OffComm News Winter 2013 by OffComm News

For buyers and suppliers of telecommunications destined for remote & harsh environments

Where Telecoms & Energy Connect

Winter 2013

Upgrading offshore TV? Don’t miss the How To feature from the experts page 30

INTERVIEW EXCLUSIVE Blake McLane, President, EMC Corp talks about acquisitions and emerging markets

The Investing in Growth Issue

CAPEX & OPEX of Welfare Networks

Nearing Nirvana

Get the Lowdown

The launch of HTS services » Europe identified as strategic marketplace » Huawei doubles investment in R&D » over the coming decade promises to provide 80billion ‘Things’ connected by 2020 » New figures show buoyant global demand something of a nirvana in for information and communication technology » Telcos must find ways to serve maritime comms. But that’s customer profitability » What the remote access market can learn from the hotel far from the whole story. sector » Opportunities for annual contracts worth $28.4 billion in Brazil »

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Welcome Even just since the last issue, the market has picked up and this edition’s focus is all about growth ~ be it investment, expansion or realising returns. TechNavio's analysts, for instance, forecast the global enterprise very small aperture terminal (VSAT) market to grow at a CAGR of 10.27% between 2012/2016. One of the key factors contributing to this market growth? ROI. This market has also been witnessing an increase in the adoption of routers that have both terrestrial and satellite capabilities. Still, the requirement for the high initial investment required could pose a challenge. However, a growing ‘I want it and I want it now’ attitude is pressing suppliers to deliver faster and further; those who can are likely to gain an edge over the competition. As always, we value your views and insight from the very heart of the remote comms sector. You can write to us at the email address below. In the meantime, enjoy this issue. Georgina Elrington Editor@OffCommNews.com

Inside this Issue The Quarterly Pages 4 & 5 Market Movement & New Build News Page 6 & 7 Inflight Connectivity News Page 8 Trend and Collaboration News Page 19 Diary Dates Page 27

In My Opinion

Forecast Looking good for Satellite M2M: Pg 33

Interview Exclusive OffComm News talks to EMC’s President, Blake McLane, about acquisitions and emerging markets. Page 23

RoI in CAPEX & OPEX Martin Jarrold, GVF chief international programme development, looks at the satcom oil & gas interface. Page 27

The Deadliest Catch

“Many organisations still view worker welfare networks as entirely a cost centre,” says Mike Hipkins of Pactel International Pty Ltd. Page 13

300 boats count on satellite dispatch radio in Northern Alaska for one of the most dangerous jobs in the world. Page 28

Floating Cities

HOW TO: Upgrade TV Systems Offshore

OffComm News caught up with Randolph Hencken, executive director of the Seasteading Institute, to find out what’s going on in the world of ocean living and where the opportunities lie for connectivity companies. Page 14

Up until around the mid 1990s if you worked in the offshore industry TV entertainment was limited to the recreation room and a library of well used VHS videos. What’s the story now? Page 30

Pactel Triumphs in Papua New Guinea

Nearing Nirvana

9,000 workers residing at an LNG plant in PNG needed fast internet connectivity for recreational purposes and reliable voice services to communicate with their families. Read how Rural Tech and Newtec rose to the challenge. Case Study. Page 17

Increases in bandwidth capability and available airtime suggest that the sector is encroaching some parity to terrestrial throughput rates. But that’s far from the whole picture, says Geoff Davison, product manager, maritime, Thuraya Telecommunications. Page 32

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The Quarterly Marketplace Roundup ...New builds... refurbishments... executive appointments... Stay up to date with the market on these pages in every issue...

Almost 1/5 Experience Continuous Satellite Interference According to a Carrier ID survey, carried out by Newtec and the Satellite Interference Reduction Group, 93% of respondents suffer from satellite interference at least once a year, with more than half suffering at least once a month and 17% continuously in their day to day operations.

Two New Offshore Support Vessels: Nigeria Pheranzy Offshore Ltd, Lagos, Nigeria, has signed contracts with Hongda Marine Company Ltd of Guangzhou, China, to build two 78M, FiFi class 1, DP2, and Offshore Support Vessel. Chris Ezeude, Chairman and CEO of Pheranzy Offshore Ltd said: “This is in line with the Nigerian government’s aspiration to have indigenous companies involved in the marine transportation sector of the oil and gas industry in Nigeria, thereby creating more jobs for Nigerians and exposing our people to the latest technologies in the maritime industry.” Construction for the 78m focal design will begin immediately with delivery for the first and second vessel expected in November 2014, and February 2015, respectively.

New Noise Reduction Hood Storacall TeleAcoustics has added the T600 telephone hood to its range of kiosks, booths, cabinets, and acoustic enclosures. The unit has been designed for use in industrial, and noisy environments or wherever privacy is required. www.teleacoustics.co.uk

Seeking Connectivity for Seastead The seasteading venture, Blueseed, is seeking cost effective, high speed internet for a proposed seastead. This is a ship-based technology start up incubator, located just outside of the 12 nautical mile territorial waters off of Silicon Valley, intended for foreign entrepreneurs who can't get visas to live and work in the US. See page 14 for more info.

