other major share-

holders of the company led by Abertis,

which controls 46.6 per cent of the

share, is responsible for proposing the

CEO, Carlos Espinós, who remains in

office.

Pisonero replaces Petra Mateos who

was named Satellite Executive of the

Year in 2011. Pisenoro is a well-

known economist and has served in

various governmental agencies such as

the Royal Institute of Elcano, Casa Asia

and the Institute of Economic Studies.

She has extensive experience in both

the public and private sectors. She has

worked for large multinational compa-

nies such as Siemens and KPMG. In the

public sector she served as Chief of

Staff for Economic Vice President Rod-

rigo Rato, Secretary of State for Com-

merce, Tourism and SME’s, National

Deputy and Economics spokesperson

for the Partido Popular in Congress and

Spanish Ambassador to the OECD,

among other positions.

Encompass Digital Media AppointsNew CTO

Encompass Digital Media, Inc., an-

nounced the appointment of Bart

Spriester as its Chief Technology Offi-

cer effective April 9, 2012. Reporting

to Bill Tillson, Encompass’ President

and COO, Spriester will be focused on

defining Encompass’ global technology

strategy, cultivating key vendor rela-

tionships and providing leadership in

support of the engineering and IT teams

across the company. In this role, he will

be working with the company’s tech-

nology partners to ensure that Encom-

pass continues to innovate in the way it

delivers linear and non-linear television

to multiple devices in numerous coun-

tries.

Spriester joins En-

compass from Cisco

Systems, Inc/

Scientific Atlanta

where he most re-

cently served as Vice

President and General

Manager for Digital

Media Networks. In

his 19-year career

with Cisco/

Scientific Atlantic, he was involved in

emerging technology development in-

cluding that of advanced video stream-

ing technologies, product strategy and

various executive management posi-

tions such as Managing Director for

EMEA. He is also a published author

and holds 12 U.S. patents.

NAB Renews Smith’s Term

Through 2016 Gordon Smith has signed on for an-

other five-year term as president and

CEO of the National Association of

Broadcasters (NAB). The former U.S.

senator from Oregon joined the group

in 2009, and his new contract will carry

EXECUTIVE MOVES

Elena Pisonero

Marc Montagner

Bart Spriester

Satellite Executive Briefing 25 April 2012

April 2012 26 Satellite Executive Briefing

IndustryIndustryIndustryBriefsBriefsBriefs

Major industry news and developments

him through 2016. Smith said of the

extension, "As president of NAB, I get

a firsthand view of the indispensable

role that local and network broadcasters

play in serving communities every day

with news, entertainment and life-

saving weather warnings. Broadcasters

take seriously our role as stewards of

the airwaves, and it is a privilege to

represent a diverse membership with a

vibrant future."

Jean-François Leprince-Ringuet Joins Eutelsat as

Chief Commercial Officer

Eutelsat announced

that Jean-François

Leprince-Ringuet

is joining the Group

as Chief Commer-

cial Officer and

member of the Ex-

ecutive Committee,

succeeding Andrew

Wallace who is

leaving Eutelsat

to pursue other

professional interests. Jean-François

will join Eutelsat on April 16 to assume

overall responsibility for Eutelsat's

commercial activities.

Jean-François Leprince-Ringuet brings

30 years of experience in IT and tele-

coms to Eutelsat. He has held commer-

cial strategy, sales and marketing posi-

tions in Europe and North America at

IBM, Hewlett-Packard, Cap Gemini and

Bull, and has also been President of the

IDATE Foundation. Jean-François is a

French national and a graduate of the

Ecole des Mines.

Trustcomm Management Changes

TrustComm Inc., a global provider of

secure satellite communications ser-

vices, announced it has made signifi-

cant changes to its senior management

team as part of its renewed focus on

providing customized solutions for the

U.S. Department of Defense (DoD).

The company appointed satellite indus-

try veteran Bob Roe

as its new Chief

Executive Officer.

Roe has more than

30 years experience

in government and

commercial satcom,

including senior

management posi-

tions with Stratos

Global Corp. from

1998-2011.

Most recently, Roe served for more

than five years as CEO of Stratos Gov-

ernment Services Inc. (SGSI) where he

led highly successful programs to meet

the COMSATCOM needs of the DoD

and federal agencies. From 2006-12, he

also served as chairman of the Mobile

Satellite Users Assoc. Prior to his career

in commercial satcom, Roe served 22

years in the U.S. Navy as a communica-

tions and intelligence officer.

