International data and video solutions provider Global Crossing uses an integrated global IP-based network that includes offerings such as collaboration, broadcast and media services. Global Crossing also acquires satellite capacity to support its operations throughout the world and the company’s Latin America business now utilizes about 290 MHz of capacity aboard SES satellites to serve markets across the region. On the heels of last year’s 90 MHz renewal on NSS-10, Global Crossing has now secured an additional 12 MHz of C-band capacity on the spacecraft to enable the implementation of a new VSAT network to meet growing demand for corporate connectivity in Brazil.

     Pablo Yañez, Senior Data Product Vice President, Global Crossing told Via Satellite that his company’s new satellite capacity deal with SES World Skies aims to support growth it is seeing in Latin America and boost regional revenues by 15 percent.

    “We want to maintain the speed of growth that we have achieved in the region. I would say the communications market in Latin America is growing faster than it is in other regions, such as North America and Europe where the markets are more mature. Here, in Latin America, you have markets like Brazil, Colombia, Peru and Argentina where the demand for services is growing very nicely. In some countries, like for example Brazil, we have a low market share, however, we are growing at a higher speed than the market.”

     Satellite services already account for about 15-20 percent of Global Crossing’s revenue in Latin America and while is not the company’s main focus, Yañez asserted that having these services in the company’s portfolio gives it a competitive advantage, “because many companies in Latin America need an integration of technologies to cover all their requirements. So, we can do that in the same offering. Where there is a lack of terrestrial infrastructure, the only option is satellite links. By extending our IP services by incorporating satellite, we provide a homogenous solution that customers can use to link different branches and sites. We also can offer satellite back-up and disaster recovery networks for customers that want to have a backup to the terrestrial network. Finally, we sell satellite services to customers that need a fast deployment of large and scattered networks. These are the main uses for satellite.”

     SES World Skies’ Robert Bednarek, who was previously CEO and is now a strategic advisor to the SES President and CEO in SES’s new management structure, says Latin America has many opportunities for the operator to serve a market with a healthy combination of video and data application demand. “There is a lot of interest in rural inter-connection and rural Internet for education purposes sponsored by various governments. There are pretty strong and established programmes there for Ku-band,” he says. “We anticipate the continued growth of that type of application. As well, there is a robust cable market and that is beginning to digitize. As we have seen in North America, the digitization will entice the need for more capacity and more programming. So, the traditional role of satellites in cable networks will remain alive and well. It won’t be just U.S. broadcasters expanding to South America. Programmers in the region will also look for more presence.”

     In terms of the types of companies that benefit from these types of solutions, Yañez said that oil companies, which are involved mostly in the exploration and extraction part of the oil process, are one of his company’s main customers for this type of service. “This exploration usually takes place in remote areas. The only option for them here is satellite communication. You have other industries like mining and fishing that also benefit from satellite. I would say these are the three main industries which benefit most from satellite in Latin America.”