SKY+ HD Box in Every Cabin During a refit of Stena’s Spey, in Rotterdam, Woodsons installed the full TV package from the stabilised antenna right down to the dual television outlets throughout the rig's accommodation. With a SKY+ HD box in every cabin and in recreational areas, crew can now access every channel available on the rig's SKY subscription.

Who’s Who News in Brief Mattias Isaksson has been appointed as head of marketing and communications for Tieto as of 1st October 2013. Isaksson will be located in the company’s Stockholm office. The Board of management for Royal Imtech has appointed André Meijer as managing director of Imtech Marine. In addition, Capt. Eric Clarke has joined lmtech Marine USA as managing director. He will be headquartered in Houston. Mario Azar has been awarded the post of CEO of Siemens business unit oil & gas solutions.

The Spey is a Friede & Goldman L907 twin pontoon, column stabilised self propelled, semi submersible offshore drilling unit.

This means that workers can watch or record movies, sports and entertainment in HD quality and are not restricted to channels chosen by the radio room. www.woodsons.co.uk

Broadband Extends to Indian Ocean Imtech Marine has upgraded and extended the coverage of its global VSAT network to the Indian Ocean, a busy area for the international maritime industry. www.imtech.com/en/marine

Pacific Radiance Selects ULSTEIN’s PSV Designs Singapore based Pacific Radiance Group has ordered two platform supply vessels for construction at a Chinese yard. With accommodations for 30 persons onboard, the vessels are estimated for delivery in Q2 and Q3 2015. The contract includes the design, engineering and equipment for both projects as well as options for a further two vessels.

TeliaSonera’s Jan Henrik Ahrnell has decided to step down from his post as general counsel. He will be succeeded by Jonas Bengtsson from Tele2 at the beginning of 2014 at the latest. Data Integration, the network and system integrator owned by Xchanging, has appointed Richard Pitt to the role of managing director. Thomas Van den Driessche has been appointed Newtec’s chief commercial officer. He will also remain responsible for the company’s marketing strategy. Intelsat S.A. has elected John W. Diercksen to serve on the board as an independent director. He will also serve on the audit committee. EM&I has strengthened its operations in Brazil by recruiting senior management and opening a new office in Rio de Janeiro, with another base planned for Vitoria in the near future. New to the team in Brazil is EM&I senior project manager André de Freitas, who will be based in the company's Macaé offices.

www.ulstein.com

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The Quarterly Marketplace Roundup KVH Taps More Capacity as Demand for Maritime Comms Increases

Ensco Takes Delivery of Most Capable Rig in Class The ENSCO 120, the first in a series of three ultra-premium, harsh environment jackup rigs for Keppel FELS, has been delivered. The rig is contracted to work for Nexen in the North Sea beginning Q4 2013. www.enscoplc.com

3rd Ensco Rig to Deliver 200 Total Personnel: Angola Ensco plc has taken delivery of the Ensco DS-7, an advanced, ultra-deepwater drillship. The vessel will embark from the Samsung Heavy Industries shipyard in South Korea to Angola, where it is contracted to Total for three years beginning in the fourth quarter 2013. NSCO DS-7 is the third Ensco rig contracted to Total and will be the fourth such rig working in West Africa. It is equipped with advanced technological drilling capabilities and accommodations for up to 200 persons.

Two Vessel Awards for AMRB subsidiary A subsidiary of Alam Maritim Resources Berhad has received two award letters from an established oil and gas company for one anchor handling tug and one straight supply vessel. www.alam-maritim.com.my

The next OffComm News Industry Directory will be published in January 2014. Basic listings are free and easy to add. See offcommnews.com/directory

©OffComm News ~ Winter 2013

SES and KVH Industries have signed an expanded capacity agreement to connect luxury, government and commercial ships across the Caribbean and beyond. Brent Bruun, executive vice president of KVH’s mobile broadband group told us: “Our miniVSAT broadband service is growing at a rate of 35% a year, reflecting our growing customer base and the increased emphasis being placed on improving ship crew welfare and operational efficiencies ranging from real-time data to better voyage planning and reduced emissions.” www.kvh.com

www.ses.com

O3b Enables Palau & Yap A major deal will provide O3b Networks’ high speed, low latency capacity to the Palau National Communications Corporation and the Federated States of Micronesia Telecommunications Corporation. With affordable bandwidth, both the commercial and private customers should benefit from much improved connectivity across both Palau and Yap. www.o3bnetworks.com

World First for 3G Over Satellite Following tests, Huawei, a global information and communications technology (ICT) solutions provider, and O3b Networks, have succeeded in enabling a world first in full 3G voice, data and video over satellite. Huawei will partner with O3b to establish MEO satellite backhaul for 2G/3G/4G (LTE) systems for Malaysian service provider Maju Nusa. O3b has a major long-term 3G capacity deal, awarded under the auspices of the Ministry of Communications, to provide 3G mobile broadband based on Huawei’s offering to rural communities in Malaysia.

