Get ready for direct satellite connection

Come February 2011, India will have a new technology platform that will allow anyone

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to link his smartphone, computer or laptop directly to a satellite without needing a cable, dish or last-mile wireless connectivity. With this India will join a handful of countries that now have this marvel.

This is a new generation, satellite-based multi-media service technology platform. Developed by the Bangalore-based Devas Multimedia, it will deliver applications for the government sector in rural development, emergency communications and remote areas, besides broadcasting TV, video and data content to consumers.

At the moment all such services, including TV, broadband and telecom, are handled through terrestrial or land platforms or DTH/Vsat satellite systems.

Where the new system differs is in the use of S-band satellites (to be soon launched by India’s space agency Isro), which enables signals to be received by small portable or miniature devices instead of bulky antennas. Thus even remote locations can access the services.

The system built by Devas will use satellite capacity of Isro and include ground systems, terminals, portable or vehicular media players, devices which can connect to phones or laptops that can be used for both voice and stream live video, according to company’s chief executive officer and president Ramachandran Viswanathan.

These devices have been designed by Devas and manufactured by partners like Alcatel Lucent and Ericsson.

Devas, which has been funded by Deutsche Telekom, Columbia Capital and Telcom Ventures, has so far invested $400 million in technology development and manufacture.

The company was founded in 2004 by a quartet who had earlier worked with Isro and WorldSpace. Besides Viswanathan, they are D Venugopal, Paresh Shah and James Fox (who has since quit the firm).

Devas was promoted by its chairman MG Chandrasekhar, who had earlier been Isro’s scientific secretary and WorldSpace India’s managing director. Viswanath himself had earlier worked for Forge Advisors, Cidera, Worldspace and McKinsey.

Having worked in various satellite projects across in the government and the public sector, the group germinated the idea in discussions with Isro and a team headed by K Kasturirangan at that time.

The result is a 200-member operational and development unit at Devas, backed by an extended team from partners like Deutsche Telekom.

Viswanathan said that commercialisation initially been planned for 2009 had to be postponed since Isro’s two satellites -- GSat-6 (Insat-4E) and GSat-6A -- on which Devas has leased transponder space for an undisclosed sum, have been delayed. GSat-6 is now scheduled for launch in December this year.

But Devas has already conducted technical trials in 2009 in collaboration with Isro and industry partners.

The company seeks to provide services to two audiences – government/enterprise and the consumer.

“On the government side, we are in talks with organisations including the railways and Sam Pitroda’s smart grid taskforce for providing satellite-based communications and connectivity,” said Viswanathan.

For the consumer services will be offered on a flat- rate basis in subscription form similar to DTH. The potential market size in India seven years from now is estimated to be $5-8 billion.

The company expects the first couple of years to be tough but adoption will pick up in the mid-term. The CEO declined to give revenue or adoption targets, saying that it was still to early to talk about it.

Similar systems have just been introduced or are in the process of being launched in the US, Europe, West Asia and China, Japan and Korea by companies that include Solaris, Inmarsat, Terastar, ICO and Skyterra.

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