News Archive
Site News Update Editorial & DISH Wins OK for Use of Telesat Canada Satellite & FCC Voids 2004 DBS Auction -- Posted by soullezz on Thursday, December 29 2005
:: Editorial ::
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DISH Wins OK for Use of Telesat Canada Satellite
This week, EchoStar won Federal Communications Commission approval to use a Telesat Canada satellite for delivery of services to customers in the United States.
Specifically, the FCC's International Bureau granted EchoStar's request for a blanket authorization allowing customers to receive programming via Ku-Band capacity on Telesat's Anik F3 spacecraft, which will be located at 118 degrees. The Telesat orbital slot is near EchoStar's satellites at 119 degrees. The DBS company also operates satellites at 110 degrees.
When approving the request, the bureau said use of the Telesat satellite will "improve the choice of service to consumers" in the U.S. pay-TV market. The FCC, in its order, said EchoStar plans to use the Anik F3 capacity to augment the spectrum it uses for its services, including expanded local-into-local, international, high def and other programming.
The FCC said Telesat plans to deploy Anik F3 in the second half of next year. In February 2004, Telesat's board of directors approved the satellite use deal with EchoStar.
FCC Voids 2004 DBS Auction
In an order released Thursday, the Federal Communications Commission nullified an auction for DBS spectrum held in 2004, a move tied to a challenge Northpoint Technology raised in court concerning the spectrum allocation. In June, the U.S. Court of Appeals in Washington, D.C., found in favor of Northpoint in determining the DBS spectrum auction was unauthorized. Northpoint had for years worked to gain access to DBS spectrum for a planned terrestrial service that would share the frequencies with DBS services. Satellite TV interests vigorously fought the spectrum-sharing proposal, fretting about interference to small dish services.
The two auction winners, EchoStar and Rainbow DBS, won three DBS licenses in the 2004 auction. Rainbow DBS won a license to operate three channels at the 175-degree orbital location and another to operate 32 channels at 166 degrees. EchoStar won a license to operate on 29 channels at the 157-degree orbital location.
Also, due to the court challenge, the FCC froze all applications for new DBS authorizations to use the 12.2-12.7 GHz band and associated feeder links in the 17.3- 17.8 GHz band pending further consideration of its rules. The freeze is limited to applications for licenses for new space stations or requests for market access by foreign-licensed space stations, and does not apply to applications for replacement satellites, modifications to existing satellite licenses, or requests for special temporary authority.
As of press time, there was no comment from EchoStar.
as seen on skyreport
Sky Reaches 8 Million Milestone & Cablevision Skips on $3 Billion Dividend & What's in the DTV Legislation? -- Posted by soullezz on Tuesday, December 20 2005
Sky Reaches 8 Million Milestone
Despite some stiff competition from a free digital terrestrial service and a growing cable threat, British Sky Broadcasting said it recently reached the 8 million subscriber milestone.
Said the company's CEO James Murdoch, "Sky is achieving strong growth. Nearly one in three homes and counting have chosen Sky and we are especially well placed to broaden Sky's appeal as entertainment and communications come together."
The News Corp.-controlled satellite TV company, serving the United Kingdom and Ireland, maintained key operational targets including 10 million satellite TV subscribers in 2010, with 25 percent penetration for the Sky-Plus DVR service and 30 percent multiroom penetration.
Cablevision Skips on $3 Billion Dividend
Cablevision abandoned plans to issue a special $3 billion dividend, a proposal it floated in October after the founding Dolan family skipped on efforts to take the New York-area cable operator private. Cablevision said that during preparation for the financing of its proposed special dividend, it determined there were certain technical covenant violations under an existing bank credit agreement and certain possible technical covenant violations under other debt instruments.
The cable company said it's in the process of completing a comprehensive covenant compliance review, and will seek waivers under its bank credit agreement and, if necessary, seek waivers under its other debt instruments and consider the impact of such potential covenant violations on the classification of debt in its prior financial statements.
In addition to canceling the special dividend, a recently announced senior note offering also will not proceed, the company said.
What's in the DTV Legislation?
A Senate/House conference committee hammered out the last details of a budget reconciliation bill that contains language pertaining to the nation's eventual switch to digital TV. The measure passed the House Monday on a 212-206 vote. As of press time Monday, the Senate was working towards the legislation.
The legislation establishes a Feb. 17, 2009, "hard date" for the transition from analog to digital television. It also allocates up to $1.5 billion in assistance for consumers who rely on over-the-air broadcasting and need a converter box in order to continue receiving TV signals once the digital switch is complete.