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Who’s Who News in Brief John R. Kemp III will retire from Kosmos Energy’s Board of Directors. The company has initiated a search process to identify a new Chairman. E T L Sy s t e m s , a s a t e llit e communications specialist, has appointed Bill Pryle as international sales manager. Per Wullf will succeed Fredrik Halvorsen as chief executive officer at Seadrill. Halvorsen has decided to leave the company to join Ubon Partners, a technology venture. KVH Industries Inc welcomes Mark Guthrie as vice president, global mobile broadband sales to manage the development of the mini-VSAT broadband network related products and services. Comverse Inc reports that, Neil Montefiore, the recently retired CEO of StarHub Ltd, has been appointed to the company's Board of Directors. Todd N. Tipton has joined the Board of Directors at Rex Energy Corporation. Randy C. Roberts has joined Thuraya Telecommunications Company as vice president of innovation. Mr Furberg is to take over as CEO at Telenor. Other recently appointed members to the company’s Myanmar executive management team include: Tipayarat Kaewsringarm as chief people officer; Lars Erik Tellmann will be chief financial officer; Prathet Tankuranun to chief technology officer; Sharad Mehrotra as chief marketing officer; and Gunnar Bertelsen has been appointed the role of chief corporate affairs officer. All appointments are pending approval from the Myanmar government.

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Market Movement

Globalstar’s customers return as 2nd generation satellites enter full commercial service Completing the world's most modern satellite communications network, with all satellites in service, Globalstar has re-emerged as a formidable force in mobile satellite communications.

Duplex service has been fully restored and customers are returning rapidly, reports the company, which also highlighted that new voice and data subscribers had doubled in the second quarter and minutes of use increased by 41 percent.

In 2006, Globalstar took the initiative to design, build, and launch a modern satellite constellation. More than a billion US dollars later, the company’s new network supports its current lineup of voice, duplex and simplex data products and services, including SPOTbranded consumer products which have already initiated more than 2,500 rescues worldwide.

Globalstar says it is the only MSS provider using the patented Qualcomm -based CDMA technology, which provides crystal clear voice quality from anywhere within its global footprint. Calls occur with no noticeable time delays on a network that transmits even a whisper. The new satellites have a 15-year design life, doubling that of its earlier satellites.

Wasserstein & Co. to acquire Globecomm Systems for US$340m Globecomm Systems Inc, a communications solutions provider, announced that an affiliate of Wasserstein & Co. has entered into a definitive agreement to acquire the company for US$14.15 per share in cash. The transaction, valued at approximately US$340million, was unanimously approved by Globecomm’s Board of Directors and is expected to be completed in the fourth calendar quarter of 2013. “We believe that this transaction is in the best interest of our shareholders, customers, partners and employees.

“Wasserstein & Co. has a proven track record of helping companies build on their success,” said David Hershberg, Chairman & CEO, Globecomm. Anup Bagaria, co-managing partner of Wasserstein & Co said: “Globecomm is a leader in developing and managing complex communications solutions with a strong track record of growth and innovative engineering that leverages its global communications network. It has also made successful investments in new product development that we believe will drive future growth in both the company’s existing and new markets.” www.wasserco.com

“With the most modern network in place, Globalstar customers will be connected when it matters most, in emergencies, to continue business, or to connect with a loved one," said Jay Monroe, Chairman and CEO of Globalstar Inc. www.Globalstar.com www.FindMeSPOT.com

Big Data makes it into the dictionary after 30 years Definition: Big Data

n. Computing data of a very large size, typically to the extent that its manipulation and management present significant logistical challenges; (also) the branch of computing involving such data. Source: OED Online

©OffComm News ~ Winter 2013

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New Build News

Keppel Secures Two FPSO Contracts Worth S$190m

Craig Group Invests £70m in Six New Vessels

Keppel Shipyard Ltd has secured two Floating Production Storage and Offloading (FPSO) conversion contracts from repeat customers worth a combined value of S$190 million.

The family owned shipping and energy services firm, Craig Group, has invested £70m to build six new vessels at the Balenciaga Shipyard in Northern Spain. Four D class IMT 950 Emergency Response and Rescue Vessels (ERRVs) and two F class IMT 958 ERRVs will be delivered during 2014 and early 2016, replacing existing tonnage in the fleet. At present the fleet stands at 36 vessels and includes a mix of platform supply, tanker assist, ROV support, as well as emergency response and rescue vessels.

Michael Chia, managing director of Marine & Technology at Keppel Offshore & Marine (Keppel O&M), said, "The award of these contracts from our repeat customers affirms their confidence in us. These contracts from experienced FPSO fleet owners and operators SBM Offshore and M3nergy bear testament to our commitment to quality conversion and upgrading services.” One of the contracts, for M3nergy Offshore, Keppel Shipyard will undertake refurbishment and life extension of the FPSO works including upgrading of living quarters. Scheduled for completion in the second quarter of 2014, the FPSO has been chartered by PC Ketapang II Ltd for its operations in the Bukit Tua field, which is 35 kilometres north of Madura Island, offshore Indonesia.

