News Archive

DIRECTV's Next Satellite Closer to Launch

-- Posted by soullezz
on Wednesday, January 30 2008

More space-based help is on the way for the nation's satellite TV giant.

Boeing on Tuesday said it delivered DIRECTV 11, the second of three satellites the aerospace giant has built for the satellite TV giant, to the Sea Launch Home Port in Long Beach, Calif. The bird is scheduled to fly on a Sea Launch Zenit-3SL rocket in March from an equatorial launch site in the Pacific Ocean.

DIRECTV 11 is a 702-model satellite with on-board technology that will enable the DBS service to continue expanding its lineup of high-def programming. The satellite, when combined with the DIRECTV 10 spacecraft that launched last July, will provide DIRECTV with capacity to support the company's push to deliver 150 national HD channels and 1,500 local channels to customers.

"Advanced satellites like DIRECTV 11 exemplify the superior technology that DIRECTV employs to deliver an unparalleled TV experience for its more than 16.6 million customers," said Romulo Pontual, DIRECTV's chief technology officer. "We are looking forward to the launch that will further strengthen DIRECTV's position as the leader in HD."

There was some hope at DIRECTV that the next-generation satellite would lift off sooner than early spring. Delays in Sea Launch operations pushed the DIRECTV 11 mission into the March timeframe.

A failure experienced by Sea Launch during the summer was partly blamed for the satellite launch delay. Also, Sea Launch encountered delays with the flight of the Thuraya-3 satellite that lifted off earlier in the month, despite pushes by the launch services provider to conduct the mission in the prior months.


New Video Channels Still Driving Satellite Demand

-- Posted by soullezz
on Monday, January 28 2008

According to projections published last week by market research firm NSR, new standard definition and high def channels are expected to account for between 75 and 85 percent of C- and Ku-Band transponder demand growth in the coming years.

The group said it expects 1,750 SD channels and another 150 HD channels will be placed on commercial C- and Ku-bands every year through 2012, with direct-to-home satellite services alone contributing nearly 4,000 SD channels and 500 HD channels in the next five years.

"Even though many other segments like satellite broadband, cellular backhaul or mobile services are key to industry growth, the simple fact is that plain old channel growth continues to be the bread and butter business for commercial satellite operators," said NSR senior analyst Patrick French. "Year after year, NSR tracks strong growth in the video markets, and new technology advances like MPEG-4 and DVB-S2 just barely slow down the pace of transponder demand growth from the addition of new channels."

Of DTH growth, the group said it expects to see some consolidation of the market.

"The launch of new DTH platforms in the last two to three years has truly been incredible," French said. "Yet some countries are now seeing three, four and even more competing DTH services plus cable and other new pay-TV offerings. Some consolidation is inevitable, it is just a question of who and when."


Broadcasters Keep Eye on DTV Transition

-- Posted by soullezz
on Wednesday, January 23 2008

Broadcasters told regulators that they have their plans in place to inform television viewers about the nation's switch to digital TV, set for February 2009.

David Rehr of the National Association of Broadcasters and others approached Federal Communications Commission officials last week with an outline of what TV stations are doing to educate the public about the coming DTV changes. They also made suggestions about how to determine broadcasters are meeting their obligations in informing viewers about the switch.

The NAB representatives said broadcasters have plans in place to engage consumers via television with "action spots," 30-minute educational programs and informational messages, online resources, community events and outdoor advertising. The broadcaster group said 84 percent of all full power stations are committed to the plan, and that it's working toward 100 percent participation in the DTV education effort.

In addition, NAB asked that the FCC create a "safe harbor" effort for TV stations participating in the program. With that proposal, any broadcaster that participates in the NAB-backed plan and submits quarterly reporting forms will be deemed compliant with its obligations to inform the public about the upcoming DTV transition, the group told the commission.


Sat Radio Merger Still Target of Puerto Rico Concerns

-- Posted by soullezz
on Wednesday, January 23 2008

As XM and Sirius continue to wait for regulatory approval of their merger, Puerto Rico interests have kept approaching the Federal Communications Commission with their concerns about the lack of satellite radio service to the Caribbean island.

Late last week, Luis Fortuno, who represents Puerto Rico interests in the House of Representatives, wrote FCC Chairman Kevin Martin about the absence of satellite radio in the U.S. commonwealth. Fortuno admitted that satellite radio platforms are not required to provide service to Puerto Rico under the FCC authorizations granted to them in 1997.

However, "It is time to change the 1997 policies," Fortuno said.

Fortuno also said he would oppose the XM/Sirius merger "until such time that the exclusion of Puerto Rico and other non-contiguous United States jurisdictions from coverage area of satellite radio service ceases. My interest and concern include providing equal access to this technology to all U.S. citizens and encouraging industries doing business in the mainland to extend their services to the Puerto Rico market."

In addition to Puerto Rico, satellite radio service is not available to Hawaii and Alaska.