Further strengthening TrustComm’s

new management team is the addition

of Ian Canning as Chief Operating

Officer. Canning has more than 25

years experience as a senior executive

with Stratos Global Corp., Inmarsat,

Iridium and other leading companies in

the satellite and telecommunications

sectors. Canning most recently served

as Stratos’ vice president, global prod-

uct marketing.

Former TrustComm President and CEO

Robert Kubbernus will serve as Chair-

man of the Board.

With its network operations center

(NOC) at the secure Ellington Field

Joint Reserve Base in Houston, Trust-

Comm has served government and

commercial markets since 1999. In De-

cember 2011, TrustComm sold its sub-

sidiaries TrustComm International Inc.

and SkyPort Maritime Inc. as part of its

strategy to focus on the U.S. DoD mar-

ket.

NovelSat Appoints new CFO

NovelSat, developers of the 3G-Sat

modulation technology, NS3™, has

announced the appointment of Ilana

Lurie in the role of Chief Financial

Officer (CFO). As CFO for NovelSat,

Ilana is responsible for overseeing all of

the fiscal activities for the company as

well as mitigating potential risks.

Lurie is a senior finance executive who

comes to NovelSat with over a decade

of experience in Finance and Opera-

tions with several global companies

active in Israel, the US, Europe, Singa-

pore, Thailand and India.

Lurie has held senior managerial posi-

tions at high-tech companies such as

Hewlett Packard where acted as the

Israel ES Finance Manager. Prior to HP

she spent five years with Ness Tech-

nologies Global as Director of Finance

and Operation for APAC, the Director

of Corporate Business Development

and Corporate Planning, and the Con-

trolling Director.

Lurie holds an MBA specializing in

Finance and Marketing and a BA in

Business Administration and Econom-

ics from the Hebrew University in Jeru-

salem.

Berretta Appointed to Newtec’s Strategic Committee

Giuliano Berretta, the former CEO of

Eutelsat, has been appointed as an ex-

ternal member of Newtec’s Strategic

Committee. The Strategic Committee

advises and assists the Newtec Board of

Directors with company policy and

strategy.

Berretta brings significant industry ex-

perience with him and will be instru-

mental in assisting Newtec’s continued

international expansion as well as

strengthening the skill set of the Strate-

gic Committee, according to Newtec

CEO srge van Herck.

Berretta has been instrumental in the

design of many of Europe's pioneering

communications satellite programs,

including Eutelsat’s Ka-Sat satellite; the

largest Ka-band spot-beam satellite

covering Europe.

Leprince-Ringuet

Bob Roe

Satellite Executive Briefing 27 April 2012

April 2012 28 Satellite Executive Briefing

MarketMarketMarketBriefsBriefsBriefs

Key industry trends and opportunities.

Satellite Surpasses Terrestrial, Cable in Europe

S atellite has become the leading TV infra-

structure in Europe, ahead of terrestrial and

cable reception according to the annual

Satellite Monitor study presented by SES. Ap-

proximately 84 million European households

have satellite (Direct-to-Home, DTH) as their

primary TV reception mode, an increase of 22

percent over the last four years. In the same pe-

riod, terrestrial TV lost nearly 16 million homes,

while cable lost over 2 million. IPTV – the TV

distribution over tele-communication networks in

IP format – has grown from a very low level to some 16 mil-

lion households.

The Satellite Monitor is presented annually by SES and is

based on primary research in 35 European and North African

countries. The study is based on more than 62,000 inter-

views, conducted by leading market research companies led

by TNS Infratest, Germany.

T h e m a i n

growth mar-

kets for satel-

lite in 2011

were the UK,

G e r m a n y ,

Ukraine, Po-

land and Italy.

T h e m a i n

growth drivers

are the devel-

opment o f

digital recep-

tion and High

D e f i n i t i o n

(HD). Satellite

today is the leading digital infrastructure, reaching nearly 44

percent of all 186 million digital TV homes in Europe. The

digitalization rate of satellite is 97 percent, compared to 70

percent in terrestrial reception and 48 percent in cable.

The latest Satellite Monitor shows that ASTRA is extending

its position in the European markets. Around 142 million TV

households are served by ASTRA, 7 million more than the

year before and 25 million more than four years ago.

More than half of the European TV homes (57 percent) re-

ceive their signals from ASTRA. 73 percent of all European

satellite homes are ASTRA households, a total of 62 million.

