Hannover Fairs Releases Future Industry Trends Survey of Satellite Executives at ISCe 2005

LONG BEACH, CA, June 13, 2005/Satnews Daily/ — Hannover Fairs USA, Inc. has announced the results of a satellite industry survey conducted at the International Satellite Communications conference and expo (ISCe 2005) that took place on May 31-June 2 at the Hyatt Regency in Long Beach, California.

The survey was conducted by Futron Corp., a technology management-consulting firm specializing in the space industry. The results were tabulated using written responses from conference attendees, composed primarily of VP-level and above executives from the world's leading satellite operators, manufacturers and service providers.

“ISCe provides the best opportunity for top executives and government leaders in the satellite communications industry to preview new technologies and opportunities,” said Joachim Schafer, president of Hannover Fairs USA. “It is important for decision-makers to frequently evaluate future industry trends in order to stay at the top of their respective industry segments.”

He added that the opinions they give about the future of the satellite communications industry provide important information that will contribute to the development of innovative products and opportunities in both commercial and government enterprise.

The survey focused on future business opportunities and trends, in the government and commercial satellite industry sectors. The findings:

·        22% reported that government agencies accounted for over three-quarters
of their new business in 2004; 44% reported that less than a quarter of their
business was from government agencies.

·        70% of respondents stated that, among government agencies, the DoD was
the primary source of their new business in 2004. A similar percentage are
targeting new products and services for the DoD over the next two to three
years. The Department of Homeland Security, Other Public Safety, and Other
Civil Government Agencies (e.g., State Department, Department of Agriculture) each represented only 10-15% of new business for 2004. However, each of these categories is being targeted with new products and services by almost 30% of respondents.

·        Respondents anticipate that over the next two to three years, the government will buy 25-30%% of its equipment as COTS or off the shelf, as opposed to specifying unique, customized products.

·        For both government and commercial markets, hardware represents the largest area of anticipated new product & service revenue for over 30% of ISCe respondents over the next two to three years. A slightly lesser percentage (25-30%) forecast their greatest area of new revenue to be new hybrid network services, with 20-25% indicating new revenue to be led by satellite capacity sales. New software products & services are anticipated to lead new revenues for less than 15% of respondents for both government and commercial markets.

·        Respondents anticipate that the area with the greatest new business will be in the areas of data/internet services and mobile services. The smallest percentage reported video distribution as their likely source of new revenues over the next two to three years.

In conclusion, respondents anticipate the key sectors for growth will be DoD and commercial mobile communications, hardware (including spacecraft), and hybrid networks.