News Archive
WildBlue - the Quake Hunter & DirecTV: 18 Million Customers by Year-End 2008 & Additional 24 Local HD Markets Revealed by DirecTV -- Posted by soullezz
on Thursday, February 23 2006
WildBlue - the Quake Hunter
WildBlue Communications said Wednesday that it's helping companies track earthquake data in remote locations along fault zones throughout the West Coast.
QuakeFinder and other U.S. companies are using the satellite broadband service at numerous isolated monitoring sites to operate remote equipment and collect scientific data. The Palo Alto, Calif.,-based entity is conducting research in the area of earthquake forecasting.
A network of ground sensors are looking for magnetic fluctuations that have been observed prior to earthquakes. The QuakeFinder network uses WildBlue's service to transmit measurements back to a data center.
Established in 2000 as an education outreach concept by Stellar Solutions, QuakeFinder's goal is researching global forecasts of seismic activity in order to provide communities with early warnings of potentially destructive earthquakes. QuakeFinder is conducted in partnership with NASA, Stanford and Berkeley Universities.
DirecTV: 18 Million Customers by Year-End 2008
DirecTV CEO Chase Carey said Wednesday his company expects to serve about 18 million subscribers by the end of 2008.
That would require the company to add about 1 million customers each year. Carey and other executives, addressing an investor conference held by the company in New York City, said they plan to achieve that goal by obtaining high-quality subscribers interested in getting high-profile services such as HDTV.
On local high def, an executive presentation given at the conference stated that the company expects to have 36 local HD markets - covering 58 percent of the country - by June. Up to 76 percent of the nation could have access to the service by the end of 2006. And DirecTV will have capacity to deliver 150 national HD channels with nearly 100 percent local HD coverage by year-end 2007, the executive presentation stated.
Also, the company revealed that it will deliver on-demand content to DVR set-top boxes via satellite and through a broadband connection. Hundreds of hours of popular content will be sent via satellite while niche offerings would be delivered by broadband, the company said.
Wall Street was happy with the news DirecTV delivered at the conference.
"Consistent with the financial targets, which include ARPU (average revenue per unit - or subscriber) climbing and SAC (subscriber acquisition costs) remaining about stable, management again emphasized its focus on product differentiation, not price," said Doug Shapiro of Banc of America Securities. "Among the associated initiatives it outlined were HD, portability, whole-house solutions, on demand programming, original programming and interactivity."
Additional 24 Local HD Markets Revealed by DirecTV
Late Wednesday, DirecTV named the next 24 markets that will receive local HD channels from its expanding high-def service.
The markets are: Baltimore, Birmingham, Ala., Charlotte, Cleveland, Columbus, Denver, Fresno, Calif., Hartford, Conn., Indianapolis, Kansas City, Miami, Milwaukee, Minneapolis, Nashville, Orlando, Phoenix, Pittsburgh, Raleigh, N.C., Sacramento, Salt Lake City, San Diego, Seattle, St. Louis, and West Palm Beach, Fla.
Dan Fawcett, executive vice president at DirecTV, said the company expects to expand the HD local coverage to more markets later this year.
At the moment, DirecTV offers local HD in Atlanta, Boston, Chicago, Dallas-Fort Worth, Detroit, Houston, Los Angeles, New York, Philadelphia, San Francisco, Tampa and Washington, D.C. The additional 24 markets would take the local HD count for DirecTV to 36 markets.
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EchoStar X Flies into Orbit & Key Moves for Canadian Sat Radio Player & Qwest Delivers for DirecTV & Telco Media News Covers Local Franchise Debate -- Posted by soullezz
on Wednesday, February 15 2006
EchoStar X Flies into Orbit
Late Wednesday, Sea Launch delivered the EchoStar X satellite into geosynchronous transfer orbit. The launch services company said early data indicate the spacecraft is in excellent condition.
A Zenit-3SL vehicle lifted off at 6:35 p.m. Eastern from the Odyssey Launch Platform, positioned in the Pacific Ocean. A ground station in Uralla, Australia, acquired the first signal from the satellite, as planned.
The EchoStar X satellite was built by Lockheed Martin Commercial Space Systems. The high-power Ku-Band A2100-AX spacecraft is designed to deliver services to DISH Network customers, enabling the platform to expand services and channel offerings.
Key Moves for Canadian Sat Radio Player
Canadian Satellite Radio, which operates the XM Canada service north of the border, closed on its $100 million U.S. offering Tuesday.