ASTRA is also the leading HD platform in Europe. Over 23

million of the total 29 million satellite HD households in

Europe are ASTRA households. The ASTRA Satellite Sys-

tem transmits 267 HD channels.

Worldwide, SES broadcasts more than 1,200 HD channels

on its fleet of 50 satellites and reaches 258 million TV

households.

“This success

confirms our

view that

satellite re-

ception is the

most attrac-

tive and fu-

t u r e - p r o o f

mode for

households to

watch TV”,

said Norbert

Hölzle, Sen-

ior Vice

P r e s i d e n t

Commercial

Europe,.

“The trend in Germany, where satellite overtook cable for

the first time in history, is confirmed in the UK as well as in

Europe overall, where satellite outgrew the other reception

modes,” said Hölzle.

“The number and variety of channels, the quality of the

broadcast, and the large reach of satellite remain compelling

arguments for households to decide for a satellite dish. The

factual growth of satellite and ASTRA in the digital world

confirms their leading role. It puts us in a strong position to

compete with other networks and combine our strengths

with DSL and broadband reception. The combination of

both in the connected TV will be the best of all possible

worlds for the TV viewer,” Hölzle added.

2011 2010 % Change

Cable 69.2 71.0 -3 %

Satellite 83.6 79.1 +6%

Terrestrial 79.4 83.7 -5%

IPTV 16.0 12.1 +33%

Households in Millions, Europe

ASTRA satellite dish farm in Betzdorf, Luxembourg. More than half of TV homes in Europe (57%) receive their signals from ASTRA. (photo: Satellite Executive Briefing)

Satellite Executive Briefing 29 April 2012

MarketMarketMarketBriefsBriefsBriefs

Key industry trends and opportunities.

2011 TV Shipment Fall in 2011

I n 2011 worldwide TV shipments fell for the first time

since NPD DisplaySearch began tracking global TV ship-

ments in 2004, slipping 0.3% to 247.7M units. As reported in

the latest NPD DisplaySearch Quarterly Global TV Shipment

and Forecast Report, LCD TV shipments increased by 7% to

just over 205M units in 2011—a substantial slowdown from

the double digit growth in previous years.

With plasma TV shipments declining almost

7% in 2011 to 17.2M units, the largest de-

cline yet, and CRT shipments falling 34%,

LCD growth was not enough to offset these

declines.

“The causes of slow demand in 2011 were

complex, and although LCD TV showed

growth, results were well below industry expectations.”

noted Paul Gagnon, NPD DisplaySearch Director of North

America TV Research. Gagnon added, “The low level of

shipments were partially caused by excessive inventory lev-

els early in 2011 for the US and European markets, as well

as a sharp drop in demand in Japan following the end of the

government sponsored Eco-Points program that caused a

surge in replacement activity during 2009-2010.”

Q4’11 shipments were down 4% Y/Y globally to 74.2M

units, with LCD TV shipments rising just 1% (also the low-

est growth rate since NPD DisplaySearch began tracking

shipments). Plasma TV units were down 8% and CRTs were

down 43%. The decline in units was most pronounced in

Japan and Western Europe with only mild growth in North

America. Collectively, TV shipments in the developed re-

gions (North America, Japan and Western

Europe) declined 21% Y/Y in Q4’11. TV

shipment growth in emerging regions con-

tinues to be strong though, increasing 12%

Y/Y in Q4’11 with LCD TV unit shipments

rising 20%.

The LCD TV shipment share increased to a

record 86.5% of global TV shipments in

Q4’11, up from 83% in Q3’11 and 82% one year ago. LCD

TV shipment growth is strongest in larger screen sizes with

very aggressively priced models shipping for the holiday

season. Shipments of 40” and larger LCD TVs rose 20% Y/

Y while sub-40” fell 7%. Average prices for 40/42” LCD

TVs were down 11% Y/Y, and 60”+ average LCD TV prices

were down more than 16% Y/Y. LED backlight penetration

continues to grow slowly, rising above 50% of LCD units for

the first time in Q4’11, although only about three percentage

points higher than in Q3’11.

B roadband and IPTV growth spiked

to a high in 2011 with rates higher

than at any time in the last five years,

according to year-end figures published

by the Broadband Forum. Overall,

broadband growth is estimated at

65,493,596 lines, bringing the global

total to 597,322,636, a quarterly in-

crease of 2.6% - and an annual growth

rate of 12.3%. The figures, prepared for

the Broadband Forum by broadband

industry analysts Point Topic, also high-

light the strongest ever quarter of

growth in IPTV which is today’s most

demanding application for high speed

broadband.

