News Archive
EchoStar Placed on Credit Watch by S&P -- Posted by soullezz
on Thursday, September 27 2007
Credit rating agency Standard & Poor's said Wednesday it placed EchoStar Communications on credit watch pending further details of the satcaster's recent announcement that it plans to split into two separate, publicly traded entities.
Any rating change would affect the company's speculative-grade "BB-" corporate credit rating and about $5.5 billion in rated debt, S&P said in a statement.
"The CreditWatch listing reflects the lack of definitive information on the proposed transaction," S&P credit analyst Naveen Sarma said, adding it is unclear which of the two companies would assume outstanding debt.
EchoStar CEO Charlie Ergen said this week the company is seeking to spin-off the company's technology development operations into a second company separate from its DISH Network satellite TV service.
EchoStar + Sling = Good News for TiVo? -- Posted by soullezz
on Thursday, September 27 2007
Since EchoStar unveiled its deal to acquire Slingbox maker Sling Media, industry press, observers and analysts are full of questions as to the greater implications of the union. But one of the more interesting topics of discussion has been centered around what the EchoSling transaction means for TiVo.
Specifically, what the DVR specialist may be worth in light of EchoStar's $380 million bill.
According to an investment note on Barron's, Alan Gould, an analyst at Natixiz Bleichroeder noted that Sling, offering its popular device to place-shift video has sold more than one million units, has no recurring revenue and has relatively no competition. On the other hand, TiVo has around 1.7 million customers paying on average $9 per month, and another 2.5 million DIRECTV subs kicking in another $1 per month, the analyst said.
And TiVo, as the entire pay-TV industry is well aware, is facing a lot more competition than Sling.
With TiVo reporting an enterprise value of $520 million, Gould said TiVo stock has a limited downside. The analyst added that even though Comcast's rollout of TiVo is taking a little longer than expected, the cable giant's customers should be getting the TiVo service soon.
Gould said a decision in the company's patent case against EchoStar should come either this year or early 2008. The analyst also said that the U.S. Patent Office's "recent validation" of a majority of TiVo's claims strengthens the DVR company's case.
Analyst: Autos Key for Satellite Radio -- Posted by soullezz
on Monday, September 24 2007
Numbers show that satellite radio isn't necessarily setting the retail world on fire. But, according to one industry analyst, lackluster sales at the retail level might not be such a big deal.
According to Stifel Nicolaus' Kit Spring, slowing retail sales this summer may not be helping Sirius and XM sign up new subscribers, but the increasing availability of satellite radio in new cars is making retail channels less important.
"It is our thesis that satellite radio will be successful because of high penetration into vehicles," Spring said. "At this level of penetration, satellite radio will be a viable, highly profitable business."
Every major automaker has some sort of deal with XM or Sirius and, as recently reported, Chrysler earlier this year said it would be installing Sirius into 70 percent of its 2008 models.
According to company data, overall retail sales for satellite radio dropped 27 percent in August alone. As a result, the analyst said he is considering lowering his yearly subscriber estimates for both satellite radio companies.
Spring said after examining the prospects of a unified satellite radio company the merger has about a 55 percent chance of gaining regulatory approval. The analyst currently has both XM and Sirius tagged with a "buy" rating.
State Criminalizes Unauthorized Satellite Install -- Posted by soullezz
on Monday, September 24 2007
The State of Connecticut recently passed a law that authorizes criminal penalties against any person who willfully installs a satellite dish or antenna without first obtaining a qualifying license. Any person found in violation of the order could face stiff civil penalties, including $1,000 for a first violation, $1,500 for a second and $3,000 for a third.
The law says criminal and civil penalties also extend to any person that willfully employs an unlicensed person for installation work. The new law, however, does not affect existing requirements for obtaining the license.
The Department of Consumer Protection, the office which administers occupational licenses for installation trades, said the law is designed to help protect consumers from substandard and unscrupulous contractors by penalizing those working without the proper occupational license.
