Broadband Satellite Market to Escape Economic Malaise Largely Unscathed If Recovery Starts Prior to End of 2009

CAMBRIDGE, MA, Apr 07 (MARKET WIRE) --
NSR LLC today released findings from its latest report, "Broadband
Satellite Markets, 8th Edition" that indicate the broadband satellite
sector may remain relatively unaffected by the global economic crisis if
a turnaround begins in the next 6-12 months. The report is a
comprehensive analysis of the global market for broadband VSAT
networking, single site satellite broadband Internet access, and satellite
broadband trunking & backhaul services in all regional markets.

Companies selling broadband satellite services as a whole had a very
successful 2008 with solid revenue growth and sustained increases in
installed bases of broadband VSAT sites and satellite broadband
subscribers. Moving into 2009, many players report business activity as
strong, if not stronger, as a year ago, and there is a definite optimism
in the industry that most players will successfully navigate the
treacherous waters of the global economic downturn. Yet, there is an
undeniable undercurrent of concern and uncertainty with most companies
couching their positive outlooks based on the premise that general
economic recovery at least commences by late 2009. Should the opposite
prove true, then all bets are off.

In assessing the overall broadband satellite markets segment, it is
assumed that economic recovery does occur late in 2009 and 2010. Further,
it is likely that there will be a generalized spike in demand in the
2011-2013 time period should this assessment prove correct as slowed or
delayed projects are restarted and new satellite capacity is launched in
the next two years unlocking a number of regional markets that are
suffering from limited capacity and high capacity pricing. Beyond 2014,
NSR assumes that growth in the above mentioned individual markets will at
least return to historical levels and that overall service and customer
premises equipment (CPE) revenues for the industry will climb from US$3.3
billion in 2008 to over US$7.6 billion in 2018.

Broadband VSAT networking services for classic verticals such as corporate
VPN, retail, hospitality, oil & gas, financial & banking, digital media
and other applications have long been the foundation of the overall
broadband satellite market. This segment, on a global basis, still
generates the most in terms of revenues, required bandwidth, and leased
commercial satellite capacity. However, in 2008 the single site satellite
broadband Internet access market became the market leader in terms of
installed base with over 1.1 million subscribers. By the middle of its
ten-year forecast period, NSR projects that single site satellite
broadband Internet access services will take the lead in all industry
measures including revenues and leased commercial satellite capacity.
This trend clearly illustrates why many players in the market are focused
on building their base within single site satellite broadband Internet
access services.

Finally, NSR continues its long standing projection for slowly declining
trunking services, but growth in various backhaul services will more than
offset this drop. The single most important aspect of the trunking &
backhaul market is that despite the relatively small installed base
compared to the two other market segments, trunking & backhaul generates
by far the highest revenue per site.

About the Report

"Broadband Satellite Markets, 8th Edition" is a multi-client report now
available from NSR. This study drills down into the broadband satellite
market in order to provide an in-depth analysis of key trends in seven
different regional markets. The report provides the satellite industry
with timely and pertinent data regarding growth in one-way and two-way
broadband VSAT sites, subscribers to single site satellite broadband
Internet access services, trends in the broadband trunking & backhaul
markets, projected service revenues, revenues from sales of customer
premises equipment, bandwidth demand, and leased commercial satellite
capacity. Further, the study is completely integrated with NSR's "Global
Assessment of Satellite Demand, 6th Edition" and "Wireless Backhaul via
Satellite, 2nd Edition" studies such that they offer a library of detailed
analysis of demand for commercial satellite services for the industry. For
additional information on this report, including a full table of contents,
list of exhibits and executive summary, please visit www.nsr.com or call
NSR at 617-576-5771.

About NSR

NSR is an international market research and consulting firm specializing
in satellite and wireless technology and applications. NSR's primary
areas of expertise include emerging technology, IP applications, and
broadcast services. With extensive expertise in all regions and a number
of broadband sectors, NSR is a leading provider of in-depth market
insight and analyses.

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