The company, which is tied to XM Satellite Radio, said it intends to use net proceeds from the offering to pay for ongoing operating expenses including subscriber acquisition costs, marketing and advertising expenses, broadcast operations and programming costs, among other items.
Also, CSR said the Canadian Radio-Television and Telecommunications Commission (CRTC) approved an application that amends the existing conditions to its license. That application proposed to increase the minimum number of Canadian French-language channels that would be offered from three to four.
XM Canada launched in November with four Canadian French-language channels, so the new condition proposed in the amendment has already been satisfied.
Qwest Delivers for DirecTV
Midwest/Western telco Qwest Communications reported that it ended 2005 with 128,000 video customers, all of which are part of its DirecTV sales and marketing efforts.
That would represent a gain of about 100,000 customers, given that Qwest had 28,000 video customers at the end of 2004.
Earlier this week, BellSouth reported that 523,000 of its customers have added DirecTV service to their BellSouth Answers bundle since 2004.
Telco Media News Covers Local Franchise Debate
Today's edition of Telco Media News has extensive coverage of the ongoing local video franchise debate, including Wednesday's Senate Commerce Committee hearing on the issue.
During the hearing, telco executives wasted no time criticizing the state of local video franchising. That included Verizon CEO Ivan Seidenberg, who said video franchising laws "are out of date with technology, out of touch with consumer demands, and serve mainly to delay competition and deny choice for consumers."
He added, "Verizon believes a streamlined, national video franchising process - combined with our willingness to ensure that legitimate local concerns are met - presents a win-win-win for localities, consumers and the marketplace."
For more on the franchise issue and Telco Media News visit: http://www.telcomedianews.com.
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Sea Launch Halts EchoStar X Lift Off & Digital TV Switch: February 2009 & Copyright Office Takes a Look at Distant Nets & DirecTV 4Q: Lower Sub Adds, High Churn -- Posted by soullezz
on Wednesday, February 8 2006
Sea Launch Halts EchoStar X Lift Off
Sea Launch halted the countdown of the EchoStar X satellite launch mission due to an off-nominal indication from the Ground Support System.
The EchoStar X spacecraft and the Zenit-3SL vehicle, which are in the middle of the Pacific Ocean awaiting launch, are in excellent condition, the company said. Sea Launch said the launch team is evaluating the matter to determine a corrective action and a schedule for the next launch opportunity.
The EchoStar X satellite was built by Lockheed Martin Commercial Space Systems. The high-power Ku-Band A2100-AX spacecraft will deliver services to DISH Network customers.
Digital TV Switch: February 2009
President Bush on Wednesday signed into law a budget reconciliation bill that includes a provision establishing Feb. 17, 2009, as the hard date to end analog broadcasts.
The budget reonciliation measure also allocates up to $1.5 billion to reimburse consumers who purchase digital to analog converter boxes, ensuring that analog TV sets continue to work after the transition.
Broadcasters are happy with the bill.
"With enactment of the budget reconciliation bill and its digital television provisions, we have crossed an important threshold," said David Fehr, president and CEO of the National Association of Broadcasters. "NAB is pleased that Congress adopted many pro-consumer DTV measures in the legislation, and we're encouraged that the bill thwarted cable industry attempts to degrade the quality of HDTV pictures to consumers."
Copyright Office Takes a Look at Distant Nets
The Copyright Office recently released its report on items tied to the Satellite Home Viewer Extension and Reauthorization Act (SHVERA), including its take on distant network signals delivered via satellite TV.
In its findings, the office said the number of local signals offered by satellite TV companies since 1999 has risen considerably and instances of distant network signal retransmissions are down. "Because the number of those distant signal instances has decreased, the harm experienced by copyright owners has correspondingly decreased," the office said in its findings.
The office also took a stab at the Grade B issue, which consists of testing to determine whether a consumer is eligible for distant network signals. The entity said a predictive model has been used successfully to determine whether a household is unserved by analog signals.
However, the office said it does not appear an accurate predictive model for digital signals can be adopted until the Federal Communications Commission develops and tests new signal strength measurement procedures and designs a new Grade B standard for digital signals.
The copyright Office also said it sees no need to change network nonduplication rules. But it reiterated that a subscriber who can receive an acceptable analog or digital local signal either over-the-air or from satellite TV should not be permitted to receive a distant signal - either in analog or digital format.
The office also recommended no changes for rules governing the blackout of certain sports programming, and deferred to the FCC any decisions on retransmission consent.