"Occupational licenses, including for example the plumbing, electrical, and heating trades, are administered by the Department, and are coordinated by the Occupational and Professional Licensing Division," the department's website says. "Licensing laws protect the public by requiring specific educational training, a period of supervised work experience, and a comprehensive examination prior to obtaining a trade license."
Arianespace to launch Japanese satellite JCSAT-12 -- Posted by soullezz
on Thursday, September 20 2007
Japanese operator JSAT Corporation opted for Arianespace to launch its JCSAT-12 communications satellite. Officials from both companies signed the launch service and solutions contract in Bangkok this week. The deal represents the 24th contract for Arianespace, the company said.
JCSAT-12 will be launched by an Ariane 5 launch vehicle during the summer of 2009 from the Guiana Space Center, Europe's Spaceport in Kourou, French Guiana.
The company said JCSAT-12 will provide service covering Japan, the Asia-Pacific region and Hawaii. The satellite is designed for a minimum of 15 years in-orbit life and will serve as backup satellite for other JSAT satellites.
ILS Set to Investigate JCSAT-11 Failure -- Posted by soullezz
on Thursday, September 20 2007
International Launch Services (ILS) said it has established an independent failure review oversight board to review the results of the Russian State Commission's investigation into the Sept. 6 Proton launch vehicle failure that destroyed the JCSAT-11 satellite.
A Proton M/Breeze M launcher, built by ILS partner Khrunichev State Research and Production Space Center of Moscow, failed during second-stage operation, a little more than two minutes into flight, the company said. Lifting off from the Baikonur Cosmodrome in Kazakhstan, debris from both the launcher and the satellite has been recovered from an area about 50 kilometers from the town of Dzhezkazgan, Kazakhstan.
ILS said the oversight board will be briefed by representatives of the Russian State Failure Commission in Moscow once the agency completes its investigation. The board is chartered to independently review the methods, conclusions and corrective action recommendations of the Russian commission's investigation, and to report on the findings. The board does not conduct its own investigation, the company said.
All board activities are subject to U.S. government regulations, ILS said. After the board concludes its review, under a separate licensing authority from the U.S. Department of State, ILS will provide briefings to customers and the insurance underwriting community.
EchoStar Continues to Shine Amidst Competition -- Posted by soullezz
on Thursday, September 20 2007
With a weak housing market, the nationwide (global, really) credit squeeze and mounting competition in the video sector, EchoStar continues to outshine its pay-TV competitors on many fronts. That's the latest word from some analysts who say the DISH Network operator is not being affected by market threats as much as once believed.
According to Wedbush Morgan's William Kidd, the research firm is revising its third-quarter estimates on DISH because the company's fundamentals have been "surprisingly good" given the increased competition from DIRECTV, cable operators and the ever-mounting threat from fiber-delivered TV via Verizon and AT&T. And, the analyst said, considering that most cable companies have already launched triple-play services throughout the nation, the potential for further incremental losses has greatly lessened.
Kidd also said he is encouraged by DISH's potential improvement in free cash flow per share next year with the investment firm projecting it to rise nearly $2.50 per share in 2008 from about $1 this year. Most of the gains, he said, should stem from a larger subscriber base. However, Kidd added that AT&T's looming decision to use either EchoStar or DIRECTV as a sole-distributor remains an important potential catalyst/risk that investors should expect to be resolved within the coming months.
WedBush is "marginally" raising its third quarter subscriber estimates for the company, saying its prior estimates "looked too conservative as if they accounted for too much of a competition-related drop-off." Kidd said the firm is raising its gross adds estimate to 968,000 from 948,000 for a 1 percent year-over-year growth. With the company maintaining its churn estimates, WedBush's new gross adds estimate increased its net adds estimate to 264,000 from 245,000.
The analyst said he expects DISH to report slightly higher third-quarter ARPU due to increased penetration of advanced services like high-definition and DVRs. "With recent HD channel additions, EchoStar maintains its title as the market leader in HD programming... but not for long," he said. "EchoStar's HD advantage will soon be challenged by DIRECTV, which we expect will launch 60-70 HD channels within the next two weeks, followed by (about) 10 more sometime in October."
