Satellite DOCSIS-Based Terminal Shipments Reach 100,000 Worldwide

Satellite DOCSIS-Based Terminal Shipments Reach 100,000 Worldwide

2006-02-15 - Broadband Systems 

Market for Two-way Broadband via Satellite Expected to Average 8% Annual Growth

Carlsbad, CA - ViaSat Inc. has shipped its 100,000th DOCSIS�-based two-way broadband satellite terminal. The system is a new approach to broadband satellite communications that lowers the cost of consumer terminals, provides mature back office and customer service systems, and helps make satellite a very cost-effective medium for broadband delivery. The open standard network adapts the Data-Over-Cable Service Interface Specifications (DOCSIS) cable modem networking standard to satellite transmission. The terminal shipment milestone includes both Ku- and Ka-band versions of the SurfBeam� DOCSIS system and reflects ViaSat's role as the supplier of broadband modems to the leading next generation broadband services, including WildBlue Communications, Telesat of Canada, Intelsat Ltd, and SES AMERICOM.

In addition, ViaSat subsidiary US Monolithics, which supplies the outdoor transmit/receive electronics (ODU) for the terminal, has delivered its 100,000 Ka-band transceiver. Significant product cost reductions in the ODU are a vital element in making satellite customer premises equipment affordable for mass markets. US Monolithics has achieved unprecedented price points and volume manufacturing for its high-powered 30 GHz products through a custom MMIC (Monolithic Microwave Integrated Circuit) chip set and innovative design and manufacturing techniques.

The enabling technology for the DOCSIS-for-satellite system is a ViaSat-developed satellite air interface for the broadband networking standard used by millions of terrestrial cable customers. As a result, the satellite system can use low-cost, proven hardware and software elements providing an affordable alternative for two-way, high speed satellite broadband services at typical consumer broadband price points. The implementation also includes technology that mitigates rain fade, a reduction in signal strength caused by heavy rain that at one time was a potential barrier to successful deployment of Ka-band satellite systems. The ViaSat system automatically responds to rain fade with uplink power control and adaptive data coding techniques that help overcome potential outages, eliminating the need for service providers to take on the costs of additional satellite bandwidth that would serve as a �margin� against network-wide rain fade.

For its ground-breaking work in applying the DOCSIS� standard to satellite communications, ViaSat was awarded an Industry Innovator Award by the Society of Satellite Professionals International at the recent Satellite 2006 conference and exposition. The Industry Innovator Awards program recognizes outstanding new contributions to the field of satellite communications by both private-sector and public-sector organizations across a broad spectrum of advanced satellite technology and business applications.

"We have reached a major milestone with the shipment of our 100,000th DOCSIS-for-satellite modem, and we'll continue to build on our broadband successes by creating products and services that meet the needs of the market, " said Mark Dankberg, chairman and CEO of ViaSat. "Working with our service provider partners, we are developing advanced technology to help meet the growing demand for affordable, high speed broadband services."

"WildBlue has been very pleased with ViaSat's Ka-band equipment. The low cost and high performance has been integral to WildBlue's extraordinary growth since we launched our satellite broadband service for consumers and small businesses and the resulting 94+% customer satisfaction rate among our tens of thousands of customers," said Erwin Hudson, WildBlue executive vice president and chief technology officer.

"Northern Sky Research (NSR) anticipates that satellite broadband services will exhibit some of the greatest growth potential in the commercial satellite industry," said Chris Baugh, President, NSR. "Based on extensive analysis in NSR's Broadband Satellite Markets, 5th Edition report, NSR expects broadband satellite subscribers to increase from 1 million in 2005 to over 2.2 million in 2010, and demand for ViaSat's SurfBeam modem further underscores the significant market opportunity."

Safe Harbor Statement
Portions of this release, particularly statements about the performance and capabilities of ViaSat products, may contain forward-looking statements regarding future events and are subject to risks and uncertainties. ViaSat wishes to caution you that there are some factors that could cause actual results to differ materially from historical results or from any results expressed or implied by such forward-looking statements, including but not limited to: ViaSat's ability to perform under the existing contract, product design flaws or defects, changes in product supply or component pricing, changes in relationships with, or the financial condition of, customers or suppliers, changes in government regulations, changes in economic conditions globally and in the communications markets in particular, potential product liability, infringement and other claims, and other factors affecting the communications industry generally. ViaSat refers you to the documents it files from time to time with the Securities and Exchange Commission, specifically the section titled Factors That May Affect Future Performance in ViaSat's Form 10-Ks and subsequent Form 10-Qs. These documents contain and identify other important factors that could cause actual results to differ materially from those contained in our projections or forward-looking statements. Stockholders and other readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date on which they are made. We undertake no obligation to update publicly or revise any forward-looking statements.


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