Douglas Craig, Chairman and managing director of Craig Group, said: “This significant investment is part of our continued drive to operate the largest and most modern wholly British owned fleet engaged in the UK offshore industry.” North Star managing director, Callum Bruce, said: “We are constantly looking at ways of expanding and modernising our fleet. The new vessels will feature the most up to date technology and designs, meeting our customers’ needs in terms of safety, quality and efficiency.”

~ Internet connectivity points in all cabins ~

Hertel Offshore Ships Accommodation for 44 to Shell’s Draugen Platform Hertel Offshore, part of the international multi disciplinary industrial services company Hertel, has shipped an additional living quarter to the Shell Draugen platform in the Norwegian Continental Shelf. The new quarters, currently on the way to Norway to be lifted into service, can accommodate 44 people and includes internet connectivity points in the cabins.

Jaya Scoops US$20m Contract in East Africa Jaya Holdings has signed a two year contract, worth in excess of US$20 million, to charter its DP2 platform supply vessel ‘Jaya Vigilant’ for operation in the Indian Ocean, offshore Mozambique. Jaya Vigilant is currently being upgraded with additional equipment including an internet café for passengers and crew. It is due for delivery end September 2013. The company now has seven new builds remaining in its current shipyard order book. Two of these vessels, due for delivery from Jaya’s yard in Batam, are purpose built ROV (Remotely Operated Vessel) support. “International oil companies need increasingly versatile offshore support vessels to perform multiple tasks, especially in remote, frontier locations like East Africa, where there is no spot-market and only limited shore support,” said Jaya Holdings’ CEO, Venkatraman Sheshashayee.

©OffComm News ~ Winter 2013

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Inflight Connectivity News

Expanding Transatlantic Inflight Services

Panasonic Avionics Corporation, a provider of inflight entertainment and communications (IFEC), and global satellite operator, SES, have signed a major satellite capacity agreement to connect passengers aboard transatlantic flights. As part of the multi-year, multi-transponder deal, Panasonic will use the newly launched SES-6 satellite and its high powered Ku band mobility beams over the Atlantic Ocean ~ to deliver a complete entertainment and communications package to keep air travellers in touch while traversing the skies. The SES capacity will support Panasonic's global communications service, which provides passengers and crew with two-way broadband applications ranging from high speed internet access, voice, and live TV. It also has the ability to monitor real-time operational data aboard the plane. Launched in June 2013, SES-6 is an advanced, high powered satellite equipped with 43 C band and 48 Ku band transponders and located at the prime orbital position of 40.5 degrees West. SES-6 provides early replacement of the NSS-806 spacecraft, which is home to leading video neighbourhoods in Latin America and the Caribbean. The 53rd satellite in the global SES fleet provides significant capacity expansion at a strategic orbital slot over the Americas for a broad range of applications suitable for enterprise and mobility services.

Panasonic Avionics Corporation also reached an agreement with Intelsat S.A. for capacity on the high performance Intelsat EpicNG platform. It means that Panasonic will be able to deliver the industry's highest bandwidth service to aeroplanes travelling from Europe to South East Asia and Europe to North Asia. It also provides capacity and coverage for intraregion routes including missions over Russia and the Middle East. The new service region complements the U.S. and North Atlantic services that will be provided by the first announced Epic satellite, Intelsat 29e. Intelsat 33e is the second of five announced Epic-class satellites, and is expected to launch in 2016. Like Intelsat 29e, Intelsat 33e delivers high power Ku band spot beams that offer extremely high data throughput for Panasonic's global communications services, which include eXConnect inflight WiFi and eXPhone mobile phone. It also offers wide beams that support Panasonic's global eXTV live television. The combination of coverage provided by Intelsat 33e and Intelsat 29e will provide spot beam service for heavily travelled air routes that account for more than 50 percent of the world's commercially scheduled flight hours. Intelsat EpicNG will serve as a complementary overlay to Intelsat's existing global broadband mobility platform, which consists of 11 beams on seven satellites covering all of the world's busiest shipping and aeronautical routes. Gogo, a provider of inflight connectivity, also signed a ground satellite infrastructure deal with SES to enable the expansion of inflight broadband services over North America, North Atlantic Ocean & Europe. www.gogoair.com www.intelsat.com www.panasonic.aero www.ses.com

ÂŠOffComm News ~ Winter 2013

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Siemens Installs 1st Offshore North Sea Platform with <4% Transmission Loss When the HelWin1 converter platform goes online, it will link the Nordsee Ost and Meerwind wind power plants to the mainland. The platform will convert up to 576 megawatts (MW) of electricity produced in the wind farms to direct current and transmit it via submarine cable to the German mainland 85 kilometres away (52.8 miles). The low-loss direct current power is then converted back into alternating current at a converter station on land and fed into the German power grid.

