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Top: Ken Howard © BMP
Bottom: Darbe Rotach © BMP
A Publication of
Details on Page 12
At theaters around the world, the wildly popular Blue Man Group mixes
music, comedy, and multimedia theatrics to produce a unique form of
entertainment in its shows and concerts. In fact, a trademark of Blue
Man Group is its innovative use of cutting-edge technology and media to excite
audiences worldwide and deliver an experience like no other.
As a recent case in point, Blue Man Group is now employing a multi-channel
digital media system from Helius, a Hughes company, to communicate with its
audiences. Initially Blue Man Group had used the Helius system in its Las Vegas
theater’s Green Room, a staging area for performers, to communicate upcoming
events and up-to-the-minute information to employees. But after seeing its
SUMMER 2009
PAGE
1
s
Digital
Communications
Out of the Blue
s
Executive Corner
2
s
Digital
Communications
Out of the Blue
Cont.
s
Hughes Financial
Corner
3
s
The HUG: Hughes
Customers Forge
Relationships and
Drive Innovation
4
s
Broadband In
Rural Spain
5
s
Broadband
Harmony at
Harmony Ridge
6
s
The Customer Is
Our Business
8
s
Cotton Gins &
Broadband
9
s
AWARDS: Hughes
Award-winning
Learning Solutions
Go the Distance
s
100 Gbps Satellite
Coming in 2012
10
s
Hughes Highlights
Emergency and
Military Response
Capabilities via
SPACEWAY 3
s
Hughes Teams
Tend Vietnam
Veterans
Memorial
11
s
Executive Corner
Cont.
12
s
Hughes
QuickTakes
Executive Corner
The Amazing Chip
By John Corrigan,
Senior Vice President of Mobile
Satellite Engineering
At Hughes,
not only are
we the world’s
leading provider
of broadband
satellite
solutions and
services, but we
also design the key components
and systems that make these
possible. Few pieces of technology
are as critical to our success as
the integrated circuit, or “chip.”
This tiny, complex device sits
inside every one of our products
and makes it do what it does.
It’s amazing to realize that when
we develop our own custom
integrated circuits, we’re packing
literally hundreds of person-years
of technology and market know-
how into something smaller than
a postage stamp and costing just
a few dollars or less. This ability to
create devices with ever-greater
functionality and lower cost, that
are ever smaller and consume less
power, is what ultimately gives us
our competitive advantage in the
marketplace.
System on Chip
Ten years ago, we developed
our first System-on-Chip (SoC),
nicknamed Gemini, for the
mobile satellite phone market. By
incorporating all of the required
processors, memory, and logic
circuits into a single mass-
produced device, this custom
continued on page 11
continued on page 2
Blue
Out of the
Digital Communications
2Channels / Summer 2009 / www.hughes.com
Published quarterly by Hughes Corporate
Communications Department
Eric Gann, Editor
Channels is also online at www.hughes.
com. Click on the Channels Newsletter
icon.
Correspondence is invited and should be
directed to:
Arunas Slekys, Vice President,
Corporate Marketing
Email: arunas.slekys@hughes.com
Telephone: (301) 428-5502
Fax: (301) 601-4107
Hughes Network Systems, LLC
11717 Exploration Lane
Germantown, MD 20876 USA
About Hughes
Hughes Network Systems, LLC (HUGHES)
is the global leader in providing broadband
satellite networks and services for large
enterprises, governments, small businesses,
and consumers. HughesNet® encompasses
all broadband solutions and managed
services from Hughes, bridging the best of
satellite and terrestrial technologies. Its
broadband satellite products are based on
global standards approved by the TIA, ETSI
and ITU standards organizations, including
IPoS/DVB-S2, RSM-A and GMR-1. To
date, Hughes has shipped more than 1.9
million systems to customers in over 100
countries.
Headquartered outside Washington, D.C.,
in Germantown, Maryland, USA, Hughes
maintains sales and support offices
worldwide. Hughes is a wholly owned
subsidiary of Hughes Communications,
Inc. (NASDAQ: HUGH). For additional
information, please visit www.hughes.com.