EchoStar Still Has Issues with Swap -- Posted by soullezz
on Sunday, September 16 2007
EchoStar may have reached an agreement to carry the News Corp.-backed Big Ten Network last week, but the two companies still don't see eye to eye on the larger issue of swapping DIRECTV from News to Liberty Media. And despite the companies were able to settle their differences over what type of network the Big Ten is, the DISH Network operator still has problems with some of the language within the pending DIRECTV trade.
Legal counsel for EchoStar this week wrote a letter to the Federal Communications Commission saying because the two companies were able to reach a mutual agreement on their own, EchoStar would drop its push to have the network defined as a regional sports network. "The dispute over the proper regulatory classification and definition of the Big Ten Network ... has been resolved by mutual agreement, and need not be addressed" in the asset swap proceedings.
However, EchoStar's letter goes on to say that "there remain a number of definitional issues that warrant close commission review with respect to Liberty Media and DIRECTV." The company said the FCC should ensure that any conditions adopted in the proceeding have "clear and known" definitions to avoid any uncertainty surrounding the transaction's terms.
In the letter, EchoStar said News Corp. and Liberty have agreed that Liberty would abide by the cable program access protections for affiliated programming. "Despite repeated attempts, (these companies) have failed to provide a clear explanation as to whether that commitment applies to all entities in the Liberty family of companies owned and controlled by Dr. John Malone. A commitment that applies to only a subset of Liberty or Malone-backed enterprises would be insufficient to address the public interest harms to the programming market resulting from this transaction."
News Briefs: EchoStar Applauds FCC's Ruling -- Posted by soullezz
on Thursday, September 13 2007
REGULATORY -- After the Federal Communications Commission's decision late Tuesday night extending program access rules, DISH Network operator EchoStar said the move was a positive for its service and for satellite subscribers. In a prepared statement, the company said, "EchoStar commends the FCC for extending the program access rules and putting some teeth into the discovery process; stronger enforcement benefits competition, consumers and video choice."
FINANCIAL -- Integral Systems accepted for purchase 1.85 million shares of its common stock at $27 per share for a total of $49.95 million. The number of shares IS accepted for purchase in the tender offer represents about 16.4 percent of its currently outstanding common stock.
CONFERENCES -- According to the Custom Electronic Design & Installation Association, more than 29,000 professionals from the electronics systems industry attended CEDIA EXPO 2007 this year in Denver. The record attendance is a four percent increase over last year's then-record setting crowd, the group said.
XM Celebrates New Season with Smashing Pumpkins, Comedy -- Posted by soullezz
on Thursday, September 13 2007
XM's music industry insider show "Artist Confidential" is gearing up for its new season this week with the help of Smashing Pumpkins. The original music series features live performances exclusive to XM airwaves and one-on-one interviews with several popular music acts before a live audience of family, friends and fans.
Premiering tomorrow at 10 p.m. ET on XM's new alternative channel "Ethel" (XM 47), "Artist Confidential" (including the Smashing Pumpkins episode) will be available all day on Mondays on "XMX," a recently launched channel airing the satcaster's most popular music and critically-acclaimed original performances. The company said XMX's schedule is built around a program-of-the-day format designed to provide more opportunities to hear episode premiers or previous shows listeners may have missed on first-run.
XM said future episodes of "Artist Confidential" will include Gloria Estefan, Marty Stuart, Mandy Moore, Lyle Lovett, Daddy Yankee, Perry Farrell, Kool & The Gang, Korn, KT Tunstall, Megadeth, The Moody Blues and Blue Man Group, among others. Scheduling information, including air dates, times and channels for future episodes is available online.
In related news, XM also launched "Unmasked," a new, original comedy series featuring interviews with popular people in comedy. Long-time funnyman George Carlin will be the inaugural guest when the show premieres on XM next Saturday, Sept. 22 at 8 p.m.