The final bill also stripped out a provision that would have permitted cable operators to down-convert HDTV signals into a "standard definition" signal. The National Association of Broadcasters vigorously fought the proposal.
NAB President and CEO David Rehr said the organization is "pleased that the House included many pro-consumer DTV provisions in the budget reconciliation bill. We are especially encouraged that the legislation thwarts the cable industry's desire to degrade delivery of HDTV pictures to consumers."
as seen on skyreport
Court Affirms Dominion Case Against EchoStar & NAB Tackles Opposition on DBS Multicast & DISH Fights Push for Locals Rule Expansion & DirecTV Delivers Alaska, Hawaii Locals -- Posted by soullezz on Friday, December 9 2005
Court Affirms Dominion Case Against EchoStar
This week, the U.S. Court of Appeals in Denver affirmed a district court ruling concerning the ongoing legal spat between EchoStar and Dominion.
The skirmish started with a breach-of-contract lawsuit filed in April 2003 by Dominion against EchoStar for what it said were multiple contract violations by the satellite TV company. The case was taken to U.S. district court in Denver, as well as before an arbitrator, and eventually landed in the 10th Circuit appeals court.
The appeals court affirmed an earlier court ruling that awarded $2.4 million in damages plus attorneys fees to Dominion. The award came after the companies approached an arbitration panel concerning the dispute, and that panel assessed the damages, which was confirmed by the district court in October 2004.
The appeals court also affirmed a district court decision to award more than $63,000 in attorneys fees and costs to Dominion.
The appeals court also said Dominion may file a motion seeking attorneys fees within 15 days related to the EchoStar appeal. EchoStar will have 15 days to respond to that request, court documents stated.
Dominion, a DBS licensee, has been using EchoStar's satellite and capacity at 61.5 degrees to deliver its Christian-oriented satellite TV service.
As of press time, EchoStar didn't offer a comment. Dominion also didn't comment on the case.
NAB Tackles Opposition on DBS Multicast
The National Association of Broadcasters said in a filing sent to the Federal Communications Commission late Thursday that the agency should reject any push to reconsider its decision that requires DBS services to offer multicast and HDTV from local stations in Alaska and Hawaii beginning in 2007. In August, the FCC ruled that DBS services providing locals to the two states also must deliver high def signals as well as multicast signals within that two-year timeframe. In October, DirecTV and EchoStar asked the FCC to reconsider its decision, which was part of the agency's implementation of the Satellite Home Viewer Extension and Reauthorization Act (SHVERA).
The NAB said in its opposition that claims about DBS capacity constraints "are exaggerated and factually unsupported." The organization added, "Given past claims about satellite capacity constraints that proved inaccurate and the continuing ability of satellite operators to expand their available channel capacity, the commission should be skeptical of unproven assertions that the challenged carriage decision will cause serious capacity problems."
The broadcaster organization also said statutory and constitutional arguments concerning the HD/multicast mandates are lacking from the companies.
NAB said the companies "have failed to show any constitutional infirmity in the commission's carriage decision. Because the decision promotes important governmental interests and does not burden petitioners' speech rights, their claims of a First Amendment violation are unmeritorious."
DISH Fights Push for Locals Rule Expansion
EchoStar asked the Federal Communications Commission this week to reject a request from Puerto Rico broadcasting entities to expand rules concerning delivery of local TV channels beyond non-contiguous states to U.S. territories and possessions. In September, International Broadcasting Corporation, R y F Broadcasting, Encuentro Christian Network and Eastern Television Corporation asked the FCC to reconsider an earlier decision concerning locals outside Alaska and Hawaii, and require DBS delivery of broadcast stations to Puerto Rico. The FCC ruled in August that satellite delivery of analog and digital TV stations to viewers in Alaska and Hawaii does not include territories and possessions such as the Caribbean island.
EchoStar agreed with the earlier FCC sentiment, saying, "The burdens of complying with a rule requiring mandatory carriage in the non-contiguous territories and possessions, from a technical perspective, for example, would far exceed any governmental interest or benefit to the public."
The company added in its FCC filing, "In order to avoid a blatantly unconstitutional interpretation, the commission should uphold its original assessment to limit application of (the regulations) to Alaska and Hawaii."
The FCC's effort concerning locals for Alaska and Hawaii was part of its implementation of the Satellite Home Viewer Extension and Reauthorization Act (SHVERA).
