Intelsat Believes Global Presence Could Yield Rich Dividends in Asia

 

Via Satellite: Do you see consolidation in the region or will operators look to team up in order to boost coverage and offer better solutions to customers?

Ball: I think consolidation in Asia is difficult to achieve because of regulatory and national interests. We believe the major operators such as ourselves can provide a more compelling value to customers in terms of regional, global distribution, different connectivity options, different capacity options and more depth. I think we differentiate ourselves in that sense in the market.
    I could see some operators teaming up. I think it is going to be a case on who blinks first in terms of people not wanting to yield on sovereign rights.

Via Satellite: What are Intelsat’s capital expenditure plans for Asia?

Ball: Overall, Intelsat will invest $460 million to $500 million in our fleet this year.  In terms of our capital investments to serve Asia, we do have a number of satellite replacements coming up in the cycle. We have a satellite at 66 degrees East. We expect to have a construction contract for that satellite this year. The other satellite is the 180 degrees East satellite. We expect to be moving to contract for a replacement to that satellite this year. That is also a 7 series satellite.  Our goal is to understand our customers requirements over the long term and bring capacity to market at the right time to serve those needs.

Via Satellite: How do you view the opportunities for Ka-Band in the region

Ball: I think at the moment we are positioned well in terms of Ku- and C-band globally. We are looking at seeing some trends in Ka-band in North America and Europe. In Asia, I think it will be a while. I think there are some markets here where they are still coming to grips with Ku-band in some of the higher rain zone areas. In Japan and Australia, where you have well-developed Ku-band markets, you may see Ka-band come in where the business case stacks up. I think it is still a little early and that Asia will lag behind Europe and North America on the Ka-band side. It is a little early to understand the dynamics of Ka-band and how that would fit in the market.

Via Satellite: What role will Intelsat play in Asia in the coming years?

Ball: I definitely believe Intelsat will have an enduring presence in Asia. The replacement satellites will bring new capacity and capabilities to the market. We can provide more services to customers. The Intelsat 15 satellite is also coming at 85 degrees East next year. We do see a lot more Ku-band demand. There are some regulatory issues, but there is strong demand. It is a very important region for us. We do a tremendous amount of work in terms of video distribution within the region. I don’t think there will be huge changes in the near term but if there are changes Intelsat will be there with new solutions for our Asian customers.

• Via Satellite Magazine Announces 2011 Satellite Executive of the Year Nominees

• UAVs Unlimited: ISR-Focused Military Looks to More Capable Remotely Piloted Aircraft

• Satellite R&D Landscape Rich with Promise NASA Space Technology Focus, Military Requirements Driving Future Innovations

• EXTENDED INTERVIEW: Satellite Executive of the Year 2010 Petra Mateos, Chairwoman, Hispasat
• Shifting Market Dynamics Forces Content Providers to Explore New Revenue Streams

• Jackson: “I Don’t Know How We Got Into This Position”
• The WiMax Point Of View
• The Defense Case for C-Band
• SUIRG: Satellite Players Must Keep C-Band
• Hartshorn: 'A Matter Of Life Or Death'