Fortuno has joined other Puerto Rico interests in opposing the proposed satellite radio merger.

Last fall, the Puerto Rico Senate passed a resolution that expressed the legislative body's opposition to the satellite radio deal. At issue for the Puerto Rico lawmakers is the lack of satellite radio service available to the Caribbean island, other U.S. territories and the non-contiguous states of Hawaii and Alaska.

In addition to receiving FCC approval, the XM/Sirius merger is being considered by antitrust staff at the Justice Department.


FCC's International Bureau Working on DTV Switch

-- Posted by soullezz
on Saturday, January 19 2008

When it comes to the digital TV transition, the International Bureau at the Federal Communications Commission said it is doing something about the pending switch.

A bureau presentation to FCC commissioners Thursday, shown during the agency's routine New Year meeting highlighting work by various entities at the commission, detailed its efforts to facilitate the digital TV transition along U.S. borders. The bureau, known for its endeavors in satellite circles, said it's helping to promote the digital TV transition through cross-border negotiations with Canada and Mexico on the topic.

The International Bureau said it continues to work towards comprehensive broadcast agreements with the countries tied to the transition. Also, the bureau said in its presentation that it's working with Canadian and Mexican officials to ensure viewers in border areas aren't left behind after the switch.

In addition, the bureau said it has encouraged "educational exchanges" with foreign nations that have experience with transitioning to digital TV.

The U.S. switch to digital TV is set for February 2009.

Also in its presentation, the bureau outlined its satellite-related achievements for 2007. The bureau said it processed 232 new space and Earth station authorizations last year, as well as ensuring efficient use of spectrum and advocating for spectrum issues in the international arena.

The Thursday presentations from FCC bureaus and offices have become a traditional part of the commission's first meeting of the New Year.

An interesting tidbit of information was floated during the Media Bureau's appearance before commissioners. In a slide presentation, cable penetration of U.S. TV households was placed at 59.2 percent for 2006.

That would contradict claims made late last year by FCC Chairman Kevin Martin that cable's market presence is higher than 70 percent. Martin attempted, and failed, to get language for a report on video competition that contained that 70 percent threshold, a move that could've place the cable business under more regulatory scrutiny.


More Broadcaster Pressure on DBS Takeover

-- Posted by soullezz
on Thursday, January 17 2008

Another broadcaster group is pressuring regulators scrutinizing the DIRECTV/Liberty Media deal concerning carriage of local TV channels.

This week, the Kansas Association of Broadcasters asked the Federal Communications Commission to condition approval of Liberty's takeover of a controlling stake in DIRECTV on providing local TV service to all markets. The group asked that the condition become effective this year if the deal wins an OK.

"A large part of Kansas is served by small market television stations. Because of the need for local programming, especially in the event of severe weather, disasters or other emergencies, it is critical that these small market stations are able to reach their audience with life-saving information," wrote the Kansas broadcaster group in a letter sent to the FCC.

Broadcast organizations in Indiana, Texas and North Dakota also filed similar comments with the FCC about the lack of local TV service for a handful of markets in those states. They also said a condition pertaining to carriage of local TV channels for all markets should be applied to the DIRECTV/Liberty deal.


What Happens After Liberty/DIRECTV Deal?

-- Posted by soullezz
on Thursday, January 17 2008

Liberty Media continues to wait for regulatory approval of its proposed takeover of a controlling stake in DIRECTV. But that hasn't stopped John Malone's media machine from thinking about what it would accomplish with the satellite TV property once the transaction is complete.

Jeff Wlodarczak of Wachovia recently met with Malone and Liberty Media CEO Greg Maffei about the DIRECTV deal and the company's other prospects. Among the items discussed was a future relationship with EchoStar. And according to Wlodarczak, the Liberty executives said there are "attractive opportunities" to work with the competing DBS company and its CEO, Charlie Ergen.

In addition, Liberty would consider spinning out DIRECTV satellite assets and/or the DIRECTV Latin America operation into a separate entity, the Wachovia analyst said. There also is a belief among Liberty Media personnel that DIRECTV Latin America is an underappreciated yet very attractive asset, Wlodarczak said.

The move to take a controlling percent stake in DIRECTV, "an asset with a clean balance sheet, big free cash flow growth, and an inexpensive valuation, puts Malone in a position to generate outsized equity returns, in our view," said Wlodarczak in a research note.

Once the DIRECTV takeover is complete, the controlling stake would be placed in a new entity called Liberty Entertainment. That tracking stock also would contain Liberty's ownership in Starz Entertainment and Starz Media, FUN Technologies, GSN and WildBlue, all of which are currently attributed to the Liberty Capital Group.

News Corp. is exchanging its interest in DIRECTV for shares Liberty Media has in the media giant. The deal is before the Justice Department's antitrust division and the Federal Communications Commission.


LATEST  NEWS