As we head towards the end of 2008, leadership, change and the future are the three most prominent words in speeches given in the world of politics. Both Senators Barack Obama and John McCain in their quest to be the future leader of the United States have campaigned hard on a theme of “change,” (although their definition “change” seems to change with each day’s headline!) Theirs follows last May’s election in France, where President Sarkozy was swept into power on the winds of change. In Russia and Latin America new leaders, verbally dedicated to the changes needed to create a better world, have been installed. Sit quietly for a moment and you will no doubt hear the sighing of cynics, who maintain that in politics plus ca change, plus c’est la meme chose. Perhaps in politics this will again be proven. However, there is one business where change is taking place quietly and with results.
After spending the week of October 13 participating in the events of the Society of Satellite Professionals International’s “Satellite Week in New York” (http://www.satelliteweeknyc.com), including CWW, it became clear that political themes are being mirrored by our industry. Evolutionary changes brought about by new technology and new business models are emerging. They are:
Content delivery to “New Media”outlets. The need to deliver non-linear content to mobile devices, laptops, iPods and web sites has created a breeding ground for action. Whatever business models emerge for New Media, IP-centric broadcast management and distribution they will impact the design of networks and perhaps the construction of satellites. According to Todd Mitchell, Vice President, Equity Research for Cable & Satellite at Kaufmann Brothers, the primary driver over the past 24 months has been the HD upgrade cycle. “This is not likely to moderate during a slower economy,” he told a panel at the ISIS-NY conference. Looking ahead he predicted that “the next cycle may be around smart mobile devices.” Referring to satellite design he suggested that the next generation of satellites should consider ways to support ubiquitous mobile video/voice/data plays. He suggested the industry envision a video and broadband-capable PDA that runs seamlessly off a WiFi network in the home or hot spot. “This can be cellular in urban areas and satellite-delivered in rural ones. “ But it costs money to do this. Broadcast network satellite representatives Brent Stranathan, Vice President, Broadcast Distribution at CBS Corp. and Rich Wolf, Sr. Vice President, Telecommunications & Network Origination at ABC TV Network, noted that each is moving toward platforms which access content in non-linear ways and ensure efficient file based transport. The big question seems to be, how to grab content in new ways, while maintaining the legacy plant and rationalizing the necessary new investments. It ultimately comes down to budgets. (No surprise.) Regarding the design of satellites, Mr. Stranathan said, with a smile, that redesign is a high-stakes bet. “We like reliable and plain vanilla.” he said.
The Digital Divide. This is defined many ways. However, a new managed network concept may further enable carriers and content providers to better reach remote and underserved markets. At the first-ever TechForum in Long Island, technology engineers gathered to discuss next-generation mobile networks. A discussion about the evolution of satellite backhaul focused on a service called SatCell. SatCell enables telcos to extend services to remote customer, without the cost of network investment, via a complex IP backhaul network. Globecomm Systems Senior Vice President, Technology, Steve Yablonsky said that for a carrier, the managed network services structure offers an optimum mobile network for low-density or limited-duration markets. Operators seeking to complete triple-play offerings see revenue opportunities emerge as an outsourced network enables the launch of a new network or the extension of an existing one. The business model put forward defers the capital cost of switches and fiber backhaul. It relies on a mesh network architecture which optimizes mobile signaling and backhaul traffic for transmission as IP via satellite. “We can achieve as much as a 48 times reduction in the bandwidth needs for mobile backhaul,” Yablonsky noted. With national leaders, including France’s Sarkozy, pushing to mandate universal broadband and access, the digital divide will become a vertical market.
Executive Leadership. At the annual SSPI Future Leaders Dinner held last October in New York, three young executives, and one who remains young at heart, were recognized by leaders from every segment of the industry. Intelsat’s Manager of Corporate Communicaions, Nick Mitsis; Arrowhead Global’s VP, David Cavossa and Space Systems/Loral’s section Manager for Payload Design, Yvette Dominguez were recognized as leaders who will, in the words of SSPI’s Chairman, TVN’s CTO Dominic Stasi, “add more luster to an industry that needs to recapture its glow for the next generation.”
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Lou Zacharilla is the Director of Development of the Society of Satellite Professionals International. He can be reached at: lzacharilla@sspi.org
