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DIRECTV: What’s next for Paytv in U.S and Latin America? VVVolVolVolVol o6 o6 66l l. .No. NoNo. No77 N N 55 oo5.. 818 June 2018 2019 AFRICA Digital Switch-Over: By MarcelConnecting Dischinger Africa using the digital dividends C O N T E N T S Vol. 7 No. 17 The future of VSAT in the emerging market Editor in-chief Aliyu Bello Newtec CEO Thomas Van den Driessche Named President Executive Manager Tonia Gerrald of the Board of SSPI SA to the editor in-Chief Ngozi Okey Head, Application Services M. Yakubu Brave new regional heights Editorial/ICT Services John Daniel At Endemol, content is king Usman Bello Ethiopia joins space race, set to Alozie Nwankwo launch Earth Observation Satellite Juliet Nnamdi Bolivian Space Agency deploys Newtec Dialog hub Client Relations Sunday Tache Lookman Bello Sudasat now provide broadband services via Arabsat 6A Satellite Safiya Thani The future of electronic voting machines in Africa Marketing Offy Pat Tunde Nathaniel Thuraya's X5-Touch won 'Top Mobility User Wasiu Olatunde Experience Solution' at MSUA 2019 Award Media Relations Favour Madu Towards Digital Transformation in Africa Khadijat Yakubu Zacheous Felicia Six TV channels ink deal to broadcast Finance Folarin Tunde via Bangabandhu satellite Canal Algerie now available on Arabsat-5C for DTH over Africa DIRECTV: What’s next for Paytv in U.S Space Watch Magazine is a publication of and Latin America? Communication Science, Inc. All correspondence should be addressed to editor, space Watch Magazine. South Sudan launches international voice Abuja office: Plot 2009, Awka Street, UTC Building, gateway GF 11, Area 10, Garki, Abuja, Nigeria Tel: 234 80336471114, 07084706167, email: [email protected] LEGAL CONSULTANTS Idowu Oriola & Co. Garki, Abuja DISTRIBUTION CONTACTS Ade Adejo ABIJAN INTERNATIONAL Suleija, Abuja AYO DISTRIBUTION AGENCY Emir Road, Ilorin Olumayowa Ojo NEWSROUND INTERNATIONAL Area 10, Garki, Abuja Magazine Circulation Nigeria Limited 90, Obafemi Awolowo Way, Ikeja Magazine Subscription Nigeria Limited Ikeja, Lagos. DELALI OTCHI Ridge Church, Tudu Branch, Accra, Ghana. AL AHRAM NEWPAPERS LIMITED Al Galaa Street -11511 Cairo-Egypt Ayo Olu MAGAZINE DISTRIBUTION AGENCY Jos, Plateau State. 1 Editorial The future of VSAT in the emerging market Emerging market are quite often emerging market will only take place if it is develop VSAT networks that seamlessly interpreted as untapped lucrative markets deployed new network operators that can integrate broadcasting and two way that can yield high returns. This is true in focus on the challenges without the i n t e r n e t a c c e s s s e r v i c e s . D V B cases such as the emerging vehicle constraints of a legacy infrastructure and technologies are the widely used by market in South Africa, or the emerging operational overheads. Since more than internet access VSAT networks. What is TV subscriber market in other parts of the half of countries on the continent have lacking is the integration of the content and continent. There's also another side of a licensed ISPs and other operators to the networks so that a subscriber can have typical emerging market: its unqualified provide VSAT services, we can consider full multimedia offering from a single nature wrapped I business and the market as partly deregulated and service provider. technology risks. The pure fact is that this open for further consideration (at least as is uncharted territory that could spell great an emerging market). And then of course, there is the equipment success, as easily as it can lead to greater price entry barrier. VSAT systems with a disaster. Finding the most suitable revenue model typically 1.2 m, 2W equipment is possibly the most critical component in configuration are still in the region of USD The Africa VSAT market is an emerging unlocking the business potential of 3,000 for volume orders including shipping, market in the true sense – its hold the emerging markets. Just think about what duties, and clearance charges. At this level, promise of untapped revenue from prepay did for the GS$M market. For it is still a niche product for corporate and thousands of subscribers, while at the internet, access services to the mass h i g h i n c o m e s u b s c r i b e r l e v e l . same time conceals the risks of entering market in Africa, the challenges are more Developments are under way to reduce the into an unqualified business territory. The complicated. Having a prepay service is total cost of implementation to below USD phenomenal success of MTN and only the first step in developing the correct 1,000. This will then bring VSAT network Vodacom in the GSM cellular markets has revenue model. Another example is the