Satellite business in Asia-Pacific booming
By I. Christianto
PALO ALTO, California (JP): The Asia Pacific region will remain the major market for the world's satellite manufacturers in the coming years.
Demand for satellites continues to grow in the region and dozens of them will be ready for orbit by the year 2000.
Executive director for marketing and sales of Space System/Loral (SSL), a leading aerospace company of the United States, Ron Dalebout, said the Asia Pacific region was currently the fastest growing market in satellite communications in the world.
"There are a large number of satellites under construction to be launched in the next two years. That's satisfied needs," he told The Jakarta Post during an inspection of SSL's 1.4 million square-meter facility by Minister of Tourism, Post and Telecommunications Joop Ave here Wednesday.
He said seven satellites had been prepared by SSL to orbit the Asia Pacific region by the end of 1998 and up to nine others within the following two-year period.
There would be a higher level of demand and additional satellite requirements from the region following the rapid growth of the Asia Pacific economies, he added.
Director General of Post and Telecommunications Djakaria Purawidjaja said that within the Asia Pacific, Southeast Asian nations would emerge the largest satellite users.
"It is estimated that Southeast Asian countries will need 100 satellite transponders by the year 2000. If transponders are worth US$5 million each, investment will reach at least $500 million," he said. "That's only within the Southeast Asian region," he added.
As a result of the rapid growth in the number of satellites to be operated in Asia, competition among satellite manufacturers will increase.
Dalebout said that SSL had to compete with the famous Hughes Space and Communications (HSC) of the U.S and Lockheed Martin in winning the orders from the Asia Pacific rim.
HSC, the biggest satellite supplier in the region, is the manufacturer of Indonesia's Palapa satellite series. Other producers include Lockheed and Aerospatiale and Matra Marconi of Europe.
SSL has so far manufactured more than 20 spacecraft for a wide range of firms from the U.S., Japan, China, Laos, the Philippines, Thailand and Indonesia.
More launches
Indonesia will launch at least four more satellites within the next two years after the launching of PT Media Citra Indostar's direct-to-home Cakrawarta satellite by an Ariane rocket next month.
The state-owned PT Telkom, PT Asia Cellular Satellite (ACeS), PT MultiMedia Asia (M2A) and PT Satelindo also plan to launch their respective satellites by 1999.
M2A, 27 percent owned by the state-owned PT Indosat and 73 percent by PT Pasifik Satelit Nusantara, will launch the M2A satellite in June 1999. The satellite will serve voice, data and Internet services. Through the satellite, telephone investment per line will be $850 while air time will be as low as 10 U.S. cents per minute within the satellite coverage.
The M2A satellite, constructed by SSL, will provide multimedia digital telecommunications services through small fixed antennas directly to users with Asia-wide coverage. The system, scheduled to begin operation in 1999, will serve up to four million users in Indonesia, Southeast Asia, Australia, China, Korea and Japan.
Telkom and ACeS will also launch in 1999 the Telkom-1 and Garuda satellites which are being made by Lockheed Martin of the U.S.
Minister Joop said the satellite projects showed Indonesia was prepared for the multimedia era.
"Though many of our people are still poor, we have been successful in empowering some people in the satellite industry," he said, recognizing the cooperation between Indonesian firms and U.S. spacecraft manufacturers.
He invited Bangladesh, Vietnam, Myanmar and other Asian nations to join Indonesia's satellite operators. "The opportunity is there," he said.