Show Daily 2018 Day 4 Issue
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A Perfect Storm for 4G Satellite Backhaul?

We’re hearing a great deal about 5G and the role that satellite is set to play in the ecosystem, but the industry could be getting ahead of itself as 4G rollouts are still incomplete. According to OpenSignal, more than 75 countries have deployed 4G networks but in 28 of them, deployment has only reached 60 percent of the population. This presents a huge opportunity for satellite backhaul.

Ron Levin, vice president of global accounts at Gilat Satellite Networks, said that falling satellite prices and the shift from voice-driven to data-driven usage in 4G are “enabling satellite to go where it hasn’t before.”

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Semir Hassanaly, market director for mobile backhaul and trunking at Newtec, sees demand coming from all regions. “It’s coming from all over. North America and Western Europe, Latin America, Africa and lots in Asia for different applications.”

The panel agreed that latency below 700 milliseconds is essential for 3G voice-based services. In 4G, customers will not tolerate packet loss. “Requirements from clients are more strict than ever in 4G,” said Bryan McGuirk, chief commercial officer at Globecomm.

Vinay Patel, senior director and regional manager for Sub-Saharan Africa at Hughes, said VSAT competes strongly on economics. “You can install a VSAT anywhere. There’s not even an economic case to be made, especially with HTS coming online — it’s a clear-cut case.”

Omar Trujillo, vice president of Latam sales at O3b, noted that in Latin America, the transition will largely be straight from 2G into 4G.

McGuirk emphasized the need for better storytelling. “I see a different paradigm developing where we can compete on cost per bit. I think there will be a segment of the industry that will remain satellite.” VS

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