With Siemens’ direct current technology, transmission losses are less than four percent. HelWin1 is a floating jackup platform that is moved to the desired position by tugboats with its supports raised. When it reaches this position, the supports are lowered and connected to the supporting structure that has already been installed. The platform is then raised using a hydraulic jacking system.

An on-site jackup platform serves as the crews’ quarters so that they do not have to travel back to the mainland each day ~ a journey that would take around two hours by helicopter and 16 hours by ship.

Siemens press pictures

©OffComm ©OffCommNews News~~Winter Winter2013 2013

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Image © Patrick Poendl | Dreamstime.com

Thuraya Reaches New Heights with Adrian Hayes on K2 Eighteen days after leaving for the K2 expedition, UAE based British adventurer Adrian Hayes and his team reached base camp at K2, the second highest mountain on Earth, on the border of Pakistan and China. Hayes has been documenting his journey through social media channels and on his website, where he recently posted an audio update using the Thuraya IP+ and the SatSleeve, sponsored by Thuraya and its service partner, Xtra-Link. This marks the first time that the Thuraya IP+ and the Thuraya SatSleeve have been used on such an expedition.

Hayes is one of only three people in history, and the first Briton, to have topped the world’s two highest mountains and touched both poles. Bilal El Hamoui, vice president of distribution at Thuraya, said: “We are extremely proud of Adrian and his team. Satellite communications are a vital component for people who live and work in remote areas. Equipment such as satellite phones and terminals have to be extremely durable, easy to set up and use at all times.

The positive sentiment is echoed by Hans Kujit, Chairman and CEO of Xtra-Link, “This is the second time that we’ve worked with Adrian and he has been very supportive of Thuraya and XtraLink. Satellite communications is crucial for adventurers as it helps them stay in touch with their loved ones and team members during these tough expeditions.”

“We are happy to be able to contribute to this expedition. In spite of the challenges, we strongly believe in their success and we’re cheering them on towards reaching the summit.” Adrian Hayes: Explorer

New SatCom Baseband Kits Norsat has a new series of satcom baseband kits which are designed to provide convenient, all-in-one communication for satellite system field deployments. Available to support a variety of applications, the kits include everything needed to maintain connectivity, are portable and come with support to access core office functions while operating in emergency situations in challenging environments.

www.norsat.com

Compact Flyaway

Emergency Comms

Red/Black Gateway

Packaged in an airline carry-on case to provide both secure and non secure voice and data communications. This kit includes an uninterruptable power supply for battery backup and powering options for austere environments. Kits also come with a BGAN satellite terminal, rugged laptop, IP phone, Cisco ASA5505/871 routers (red & black) and various Type 1 encryption device options along with a printer and handheld satphone options.

For first responders this kit provides office functions (computing, printing and scanning) and GPS capability during field emergency operations. The kits provide voice, data and video via multiple means of redundant communications including cellular broadband, GlobalStar/ Inmarsat/Iridium/Thuraya handheld satphone and Inmarsat BGAN satellite communications terminal and Land Mobile Radio (LMR)/Radio over IP (RoIP).

IP gateway solutions for challenging environments in a compact and portable package. Simultaneous Red and Black connectivity, routing and WAN acceleration/optimization is provided from a single rugged unit. All kits incorporate one or more Cisco routers with advanced IP Services, a protocol enhancement proxy for improved performance over satellite links, and various encryption options.

©OffComm News ~ Winter 2013

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Remote telemedicine & video conferencing approved for use on Thuraya satellite network DigiGone®‘s video communications system and software platform has been approved for use with Thuraya’s IP terminals. “DigiGone is an important addition to our current service offerings and an ideal tool to enable videoconferencing for Thuraya IP, IP+ and maritime broadband customers,” said Randy Roberts, vice president of innovation at Thuraya. “This cost-effective communications solution will be made available through our extensive network of service partners globally for use across a variety of vertical markets including maritime, energy and humanitarian NGOs.” Well suited for maritime applications, and certified to work with Thuraya’s maritime broadband terminal, the system is currently being deployed on commercial ships for applications such as video conferencing, security, and ship-to-shore crew calling.

The software can be installed on most PCs, laptops, tablets or smart phones in just a few minutes. Optimised for narrowband satellite channels, DigiGone’s high-quality encrypted video and audio conferencing, video streaming, Voice over IP (VoIP), IM Chat and file transfer uses a fraction of the bandwidth needed for other commercial video telecommunication solutions. The system can be customised, depending on users’ bandwidth speed requirements and choice of audio and video quality. The bandwidth can be raised or lowered by the user at any time during the call, to meet user requirements for image resolution. DigiGone has also formed a strategic relationship with Maritime Medical Access (MMA) at George Washington University to offer subscription-based telemedicine for those at sea. The video link enables physicians to perform visual inspections of shipboard crew members to improve diagnosis and treatment. In many cases, this can avert the necessity of an expensive ship diversion or at-sea evacuation.

