Pierre-Jean Beylier, CEO, SpeedCast told SatelliteTODAY.com says the company can now consider itself a global player in this market. He says, “This deal enables us to strengthen our position in Europe and to become one of the top maritime communication service providers in the world. We are now located at the center of major European shipping routes. We have been interested to strengthen our position in Europe for quite some time. We have been monitoring the market in Europe over the last two years, and looking for the right fit. We are acquiring a company that has a similar growth momentum to SpeedCast.”

   Elektrikom delivers custom-engineered communication solutions for its customers, including various types of satellite communications, such as Ku-band & C-band VSAT services and L-band services, as well as wireless technologies and a range of IT services. The acquisition gives SpeedCast a number of components that it didn’t have before. “This acquisition gives us size, which is important in the maritime market. It gives us a strategically strong position in Rotterdam, one of the major ports in Europe, as well as a strong engineering support capability in Europe,” says Beylier. “Finally, it gives a unique technology infrastructure. We will now be operating the two leading technology platforms in the maritime industry, iDirect and Comtech EF Data. We will be able to provide services on Ku-band and C-band on a global basis on these two platforms, thus catering for all of the needs in the market.”

   The maritime satellite communications market is one of the most talked about in satellite right now as cruise ships and commercial shipping companies look to beef up their ICT infrastructure. SpeedCast itself has seen growth in this market in Asia, and is now anxious to replicate that in other markets around the world. “What is interesting about the maritime market, if you look at the commercial shipping market, is that there is still a relatively low penetration of VSAT services. It is still considered a new technology in this market. So, there is still plenty of potential for future growth. But, there is consolidation taking place in the market. You will see a smaller number of players providing services, but these will have a larger share of the market. I am confident SpeedCast will be one of these, not only in Asia, but also in the global maritime market. SpeedCast’s position as the only Asia-based maritime service provider to own and operate a global Ku-band network is definitely interesting, looking at the importance of Asia for the future growth of the maritime VSAT market,” adds Beylier.

   SpeedCast itself has had a busy last 12 months. In 2012, the company gained new owners as Private Equity firm TA Associates bought the company from AsiaSat. The company is pursuing an aggressive acquisition strategy and has made two significant acquisitions in a short space of time. In December, SpeedCast and TA Associates bought outAustralian Satellite Communications (ASC), the Hong Kong global network and satcom services provider. Providing satellite-based communications throughout Australia, ASC serves customers ranging from the mining, oil and gas industries, and the construction, government and maritime sectors. Other deals could also be on the horizon. “We will continue to invest in key markets and geographies where we see growth potential. When you look at our external acquisition objectives, our key objective has been to consolidate our leadership position in Asia-Pacific and the acquisition of ASC fits that objective. In addition, it is also important for us to strengthen our global position in the maritime and offshore market and Elektrikom contributes to that goal. Whether we will do an acquisition in Africa, I don’t know at this stage. But, what I can tell you, is that a number of our customers in Asia-Pacific are investing in Africa, and we need to be able to service them in the African continent. We see some growth for SpeedCast there. Right now, we are focused on organic growth in Africa, strengthening our capability to serve our customers in that continent. If there is an acquisition that makes sense, we will look at it,” adds Beylier.

   Beylier is optimistic that SpeedCast will have a good year in 2013, and feels there are plenty of growth opportunities for the company, both regionally and across different verticals. “If you look at our industry, there is the emergence of new technologies such as Ka-band, which present both some opportunities and challenges. Lastly another challenge for us is to continue to find talented people who can contribute to our strong growth. In terms of growth drivers, Asia Pacific will continue to be one of the leading growth markets. We are in many countries that have very exciting growth potential,” says Beylier. “We also see strong economic growth and infrastructure developments in Africa. Geographically, I think we are in the right places. In terms of verticals, we are very active in maritime, oil and gas, mining: all of these verticals are experiencing growth. You also have cellular backhaul, where outsourcing is gaining momentum.”