DirecTV Delivers Alaska, Hawaii Locals
DirecTV on Thursday rolled out local broadcast stations to customers in Alaska and Hawaii. The company is delivering Alaska stations serving the Anchorage, Juneau and Fairbanks markets, while in Hawaii DirecTV is offering Honolulu locals. Launching local TV in Alaska and Hawaii is a key move for DirecTV, given the concerns expressed by some in the two states about the lack of local stations and other programming available to customers in the lower 48 states.
With the launch of local channels in Alaska, Hawaii and other markets later this month, DirecTV will have locals in 142 markets, representing more than 93 percent of U.S. TV households.
DirecTV said Alaska and Hawaii customers can access its national programming and local channels by using a new DirecTV H20 receiver and a 1.2-meter dish. The receiving equipment is available at independent retailers and can also be ordered directly from the company.
Information on how to order the equipment is available at Blockbuster stores. And beginning next year DirecTV receiving equipment can be ordered at Best Buy and Wal-Mart, the company said.
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No Trouble Defending PanAmSat/Intelsat Deal & Dugan Takes CTO Role at DISH & NSR: Satellite Broadband to Boom -- Posted by soullezz on Thursday, December 1 2005
No Trouble Defending PanAmSat/Intelsat Deal
Intelsat and PanAmSat went to the Federal Communications Commission this week to defend their proposed merger, but given that not a lot of opposition has surfaced concerning the deal the companies instead played up the benefits of their combination.
The transaction, a $3.2 billion deal that will merge PanAmSat's operations into the Intelsat fold, would form a combined company with a fleet of 53 satellites and serve customers in more than 220 countries and territories.
In comments submitted to the FCC, PanAmSat and Intelsat highlighted the merged company's ability to provide satellite users with a "one-stop shopping" solution, giving customers a more comprehensive array of services from a single provider. Also, the companies said a combined entity would help with efficient bandwidth management.
The companies also said that if and when they combine operations the merged entity would be able to compete "in an environment already served by significant terrestrial and other satellite players."
While no specific filing asking the FCC to oppose the PanAmSat/Intelsat deal surfaced at the Portals, Anchorage-based Microcom suggested placing a condition on the deal concerning satellite service to Alaska. The companies asked the FCC to deny the request, saying the merged operation will still serve Alaska and called the Microcom filing unrelated to the overall merger application.
Dugan Takes CTO Role at DISH
EchoStar said Wednesday that Michael Dugan, who has had a relationship with the company for 15 years, including serving as president for four years, was named to the new position of chief technical officer. Dugan will have responsibility for all technical development and operations within EchoStar including broadcast centers, satellite fleet, EchoStar Technologies Corporation, broadband development, fixed satellite services sales and operations, and technical innovation.
Dugan, who also is an EchoStar board member, has been with the company since 1990 and was most recently a senior technical advisor to the executive management team. He served as president and COO of EchoStar from April 2000 to April 2004. Prior to 2000, he was president of EchoStar Technologies Corporation.
Dugan was the chief architect of the technological foundation upon which the success of DISH Network was founded, EchoStar said.
NSR: Satellite Broadband to Boom
Northern Sky Research (NSR) projects revenues generated by satellite broadband services, both for large networks and individual consumers, could grow at 8 percent on average globally in the coming years. Leased commercial transponder capacity is expected to increase by more than 5 percent annually over the same period, the firm says in its recently-released Global Assessment of Satellite Demand study. Based on this growth, NSR forecasts that satellite broadband services will exhibit some of the greatest growth potential in the commercial satellite industry, just after the mainstay video sector.
Leased Ku-band capacity alone should see a net gain of more than 250 transponders in the coming years, and uptake of new Ka-band based satellite broadband services in North America is exceeding expectations, says the firm.
"This is clearly a very dynamic market that is truly breaking out of its traditional corporate VSAT network space and beginning to prove its worth among both small businesses and consumers," says Patrick French, senior analyst for NSR.
SkyTerra Communications' recent purchase of the outstanding shares in Hughes Network Systems from DirecTV illustrates that in less than a year, the value and the strength of the satellite broadband sector has increased considerably, says French.
Also, HNS recently reported topping 300,000 North American consumer and small business subscribers for its DirecWAY services. And newly launched competitor WildBlue appears to have overcome an equipment bottleneck that was created by higher than projected initial service take-up, the analyst adds.
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