Email: simon@comsys.co.uk

Tel: +44-1727-832288

Simon Bull

Senior Consultant

COMSYS LLP

London, UK

Australasia Satellite

Forum

Sydney 20.05.2015

Enterprise Networks

The Fog Begins to Clear?

Enterprise VSAT Markets, the Fog Begins to Clear?Australasia Satellite Forum 2015 – 20.05.2015

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Enterprise VSAT Markets, the Fog Begins to Clear?Australasia Satellite Forum 2015 – 20.05.2015

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VSAT is being squeezed

squeezed in every region

squeezed in almost every segment

squeezed out of prime network roles

Enterprise VSAT Markets, the Fog Begins to Clear?Australasia Satellite Forum 2015 – 20.05.2015

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pushed to the edge

of networks

of capabilities

of pricing

Enterprise VSAT Markets, the Fog Begins to Clear?Australasia Satellite Forum 2015 – 20.05.2015

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challenged

to adapt and perform with new and

rapidly changing applications

by massive advances in competing

technologies

and shifting global economics

Enterprise VSAT Markets, the Fog Begins to Clear?Australasia Satellite Forum 2015 – 20.05.2015

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absorbed and integrated

into networks

often as part of solutions

not as the solution

arguably with less value

Enterprise VSAT Markets, the Fog Begins to Clear?Australasia Satellite Forum 2015 – 20.05.2015

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the united states

was the worlds largest enterprise market

the leader in vsat innovation

serving significant enterprises

showing the way forward

Enterprise VSAT Markets, the Fog Begins to Clear?Australasia Satellite Forum 2015 – 20.05.2015

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1990 1997 2000 2007 2010

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1990 1997 2000 2007 2010

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1990 1997 2000 2007 2010 1990 1997 2007 2010 Today

Enterprise VSAT Markets, the Fog Begins to Clear?Australasia Satellite Forum 2015 – 20.05.2015

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but this is not unique to VSAT

dsl connections

leased lines

mpls

gsm

are all facing pressure

Enterprise VSAT Markets, the Fog Begins to Clear?Australasia Satellite Forum 2015 – 20.05.2015

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global enterprise VSAT

has continued to grow

the technology has adapted

helped by consumer volumes

volume success has been based

on a combination of cost and

reliability

Enterprise VSAT Markets, the Fog Begins to Clear?Australasia Satellite Forum 2015 – 20.05.2015

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corporate VSAT services

have grown at almost twice the rate

of enterprise: 7.7% vs 4.1%

technology has been part of this

but service focus, industry

specialisation and networking

innovation have been the primary

drivers

Enterprise VSAT Markets, the Fog Begins to Clear?Australasia Satellite Forum 2015 – 20.05.2015

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which brings us to the

question of spot beam

satellites

hts of all types will dominate satellite

bandwidth at some point

the hts business model has been based

on inflexible closed systems

but it is questionable whether this is

proving to be a viable solution

Enterprise VSAT Markets, the Fog Begins to Clear?Australasia Satellite Forum 2015 – 20.05.2015

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closed systems

reduce VSAT operator value

increase satellite operator control and share

remove attractiveness for most providers

considerable resistance is evident

commoditise and devalue satellite solutions

but potentially expand volume

bring a lower cost/bit which is only now

beginning to emerge

Enterprise VSAT Markets, the Fog Begins to Clear?Australasia Satellite Forum 2015 – 20.05.2015

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disruption is imminent in places

some markets have already experienced it

north africa, afghanistan, malaysia

others can expect it

australia, europe

born more from desperation and pragmatism

possibly relatively short term but with the

possibility of long term consequences

Enterprise VSAT Markets, the Fog Begins to Clear?Australasia Satellite Forum 2015 – 20.05.2015

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business VSAT services

are under pressure

but are still growing

are often disliked

but remain essential

are small revenue sources versus terrestrial

but still make better margins

and are now a critical segment for most

satellite operators

Enterprise VSAT Markets, the Fog Begins to Clear?Australasia Satellite Forum 2015 – 20.05.2015

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leos

will happen

will be closed systems

won’t be until the end of the decade

might be exclusively consumer

will be used by business

might have incorporated some lessons

will be hugely disruptive

Enterprise VSAT Markets, the Fog Begins to Clear?Australasia Satellite Forum 2015 – 20.05.2015

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flexibility is essential

and it’s coming …

already open … ipstar, avanti

opening … kasat, inmarsat gx

open from inception … intelsat epic

vno models … tsbc thor 7

design flexibility … eutelsat quantum

Enterprise VSAT Markets, the Fog Begins to Clear?Australasia Satellite Forum 2015 – 20.05.2015

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Enterprise VSAT growth

scada systems

atm machines

lottery terminals

credit verification

environmental monitoring

ultimately ..

iot

Enterprise VSAT Markets, the Fog Begins to Clear?Australasia Satellite Forum 2015 – 20.05.2015

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Corporate VSAT growth

land based drilling

mining

maritime

offshore o&g

disaster recovery

sng/media

military

aeronautical

cell backhaul

construction

government

ngo

Enterprise VSAT Markets, the Fog Begins to Clear?Australasia Satellite Forum 2015 – 20.05.2015

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VSAT service providers

understand customer requirements

craft solutions

configure networks

integrate applications

ensure reliability

provide value

Enterprise VSAT Markets, the Fog Begins to Clear?Australasia Satellite Forum 2015 – 20.05.2015

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the fog has yet to clear

challenges remain, but so do requirements

value exists, but only if created

the satellite industry needs to respond

bandwidth isn’t everything

Enterprise VSAT Markets, the Fog Begins to Clear?Australasia Satellite Forum 2015 – 20.05.2015

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