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CommunicAsia: Government Spending Should be Strong in Region

By Jason Bates | June 18, 2010
A significant contributor to the economic recovery around the globe is government spending. The Asia-Pacific region is no exception, and this funding to fulfill various projects and government communications obligations, should provide several opportunities for satellite players.

While government funding shortages have led to a cutback in emergency communications preparedness in the past several years, a range of natural and manmade disasters around the globe have in the past have brought the issue back to the forefront. Governments are expressing interest in emergency communications again, and the satellite communications sector is responding with a wider variety of solutions from new generation satellite phones to full network setups.

Another major source of funding in the Asia-Pacific region that is coming online is the universal service obligations (USOs) that require governments to provide standard communications services to populations. Many of the wireless carriers that hold these USOs will need help to meet their obligations due to the difficult terrain in many of these countries.

Governments throughout the Asia-Pacific region are going to be spending a lot of money to meet the communications needs of their populations, and the satellite communications sector should be in good shape as the solution best-positioned to provide many of these services.