Satellite revenues reach Dh2.7b annually in the Middle East

Dubai: Satellite revenue in the Middle East reached $752 million (Dh2.7 billion) last year according to industry research, while transponder space is being used to capacity.

Euroconsult and the London Satellite Exchange, industry researchers say that growth in commercial satellite-lease revenues has been on average 12 per cent annually since 2003, with no sign of slacking.

Transponder capacity is at almost a 100 per cent operational limit leading to space being in high demand.

A report from the researchers said 42 per cent of Ku-band satellite usage within the MENA region was from television and radio broadcasts, while the remainder was made up of voice and data traffic.

"The Middle East and North Africa have been among the most dynamic emerging digital broadcast markets, while sustained demand for telecom services and limited additions of satellite capacity have also contributed to the current capacity shortage," the report said.

Of the nearly 1,000 Ku-band transponders measured in the high-growth

Middle East and North Africa regions, 25 of 37 orbital positions had 100 per cent of transponders fully or partially used.

"Capacity shortages in these orbital positions, which are primarily used for video broadcast, clearly reflect the growth in these regions," it said.

Demand

As the region sees much demand, companies are looking to supply more transponder space, while taking advantage of growth. A satellite will soon be launched from the UAE's first nationally owned satellite operator, Al Yah Satellite Communications Company (Yahsat).

The company, fuelled by investments of close to $3 billion, is already building its first satellite, Yahsat, set to be launched in 2010, another satellite Yahsat B will follow six months later.

Highlighting the growth of satellite demand, Dubai World Trade Centre, organiser of CABSAT MENA is launching a new dedicated trade event, Satellite MENA.