In July 2004, Telesat’s Anik F2 became the world’s first satellite to successfully commercialise Ka-band for two-way high speed broadband services. The US capacity on that satellite was leased by WildBlue and, along with Hughes Network Systems, those two…
In July 2004, Telesat’s Anik F2 became the world’s first satellite to successfully commercialise Ka-band for two-way high speed broadband services. The US capacity on that satellite was leased by WildBlue and, along with Hughes Network Systems, those two companies built broadband via Ka-band satellite into a compelling business proposition in North America.
With the next generation of Ka-band satellites promising to increase network capacity tenfold, residential satellite broadband is rapidly transforming from a niche service to a vital component in bridging the digital divide.
The American model has shown the viability of mass-market Ka-band to the rest of the world, but has not necessarily become the default blueprint for a Ka-band-based business.
In Europe, consumer broadband has been embraced by a wide array of companies, but most have opted to adopt a wholesale system in which they create the broadband service and have it delivered to end users through distribution partners, who are usually telcos.
This is the model that will be used by Eutelsat and Avanti for their KA-SAT and HYLAS satellites. In this issue, Telenor Broadcast CEO Cato Halsaa speaks of his company’s desire to place Ka-band capacity on its next satellite, with the intention to act as a wholesaler.
The diversification of Ka-band business opportunities means that the idea that there is a split in industry over the viability of this technology has become redundant. SES has often being characterised as cautious of the technology, but it too will be placing more Ka-band transponders on future broadcast satellites.
Of course, it has also made a commitment to another Ka-band business with its investment in O3B. The O3B business plan, which is aimed at Africa and other developing markets, centres around the delivery of telecommunications infrastructure backbone services through Ka-band.
The conclusion can be made that Ka-band no longer represents one particular kind of consumer broadband business model, but is in fact a technological tool that allows new and established operators alike to expand beyond their saturated traditional markets.
In his interview with SatelliteFinance this month, new Eutelsat CEO Michel de Rosen says: “Eutelsat has foreseen the need to enter into new frequency bands to open new opportunities for business. In view of the lack of available untapped Ku-band spectrum, this move is simply a question of logic.”
The fact that the adoption of Ka-band has become global only enhances this idea. Operators in the Middle East such as YahSat, ArabSat and NileSat are all utilising Ka-band capacity in their next satellites.
In Asia, Thaicom’s broadband satellite IPSTAR has carried a small complement of Ka-band transponders since its launch in 2005, and it is likely that the company will increase its capacity in that spectrum for any follow-up.
Australia is a market where Ka-band seems certain to play a major role, as government initiatives to roll out universal broadband have now openly accepted the need for satellites to cover remote areas. Start-ups and established players are now both lining up to secure state backing for their Ka-band projects with Optus, Newsat and KaComm all hoping to be a beneficiary.
Broadband via Ka-band is also not just limited to terrestrial customers. With in-flight broadband slowly moving from niche offering to a mass market value added service, Ka-band could play a major role in connecting the skies in the future. Companies like LiveTV, a subsidiary of JetBlue Airways which provides satellite television to airlines, have made bold claims that the future of in-flight connectivity lies with Ka-band due to the demand for broadband internet speeds.
This degree of global market acceptance reflects the fact the initial stages of Ka-band adoption are at an end. The technology is now set to be a core component of the satellite industry for years to come.