Connecting Communities Support Tigris River Flotilla: Iraq Nature Iraq, together with the Nature Iraq Foundation and the Waterkeepers Iraq, will recreate a journey down the Tigris River, starting in South-Eastern Turkey, travelling through Iraq. In honour of the river’s cultural heritage, the team will be using traditional vessels, like the Tarada, Kalak and Guffa, to document and generate awareness towards the threats facing the waters of the Tigris ~ as well as the unique cultural heritage of Mesopotamia.

Thuraya will be sponsoring the team with the Thuraya IP+ broadband terminal as well as airtime to help the teams stay connected on the journey. T. Sanford Jewett, vice president of marketing at Thuraya said: “Waterways and rivers are often out of reach or unserved by terrestrial communication networks. The project underscores our commitment towards providing innovative communication equipment for people who need to stay connected in remote places.”

Image Gunold Brun Bauer | Dreamstime.com

©OffComm News ~ Winter 2013

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News

Satellite comms global logistics centre “Time is money for ship owners,” says Jesse van Straaten, chief operating officer at Astrium Services, which has just opened a logistics centre in Rotterdam, The Netherlands. “Today, and even more so in the future, the market demands almost immediate delivery of satellite communication systems around the globe, which is driven by changing conditions in the market. “Vessels need to operate as efficiently as possible so port-stays are shorter, meaning that service suppliers have to be capable of delivering on tight schedules to any port on the planet,” said Tore Morten Olsen, head of maritime at the company. Servicing the maritime and offshore VSAT business, the new facility will hold responsibility for

delivery of all hardware components for the company’s satcoms portfolio, including antennas, modems and spare parts, in addition to bundled solutions containing VSAT and MSS systems. Astrium Services already has similar facilities in Houston and Singapore, and, like its maritime VSAT warehouse in Stavanger, the new centre will help to streamline the global distribution of communications equipment.

In My Opinion: Welfare Networks A tactical bandaid or a strategic approach to staff retention? Staff turnover costs in the mining industry are exploding. Mike Hipkins, sales manager of resources at Pactel International Pty Ltd considers welfare as a way to approach the issue. Australia’s resources sector skill adviser, Kinetic Group estimates the staff turnover ratio to be as high as 24.4% (compared to 14.4% national average). In addition, according to Ernst & Young, skill shortages remain the second largest risks facing the industry for the last two years. One method to retain staff is through the use of worker welfare networks combined with BYOD.*

©OffComm News ~ Winter 2013

Image © Eteimaging | Dreamstime.com

www.astriumservices.com

“Many organisations still view worker welfare networks as entirely a cost centre.” Hipkins, Pactel International Pty Ltd. Sadly, they fail to face the fact that providing adequate access to recreational network usage and BYOD support is no longer a domain of a selected few but a way of life for the remote workforce, promoting their satisfaction and length of employment. Estimated by MRC Business Services, the direct turnover costs for skilled workers involving hiring, induction and training are estimated to be between 50150% of their annual salary and 100-250% for professionals.

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Battling up to $2.6m in staff turnover costs The potential impact of staff turnover is best demonstrated by an example: Consider a site with 100 skilled workers with an annual salary of $90,000, and 10 professionals with a salary of $200,000. Calculate both ends of turnover costs using the mentioned industry average of 24.4 percent and it results in an estimate of between $1,625,000 and $2,600,000 for annual staff turnover costs. Now, consider deploying a managed worker welfare network at an assumed CAPEX of $100K and OPEX of $30K/month. A managed worker welfare network would entail QoS, time-based application filtering and BYOD control to ensure a balanced level of use. Ref: case study on page 17.

Read more about CAPEX & OPEX ROI on page 25

*Bring Your Own Device

Cities at Sea

A fresh start on a floating city could be just a few years away For five years, The Seasteading Institute has been conducting research into the potential for permanent, innovative communities ~ floating at sea. It is now applying this foundation of knowledge and its network towards an actual design, along with additional efforts to determine specific needs and desires of potential customers, and to select a practical location for what could become the world’s first city at sea. It is an ambitious vision. One thing is clear: When Randolph Hencken, the executive director of the Seasteading Institute, puts his mind to something it’s highly likely to come to fruition. OffComm News caught up with him to find out what’s going on in the world of seasteading and, perhaps most importantly, where the opportunities lie for connectivity companies.