"Unmasked" will air every other Saturday on XM Comedy (channel 150). Other artists scheduled to appear on the show include Jeff Garlin, Jim Norton, Patrice Oneal, Bob Saget, Brian Regan and Carlos Mencia.
XM Supports D.C. Preschoolers -- Posted by soullezz
on Thursday, September 13 2007
Despite its signal reaching across the entire nation, XM Satellite Radio is launching a program focusing on the company's local neighborhoods. In conjunction with the national nonprofit organization Jumpstart, the satellite radio company has started a donation collection program to help provide a better education to Washington, D.C.-area preschoolers.
The company said Wednesday that through the initiative, it hopes to challenge D.C. residents and businesses into providing books for 4,000 area underprivileged preschoolers. Together with Jumpstart, the two organizations are seeking donations to purchase copies of the children's book The Story of Ferdinand to be distributed to D.C. preschools.
Interested parties can visit the website the company set up to handle all donations towards the purchase of the book. The site also allows kids and parents listen to the Ferdinand's story as read by poet Dr. Maya Angelou, singer-actress Mandy Moore, Indy race car driver Danica Patrick and XM public radio personality Bob Edwards.
XM said it has donated 2,000 books to meet the challenge, and is encouraging local residents and businesses, in addition to company employees and subscribers, to donate to the cause. The project is being coordinated by Jumpstart and XM Empowers, the company's corporate giving and community outreach program.
In addition to the local book drive, XM is working with Jumpstart on its Read for the Record campaign, a nationwide effort to address the gap in early childhood education. Jumpstart's Read for the Record will take place nationwide on Sept. 20 when hundreds of thousands of children and adults will all read the same book on the same day. The D.C. event will take place at the Smithsonian's Discovery Theater and feature an appearance from U.S. Rep. Elijah Cummings (D-Md.), among others.
9/11 attack victims honored six years later -- Posted by soullezz
on Tuesday, September 11 2007
NEW YORK (AP) -- Relatives of Sept. 11 victims bowed their heads in silence Tuesday to mark the moments exactly six years earlier when hijacked planes crashed into the World Trade Center, the Pentagon and a Pennsylvania field. The dreary skies created a grim backdrop, and a sharp contrast to the clear blue of that morning in 2001.
A sunrise memorial service is held Tuesday at the United Airlines Flight 93 memorial in Shanksville, Pennsylvania.
"That day we felt isolated, but not for long and not from each other," Mayor Michael Bloomberg said as the ceremony began. "Six years have passed, and our place is still by your side."
Construction equipment now fills the vast city block where the World Trade Center once stood, and work is under way for four new towers, forcing the ceremony to be moved away from the twin towers' footprints for the first time.
Kathleen Mullen, whose niece Kathleen Casey died in the attacks, said the park is close enough.
"Just so long as we continue to do something special every year, so you don't wake up and say, 'Oh, it's 9/11,' " she said.
"We're still very much affected by it on a daily basis," said Tania Garcia, whose sister Marlyn was killed. "It's an open wound, and every year that passes by just get worse and worse and worse."
Presidential politics and the health of ground zero workers loomed over the anniversary of the terrorist attacks this year, perhaps more than at any other September 11.
The firefighters and first responders who helped rescue thousands that day in 2001 and later recovered the dead were to read the victims' names for the first time.
Many of those rescuers are now ill with respiratory problems and cancers, and they blame the illnesses on exposure to the fallen World Trade Center towers' toxic dust.
Also for the first time, the name of a victim who survived that dreadful day but died five months later of lung disease blamed on the dust she inhaled was added to the official roll.
Felicia Dunn-Jones, an attorney who was working a block from the World Trade Center, became the 2,974th victim linked to the attacks.
A memorial honoring Flight 93's 40 passengers and crew began at 9:45 a.m., shortly before the time the airliner nosedived into the empty field.