Special thanks to our contributors:
Steve Arnold, Kathy Bell, Mary Belt,
Judy Blake, John Corrigan, Deepak Dutt,
Ann Edgeington, Ryan Ewer, Allen McCabe,
Stefanie Freund, Eric Gann, Dilbag Johal,
Deanna Matsumoto, Rob Shultz, and
Arunas Slekys.
© 2009 Hughes Network Systems, LLC.
All rights reserved. Hughes, HughesNet,
Helius, and SPACEWAY are trademarks
of Hughes Network Systems, LLC. Other
trademarks are the property of their
respective owners.
Snapshot of Second Quarter Financial Results
Revenue of $256 million compared to $266
million in the second quarter of 2008; 1%
decline on a constant dollar basis.
Record second quarter adjusted EBITDA of $40.4
million, an increase of 8% over the second
quarter of 2008.
Consumer business continued impressive
growth with new highs, including record second
quarter subscriber gross adds of approximately
50,000, an increase of 35% over the second
quarter of 2008, and subscriber net adds of
18,000 for growth of 103% over the second
quarter of 2008.
New orders of $326 million, an increase of 50%
over the first quarter of 2009, with major orders
from BP, GTech, Barrett Xplore, Conoco Phillips,
National Cinemedia, Siemens, Telemar and
Telefonica Brazil, Camelot, SCT Mexico, Bank of
India, Terrestar, SkyTerra, and Harris Corp.
Net loss of $47.7 million due primarily to
certain impairment losses, including a $44
million one-time charge as a result of Chapter 11
filing by Boeing’s Sea Launch.
Snapshot of Financial Results for Six Months
Ending June 30, 2009
Revenue of $496 million compared to $503
million in the six-month period ending June
2008, which corresponds to 2% growth on a
constant dollar basis.
Services revenue up 13% over the six-month
period ending June 2008, 17% on a constant
dollar basis.
Adjusted EBITDA of $73 million for a growth of
9% over the six-month period ending June 30,
2008.
Total subscribers of 473,000 on June 30, 2009
reflecting a growth of 15% over the subscriber
count at June 30, 2008.
Strong non-consumer backlog of $879 million
on June 30, 2009, an increase of 9% over the
backlog at March 31, 2009.
Hughes Financial Corner
Ticker: HUGH (NASDAQ)
Hughes Communications, Inc. announced strong second quarter growth in North
America and International Services, and record second quarter adjusted EBITA.
For up-to-date news, financial information, audios, and videos, visit www.hughes.com/investor.
Digital Communications
Out of the Blue
continued from page 1
effectiveness for internal
communications, Blue Man Group
realized that the system would
also be an excellent method to
communicate with customers
about special events, important
information, and special offers
related to the show. So the group
added customer-facing digital
signage in the main lobby of the
theater to announce meet-and-
greets with performers, showcase
footage from the show, and
alert customers about filming or
photographing during a particular
show.
“We have been very satisfied
with the Helius experience,” said
Chris Nelson, managing director,
Blue Man Group Las Vegas. “The
Helius system has been integral
to easy communications with our
employees and customers, and
it allows us to provide the most
up-to-date information about the
show.”
The Helius MediaSignage
platform provides the hardware
and software for companies
to easily meet their corporate
communications and digital
signage needs. From the ability
to create and manage playlists,
to specific scheduling of video
and data content on individual
screens, Helius provides the tools
to effectively communicate with
employees and customers through
compelling visual displays.
According to Jeff Crapo, senior
vice president of marketing and
business development for Helius,
“Helius technology opens the
doors to presenting the right
message, to the right audience,
at the right time.”
The right timing—now that’s’s
something the outrageously
talented Blue Men know a thing
or two about.
3
Hughes Customers Forge Relationships
and Drive Innovation
The HUG:
The annual meeting of the Hughes Users
Group, affectionately known as the
HUG, is always a lively one, and the
scene at HUG 2009 just outside Las Vegas in
May was no exception. The HUG is all about
leveraging customer knowledge, ideas, and
experience to help Hughes better meet their
needs and in turn to help customers get the
most out of Hughes products and services.
Among many stimulating topics and activities,
this year’s meeting included a tour of the
Hughes Las Vegas network operations center
and presentations on distance learning and
the customer gateway. A special highlight was
learning how America’s Emergency Network
uses the advanced capabilities of Hughes’
SPACEWAY® 3 satellite system, including
bandwidth on demand.