“This is an exciting return to higher

growth figures and points to a strength-

ening in the broadband market,” com-

mented Robin Mersh, CEO of the

Broadband Forum. “With a number of

active new markets coming online and

standards based deployments becoming

common - we are seeing broadband

move into the daily lives of more and

more people the world over. A great

example of this is the exceptional

growth in some key Eastern European

markets, such as Russia, Poland and the

Ukraine.”

Russia proved to be a peak performer in

2011 in both Broadband and IPTV fig-

ures, with over 36% growth in Broad-

band and more than doubling its IPTV

subscribers from 495,500 to 1,145,000

in just one year.

China remained the top region for TV

shipments at 21%, unchanged from the

previous quarter, totaling 15.6M units

for the quarter and 49M units for the

year. China also had strong growth in

2011, with shipments increasing 19%

Y/Y in Q4’11, the highest of any re-

gion. More than 90% of TV sets in the

region were LCD as of 2011. North

America was the second largest region

for TV shipments, accounting for

20.5% of shipments in Q4’11, and was

the only developed region to experience

Y/Y shipment growth.

3D continues to show gains worldwide

as a percentage of TV shipments, post-

ing gains in every region, but most im-

pressively in China and Europe. In a

somewhat surprising result, 3D penetra-

tion continues to be lackluster in North

America, accounting for just 9% of

Q4’11 TV shipments 2011.

2011 Broadband Growth, The Fastest in 5 Years

Go to

www.satellitemarkets.com to get the latest updates,

trends and analysis on the

global satellite industry

April 2012 30 Satellite Executive Briefing

By Martin Jarrold

“ The How, When & Why of RFI

in E&P: Satellite Interference

& Mission Critical Satellite Broad-

band Connectivity Solutions in the

Oil & Gas Industry” is a topic I am

very interested in having comprehen-

sively addressed during discussion be-

tween satellite communications industry

experts and oil & gas industry experts

when I meet a number of them in late

April in Rio de Janeiro, Brazil.

Included in a conference dialog that,

amongst many other topics, will cover:

Evolution in Hydrocarbons Ex-

ploration & Production: What the

Oil & Gas Sector Needs from the Sat-

ellite Industry;

Global Satellite Operators in the

Brazilian Oil & Gas Patch: Planning

Capacity Provision & Deploying Ser-

vice Supply;

Satellite to the Cloud: Evolving

New Commercial Oil & Gas Applica-

tions to the Satellite & Satellite-

Hybrid Communications Environ-

ment;

Onshore, Offshore, Deep & Ultra

-Deep Water E&P: Redefining the

Mission Critical Communication Re-

quirement;

Oil & Gas VSAT: South Ameri-

can Networking Case Studies in

E&P;

Defining the Auto-Deploy Advan-

tage of VSAT Antennas in Oil and

Gas E&P Environments;

Integrated Communications in

the Oil & Gas Environment;

Oil & Gas VSAT: South Ameri-

can Networking Case Studies in

E&P;

Wasting Bandwidth, Wasting

Money: Bandwidth Monitoring and

Optimization in Oil & Gas Satellite

Networks; and,

Global Collaboration Services in the

Oilfield: The Brazilian Case.

The focus of attendees at GVF Oil &

Gas Communications Brazil 2012:

21st Century Digital Oilfield & Gas-

field Imperatives Onshore, Offshore,

and in Deepwater (O&GC Brazil

2012) will also extend to the subject:

“Radio Frequency Interference in the

Oil & Gas Space: Industry Mitigation

Strategies – Installer & Maintenance

Training for the Offshore Environ-

ment, Equipment Product Quality

Assurance & Network Validation

Analyses”

This is a topic which covers several of

the different aspects of the Satellite

Radio Frequency Interference Mitiga-

tion Strategy developed by GVF and

partner organizations in the satellite

industry.

At several other events in the GVF’s

recent calendar of global engagements,

including CABSAT 2012 in Dubai, and

Satellite 2012 in Washington DC, tak-

ing place during February and March

respectively, GVF has set forth its multi

-faceted approach to “Stopping Interfer-

ence Now”, an approach involving a

series of inter-related pro-active and re-

active solutions to the problem, and also

involving other organizations, including

sIRG (the satellite Interference Reduc-

tion Group) and SDA (the Space Data

Association), as well as the RFI-EUI

(Radio Frequency Interference – End-

User Initiative), and WBU-ISOG (the

World Broadcasting Unions – Interna-

tional Satellite Operations Group).

