News Analysis

Asia-Pacific Shows Strong Growth in IPTV

Scottsdale, Ariz., March 8, 2013--IPTV subscribers experienced strong growth in 2012. The success of IPTV, particularly in Asia, is due to strong growth in maturing markets like China and South Korea. Currently, China has the most IPTV subscribers worldwide and that trend will likely continue. The fastest growing IPTV regions continue to be emerging markets like Latin America and the Middle East/Africa which today have relatively few IPTV services, but hold great promise in the future, according to a new report by MRG Research Group. 

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Indian Demand for Transponders to Outpace Domestic Supply

New Delhi, India, March 7,  2013 -- The number of satellite transponders required by Indian TV broadcasters and DTH operators is expected to double or triple over the next five years, according to a new report from CASBAA, the apex Asian association of the cable and satellite television industry. Entitled “Easing India’s Capacity Crunch,” CASBAA’s report was released today at the CASBAA India Forum 2013 in New Delhi. Developed with knowledge support from PwC India, it forecasts that transponders required by the DTH industry will rise from 73 in 2012 to more than 220 in 2017 to meet burgeoning demands by Indian consumers.

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Piracy Clampdown Boosts Middle East & North Africa Pay TV Revenues

London, UK, March 6, 2013--The number of pay TV homes in the Middle East and North Africa will double between 2011 and 2018 to 16.0 million, according to a new report from Digital TV  Research. The third edition of the Digital TV Middle East and North Africa report forecasts that fewer than 15% of TV households (analog and digital)  legitimately paid for TV signals by end-2012. This proportion will climb to 21.6% by 2018. 

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Managing Transponder Resources

by Jan Grøndrup-Vivanco

Paris, France, March 5, 2013--For most satellite service providers and teleports, satellite capacity is the single largest Operating Expense (OPEX) cost item and is therefore key to their profitability. This is traditionally also one of the most difficult cost elements to manage, especially for service providers who provide data services for VSAT and trunking.

Export Credit: Helping the Long Tail of the Satellite Industry

by Rajiv Hazaray and Carter Lawson

Princeton, NJ,  March 5, 2013--The launch of the first commercial communications satellite (Intelsat1, nicknamed “Early Bird”) on 06 April 1965, the commercial satellite industry has seen declining technology risks but still remains fraught with many business risks. It is a capital-intensive industry with high barriers to entry. An aspiring satellite operator faces the difficult decision of investing hundreds of millions of dollars up to three years before the satellite takes its flight and stabilizes in its orbital slot. After a successful launch, the operator will need to recover his investment during next 15 years before the satellite consumes all the fuel onboard and starts its uncontrollable and destined wobble.

Intelsat Reports Loss of $146.6 million on revenue of $2.6 billion in 2012

Washington, D.C., February 28, 2013 — Intelsat S.A. reported it suffered a net loss of $146.6 million on revenue of $2,610.2 million in 2012. The company reported EBITDA of $1,940.6 million, and Adjusted EBITDA of $2,016.5 million, or 77 percent of revenue, for 2012. 

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Will Ultra HD Get a Jump Start from Japan?

Manila, Philippines, February 12, 2012--Ultra HD or what is also called 4KTV was the buzz at the CES show in Las Vegas this year.  With its high bandwidth requirements, Ultra HD has the potential to be the next big user of satellite services.   NSR's Jose del Rosario believes the market push for Ultra HD is expected to be led by three key regions of the globe, notably North America, Western Europe and East Asia, home to the wealthiest in terms of household disposable income levels and pay-TV households.

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Arabsat Acquires Majority Stake in Hellas-Sat

Riyadh, Saudi Arabia, February 7, 2013--Arabsat has signed an agreement with the Hellenic Telecommunication Organization (OTE;), one of the largest telecom groups in South Eastern Europe, for the acquisition of its 99.05% equity participation in Hellas-Sat Consortium Ltd.The share purchase agreement was signed upon an aggregate consideration of €208 million  (US$ 280 mil).

Global Broadband Service Revenue to Reach $251 Billion in 2018 Despite Decline in ARPU

Singapore, February 6, 2013--Global fixed broadband market including DSL, cable, and fiber-optic services generated $188 billion service revenue in 2012; a 7% increase from 2011. According to ABI Research’s broadband carrier Market Data, fixed broadband service revenue will grow to $251 billion by 2018.

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What is a Satellite Services Business Really Worth?

by Robert Bell

New York City, February 1, 2013--It is a bad time to sell satellite ground segment, aka a teleport.  But it is a great time to sell a successful satellite services business with a teleport at its core. That paradox is the conclusion of Best Practices in Teleport Valuation, a newly published report from the World Teleport Association.