DBSTalk Forum banner
Status
Not open for further replies.
1 - 1 of 1 Posts

·
Banned
Joined
·
11,498 Posts
Discussion Starter · #1 ·
Despite claims by some proponents of the proposed EchoStar/Hughes Electronics merger that consumer satellite broadband services are dead without their deal going through, the laws of supply and demand tend to suggest otherwise.

This came to mind via a recent white paper from the folks at Futron Corporation in Bethesda, Md. With their roots deep in technology and consulting circles, the Futron gang tends to devote a lot of thought to where it's all going ... and their paper, titled "Satellites - The Answer to Universal Broadband Services?" makes some interesting points about demand, supply and satellites.

Starting from the common belief that broadband will grow (and Futron pegs it at 75 million households in 2008), a major question is via what technologies. Certainly the wired ones have a good run on the market but as Futron points out, the costs of providing infrastructure for these services (cable and DSL) have left most of the country uncovered. That suggests terrestrial wireless as a good bet for households outside prime cable/DSL territories - and indeed, the government has granted numerous licenses to current, and wanna-be, fixed wireless providers. But as Futron points out these wireless folks servers been going out of business faster than firecracker stands on the 5th of July. And a map showing U.S. areas where current fixed wireless servers are in imminent danger of going under reinforces the notion that universal service must be accomplished another way. (See map.)

All of which leads to the notion of satellite as a broadband savior via its ubiquitous service. Of course, there are some obstacles such as the need to increase satellite bandwidth capacities and the struggle to reach competitive price points. With this in mind, Futron notes, "This market is not for the faint of heart." Nonetheless, with potential customers numbering in the tens of millions, the laws of supply and demand (to say nothing of recent gains both here and abroad by the DirecWay folk) suggest satellite as a good bet in future broadband markets.

From SkyReport (Used with permission)
 
1 - 1 of 1 Posts
Status
Not open for further replies.
Top