The description of these various facets

requires much more space that available

here, but they can be briefly character-

ized as follows:

Training & Certification

A solid, fundamentals-based training

program for VSAT, broadband, and

maritime satellite terminal technicians,

engineers, users, and operators created

by GVF and SatProf. The program is

endorsed and recommended by the ma-

jor satellite operators, and comprises a

highly-effective blend of simulator-

driven, interactive, self-paced online

knowledge training, verification of

hands-on skills, and optional supple-

mentary classes. Several certification

training paths are offered for fixed

VSAT professionals, for marine VSAT

professionals; and for marine VSAT

operators (crew).

Product Quality Assurance

As satellite communications have be-

come more popular, the number of earth

stations entering the marketplace has

increased dramatically. With millions of

fixed and mobile satcom terminals now

planned for production, GVF's Mutual

Recognition Arrangement Working

Group (MRA-WG) represents the

global satellite industry – including

satellite operators, earth station manu-

Featured Event

SatComs in Oil & Gas E&P:

The Broadband Connection in Emergent Exploration

and Mature Production

Satellite Executive Briefing 31 April 2012

Martin Jarrold is the Chief of International Programs Develop-ment of the GVF. He can be reached at : [email protected]

facturers and integrators – as they co-

ordinate industry initiatives that help

improve the quality of satcom equip-

ment.

For more than 15 years, the group's

mandate has been to create consensus-

based solutions that enable more effec-

tive practices associated with quality

manufacturing of satellite communica-

tions equipment. Accordingly, the

MRA-WG provides type-approvals

testing and earth-station characteriza-

tions for industry. Through the GVF

Satcom Products Catalog, the associa-

tion also provides the global user com-

munity with access to products that

have been tested, characterized or oth-

erwise vetted by Member companies

that administer their own product qual-

ity assurance program in co-ordination

with GVF.

Carrier ID

The sIRG-led formalization of a stan-

dard for the insertion of new Carrier ID

technology within the DVB specifica-

tion which has the backing of GVF,

RFI-EUI, WBU-ISOG, and various

satellite operators. The technology in

the specification contains the Carrier ID

information within a separate carrier.

This means that it is visible to opera-

tors, without the need to interrupt the

main feed, saving valuable airtime for

broadcasters, when interference occurs,

by enabling operators to identify and

stop the interference quickly and effec-

tively. In a military environment, this

type of technology could help protect

vital operations and improve the resolu-

tion of interference issues quickly,

without effecting those important op-

erations. The application of Carrier ID

to the VSAT (TDMA) environment is

under consideration.

Spectrum Initiatives

Refers to ongoing efforts to ensure the

integrity of satcoms frequency bands

from the encroachment terrestrial BWA

services, and from associated interfer-

ence. Follows the successful 2007 ‘C-

band: No Change’ campaign, and

strives to protect C-band, Ku-band, and

Ka-band, most recently through efforts

at WRC-12, and plans for WRC-15.

Space Data Association

The SDA is a formal, non-profit asso-

ciation of satellite operators that sup-

ports the controlled, reliable and effi-

cient sharing of data that is critical to

the safety and integrity of satellite op-

erations. The SDA’s charter is to seek

and facilitate improvements in the

safety and integrity of satellite opera-

tions through wider and improved coor-

dination among satellite operators and

to facilitate improved management of

the shared resources of the space envi-

ronment and the RF spectrum.

Network Validation Initiatives/Sub-

Optimal & Dysfunctional Networks

GVF's delivery of network-validation

services comprising a comprehensive

network assessment, followed by provi-

sion of recommendations on optimiza-

tion of performance and the prevention/

mitigation of interference.

Satellite ID/Auto-Deploy Antenna

Systems

Refers to the fact that it is not yet possi-

ble to identify specific satellites with a

unique spacecraft ID, leading to mis-

taken use of the wrong satellite. This is

particularly fundamental problem with

auto-deploy and “Comms on the

Move” (COTM) systems, where, by

their very nature, systems are un-

manned and prone to antenna-pointing,

and other, inaccuracies. The challenge

is to find cost-effective ways to intro-

duce Satellite ID, as well as working

towards a standard for auto-deploy sys-

tems, with the aim of significantly re-

ducing interference during deployment

of those systems.