But, as in prior years,
the real heart of
the HUG lies in the
roundtable sessions
where members
discuss common issues
and successes.
Building Partnerships
According to Tom Peake, president of HUG and
director of Data Center Services for American
General Finance, “The partnerships that we
build with the other attendees who come
year after year are invaluable. We often share
mutual problems and we’re able to trade
insights back and forth as to how we fixed
particular problems.”
Ian Hyatt, senior director for the National
Response Centers of GTECH Corporation
agreed, “One of the most beneficial aspects of
the HUG is resolving issues before they become
issues. We talk to companies that are facing
challenges we’ve not yet experienced, and we
can make adjustments to the way we operate
to ensure we don’t trip over the obstacles that
others have found for us.”
Solving Issues and Driving Innovation
An integral part of the annual HUG meeting
is the “issues list,” a report of common issues
coupled with the
direction that the
team recommends
Hughes takes
during the coming
year. The list may
include topics such
as installation and
maintenance, operations support, and
engineering. The Hughes team takes that list
back to the office and the lab, addresses each
topic, and communicates updates and activities
to all members.
“The bottom line is that the Hughes executive
team really listens to what customers have
to say and acts on it,” said Hyatt. “The theme
of HUG is Talk, Listen, Learn, and all three
are right on the money. There are no barriers
to communication with Hughes executives,
and it’s a great way to stay abreast of what’s
happening in the industry.”
Not Yet a Member?
Being active in the HUG is the best way for
enterprises to exchange information, prepare
for network upgrades, and explore service
expansion.
“For any customer who has not attended this
event, I would strongly recommend that they
attend to stay in touch—not only with Hughes,
but with other customers,” urged Hyatt. Added
Peake, “The more participants we have, the
more issues are raised, the more relationships
are bonded, and that benefits the entire group.”
The next HUG meeting is scheduled for April
25-28, 2010 in Tampa, Florida. For more
information about participating in the HUG,
contact your Hughes program manager.
“The bottom line is that the Hughes
executive team really listens to what
customers have
to say and acts
on it.”
–Ian Hyatt
GTECH
Channels / Summer 2009 / www.hughes.com
In rural Spain, as in many rural locations around the world,
provisioning broadband service is not economically feasible using
terrestrial technologies such as cable or DSL. But now, thanks
to Telefonica España and Hughes Europe, people living and working
in rural and remote areas of the country can access broadband
communications for the first time.
In a project completed earlier this summer, Hughes Europe implemented
the rollout of a high-quality HN System solution for Telefonica España
to deliver satellite-based VoIP (voice over IP) rural telecommunications
services, successfully meeting very tight deadlines imposed by the Spanish
authorities. This rural network installation by Hughes is just the latest
project in a longtime relationship working with the Spanish telecom giant.
The new network comprises more than 8,000 terminals for residential,
small/medium enterprise, and local government customers. Based on the
proven, highly successful HN System platform, it incorporates dedicated
VoIP equipment, including IP gateways and voice servers, and shares
resources with other Hughes satellite-based networks. For Telefonica, the
Hughes solution offers the ideal combination of cost-effective equipment
performance, lower operational cost, and comprehensive ongoing support.
SPAIN
Broadband in Rural
“The rapid implementa-
tion of our HN satellite-
based network enables
Telefonica to provide
a high-quality and cost-effective communications service to meet its
Universal Service Obligation under Spanish law,” said Christopher Britton,
managing director of Hughes Europe.
The new communications services are made possible through the installa-
tion of a switching center that interconnects the rural satellite VoIP net-
work to the national Spanish telephony network. Telefonica’s new offering
serves both new and existing customers, the latter migrating from the
existing TRAC network (Telefonia Rural de Acceso Celular—Rural Telephony
with Cellular Access) to the satellite-based VoIP network.
“Our relationship with Telefonica reflects a broader total commitment
to our customers, solving often-complex technical problems in providing
tailored solutions that are both proven and cost-effective,” added Britton.
Now, even in rural and remote mountain areas of Spain, customers can
rely on service from Telefonica España to enrich their lives with all the
benefits of broadband, including high-speed Internet access, voice/fax
services, and emergency communications.
