ndia’s communications revolution under threat

New Delhi, March 19th, 2007 – India’s broadcasting and telecommunications industries today renewed calls for the Government of India to optimise the regulation of satellite services to provide greater choice for consumers while taking “a long-term and a considered approach to allocating existing satellite services¡¯ bandwidth to terrestrial wireless services such as WiMax.”

Indian and international industry organisations such as the VSAT Association of India (VSAI), the Global VSAT Forum (GVF), and the regionally-based Cable & Satellite Broadcasting Association of Asia (CASBAA) are concerned that a proposed “spectrum grab” for current satellite bandwidth in the 3.4GHz-3.7Ghz range used by Indian and international satellite operators could close down satellite services including hundreds of TV channels across India.

“For instance, the largely unconsidered implications of the proposed changes could be catastrophic for news broadcasters which use the lower end of the C-band spectrum,” said Simon Twiston Davies, the CEO of CASBAA. “This is exactly the radio spectrum now being given over to untried WiMax services, which could easily use other frequencies.”

An emergency meeting on these issues was attended today by members of the VSAI, CASBAA and the GVF who exchanged views and information with government officials, including representatives of the Telecommunications Regulatory Authority of India (TRAI) and the Planning Commission (which reports direct to the Cabinet). The meeting covered numerous issues, including the need for expansion of Indian access on a long-term basis to competitively priced international satellite communications services.

Also in attendance was the Indian Space Research Organisation (ISRO) which was praised for fueling growth in satellite communications that will play a vital role in India future economic development. “ISRO’s key role is to grow the now maturing Indian space market, while at the same time partnering with more of the world’s greatest telecommunications companies,” said David Ball, the chairman of the CASBAA Satellite Industry Committee and VP Asia Pacific for satellite operator Intelsat.

According to several speakers during the meeting, satellite services have underpinned India’s communications revolution, but they must be fairly, openly and efficiently allocated to operators on an even handed basis if the Indian people are to enjoy the greatest benefit. A capacity crunch has already developed that sees demand for satellite services vastly outstripping supply of transponders, and the proposed re-allocation of spectrum for WiMax services will turn a crunch into a crisis.

“Today, India remains woefully under-provisioned in many areas of satellite capacity and yet we have the potential to revolutionise the public’s access to new and exciting interactive media and telecommunications,” said D.P. Vaidya, President of the New Delhi-based VSAI.

“Broadcast channels supported by bandwidth-hungry broadband TV, and two-way broadband interactive telecommunications services, cannot be deployed unless there is a significant increase in access to in-orbit satellite inventory for Indian users,” said Martin Jarrold, Chief of International Programme Development for the GVF.

During the summit, the private sector called upon the Government of India to implement a long-term TRAI recommendation that an “Open Skies” policy should be adopted for DTH and VSAT operators similar to that available to ISPs. According to TRAI, DTH and VSAT providers “should be allowed to work directly with any international satellite.”

International satellite operators stressed their desire to service India’s growing market on a long-term basis, but Twiston Davies noted that Asian demand for transponders is increasing. Satellite operators are not likely to continue past practice of making satellite capacity available to India on short-term contracts, he said. “This is an industry that operates on the basis of long-term commitments. Indian users should be allowed to conclude such contracts directly with outside suppliers. India’s current economic growth cannot be sustained by domestic satellite resources alone.”

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According to a joint CASBAA-GVF paper released during the meeting, there is already a severe shortfall of transponder capacity in the Ku-band to meet the demands of India’s direct-to-home (DTH) broadcasters. Even if there is no reallocation of satellite frequencies for terrestrial wireless applications, with new domestic supply of DTH and VSAT capacity limited to a best-case total of 39 additional government-sanctioned transponders for India over the next three years, the shortfall will remain in the Ku-band, and by 2012 spread to the C-band as well. This will severely impair the ability of any company wishing to use Indian uplinked DTH or VSAT services. Reallocation of satellite frequencies for terrestrial wireless applications, on top of the existing capacity shortage, will produce a crisis.

ABOUT VSAI – www.vsatindia.org
VSAT Services Association of India (VSAI) acts as a central coordinating body representing VSAT network operators & VSAT users in India and associated organisations from the satellite industry in India and abroad. VSAI is also a founder member of the Global VSAT Forum.

ABOUT CASBAA – www.casbaa.com
The Cable & Satellite Broadcasting Association of Asia is an industry association dedicated to the promotion of multi-channel television via cable, satellite, broadband and wireless video networks across the Asia-Pacific region. CASBAA represents some 120 Asia-based corporations, which in turn serve more than 3 billion people. Member organisations include Australia Network, AETN International (History Channel), Asia Broadcast Satellite (ABS), AsiaSat, ASTRO (Malaysia), BBC, Bloomberg Television, Discovery Networks Asia, Eutelsat, HBO Asia, IBM, Intelsat, JSAT, KDB Skylife, MEASAT, Macquarie Bank, MTV Networks Asia Pacific, Nokia, NOW Broadband TV, Orbit, PricewaterhouseCoopers, RAI International, Sony Pictures Television International, STAR Group, Sun Microsystems, Taj TV, TrueVisions (Thailand), Turner International Asia Pacific, TV5 Monde, Viaccess, Walt Disney Television International, and Zonemedia.

ABOUT GVF – www.gvf.org
The Global VSAT Forum is an association of key companies involved in the business of delivering advanced digital fixed satellite systems and services to consumers, and commercial and government enterprises worldwide. The Forum, comprising 200 member organizations in 85 countries, is independent and non-profit and has a global remit. It is also non-partisan – any companies or organisations with an interest in the VSAT industry are encouraged to join.

CONTACTS:
VSAI
Wg. Cdr. (Ret¡¯d.) B.G. Bhalla
Secretary General
Tel: +91 (011) 335 0633
Fax: +91 (011) 372 3909
Email: bbhalla@luthra.com

CASBAA
Sharon Galistan/ Katie Wong
Communications
Tel: +852 2854 9913
Fax: +852 2854 9530
Email: pr@casbaa.com

GVF
David Hartshorn
Secretary General
Tel: +1 202 626 6881
Fax: +1 703 683 1887
Email: david.hartshorn@gvf.org

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