DirecTV 4Q: Lower Sub Adds, High Churn
DirecTV revealed that it's talking with EchoStar about a wireless broadband venture, the company reported a smaller subscriber gain for the fourth quarter when compared to other quarters (though that was expected), and said churn remains an issue.
Chase Carey, DirecTV's CEO, said the company is "actively engaged" in looking for opportunities when it comes to a wireless service. He also said DirecTV wants to do something that makes sense in the space, and when the right opportunity comes the company will jump on it sooner rather than later. In addition, Carey said it could take one to three years to have a broad area of coverage for any wireless venture.
The wireless venture between DirecTV and EchoStar was reported by wire sources Wednesday.
As for fourth quarter numbers, customer churn remained high, at 1.7 percent. DirecTV attributed the figure to higher involuntary churn from customers with lower credit scores, a more competitive marketplace and 10,000 disconnected subscribers associated with Hurricane Katrina.
Carey called the churn figure too high, but said customer turnover is coming down. He added that the company is aggressively getting on top of churn issues this year.
After accounting for churn, DirecTV added 200,000 net subscribers in the quarter. During the past 12 months, the cumulative number of DirecTV subscribers increased 9 percent to 15.13 million.
Also, the company's board of directors authorized a share repurchase of up to $3 billion in stock.
DirecTV generated more than $3.4 billion in revenues during the fourth quarter, bringing full year revenues to $12.2 billion. The company also reported net income of $121 million for the three-month period.
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Next EchoStar Satellite Ready to Fly & Media Access Project Takes on Cable, Competition & Insiders Scrutinize McDowell Nomination -- Posted by soullezz
on Sunday, February 5 2006
Next EchoStar Satellite Ready to Fly
EchoStar will see a key satellite launch this week.
Sea Launch is preparing for the flight of the EchoStar X satellite, which is scheduled for Wednesday. The spacecraft is set to fly at the opening of a 49-minute launch window, at 3:35 p.m. Pacific Time.
EchoStar X will join the company's current fleet of nine satellites that provide DISH Network customers with programming. It's expected the satellite will support interactive TV services, sports programming, high def and international programming.
The last satellite to launch for the company - EchoStar IX - flew in August 2003.
Coverage of the satellite launch will be on channel 101 for DISH Network subscribers.
Media Access Project Takes on Cable, Competition
As the Federal Communications Commission continues to scrutinize the proposed takeover of Adelphia assets by Comcast and Time Warner Cable, the Media Access Project took aim at the cable business and asked whether video competitors are getting a fair shake in the pay-TV market.
In a white paper released last week, the organization said policymakers should consider rules and regulations that make competition viable by limiting the power of incumbent cable operators "to manipulate the value of a competitor's offering, drive up the cost of a competitor's offering, or increase the switching cost to a subscriber from a cable network to a rival network."
The Media Access Project also proposed policies that aim to limit regional and national concentration by cable operators. In addition, the organization said existing rules governing program access should be extended beyond a February 2007 deadline and include terrestrially distributed programming, including regional sports networks, and non-linear programming services, such as video on demand.
"Congress and the FCC should reject simplistic arguments about deregulation and level playing fields. Unless subscribers can switch from one service to another with reasonable ease, the expected benefits of competition - lower prices, innovation, and diverse high-quality programming - simply will not emerge," Media Access Project said in its white paper.
Insiders Scrutinize McDowell Nomination
President Bush on Friday named Robert McDowell, an attorney with industry trade group Comptel, to the open Republican seat on the five-member Federal Communications Commission, a move that will give the entity a Republican majority.
What do insiders think of the nominee?
Blair Levin of Stifel Nicolaus said if McDowell is confirmed by the Senate it could be good news among those hoping for media ownership liberalization, given that "it means the process for revising those rules is now more likely to get started."
Also, given McDowell's background, his nomination may likely be good news for CLECs and ISPs and a source of some concern for incumbent ILECs, "though we note that most of the key Bell-CLEC issues have already been decided and will not be reexamined," Levin said.
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FTC Clears Adelphia Deal & Senate Panel Scrutinizes Program Access, Adelphia Deal & DISH Backs ACA on Retrans -- Posted by soullezz
on Wednesday, February 1 2006
FTC Clears Adelphia Deal
The Federal Trade Commission said Tuesday that its Bureau of Competition closed an inquiry into the acquisition of Adelphia by Comcast and Time Warner Cable as well as related transactions in which the cable giants will swap cable systems, a move that effectively puts the deals over one big regulatory hurdle.