4Channels / Summer 2009 / www.hughes.com
5
Channels / Summer 2009 / www.hughes.com
Broadband Harmony at
Harmony Ridge Farms
B
ack in 1999, when they were
introduced to alpacas at the Ohio
State Fair, Jeff and Marie Bradford
never dreamed that the South
American-bred animals would one day become
their livelihood.
Fast forward to today. On a 200-acre property
set among the rolling hills of Southern Ohio,
Harmony Ridge Farms is home to both the
Bradfords and more than 40 alpacas. The
couple raises the alpacas, enters them into
competitions, and sells both the animals and
their fleece. Fibers from the Bradford’s alpacas
end up in many finished products such as
blankets, mattresses—and even as a lining
for the ultimate blue jeans.
A Growing Business
The Bradfords rely on the Internet for virtually
every aspect of their business: managing
livestock purchases, registering for shows,
organizing deliveries, and handling countless
other business tasks. However, according to
Marie, “The hilly, rural setting is perfect for the
animals, but not so good for Internet access.”
Since Harmony Ridge Farms is located beyond
the reach of cable or DSL, the Bradfords
thought that dial-up was their only option for
Internet access. But the clunky dial-up service
quickly presented challenges.
So when the couple learned
about HughesNet® Business
Internet service by satellite,
they decided to give it a try.
HughesNet offers a full suite
of services designed to help
businesses like Harmony
Ridge Farms thrive. The
seven HughesNet Business
Internet plans can also
be customized to include
private networks and backup solutions, and
offer download speeds up to 5 Mbps—the
fastest satellite Internet access available in
North America.
“Set-up was easy,” said Jeff. “The installers
were done within an hour.” Their new
HughesNet service quickly enabled the couple
to streamline communications with customers
and suppliers, build a dynamic Web site, and
create a presence at online livestock auctions.
As their business needs evolved, the
Bradfords began to rely more and more on
high-bandwidth applications, such as using
streaming video to monitor online auctions.
And as Harmony Ridge began to attract more
interest through its Web site, the couple
realized they needed higher speeds to expand
their online capabilities. “Changing plans just
took one phone call to Hughes and the next
day we had faster speeds than ever before,”
said Jeff.
In February 2009, after a blustery ice storm
knocked out power and phone lines, the
Bradfords’ HughesNet service came back
quickly, and they were able to let family,
friends, and business contacts know that all
was well. It was seven days before the phone
lines were back, but they were able to use their
HughesNet service to continue operations.
“If you’re trying to run on dial-up,
you’re back in the dark ages. You
need to get HughesNet and you need
to get started now.”
– Jeff Bradford
Reliable Connectivity Makes All the Difference
“Running a business from a rural community is
really tough, but over the past few years we’ve
realized that a good Internet connection can
make it a whole lot easier,” added Jeff. “We’re
constantly reaching out to potential customers
through email and inviting people to visit, so
it’s really necessary that we have a reliable,
high-quality connection. We’re glad we’ve
found that with Hughes.”
Jeff’s advice for other small businesses? “If
you’re trying to run on dial-up, you’re back in
the dark ages. You need to get HughesNet and
you need to get started now.”
Today, knowing that their HughesNet service is
reliably taking care of their business Internet
needs, the Bradfords are busy tending the
farm—adding alpacas to their herd, attending
competitions—and setting their sights on
winning a few blue ribbons.
H
ughesNet® customers enjoy the richness of a high-capacity,
high-quality broadband service with the fastest Internet
speeds available by satellite. And when an occasional blip in
service occurs, help is just a phone call away—or an email, a fax, or
even an online chat.
“We’re focused on delivering top-quality customer service designed to
meet a wide range of customer requests on a consistent basis,” said
Deanna Matsumoto, vice president of customer service for HughesNet
North America consumer and small/medium business customers.
Service with a Smile
More than 750 customer service representatives operating from centers
in the U.S., India, and the Philippines serve HughesNet North America
customers around the clock, handling a variety of inquiries that range
from questions about a bill to reporting an interruption in service.
Representatives use multiple tools to resolve problems, escalating calls to
a higher support tier if additional help or specialized services are required.