Oil & Gas Communications Brazil

2012: ‘21st Century Digital Oilfield &

Gasfield Imperatives Onshore, Off-

shore, and in Deepwater’ brings the

GVF & EMP Oil & Gas Communica-

tions Series to its 14th international

event on 25th & 26th April in Rio de

Janeiro, and it will be instructive for all

to place the above Satellite Radio Fre-

quency Interference Mitigation Strategy

in an oil & gas communications con-

text.

The conference is being held in asso-

ciation with Harris CapRock, Intel-

sat, RigNet, Hughes, Telespazio,

KVH, C-COM Satellite Systems, and

with special thanks to Petrobras. Over

two days of discussion, and in addition

to the above themes, O&GC Brazil

2012 will examine the full range of

satellite-based communications, and

integrated satellite-terrestrial hybrid

communications solutions, to which the

oil & gas industry turns to play a vital

role in providing the essential connec-

tivity and access to vital applications.

Further program information for both

events can be located at www.uk-

emp.co.uk and from links on the GVF

website at www.gvf.org.

Featured Event

April 2012 32 Satellite Executive Briefing

Show Report

by Virgil Labrador, Editor-in-Chief

T he satellite industry will continues to grow in the

coming years albeit at a more modest pace. This was

the consensus among senior satellite industry execu-

tives speaking at the Satellite 2012 Conference and Exhibi-

tion in Washington, D.C. and Cabsat/Satellite MENA 2012

in Dubai, UAE held last month. There are some concerns

with the developing economic crisis in Europe, where three

of the four major satellite operators are based, but the mood

is decidedly bullish.

After having weathered the Great Recession of 2007-09, the

satellite industry is poised for more growth as increasing

bandwidth requirements from broadband, HD and other new

applications are driving demand for satellite transponders

and services. “We have seen how resilient the satellite in-

dustry is in difficult times,” said Romain Bausch, CEO of

SES, at the opening general session at Satellite 2012 mod-

estly dubbed “The Big Four: At the Center of the Satellite

Universe.”

With the mature markets of

North America and Europe

projected to remain flat in

the next few years, satellite

operators are focusing their

efforts in the emerging mar-

kets of the Middle East,

Africa and Latin America.

This was evident at the Cab-

sat show in Dubai held just

two weeks before Satellite

2012. The Middle East/

North Africa (MENA) mar-

ket grew by 20% in just the

last year and this was clearly

demonstrated by the activity

at the conference and exhib-

its at Cabsat.

“The Middle East broadcast-

ing, digital media and satellite industries are considered

within the most lucrative in the world. CABSAT is the ideal

platform for industry professionals worldwide to come to-

gether and explore new avenues in this growing market,”

said Helal Saeed Almarri, CEO, Dubai World Trade Center,

organizers of Cabsat.

The most recent edition of the Cabsat exhibition held in Du-

bai from February 28-March 1 was its largest to date with

over 800 exhibitors from 55 countries including 14 national

pavilions. What is even more amazing is that the show

added 173 new exhibitors just in the last year—an almost 20

percent increase from 2011 (which coincidentally was the

same growth rate for the MENA region last year).

The MENA region is leading the field in Ka-Band satellites

launched, with more coming in the near term. Ka-Band sat-

ellites provide more bandwidth and are ideal for broadband

applications. NSR Senior Analyst Claude Rousseau, Senior

Analyst for NSR, who spoke at a panel at the GVF Satellite

Markets Summit during Cabsat, is estimating if the current

rate of satellite launches continue, oversupply can happen by

2015 or 2016. Oversupply can lead to a price war which

will drive down prices of transponders. The recent number

of launches has already seen transponder prices dropping

incrementally in the region and that trend will likely con-

tinue as more High Throughput Satellites (HTS) come on

board.

Apart from the looming debt crisis in Europe, several execu-

tives are concerned about the slowdown in investments in

new satellites. The number of commercial GEO satellites

ordered dropped from 28 in 2010 to only 17 in 2011. De-

spite the drop in new satellite

orders, there is nagging fear

that the recent rash of new

satellites deployed in the

merging markets of the Middle

East, Africa and Latin Amer-

ica can lead to an transponder

oversupply in those regions.

