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Satellite Services Demand The Future in High Def

The industry has continued to find new technologies that add value to customers and expand their demand for satellite capacity.
by Staff Writers
Bethesda MD (SPX) Jun 16, 2006
The satellite industry, like telecommunications overall, has gone from boom to bust to reconciliation. It is now in the midst of an unusually complex period, in which large operators are consolidating while new, innovative operators are starting up - or restarting - with plans to create hybrid networks and services.

The SES Global/NSS and Intelsat/PanAmSat mergers reflect the same market forces as the mergers of Sprint/Nextel and AT&T/SBC.

Between 10 and 15 years ago there were concerns that the satellite industry would die out as fiber-optic and terrestrial wireless technologies spread around the globe, the industry has continued to find new technologies that add value to customers and expand their demand for satellite capacity.

The emergence of DARS and satellite radio as a viable business provides one example. More agile and more compact equipment operating on the move with Ku-Band capacity for military and other applications is another.

And the implementation of hybrid solutions that combine satellite and terrestrial capabilities, often in partnership with the telecom companies, is one more.

Putting these and other trends in motion, Futron's latest 10-year forecast shows that the demand for commercial satellite services continues to be strong and growing. For example, overall demand for satellite capacity is expected to increase by more than 5 percent a year.

Broadcasters will strengthen their role as the bread and butter of the satellite industry with robust growth, despite the drop-off of analog channels and the rapid improvements expected in compression technology.

Data services demand continues steady growth, due largely to the expansion of private network services into new applications and customer bases, including a wide range of government markets.

Futron's forecast for satellite demand is separate from forecasts of the supply of capacity coming on line, but the interaction of supply and demand is a key element in understanding where and how some trends will play out.

Using its database of satellites on-orbit, new orders and anticipated replacements, the company said it finds the supply glut is receding, with global utilization exceeding 60 percent for the first time in several years. Futron projects this figure will reach 84 percent in 2012, likely impacting pricing of and demand for satellite services.

In addition, Ka-band capacity has finally become a factor in North America, although there are no plans to launch similar, large-scale birds in other regions, the company said.

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SES Astra Expands Satellite Capacity
Betzdorf, Luxembourg (SPX) Jun 15, 2006
SES Global announced Wednesday that its SES Astra subsidiary has completed an agreement with TV Vlaanderen to provide further telecom satellite capacity at Astra's prime orbital position at 19.2 degrees east longitude to accommodate the official launch of Belgium's first direct-to-home TV service.









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