Customer
Business
Is Our
The
A Sneak Peek at
the State-of-the-art
Customer Service
Supporting HughesNet
North America
Consumer and
Small to Medium
Business Customers
6Channels / Summer 2009 / www.hughes.com
Representatives
stay in touch with the
customer until each problem is resolved. When
appropriate, customers are notified of events through an interactive voice
response (IVR) system and the Hughes Customer Care Web site. Using call-
back and auto-dialing services, agents acknowledge customer calls and keep
customers advised of ongoing work on any outstanding issues.
Intelligent Interactive Voice Response
Hughes is continuously looking at ways to improve processes to make it
easier for customers to do business with the company. For example, the
sophisticated IVR hosted by Hughes has embedded intelligence coupled with
key self-service functions. When a customer chooses the technical support
option, the system automatically performs service diagnostic routines and
provides the customer and the agent with key information regarding the
health and warranty status of the customer’s service. At any point during
the call, the customer can opt to speak with a fully trained, live service
representative.
A Change of Pace
But not all calls in Hughes call centers are inbound. In its goal to create a
positive experience from the very beginning, the company places welcome
calls to new customers, providing helpful information such as the top three
reasons most new customers contact customer service.
The Hughes customer service operation also reaches out
to customers with its TACT (Thank the Customer Today)
program. Representatives periodically call hundreds of
customers selected at random to simply thank them for their
business. No sales pitch—just a thank you.
Hughes takes customer satisfaction very seriously. Perhaps
that’s why the customer service organization holds a low five-
percent abandon rate, which refers to the percentage of callers
that hang up before a call is completed. And according to
customer ratings from post-call surveys, customer satisfaction
percentages are continually improving.
Customer Advocacy
“We’re the advocate and the voice for our customers throughout the
company,” said Matsumoto. Through the Hughes Customer Advocate
Program, a selected group of customers tests new services and features,
providing valuable information and feedback before the services are
released—further building customer satisfaction.
“The customer is the lifeblood of our business,” added Matsumoto. “Without
the customer we don’t have a business, so it’s vital that we work proactively
to prevent problems and effectively address any issues that arise.”
That’s why for the more than 750 representatives supporting North
America’s HughesNet consumer and small/medium business customers,
business is truly all about top-quality service.
7
Channels / Summer 2009 / www.hughes.com
&
Cotton Gins
Broadband
T
here are few things softer than a
fluffy, all-cotton towel or shirt. But
it takes a long journey to get the
cotton from the farmer’s fields all
the way to a manufacturer’s finished prod-
uct. An important stop along the way is the
ginning process, which involves taking seeds
and trash out of the cotton, baling it, and
sending it to a mill. The bales then become
a commodity regulated by the United States
Department of Agriculture (USDA).
Producers Gin Company based in Theodore,
Alabama relies on the Internet to transmit
official electronic warehouse receipts to the
USDA. Since the company is located in a
rural part of the state without access to DSL
or cable, Producers Gin initially settled for a
dial-up Internet connection to transmit the
receipts. But doing business over a phone line
with speeds of only about 12 kbps
simply didn’t work.
According to office
manager Georgi
Starr, “On dial-up,
it would take
us three days
to transmit a
receipt, and the
file transfer would
usually end up timing
out. So not only did we tie up
our phone line, but we
risked getting written
up and fined by the
USDA if we couldn’t
transmit properly.”
Then, in the aftermath of
Hurricane Katrina, things
got worse. “To get work
done, I actually had to put
everything on a disk and drive
to the house of a friend who had DSL,” added
Starr. “And we were still issued a warning by
the USDA because of late transmissions. That’s
when I knew we needed a change.”
Streamlining Business Operations
So Producers Gin decided to upgrade to
HughesNet® Business Internet service by
satellite to ensure that its growing
business would have consistent,
high-quality connectivity and
enterprise-grade equipment.
With HughesNet’s high
speed and always-on
connectivity, Starr can
now process an electronic
warehouse receipt in three
seconds instead of three days.
“We’re thrilled at the speed
of our HughesNet service.
