Report cites increasing price volatility, IP and data services challenging video as primary source of business
(New York - June 4, 2007 - For Immediate Release) World Teleport Association (WTA) announced that it will publish its annual Inside the Top Operators research report on Tuesday, June 5 at ISCe 2007 in San Diego, California. The eagerly awaited report draws from data submitted to WTA by teleport operating companies around the world for the association's annual Top Operator rankings, announced on November 1, of global, independent and fast-growing companies in this key sector of the hybrid satellite-fiber communications industry. Heading the Top Twenty lists of operators in 2006 were:
#1 Global Teleport Operator: Intelsat
#1 Independent Teleport Operator: GlobeCast
#1 Fastest-Growing Teleport Operator: Skyport International
The Top Operator rankings are based on annual revenue reported by companies for the most recent two fiscal years. In addition to reporting confidentially on revenues to WTA, companies report on where revenues came from, the services they deliver, pricing trends and operational concerns. The Inside the Top Operators 2006 report thus provides an up-to-date snapshot of the global business of connecting "the highway to the skyway."
Increasing Price Volatility
One trend documented by the report is increasing price volatility. Satellite transponder pricing has generally moved up during the past twelve months, but some 40% of respondents still reported price declines for satellite capacity. Fiber and microwave pricing, which has seen such steep declines since the telecom bust, has stopped dropping in price, according to 80% of respondents.
The services offered by teleport operators also followed different pricing paths, with basic teleport services (uplinking, downlinking, modulation/demodulation, encryption, standards conversion, switching and routing) appearing to hold their price better than value-added services. This unexpected result reverses a trend identified in last year's report.
Changing Service Mix
Inside the Top Operators of 2006 also documents how IP and data services are challenging video for first place in the service mix. After uplinking/downlinking, the services offered by the largest number of operators were IP services and enterprise data services, with video services ranking fourth. In terms of actual revenue, video continues to be the single biggest source of business, with 80% of respondents saying they generated at least a quarter of revenues from it. But IP and enterprise data services ranked second.
Inside the Top Operators of 2006 is available free to WTA members from the World Teleport Association Web site at www.worldteleport.org. Nonmembers may purchase a copy of the report from the site as well. WTA will provide a free copy of the report to accredited members of the press.
About World Teleport Association
Since 1985, the World Teleport Association (www.worldteleport.org) has been the only trade association that focuses on the business of satellite communications from the ground up. At the core of its membership are the world's most innovative operators of teleports, from independents to multinationals, niche service providers to global hybrid carriers. WTA is dedicated to helping teleport operators to improve their operations, develop their markets and grow their businesses within the $13 billion teleport sector of the global satellite industry. Companies that do business with teleports also find that WTA is the best investment they can make to open new channels to the industry.
June 4, 2007
World Teleport Association
55 Broad Street, 14th Floor, New York, NY 10004 USA
+1 212-825-0218 fax +1 212-825-0075 www.worldteleport.org
For more information, contact:
Louis Zacharilla, Director of Development 212-249-0624 email@example.com