The FTC said it investigated whether the transactions would impact how pay-TV services contract to carry regional sports networks, and whether clustering that results from the billion-dollar cable deals would make it more likely for Comcast or Time Warner Cable to enter into distribution agreements that would eliminate RSN carriage by competitors such as satellite TV and telcos.
The commission found that the proposed transactions "are unlikely to make the hypothesized foreclosure or cost-raising strategies profitable for either Comcast or Time Warner Cable."
Commissioners at the FTC also said in a statement, "We will be vigilant regarding the conduct of Comcast and Time Warner Cable on a going-forward basis. If the proposed transactions are consummated and facts emerge that indicate that Comcast or Time Warner Cable is engaging in conduct that harms competition to the detriment of consumers, we will investigate and, if appropriate, take action under the antitrust laws."
Adelphia Chairman and CEO Bill Schleyer called the FTC decision an important step forward that satisfies a required condition to the closing of the transaction.
"The timely closure of this sale is in the best interests of our creditors, customers and employees," he said. "In addition to the remaining local government approvals that have not yet been obtained, the focus of our attention now turns to the FCC, where we hope for a prompt ruling that this sale is in the public interest."
In a separate statement, EchoStar said it also will turn its efforts to the Federal Communications Commission, "which must review the proposed merger under a broader public interest standard - to impose conditions which address the harms that will result if this merger is approved."
The satellite TV company added, "Even prior to the proposed merger, Comcast and Time Warner controlled access to valuable programming. That programming must be made available to all pay TV providers under fair terms and for reasonable rates, including a la carte pricing, which will enable EchoStar to provide consumers with the programming choices they deserve."
Senate Panel Scrutinizes Program Access, Adelphia Deal
Those testifying before the Senate Commerce Committee Tuesday about access to video programming and the pending takeover of
Adelphia by Comcast and Time Warner Cable warned that the billion-dollar deal could have a negative impact on the pay-TV business.
DirecTV's Dan Fawcett told the Senate panel that once Comcast and Time Warner Cable gain Adelphia's assets they would control about six in 10 of the nation's cable subscribers and almost half of all pay-TV subscribers. But the bigger concern with the proposed transaction is the concentrated regional monopolies the companies will gain, becoming the dominant video provider in the markets they serve.
And if that happens, Fawcett said Comcast and Time Warner Cable may deny regional programming - including key local sports networks - to competitors.
The DirecTV executive took aim at Comcast Sports Net in Philadelphia, calling the situation "the poster child" of the lack of programming access by cable's competitors. The Comcast RSN, which covers Phillies baseball, Flyers hockey and 76ers basketball, is not available to Comcast's competitors.
Fawcett also pointed to other situations when it comes to accessing regional and local content. They include RSNs in Charlotte, in which Time Warner Cable exclusively carries Bobcats basketball, and in Chicago, another Comcast stronghold with a Comcast RSN.
"As in Philadelphia, local fans face the same grim choice - give up watching the team, or give up the right to choose video providers," he said.
Comcast's Joseph Waz defended the Adelphia acquisition and its market power at the hearing, saying almost every consumer can pick from at least pay-TV providers each offering hundreds of programming services.
He also said the number of vertically integrated networks, programmers with a direct relationship or ownership with a cable operator, has dropped to 23 percent, and Comcast itself has a financial interest in about seven percent of the networks it delivers to customers.
DISH Backs ACA on Retrans
At the Senate hearing, Matt Polka of the American Cable Association again targeted retransmission consent ... and his speech won kudos from a competitor.
At the hearing Tuesday, Polka said that during his 20 years in the cable business, "I have seen increasingly how retransmission consent abuse and wholesale programming practices impede our ability to best serve our local communities."
Retransmission consent, which governs the carriage of local stations by cable and satellite TV, was part of the 1992 Cable Act. Polka told the Senate panel that in the 14 years since the law's enactment, the world of media has seen big changes.
"Through unprecedented consolidation, broadcasters and media companies have become much more powerful," he said. "Broadcasters are using retransmission consent in ways that restrict choice, raise costs, and force consumers to take channels they don't want."
Later in the day, EchoStar sent out a statement saying it shares several of the concerns expressed by small cable operators, much of which are represented by ACA.
"The broadcasters have benefited from a favorable regulatory environment, including local monopoly rights and free spectrum. Local broadcasters force pay-TV providers to pay exorbitant fees to retransmit their signals, or demand that they carry additional channels as part of a bundled deal," EchoStar said.
"On behalf of consumers who want lower prices and more control over programming coming into their homes, we urge Congress to reform the retransmission consent rules for all pay television providers."
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