©OffComm News ~ Winter 2013

Randolph Hencken, executive director The Seasteading Institute

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What is the Seasteading Institute all about? At The Seasteading Institute, we work to enable seasteading communities (or floating cities) which will allow the next generation of pioneers to peacefully test new ideas for government. The most successful can then inspire change in governments around the world. This is an audacious vision that will take decades to fully realise. We strongly believe in ‘incrementalism’ ~ breaking this huge vision down into manageable, practical steps. As a non-profit organisation, our role is not to build seasteads ourselves, but to set the stage in order to empower others to do so. Our program therefore focuses on business development, engineering and legal research, political and industry diplomacy and building a community of aspiring seasteaders. What will life be like for someone living on a platform in the sea? Cruise ships have demonstrated the viability of safe, comfortable, and even luxurious living at sea. While a permanent stationary offshore community may have to locate on a more stable platform (such as semisubmersibles) to remain comfortable in rough seas, we believe humans are capable of resolving difficult engineering problems when the need arises. In the early days this lifestyle will require sacrifices in terms of space and available amenities. This is why we believe an incremental approach ~ using manoeuvrable ships, or lighter platforms in calmer waters, in the short-term ~ which will allow seasteading to gradually build up from small communities of dedicated pioneers to full-fledged metropolises, complete with all of the amenities of land-based cities. Furthermore, in competing to attract citizens from land, seasteads will have to innovate better systems of governance at a lower cost. We do not advocate for a particular form of governance, but rather envision a flourishing of diverse new ways of living together. How will these platforms be connected to phones & internet ~ what’s your vision? Depending on the needs of the first seastead enterprises, existing satellite links or wireless towers may be sufficient, or a more novel solution may be required. If the seastead is close enough to land, a system of relay buoys equipped with WIMAX or similar short range technology is a possibility. However, some of the most exciting potential solutions are emerging new technologies, such as Google's Project Loon, for connecting areas that used to be too remote to warrant infrastructure.

©OffComm News ~ Winter 2013

In addition to the recent Floating City Project, the institute seeks to inspire ideas for innovative business models as the seeds of future autonomous communities. Technological solutions will stem from the needs of competent and organised teams and entrepreneurs, pursuing practical opportunities with high expected returns for investors. We hope to grow our movement as large as possible, and then link entrepreneurs with experts in relevant fields when the appropriate time comes. Can you tell us about the connectivity destined for the seasteads? Seasteading represents a challenge ~ connecting to the most remote regions on earth ~ and a new market, in the form of the pioneers who develop new businesses that are reliant on high amounts of bandwidth. Alexander Wissner-Gross has proposed a high frequency trading outpost, located in the Atlantic Ocean between the financial hubs of New York City and London. A small ship or spar platform, equipped with a small computer network and rapid internet connection, could exploit the brief latency in information to arbitrage inefficiencies in financial markets. Seasteading will also advance the gathering of large quantities of metocean data, insofar as it increases humanity's presence and ability to cope in the harsh offshore environment. What opportunities will this present for connectivity companies? The needs will be specific to the business model in question. The Institute is currently focused on the Floating City Project, which will produce comprehensive plans and demonstrate market demand for what could become the world's first floating city. Our latest strategy involves negotiating an agreement with an existing nation to build closer to shore, in calmer, protected waters. Connectivity could therefore likely be achieved without the most extreme remote solutions, and rather rely on upgrades and extensions of the land-based systems. If we are located just beyond the horizon, we will be weighing the costs of various options of connecting to land via WIMAX, optical laser, underwater cable, versus bypassing land through satellite or another novel solution.

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©OffComm News ~ Winter 2013

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Case Study

Pactel Triumphs in Papua New Guinea The PNG LNG Project is an integrated development that includes gas production and processing facilities in the Southern Highlands and Western Provinces of Papua New Guinea, including liquefaction and storage facilities with capacity of 6.9million tonnes pa. With over 700 kilometres (450 miles) of pipelines connecting the facilities, PNG LNG will provide a long term supply of liquefied natural gas to four major LNG customers in the Asia region including:

China Petroleum and Chemical Corporation (Sinopec), Osaka Gas Company Limited, The Tokyo Electric Power Company Inc., and Chinese Petroleum Corporation. Esso Highlands Limited, a subsidiary of ExxonMobil Corporation, is constructing and will operate the project on behalf of the coventurers ~ Oil Search Limited , NPCP, Santos, JX Nippon Oil & Gas Exploration, Mineral Resources Development Company and Petromin PNG Holdings Limited.

In late 2012, Rural Tech developed and implemented a wireless solution capable of providing uniform coverage across 1.2km2 camp accommodation quarters. It was designed to support voice calls via secure VoIP payphones and internet services via workers’ personal devices and an internet cafe. Utilising multiple bandwidth reserves and a carrier grade, cost efficient Newtec platform, Pactel International provided a 10Mb satellite link, while Rural Tech managed the complete systems installation and layout onsite.

System layout comparable to a multi-story hotel building “Coverage penetration was, and still is, particularly challenging due to the geographical spread of the camp,” said Shahram Honarzad, technical director at Rural Tech Development. “We didn’t want to risk having poor and uneven coverage in certain areas, so we had to reconsider the original P2P system layout and add additional access points, where the coverage was particular poor ~ a system layout comparable to a multi-story hotel building.”

9,000 Accommodation camp B (pictured left) required a new system to respond to the welfare needs of 9,000 workers residing at the LNG plant. Staff needed fast internet connectivity for recreational purposes as well as reliable voice services to communicate with their families.

©OffComm News ~ Winter 2013

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Case study cont...

The link had to be optimized to cope with the high volume traffic expected, as well as to allow bandwidth demanding applications such as video streaming and file sharing to perform across personal devices (BYOD).

