Satellite Broadband Services Experience Dynamic Growth in 2006
Government Projects and Consumer Demand Key in Pushing Industry Revenues to US$3.2 Billion
| Source: NSR
CAMBRIDGE, MA -- (MARKET WIRE) -- May 1, 2007 --NSR today released the latest edition to its
industry-standard report "Broadband Satellite Markets: 6th Edition." The
report is a comprehensive analysis of the global market for enterprise &
SME VSAT networks, single site satellite broadband Internet access
services, and satellite IP trunking applications.
With enterprise & SME VSAT networks and single site satellite broadband
Internet access services leading the way, NSR forecasts total global
revenues from monthly service fees and sales of customer premise equipment
(CPE) will break the US$5 billion barrier by 2011. Not only does this
market benefit equipment manufacturers and service providers such as Hughes
and WildBlue, commercial satellite fleet operators around the world are
securing an important slice of the action.
NSR estimates that almost 900 36-MHz transponders will be needed to
provision the global base of broadband VSAT sites and satellite Internet
access subscribers by 2011. This is almost a 40% increase over transponders
leased in 2006. "Ku-band capacity will play a dominant role in these
markets over the entire forecast period," stated Patrick French, Senior
Analyst and author of the report. "Yet, many companies are seriously
looking to commercial Ka-band, not just dedicated Ka-band satellites like
WildBlue-1 and Spaceway-3, for these markets, and the next few years will
prove critical in determining just how rapidly the industry moves down this
path."
Government-sponsored or mandated broadband VSAT projects, notably in
developing countries, form a large part of NSR's forecast of net new
broadband IP VSAT site installations through 2011. The Mexican e-Mexico
and Enciclomedia projects are two shining examples of the power of VSATs to
bring communications services to unserved areas and modern educational
techniques to all schools no matter where they are located. Beyond these
projects, NSR also noted new networks or expansion of existing e-government
networks in Thailand, Colombia and Brazil among others. Further, NSR
understands that additional, large rural connectivity and tele-education
projects are under serious consideration or even have sought proposals in
Russia, Turkey, Malaysia, Argentina and Brazil.
Conversely, it is single site satellite broadband Internet access services
that are powering the satellite broadband market in developed countries.
Single site satellite broadband netted over 170,000 new subscribers
worldwide in 2006 with well over 80% of these coming in the North American
market. Interestingly, Australia was the next most important single site
satellite broadband market in the last year. "While smaller in scope, the
Australian Broadband Connect broadband access subsidy program is an
excellent example of a government initiative to bring broadband services to
rural areas at a price on par with services in urban parts of the country,"
stated French. "This program merits close examination from other
governments around the world as an example of a way to help close the
digital divide that exists even in developed nations."
About the Report
The "Broadband Satellite Markets: 6th Edition" report drills down into the
broadband satellite segment in order to provide an in-depth analysis of key
trends in six different regional markets and provides the satellite
industry with timely and pertinent data regarding growth in IP VSAT sites,
subscribers to satellite broadband Internet access services, projected
service revenues, revenues from sales of customer premise equipment,
bandwidth demand, and leased commercial C-, Ku- and Ka-band satellite
transponders. Further, the report is completely integrated with NSR's
"Global Assessment of Satellite Demand" report such that the two offer the
most detailed analysis of demand for commercial satellite services
available to the industry.
"Broadband Satellite Markets: 6th Edition" is a multi-client report now
available from NSR. For additional information on this report, including a
full table of contents, list of exhibits and executive summary, please
visit www.nsr.com or call NSR at 617-576-5771.
About NSR
NSR is an international market research and consulting firm specializing in
satellite and wireless technology and applications. NSR's primary areas of
expertise include emerging technology, IP applications, and broadcast
services. With extensive expertise in all regions and a number of
broadband sectors, NSR is a leading provider of in-depth market insight and
analyses.