DirecTV's Exit from AWS Spectrum Auction Refocuses Attention on Mobile Satellite Spectrum

DirecTV's Exit from AWS Spectrum Auction Refocuses Attention on Mobile Satellite Spectrum

MENLO PARK, Calif., Aug. 15 /PRNewswire/ -- Telecom, Media and Finance Associates, Inc. (TMF Associates), the specialist Mobile Satellite Services consulting firm, today predicted that the exit of Wireless DBS LLC (a partnership of DirecTV and Echostar) from the FCC's ongoing AWS spectrum auction will refocus attention on alternative spectrum bands, and particularly on the spectrum allocated to Mobile Satellite Services (MSS) operators.

In recent years, the FCC has moved to permit use of MSS spectrum for integrated satellite-terrestrial services. Deployment of terrestrial base stations, known as Ancillary Terrestrial Components or ATC, will enable MSS operators to provide service in urban areas and inside buildings which satellite signals are too weak to penetrate. This will provide a workable alternative option for deployment of a new national wireless network.

TMF Associates published the first comprehensive assessment of the ATC opportunity, entitled "ATC: The Future of Mobile Satellite Services?" in February 2006 and has recently released an update to the report as part of its new continuous information service on the Mobile Satellite Services (MSS) industry.

Tim Farrar, author of the report, commented, "MSS operators will need to secure major partners, in order to fund the US$3B+ projected cost of terrestrial base station deployment and to secure adequate mass-market distribution channels. We have maintained that the optimum partner for MSS operators would be a satellite TV operator such as DirecTV or Echostar, because of their compelling need to develop new wireless and broadband service offerings, and the shortage of alternative spectrum options for deploying a nationwide wireless network. Such a partnership could generate as much as US$5.3B in annual service revenues by 2015.

"The exit of Wireless DBS from the AWS auction means that DirecTV and Echostar will now have to focus on alternative sources of spectrum. They could opt for a partnership with either Craig McCaw's Clearwire, which operates in the 2.5GHz band, or with one or more MSS operators. Although Clearwire's network is already operational, the national footprint of MSS operators may prove a decisive advantage in the long term."

For more information about the report, and details of TMF Associates' work on ATC, see http://www.tmfassociates.com/ATC.

The report forms part of TMF Associates' newly launched information service on the Mobile Satellite Services (MSS) sector. More details are available at http://www.tmfassociates.com/reports.

TMF Associates, headquartered in Menlo Park, California, is a leading consulting and research firm providing business and technical analysis in satellite, wireless and broadband telecommunications. The firm specializes in Mobile Satellite Services, including Ancillary Terrestrial Component (ATC) technology, and works with operators, investors and equipment manufacturers to analyze complex market issues. For additional information, please visit http://www.tmfassociates.com/.

CONTACT:

Tim Farrar, President
Telecom, Media and Finance Associates, Inc.
650-839-0376 or tim.farrar@tmfassociates.com

This release was issued through eReleases(TM). For more information, visit http://www.ereleases.com/.

Source: Telecom, Media and Finance Associates, Inc.

CONTACT: Tim Farrar, President of Telecom, Media and Finance Associates,
Inc., +1-650-839-0376, or tim.farrar@tmfassociates.com

Web site: http://www.tmfassociates.com/
http://www.tmfassociates.com/reports

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