Ad hoc / Announcements
19th November 2004
backTELES: Broadband Internet via skyDSL Becomes Pan-European
TELES just agreed with EUTELSAT on transponder contracts, which open up the pan-European dimension to its utmost successful skyDSL service. In Europe as such, the broadband Internet access via skyDSL will now become possible also on the British, Iberian and Apennine markets by means of currently two transponders via Eutelsat’s broadband satellite at 33° East, i.e. in England/Scotland/Ireland just as in Spain/Portugal and in Italy/Croatia/Slovenia – in addition to the Central European German- and French-speaking markets, for which the contracts foresee another two Telecom2D transponders. In the immediate vincinity of Europe, the skyDSL service will become available, at the same time, also on the markets of Northwest Africa and of the Near/Middle East. Over all: Within the “foot prints” of the 5 skyDSL transponders, i.e. in the “skyDSL service region”, the total number of users of satellite-TV now lies above 50 millions and that of its inhabitants exceeds by far 300 millions.
Alone in the British skyDSL markets opened up by these contracts, there are presently about 7 millions satellite-TV customers, the TV-dishes of which point next to the 33° East position – with more than one million such satellite-TV users additionally joining this community every year. All these TV-customers will be able to enjoy the broadband Internet via the skyDSL service by their satellite-TV dishes, just by replacing their LNBs, at the worst.
TELES will now immediately launch the aggressive marketing of its skyDSL service – as promised for a long time already, i.e. with a planned 2 years marketing budget of at least 25 Mio€ and in the whole skyDSL service region. Several national sales partners have indicated their great interest in cooperation and issue excellent acceptance prognoses for the skyDSL-Service in their regions.
This steep increase in skyDSL marketing activities can no more significantly affect the TELES 2004 business results. But in 2005 and 2006, they should generate more than 15.000 skyDSL users per transponder – the today’s 5 and others to come – and therefore lead to rapidly growing Revenues from this promising pan-European skyDSL-market, although initially at possibly flat Earnings only, due to the high market opening expenses mentioned above. But from 2007 on, these rapidly increasing skyDSL Revenues are expected to generate a by far over proportional growth of skyDSL Earnings (see, probably from November 22nd 2004 on, the new Road Show Presentation on www.teles.de). The beautiful feedback from the current skyDSL service justifies these expectations.
Prof. Sigram Schindler, CEO