Next Generation Satellite Vital to U.S. Broadband Economy

INTERNET SPACE

broadband is here

Palo AltO - Mar 17, 2004
Frost & Sullivan, a global leader in strategic growth consulting announced today the release of a forward-looking white paper that examines broadband requirements and coverage in the United States.

This study describes the key role of satellite in providing high-speed connectivity in a manner that is cost-effective for service providers and end users. The evolution of broadband applications will require that virtually all U.S. business sites be enabled with a common level of data communication in order to maintain productivity.

As broadband applications mature, sites that are not sufficiently connected will suffer disadvantages akin to the much-discussed "Digital Divide," being unable to participate on an equal basis. A considerable percentage of businesses will not be adequately covered by terrestrial broadband.

While it is generally assumed that 80 percent of businesses can get data access at speeds faster than dial-up, in actuality, more than 40 percent of business sites in the United States cannot be economically addressed by terrestrial business-grade broadband (defined as 512 kbps or better), according to the Frost & Sullivan study, "Broadband and the Role of Satellite Services" by G. Fong and K. Nour. Succinctly, this "supply gap" can be explained by the following:

Cable-based Internet not deployed in business districts DSL performance is limited by distance and contention High cost and unavailability of dedicated lines preclude market participation The study explains, "A lack of economical access to wired broadband resources at a significant number of facilities will pose a critical hindrance to business operations.

"Satellite will be essential to enable comprehensive broadband services with the performance required to support the mission-critical applications needed by corporate, SME (small and medium enterprises) and SOHO (single office, home office) markets.

"Next generation satellite platforms will service both competitive and underserved markets by enabling channels to distribute services that are transparent to the end user."

The white paper points to advantages that make next-generation satellite solutions appealing to both small businesses and multi-site corporations -- regardless of their geographic location -- cost, geographical coverage and the ability to provide a common level of broadband service through a single contract. Case analyses detail broadband satellite's value proposition to both end users and distribution channels.

INTERNET SPACE

Wholesale Agreement Enables Broadband Networking

Petah Tikva - Mar 16, 2004
Gilat Satellite Networks Ltd has announced that its U.S. subsidiary, Spacenet Inc., has signed a wholesale agreement with New Edge Networks that allows the company to offer Spacenet's Connexstar satellite service as its newest broadband service offering.

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