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VOOM Satellite Service to Increase Channel Capacity in 2005; Cablevision Orders 5 Satellites Worth $740 Million from Lockheed

 
Cablevision headquarters at Bethpage, New York. (Cablevision photo)

BETHPAGE, N.Y., Nov. 23/Satnews Daily/ Rainbow Media Enterprises, a subsidiary of Cablevision Systems Corp. (NYSE:CVC), said its year-old VOOM satellite service will dramatically expand in March next year from its current 39 to more than 70 high-definition channels covering the full continental U.S.

 

Tom Dolan, CEO of Rainbow Media, said the plan is to simultaneously add nearly 200 standard definition channels. To facilitate the expansion, the VOOM service will utilize 16 transponders on the SES Americom AMC-6 satellite, which VOOM refers to as "Rainbow 2," previously leased from SES Americom, a SES Global company.

 

Dolan explained that all the programming transmitted by both Rainbow 1 and Rainbow 2 will utilize a new encoding system from Harmonic, initially configured to run in MPEG-2 and software upgradeable to MPEG-4.

 

This is a step forward in our plans to advance VOOM to MPEG-4 later in 2005, Dolan said. “All VOOM customers have been provided with set-top boxes capable of receiving the MPEG-4 signal and we remain committed to offering more than 400 full continental US channels before the end of 2005," he added.

 

Rainbow Media also disclosed that it filed with the Federal Communications Commission a recently completed contract with Lockheed Martin for the construction of five Ka-band satellites for VOOM. These high power satellites, the first of which is to be completed and launched in approximately 34 months, will enable VOOM to increase its channel capacity to more than 5,000 high definition channels when operating in spot beam mode. Subsequent satellites will be completed in three-month increments, according to Lockheed.

 

This will enable VOOM to have spot beams covering the entire United States including Alaska and Hawaii. With these satellites, VOOM will be operating with virtually no capacity constraints. These satellites will be operated at the company's orbital locations at 62W, 71W, 77W, 119W and 129W.

 

Rainbow Media said the deal, worth about $740 million, underscores Cablevision's determination to push ahead with the Voom service in spite of continuing doubts on its costs and future viability.

 

The work will be overseen by Jefferson County-based Lockheed Martin Space Systems Co. The satellites will be designed and developed in Newtown, Pa., and final integration will be done in Sunnyvale, Calif. Lockheed will also will provide tracking, telemetry and control equipment, satellite equipment, software and training.

 

VOOM’ s 39 high-definition channels include ESPN HD, HBO HDTV, Cinemax HDTV and others.


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