It’s wonderful,”
said Starr. “Since
demand for our
services has gone
up, HughesNet has
been a big help. We
haven’t had any problems
with outages or slow
connectivity and have actually
seen our business operations
streamlined because of the
satellite service.”
In addition to processing electronic warehouse
receipts, the company is using its HughesNet
Business Internet service for a myriad of busi-
ness tasks, including email, file backups, and
purchasing.
“Without HughesNet satellite broadband, we
simply wouldn’t be in business,” said Starr.
But with its reliable HughesNet broadband
service, Producers Gin can handle more ship-
ping orders, create and transfer more receipts,
and download more software updates than
ever before. In fact, the company is processing
more than 30,000 bales per year, drawing in
freshly picked cotton from farms as far away
as 150 miles.
And that means more soft cotton towels and
shirts for the rest of us.
8Channels / Summer 2009 / www.hughes.com
100 Gbps Satellite Coming in
So what’s next for Hughes after the
successful launch of its HughesNet®
broadband service on the
groundbreaking SPACEWAY® 3 satellite? It
should be no surprise that the market leader
is once again poised to push the high-tech
envelope.
The company recently announced plans to
launch a next-generation, high-throughput
satellite in the first quarter of 2012 to
expand its rapidly growing HughesNet
service across North America. Employing
a multi-spot beam, bent pipe Ka-band
architecture, the new geostationary satellite
will deliver over 100 Gbps throughput
and use an enhanced version of the IPoS
(Internet Protocol over Satellite) standard—
the world’s leading broadband satellite
standard.
Space Systems/Loral has been selected to
manufacture the new Hughes satellite,
based on its SSL 1300 platform, which
has proven flexibility for a broad range of
applications and is expected to provide
service for 15 years or more. The new
satellite’s capabilities will augment the
successful SPACEWAY 3 satellite system,
the world’s first with onboard switching
and routing—bringing a wealth of high-
performance, value-added services
to Hughes consumer, enterprise, and
government customers.
Education has long been recognized as
the door to opportunity. And distance
learning solutions from Hughes are
now opening ever-greater opportunities
for businesses, non-profit organizations,
educational organizations, and governments
to reach out with effective, online training
for employees and customers alike. Here are
some of the latest awards garnered by Hughes
for contributions to distance education from
around the world.
Business
Helius, a Hughes company, and JCPenney were
the recipients of the 2009 Learning Impact
Best Corporate Training Solution Award
from the IMS Global Learning Consortium for
use of educational technology in a business
environment. Using the Helius MediaClassroom
system, JCPenney broadcasts both live and
Hughes Award-winning Learning
Solutions Go the Distance
9
Channels / Summer 2009 / www.hughes.com
on-demand training via satellite to associates
in all store locations, saving over $20 million
in related training costs. The IMS Learning
Impact Awards recognize the use of technology
to improve learning across all educational
segments and in all regions of the world.
Non-Prot
The 2009 IMS Best Association Training
Technology Award was bestowed on Helius
and the Canadian Centre for Ethics in Sport
(CCES) for use of technology in a non-profit
organization. Using the Helius Portal e-Learning
system, CCES now creates, deploys, and tracks
Web-based anti-doping training for more than
20,000 athletes across Canada who compete
in Canadian Interuniversity Sport, Canadian
Colleges Athletic Association, Football Canada,
Canadian Hockey League, as well as other
organizations.
Education
Hughes do Brasil, received an IMS Gold
Learning Impact Award for its distance
learning solution provided to the Education and
Quality of Teaching Department of the State of
Amazonas (SEDUC-AM). In addition, the project
was named Best in Category: Student Success
Solution.
Government
Helius was also named a recipient of the
Federal Government Distance Learning
Association’s (FGDLA) Innovation Award
for the development of emerging distance
learning technologies that support the
Government Alliance for Training & Education
by Satellite (GATES) Summit and other distance
learning activities benefiting the U.S. federal
government.
And, as if all that weren’t enough, the Law
Enforcement Information Management
Section (LEIM) of the International Association
of Chiefs of Police recognized Helius for its
contributions to law enforcement at the 33rd
Annual LEIM Section Annual Conference
and Training Exposition. Helius digital
communication solutions have been deployed
at law enforcement agencies across the U.S.
to improve training, internal communications,
public relations, and ultimately, officer safety.
