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INTELSAT ADDS TERRESTRIAL SERVICE TO SATELLITE OFFERINGS

Intelsat added terrestrial component to broadband offerings with new GlobalConnex Solutions program that combined terrestrial and satellite network, company said Tues. GlobalConnex is portfolio of bundled services that combines satellite links with terrestrial capabilities, including teleport services, fiber and points of presence (POPs) at strategic exchange points. GlobalConnex will deliver voice, data, Internet, video. “Intelsat can now offer customers a one-stop shopping experience,” Global Sales & Mktg. Pres. John Stanton said.

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Communications Authority of Thailand (CAT) signed to use service, Intelsat said in related announcement. Intelsat is providing CAT with 45 Mbps duplex Internet link between Thailand and U.S. by integrating satellite, teleport and IP access. As prelude to GlobalConnex rollout, Intelsat signed agreement in March to acquire Lockheed Martin World Systems subsidiary that included gateways in Clarksburg, Md., and Paumalu, Hawaii. Under agreement, Intelsat also purchased teleport systems of Comsat Digital Teleport along with teleport facility in Fuchsstadt, Germany, from Deutsche Telekom. Terms of transactions weren’t disclosed.

Adding terrestrial feature is natural evolution of Intelsat services, Stanton said. In some cases, Intelsat will be marketing services to existing customers, but different departments. Intelsat Senior Vp-Strategy & Business Development Kevin Malloy said company still must obtain licenses for teleports, along with landing rights in some countries, including U.S., Africa, Europe: “These are minor events, not a big deal.” Malloy said company had to wait for World Systems transaction to close before filing application with FCC to use newly acquired gateways. He said deals involved “modest amount of money” for company that grossed $3.5 billion last year.

Malloy said company was undeterred by “telecom slump” and he wouldn’t rule out possibility of more acquisitions: “We're not immune to that, but the type of drastic problems that they have don’t impact us. We would like to see more robust growth.” He said company was into “steady investments instead of big, big investments,” but he didn’t want to speculate on market strategy or future targets for acquisitions. With possibility EchoStar takeover of Hughes Electronics will be rejected, Stanton wouldn’t rule possible purchase of PanAmSat, as some industry insiders have suggested.

Rising cost of satellite insurance remains issue, Stanton said: “We haven’t decided to self-insure. We do have [high] deductibles.”