The reported success of re-

cently-launched high through-

put Ka-Band satellites such as

Viasat-1 in North America,

KA-SAT in Europe and

Yahsat in the Middle East and

Africa has spurred on other

Ka-Band initiatives from other

satellite operators such as

Arabsat, Hispasat and startup

operator Newsat, among oth-

ers. SES is particularly bull-

ish about its investment in the O3b all-Ka-Band satellite

constellation which is scheduled to launch its first eight

satellites in 2013.

The Ka-Band satellites, which have up to 10 times more

capacity than conventional C– and Ku-Band satellites, are

counting on the growing demands for broadband access in

many areas of the world underserved by terrestrial media.

One of the biggest buzz at Satellite 2012 was made by Boe-

ing’s announcement of its new electric-powered satellite

platform 702SP series which promises to cut manufacturing

Satellite 2012 and CABSAT 2012

The GVF Satellite Markets Summit held during Cabsat featured various panels on trends and opportunities MENA satellite market. Pictured here was the panel on “The Dynamics of Ka-Band in the MENA Region” with panelists from left: Virgil Labrador, Editor-in-Chief, Satellite Markets and Research; Rash Jhanjee, Director of Enter-prise, Inmarsat Express; Mike Fiddes, Sales Director, Mid-dle East and Africa, Avanti Communications and Jean-Francois Fremaux, Business Development Director,

Eutelsat. (photo: Satellite Executive Briefing)

Satellite Executive Briefing 33 April 2012

April 2012 34 Satellite Executive Briefing

Satellite Executive Briefing 35 April 2012

and launch costs by a substantial factor. The electric-

powered satellites will be smaller and will weigh less, mak-

ing it less expensive to launch.

The first customers of the 702SP series were Hong Kong-

based Asia Broadcast Satellite and Mexican satellite operator

Satmex, who teamed up to get a joint procurement contract

for four satellites (two each for ABS and Satmex). The joint

procurement is seen as a way in which smaller satellite op-

erators can join forces to take advantage of the discounts and

benefits that larger satellite operators get from manufacturers

and launch service providers.

The downside to the new electric-powered 702SP satellite

bus is that it will require four-six months to transfer a satel-

lite from the geo transfer orbit to geosynchronous orbit.

Some analyst are viewing the more affordable electric-

powered 720SP platform as a game changer which will

make it easier for smaller satellite operators to procure new

satellites and replace old ones.

Partnerships or what some view as “Coopertition” seems to

be getting more traction in the industry as competition heats

up among major players. At the CEO roundtable at Satellite

2012, ABS CEO Tom Choi said that smaller satellite compa-

nies who are looking to compete in the crowded satellite

market should “partner with the larger companies or get lost

in the crowd.”

“In the past only the largest satellite operators were allowed

to enjoy the benefits of bulk satellite buys. Now, through

partnerships, regional firms can split the cost with a larger

entity,” Choi added.

The one bad news for the satellite operators is the govern-

ment budget cuts worldwide on military spending. The de-

cline in military spending will impact satellite companies

which derives from 10-20 percent of its revenues from the

government and military markets. The bright side is that

Unmanned Aerial Vehicles (UAV) and other security appli-

cations are opening up new markets for satellite services in

the government and military sectors.

Broadcast services continues to be the major source of reve-

nues for satellite operators. In the Broadcasters Roundtable

Panel at Satellite 2012, speakers affirmed that satellite will

continue to play an important role in their distribution stra-

tegy. John McCoskey, CTO of PBS said that they need to

reach out to many rural stations that can only be reached by

Show Report

“...We have seen how resilient the satellite industry is in difficult times...” -Romain Bausch, CEO of SES

April 2012 36 Satellite Executive Briefing

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

covering the industry for various publica-

tions since 1998. He can be reached at:

[email protected]

satellite. David Couret, Technical Solutions/Distribution

Director of France 24 said that “for some regions like Af-

rica, satellite is the only viable way to reach our viewers.”

The broadcasters acknowledge, however, that the distribu-

tion paradigm has changed. McCoskey said that in just the

last five years their distribution platforms has increased to

twenty different formats that they need to reach out to.

Vince Roberts, EVP and CTO of Disney pointed out that

over 30 TBs of data are moved around the world daily in

different formats and languages and the challenge is to

“automate, digitize and make them scalable,” to meet the

requirements of the new multiplatform environment.

After attending both Satellite 2012 and Cabsat last month,

one can’t help but be optimistic for the prospects in the near

term for the satellite industry.