The largest is for the Los Angeles County
Sheriff’s department, serving over 18,000
deputies and staff.
An emergency can strike
in seconds. When
it does, immediate
broadband access is one of the
keys to getting help where it’s
needed—fast.
During the Coalition Warrior Interoperability Demonstration held in
June, Hughes demonstrated its capabilities for rapid deployment of
satellite-based broadband for disaster and emergency response. The
annual event focuses on criteria defined by combatant commanders and
government agencies, simulating real-time events and putting lifesaving
information-sharing technologies to the test.
“SPACEWAY® 3 offers a unique, alternate-path networking solution for
U.S. military and government agencies to stay connected when disaster
strikes, avoiding the vulnerabilities of terrestrial networks, including the
Internet,” said Rick Lober, vice president and general manager, Defense
and Intelligence Systems Division, Hughes.
Launched into commercial service over North America by Hughes in
April 2008, SPACEWAY 3 is the world’s first satellite system with on-
board switching and routing, making it ideal to rapidly internetwork
any number of sites among military and/or federal, state, and local
government agencies. At 10 Gbps throughput, it is the highest capacity
satellite in commercial service and employs numerous advances such
as onboard packet switching, reusable Ka-band spot beams and a mesh
array antenna, enabling the cost-effective delivery of high-quality
broadband services across the continent.
Hughes Highlights
Emergency and Military Response
Capabilities via SPACEWAY 3
Advanced Broadband Satellite Services Demonstrated during
Coalition Warrior Interoperability Demonstration
10 Channels / Summer 2009 / www.hughes.com
Eight teams of Hughes employees, families, and friends have spent
some of their summer Saturdays over the past three years providing
a very special type of community service. The volunteer teams, usually
15 to 20 people at a time, gather in Washington, D.C. to quietly wash,
with soap and water, the Vietnam Veterans Memorial—known by many as
simply “The Wall.” The volunteers also clean the statues associated with
the memorial and clear the area of trash and debris. Part of a dedicated
volunteer effort under the guidance of the National Park Service, the
Hughes employees performed this service on four Saturdays in 2009.
“It’s been an honor to be a regular volunteer at the Vietnam Veterans
Memorial,” said Allen McCabe, assistant vice president of Consumer Sales
with Hughes. “It’s much more than just cleaning the memorial to remove
bird droppings and sunscreen. It’s also a way for people to remember the
ultimate sacrifice paid by over 58,000 young men and women. Most of
us grew up during that time period, and we try to give something back
Hughes Teams Tend Vietnam Veterans Memorial
to those heroes. We’ll be working on the 2010 schedule later this year
and I invite any Hughes employees interested in participating in a ‘Wall
Washing’ next year to contact me at allen.mccabe@hughes.com.”
Executive Corner
continued from page 1
Chip shown at actual size
11
Channels / Summer 2009 / www.hughes.com
The Hughes Market Advantage
What’s truly amazing about chips is that every year we make them more
complex, increasing the functionality and performance of our products—
yet without increasing their price or size. Now that’s a sustaining market
advantage. And it’s what makes every day in the life of our engineers so
challenging and rewarding.
SoC enabled a dramatic improvement in the performance and portability
of our first mobile satellite handset. Fast forward to today’s latest
Oberon chip, which will enable a new generation of satellite-enabled
smart phones, and the improvements have been dramatic. As shown in
the table at right, the new chip yields more than seven times greater
complexity at 20 percent of the power and four percent of the cost,
with 28 times greater MIPS (millions of instructions per second) per
watt of power.
This integrated capability to develop SoCs, making use of both our
satellite systems know-how and our advanced chip design skills, is one of
our core strengths. At Hughes, we don’t just build chips—we build systems
on chips that enable broadband communications around the globe.
The Right Chip for the Job
At the heart of every Hughes product line lies a custom chip. So how
do we know which chip to build? Each of our product lines is organized
around one of the satellite industry’s air interface standards such as
IPoS, RSM, and GMR1, approved by the world’s standards bodies—and
based on significant contributions by Hughes. Each of these air interface
standards has a unique custom chip that is engineered to perform the
functions of that standard. The same chip can then be used across a
range of terminals and models and will ensure compliance with the
standard. For example, there is one set of chips for IPoS-based interfaces
and a different set for mesh-type air interfaces such as those used
with terminals powered by the SPACEWAY 3 satellite. A third type is a
low-powered chip that we are developing for use in a battery-operated
mobile satellite handset.
