Thaicom rejig to free up satellite slots

Thaicom rejig to free up satellite slots

Thaicom Plc, the country's sole satellite service provider, is rearranging transponder traffic in the congested Thaicom 5 and 6 satellites in a bid to handle overwhelming demand.

Thaicom is preparing to serve up to 60 digital television channels. (Bangkok Post photo)

The reshuffle is expected to fulfil demand from the waiting list for the newly launched Thaicom 7 satellite, said vice-president for corporate affairs Ekachai Phakdurong.

"After the rearrangement, we expect to have three more transponders serving 60 digital TV channels for broadcasting firms," he said.

Mr Ekachai said Thaicom 7 was the company's first satellite to be fully reserved before launch, thanks to booming demand for digital TV and high-definition (HD) video broadcasting.

Demand for bandwidth-intensive HD video has increased the need for satellite capacity, forcing operators to expand or maximise the use of in-orbit fleets to provide services.

The local company on Sunday successfully launched its Thaicom 7 satellite to the orbital slot 120 degrees east, covering Asia and Australia.

The US$170-million satellite was designed to serve the content delivery market.

"This shows that Asia-Pacific and Thailand are bracing for a shortage of capacity on satellite transponders used for digital TV, as broadcasters are rapidly expanding digital channels," Mr Ekachai said.

Thaicom chief executive Suphajee Suthumpun said the launch of Thaicom 7 provides additional capacity to serve Thailand's fast-growing broadcasting industry while opening up new markets overseas.

The company expects to realise some revenue from Thaicom 7 in the third-quarter operating results.

Thaicom has three older satellites in service.

Thaicom 4 (aka IPSTAR) is at 54% bandwidth usage, while Thaicom 5 and 6 serving Thailand are at full capacity.

Thaicom 4, 5 and 6 operate under Information and Communication Technology Ministry concessions that are due to expire over the next seven years.

The company is required to hand over 20.5% of revenue to the ministry.

Thaicom 7 is under a licensing regime of the National Broadcasting and Telecommunications Commission.

To deal with the overwhelming demand, Mr Ekachai said Thaicom is accelerating plans to launch an eighth satellite by early 2016.

The 24-transponder satellite will cost about $170 million and sit in the orbital slot at 78.5 degrees.

Thaicom expects consolidated revenue to grow by 18% this year, boosted by the local broadcasting sector and an effective cost-cutting programme.

"We are likely to record a profit for a third consecutive year after racking up losses the previous seven years," Mrs Suphajee said, attributing the turnaround to a cross-partnership marketing strategy.

Do you like the content of this article?
COMMENT