"As American citizens we're all looking at our heroes," said Kay Roy, whose sister, Colleen Fraser, of Elizabeth, New Jersey, died when the plane went down. Homeland Security Secretary Michael Chertoff planned to speak to the mourners.
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As Americans we have been blessed to have very few attacks on our homeland, as we remember the victims of that day let us also appreciate the freedom we enjoy and honor those who continue to fight for that freedom in our armed forces.
iDirect Unveils New Satellite Technologies -- Posted by soullezz
on Tuesday, September 11 2007
At ICB2007 last week, IP-based satellite systems provider iDirect introduced three innovations that the company is hoping makes a good impression on attendees. The new offerings represent elements of iDirect's next-generation satellite system outdoor unit - and should make network expansion more affordable while boosting bandwidth efficiency.
The first product is iDirect's series 12000 universal 4-slot hub chassis supporting multiple inbound and outbound networks on up to four satellites with a fifth slot for configuration or redundancy. The universal 4-slot hub supports the entire spectrum of network topologies including star, mesh, SCPC (single channel per carrier) with outbounds up to 18 Mbps and up to 140 Mbps per line card, the company said.
The second is what iDirect is calling the industry's first "single-box" VSAT solution - the Fusion Series e2000 integrated remote - which combines a BUC, LNB, modem and IP satellite router into a low-cost outdoor unit. The e2000 enables users to expand their networks and support an array of applications from basic internet and VoIP connectivity to more complex requirements such as secure data transfers and video applications, the company said. The e200 supports bandwidth rates of up to 18 Mbps (TDM) or 140 Mbps (DVB-S2/ACM) in the outbound and up to 6.9 Mbps in the inbound (D-TDMA).
iDirect's third release is its next-generation eVolution DVB-S2/ACM satellite platform. The eVolution product line can deliver bandwidth efficiency gains of greater than 50 percent over the previous non-ACM DVB-S standard by enabling each individual remote to operate at the most efficient coding and modulation scheme dependent upon its location within the satellite contour, antenna size and current weather conditions, the company said.
GVF Satellite Summit in London -- Posted by soullezz
on Tuesday, September 11 2007
Are terrestrial/wireless deployments a major commercial opportunity for the satellite industry? Organizers of the GVF Satellite Summit are asking attendees this question hoping this year's event will shed some light on how the industry will respond to competitive services.
Being held in London later this month, the GVF Satellite Summit will focus on how satellite and terrestrial wireless can co-exist in C-band considering GSM backhaul businesses with Wi-Fi, Wi-Max, IMT 2000, 4G and other rollouts. At the same time, the event will look at the threats posed to satellite from the success of next-generation terrestrial/wireless initiatives.
"Throughout the world, fixed and mobile satellite services are being severely disrupted by interference from new broadband wireless access services operating n the extended C-band frequencies," the group said. "Further, there is an effort underway by the terrestrial/wireless industry for the international Telelcommunicats Union to replace satellite services with future mobile phone networks and 4G services in standard C-band frequencies."
To address the issues, the GVF Satellite Summit "The $20 Billion Question: Can Satellite and Terrestrial Wireless Co-Exist in C-band?" will be on Sept. 24 at the Waldorf Hilton in London. The executive summit is being held in conjunction with VSAT 2007.
Kudos for WildBlue -- Posted by soullezz
on Saturday, September 8 2007
This week, WildBlue was named Euroconsult's 2007 Broadband Satellite System Operator of the Year during the World Summit for Satellite Financing in Paris, France.
The award is based on a performance analysis of satellite market players, selected by a jury composed of representatives from Satellite Finance, Space News and Euroconsult's analyst team. The jury reviews each operator's performance in relation to a number of benchmarks, including subscribers at year-end 2006 and 2006 subscription growth, penetration of the estimated addressable market, and strategic decisions and innovative offerings.
"WildBlue has had a tremendous year thus far and we are privileged to receive this recognition," said WildBlue CEO David Leonard, who was on hand to accept the award. "Since the launch of WildBlue-1, WildBlue has grown at a record-breaking pace, and our primary goal continues to be providing the highest quality service for all of our valued WildBlue customers."