The Mobile Satellite Market
Speaking of mobile satellite networks, Hughes has developed custom
components, systems, and terminals for the world’s leading mobilesat
service providers. For example, since 2001 we’ve worked with Thuraya
developing voice and data systems and handhelds, and this year
developed a new packet data system and gateway.
Similarly, we’re developing custom chip sets for
TerreStar Networks and SkyTerra, both setting
up mobile satellite services in the U.S., and for
GlobalStar, a worldwide low earth orbit
(LEO) satellite operator.
On another project, we’re working with
Germany-based Infineon to develop an
exciting software-defined radio (SDR) chip
for use in dual-mode smart phones for
TerreStar Networks and SkyTerra. This state-
of-the-art chip will be programmable with
highly efficient signal processing structures
that can handle both cellular technologies
(2G, 3G, and 4G) as well as GMR1-3G satellite
standards. Such flexibility is unprecedented in a
handheld-size smart phone and we expect it to
result in a strong competitive advantage.
1999
Gemini
chip
2009
Oberon
chip
Improvement
factor
Complexity
(Million gates equivalent) 2.4 16.9
Power consumption
(Watts) 2.5 0.5
Computing power
(MIPS - Million Instructions
per second)
54 300
Manufacturing cost 1.00 0.23
MIPS per watt 22 600 28x
What a Difference a Decade Makes
n Russian Teams Compete for VSAT
Installation Championship
Fourteen teams took part in the second
all-Russian, high-speed VSAT Installation
Championship at the Bear Lakes Satellite
Communication Center near Moscow in June.
Among the participants and guests were
leading Russian VSAT service providers Global
Teleport/Synterra, Settelecom/Altegrosky, KB
Iskra, Amtel-Sviaz, Orange System, and IP Net,
which together represent more than 67 percent
of the Russian VSAT market.
This year’s top speed for a VSAT installation
was clocked in at 8 minutes, 50 seconds by
Alexey Konov and Ruslan Sidorin of the Blue
Rays team from Amtel-Sviaz, Moscow—less
than half of the 2008 record of 19 minutes.
The grand prize, a Hughes HN7000S router
along with a broadband Internet service
subscription from Altegrosky, was awarded for
the first place in all-round competition to
Anatoly Ayurov and Pavel Zagalo of the
Uragsha team from Ulan-Ude. Congratulations
to all!
n Encore Networks and Hughes
Team Up to Provide Utilities Solutions
Hughes has added Encore Networks as a
Technology Partner in the Hughes Broadband
Alliance Program, and certified Encore’s
complete line of rugged and commercial-
grade BANDIT™ satellite routers for use with
the Hughes suite of utility solutions. By
using Encore’s serial protocol to IP support
capabilities, Hughes can provide secure,
high-performance, end-to-end satellite
connections for legacy SCADA networks, thus
meeting mandated industry requirements.
Hughes Utility Solutions are designed
to provide utilities cost-effective, secure
broadband services wherever they need it,
with nearly 100 percent network uptime
achievable through path-diverse backup of
their primary network. Whether migrating
to standards-based IP from legacy serial
applications, or implementing SCADA or VPN
applications, Encore’s technology is a natural
complement to the Hughes Utility Solutions
offering.
n Hughes Signs Home Automation
Firm as HughesNet Sales Agent
Hughes recently signed a sales agent
agreement with Control4, a Salt Lake City, Utah
home automation company, authorizing its
network of over 1,400 dealers in the U.S. and
Canada to sell HughesNet satellite broadband
Internet service. Consumers who are interested
in automating their homes are often unable to
do so because their homes are located in areas
without DSL or cable broadband service.
Available across North America, HughesNet
satellite broadband Internet service is an
ideal solution, requiring only a clear view of
the southern sky. As HughesNet sales agents,
Control4 dealers are now in an excellent
position to create a new revenue stream
by reaching a large base of consumers who
cannot access broadband through landline
services.
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