Show Report

The Satellite Technology Guide for

the 21st Century

An Indispensable Reference

2011 Edition-Revised and Updated

Face the challenging economic times head on and arm your-

self with the essential guide to the global satellite industry

with the indispensable reference to the

industry, The Satellite Technology

Guide for the 21st Century.

The Satellite Technology Guide for

the 21st Century by Virgil S. Labra-

dor with chapter contributions from

John M. Puetz, DC Palter and Daniel

B. Freyer. 200 pages / 5.5" x 8.5" /

Illustrated with photos, tables and

diagrams with appendices

ISBN: 978-1-60530-421-2

Price: US$ 20.00

The Satellite Technology Guide for the 21st Century clearly explains in non-technical terms the basics of satellite

communications technology and how it works. This book

also provides a historical background of the industry, its cur-

rent status, market prospects, trends and the future of satellite

communications. Fully illustrated with graphs and tables, the

book contains appendices including a glossary of terms and a

list of industry resources.

Chapters include:

A Brief History of the Satellite Industry

Overview of the Satellite Communications Industry

The Basics of Satellite Communications

The Space Segment

The Ground Segment

Satellite Services

VSATs

Satellites and the Internet

The Future of Satellite Communications

To order copies go to:

www.satellitemarkets.com/references

or send an e-mail to

[email protected]

Go online and view videos from Satellite 2012 and Cabsat/Satellite MENA 2012

www.satellitemarkets.com/current

Satellite 2012

Samer Halawi, CEO, Thuraya; Sean Busby, Executive Vice-President, TBC Integration; Doron Elinav, VP-Marketing, Gilat Satellite Networks; Thomas van den Dreiessche, Director of Vertical Markets and Slava Fray-ter, VP-Sales, Americas of Newtec ; Amir Carmeli, VP-Sales, Amos Spacecom; Paul Scardino, VP-Sales and Marketing, Globecomm

Cabsat 2012

Steve Collar, CEO, O3B Networks; Thomas Wiesner, Director of Business Development, Work Microwave; Mark Shadbolt, Sales Director, Sis Live; Giorgio Gia-comini, Account Manager-Middle East, Globecast

Sponsored by

Satellite Executive Briefing 37 April 2012

Advantech Wireless………………………..…...23 www.advantechwireless.com AVL Technologies............................................39 www.avltech.com ATCi..................................................................19 www.atci.com AVCOM of Virginia...........................................12 www.avcomofva.com Cobham Tracstar.............................................10 www.cobham.com/tracstar CommunicAsia 2012.......................................34 www.broadcast-asia.com Comtech Xicom...............................................35 www.xicomtech.com Globecomm………….......………………….......27 www.globecommsystems.com

Hispasat/Hispamar Satellites……..............…...7 www.hispasat.com IBC 2012……………………...............................33 www.ibc.org NAB 2012…………………..…...........................15 www.nabshow.com Satcom Africa 2012…………...........................25 www.satcomafrica.com The SpaceConnection......................................6 www.thespaceconnection.com Walton Enterprises..........................................40 www.de-ice.com Wavestream.....................................cover and 2 www.wavestream.com Work Microwave.................................................5 www.work-microwave.de

ADVERTISERS’ INDEX

T he universe of smart connected devices, including PCs, media

tablets, and smartphones, saw ship-ments of more than 916 million units and revenues surpassing US$ 489 billion dollars in 2011, according to the International Data Corporation (IDC).

Looking ahead, unit shipments for

smart connected devices should top

1.1 billion worldwide in 2012. By 2016,

IDC predicts shipments will reach 1.84

billion units, more than double the

2011 figure, as consumers and busi-

ness of all shapes and sizes around

the world are showing a nearly insatia-

ble appetite for smart connected de-

vices. This works out to a compound

annual growth rate (CAGR) of 15.4%

for the five-year forecast period.

Nearly 1 Billion Smart Connected Devices Shipped in 2011

Source: Ooyala Video Index 2011 http://www.ooyala.com/online-video-

index/2011-q4?

April 2012 38 Satellite Executive Briefing

Stock Index

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

© 2012 Satellite Markets and Research, Satellite Executive Briefing and the Satellite Markets IndexTM are trademarks of Synthesis Publications LLC. Synthesis Publica-tions 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. Satel-lite 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 intended for trading purpose or advice. Neither Satellite Executive Briefing nor any related party is liable for any informational error, incompleteness or for any actions taken based on information contained herein.

Satellite Executive Briefing 39 April 2012

April 2012 40 Satellite Executive Briefing