DIRECTV Joins HomePlug Alliance -- Posted by soullezz
on Saturday, September 8 2007
It appears DIRECTV is serious about powerline communications technology.
On Thursday, the satellite TV company said it joined the HomePlug Powerline Alliance, the globally-recognized standards body for powerline communications. HomePlug sponsor companies include Comcast, GE Security, Intel, LG Electronics, Linksys, Motorola, RadioShack, Samsung Electronics, Sharp Laboratories and Texas Instruments.
For its powerline communications efforts, DIRECTV uses Intellon's HomePlug integrated circuit solutions, which enable customers to connect broadband services and home computers with their DIRECTV Plus HD DVRs. The technology allows consumers to access photos and music content on their TVs.
"The HomePlug Alliance is a leader in the powerline communications industry and HomePlug technology will help DIRECTV provide its customers with a robust entertainment experience," said Romulo Pontual, CTO at the satellite TV company.
DIRECTV Joins HomePlug Alliance -- Posted by soullezz
on Saturday, September 8 2007
It appears DIRECTV is serious about powerline communications technology.
On Thursday, the satellite TV company said it joined the HomePlug Powerline Alliance, the globally-recognized standards body for powerline communications. HomePlug sponsor companies include Comcast, GE Security, Intel, LG Electronics, Linksys, Motorola, RadioShack, Samsung Electronics, Sharp Laboratories and Texas Instruments.
For its powerline communications efforts, D
Eutelsat Helps MultiChoice Africa Expand -- Posted by soullezz
on Saturday, September 1 2007
Sub-Saharan pay-TV operator MultiChoice Africa is boosting its capacity leases with Eutelsat Communications to support further expansion of its video and internet services across the African region. With the lease of four new Ku-band transponders on Eutelsat's SESAT-1 satellite, MultiChoice will be able to extend the range of digital channels it markets across central and eastern Africa as well as its offering of both residential and enterprise-level internet access.
With the new capacity, MultiChoice said it is now using a total of 13 transponders on Eutelsat's W4 and SESAT-1 Ku-band satellites co-located at 36 degrees east. Thanks to its long-standing relationship with Eutelsat, MultiChoice said it has built its subscriber base to more than 450,000 homes across 48 countries in the sub-Saharan space. Customers in the region receive the company's DStv platform of more than 70 television and 40 audio channels in English, Portuguese, Indian and French.
MultiChoice officials said the new agreement will help put the company in a strong position to remain at the forefront of content and technology in the region's digital satellite television market. The company said with Eutelsat's satellite fleet, the pay-TV provider is able deliver a reliable signal with premium services to its subscribers.
Reducing Set-Top Power Consumption -- Posted by soullezz
on Saturday, September 1 2007
Climate change is a trendy topic these days, and it seems the television technology industry is getting on board to help where it can. This week, News Corp.'s NDS unveiled plans to launch a few initiatives aimed at reducing its carbon footprint and helping digital TV subscribers reduce their energy consumption through set-tops and DVRs.
The first announced initiative is an 'auto standby' feature that will automatically switch inactive devices into standby mode overnight. According to the company, the standby consumption of an STB is estimated to be 10 Watts. If this figure is multiplied by the 500 million digital set-top devices which are projected to be deployed over the next five years, NDS said it becomes clear that reducing standby consumption will yield massive benefits, potentially saving the equivalent carbon emissions of five 'super' power stations.
The new feature also monitors whether viewers are using their DVRs or STBs between the night-time hours of 11 p.m. and 5 a.m. If the unit has not been used for a period of two hours after 11 p.m., the auto standby warning displays on screen for a few moments. If there is no further use, the box will go into standby mode automatically and the hard disk will stop spinning, NDS said.
The company said its auto standby solution is just the first step in NDS' environmental strategy. The NDS research and development team is working with set-top manufacturers and platform operators around the world to develop further solutions to continue reducing STB power consumption.
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