within the reach of the mass market. The created an almost romantic picture of the DStv pay-TV market which offered last aspect of the emerging VSAT market in region. And rightfully so. The success of subscribers a full selection of channels for Africa is the most challenging of all: the the GSM has illustrated the potential of a fixed monthly cost. This is underwritten development of a wide and in-depth skills Africa and has positioned the continent by decoder technology that can remotely based throughout the continent that can squarely on the investment map. For be switched-off should a subscriber not install and maintain two way VSAT VSAT, the secret lies in the fine print. To meet his or her monthly commitments. systems. unlock the market, it needs to dig deeper The main issue here is that internet Satellite technology based networks are in to the specific dynamics and look access services have the same 'always- burdened with the fact that their beyond the promise of thousands of on' nature as DStv, yet the service grade performance is dependant on the quality of subscribers. There's no doubt that the depends on how many subscribers are the subscriber equipment, more so than is VSAT market can equal or exceed the online at any given point. This means that the case for one-way broadcasting satellite potential of a GSM market in Africa. The both the network operators and the networks. Poorly installed subscriber sites question is, how? subscribers have no firm base line on the can influence the total network quality of service and the user access performance and result in overall The market potential for VSAT levels at any particular time. degradation of service quality. In order to technologies is vast. Its includes high fully develop the Africa VSAT market all capacity backbone services for GSM and In order to fully unlock the mass market industry players will have to cooperate in PTT, specialist services for government for satellite broadband internet access providing training and to invest in skills. and military applications, dependable service, network operators will have to Once the skills levels are in place to deploy video, telephony and data services for the develop their own unique models. These VSAT network to the mass market, then corporate space, and internet access and will undoubtedly be prepay, as is GSM attention can be given to the challenges of voice services for domestic customers. cellular, but they will have to integrate the logistics and practical implementation But for now, this discussion is more about always-on nature, ads well as be linked to constraints in the regional market. the dynamics of the corporate and the usage and perhaps even the domestic broadband VSAT services continent. Africa's VSAT market is indeed a truly sector, rather than the high capacity emerging one. It holds both the potential of networks for the GSM market, or the The next dimension that needs to be vast revenue potential as well as business, specialist networks for the government. resolved is the actual technology technology and implementation risks that platforms that can be used for the broad- typify emerging markets. I have no doubt To unlock full potential of the VSAT user in Africa. VSAT technology has come that this market will be developed and broadband market it must be deregulated a long way and is a proven and reliable ultimately conquered by the most skilled to attract investment and third party platform for connectivity to any remote innovative business leaders Africa has to operators. The good news is that this is locations. What is now needed is a move offer. happening in many countries, such as into standard-based technology with full The current wave of investment in the Nigeria, and the growth of the interoperability between manufacturers. continent looks set to continue. But to ride telecommunications sector in these The current generation is mainly still this wave, investors needs to recognize nations clearly shows the benefits of proprietary and, although there is much that the revolution remains essentially deregulation. It is not the role of the talk about the open DVB-RCS standard, African – and that it requires an African i n c u m b e n t t e l e c o m m u n i c a t i o n this is yet to be fully mainstream in reality. solution. African partners and African c o r p o r a t i o n t o t a k e e m e r g i n g excellence will be found at the core of all technologies to the market. Broad Another technology-related issued is to sustainable solutions. applications of VSAT services by the 5 APOINTMENTS ushering in the next generations of Newtec CEO Thomas Robert Lightfoot joins wireless communications.
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