Founded in 2003, Pactel International is a global satellite communications provider supplying connectivity across the Asia-Pacific region. Rural Tech Development is a traditional and independent Information & Communication Technology (ICT) provider established in 2005 in PNG. It aims to provide customers with whole solutions to their current and future ICT needs.

The network design also had to be rugged and simple with minimal hardware and maintenance costs and simple administration management.

Collaboration To address these requirements, a collaborative partnership was formed between a local communications supplier, Rural Tech Development, and global satellite services provider, Pactel International. The partnership combined local presence and expertise of Rural Tech Development, which has already performed the majority of fibre optic splice and termination as well as OTDR tests and end-to-end certification at the PNG LNG plant site; with the satellite expertise and global reach of Pactel International, which operates seven welfare networks globally and has over thirty corporate-grade satellite links into remote PNG.

The NX-2700 is a 2U appliance that supports 10 Mbps of WAN bandwidth and includes 1TB of secure local data store in a resilient configuration. The NX-2700 is ideal for remote and branch offices.

Extending on the hotel network analogy, Rural Tech developed a centralised management and billing system, making it possible for every worker to purchase a pre-paid internet and VoIP card. To ensure maximum efficiency and seamless operation, Pactel International completed the project by integrating its value-adding services: Bandwidth Acceleration ~ Required due to the high-bandwidth nature of recreational traffic. QoS ~ Rules were applied to prioritise voice over data traffic and manage video and other application allowances. Application filtering ~ to limit video usage (as the highest bandwidth-consuming application) as well as DNS to block any offensive web pages. Online Network Monitoring ~ An online portal provides scheduled and on-demand reporting on all aspects of the satellite network, including bandwidth usage and voice performance. Complementing each other’s assets, Pactel International and Rural Tech Development met all customer expectations in designing a reliable, efficient and simple-to-operate welfare network. PNG LNG workers can now communicate with their families via various platforms including VoIP phones, Skype and messenger, and social media.

©OffComm News ~ Winter 2013

Benefits for the PNG LNG project include:

Increased worker quality of life Significant time savings in managing the new network due to centralised management

Improved worker retention Improved overall business efficiency due to satisfied and therefore productive personnel

“Retaining quality personnel whilst sustaining costs are the two primary challenges our customers in the resource industry are faced with. The PNG LNG project was another opportunity for us to provide a responsive welfare network to address these challenges as well as strengthen our market position in PNG by providing a large-scale link into a remote location of the country,” said Nick Miller, sales manager of Pactel International. Pactel will continue monitoring the existing network, providing recommendations and adjustments to the QoS rules and acceleration technology to ensure link efficiency, maximise throughput, and network uptime.

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Trends and Collaboration News

Telenor Norway Signs IT Collaboration Agreement with Accenture Accenture to take over the management of some of Telenor Norway’s IT systems, including its web solutions, and systems related to sales, orders, and billing, outlines a new agreement. According to Svendsen, Norwegians’ use of mobiles has changed radically in the space of a few years, and services that didn’t exist just a short time ago are now among some of Telenor’s most important communications solutions. “Telenor is an engine within the development of telecommunications services in Norway and abroad. Now we are entering into a strategic cooperative relationship with Accenture, a leader in developing and delivering IT managed

services. Accenture will help increase our expertise while providing us with great flexibility and extra capacity to resolve major tasks in the future,” said Berit Svendsen, CEO, Telenor Norway (pictured). “We are in the middle of an exciting technology shift that requires large IT investments and changes to our work processes. Accenture is an innovative company with valuable international expertise that will help to strengthen us during this technology shift. They have several of the world’s leading telecommunications companies as customers, and with this experience they will help ensure

that Telenor Norway continues to be a technology leader.” “Helping clients achieve their broader business transformation goals through IT and other services is an important area of focus for Accenture. The agreement with Telenor — a dynamic and global communications company – gives us an opportunity to work closely with them through an exciting period of change,” said Roy Grønli, country managing director, Accenture Norway. “The combined efforts of our two companies’ highly skilled IT professionals will be focused on supplying the best services and solutions to Telenor’s customers.” Financial terms of the contract were not disclosed.

Telco IT Spending to Reach US$60bn in 2017 The global telecoms industry’s revenues will remain roughly flat over the next few years, with a decline in spending on voice services counterbalanced by growth in spending on mobile and fixed (broadband) data services, according to global analyst firm Ovum. In a recent market forecast analysis report*, it was found that as growth slows, market realities mean telcos must find ways to serve their existing customers profitability rather than simply growing their customer bases. Shagun Bali, analyst for telecoms technology at Ovum and author of the report (pictured) said, “Over the next five years, service and tariff innovation will be key revenue-generating strategies, while LTE rollout, network optimisation, and creative approaches to partnerships will become focal points for cost savings.” ©OffComm News ~ Winter 2013

“Telcos need to monetize new business models, leverage customer data by investing in analytics, and define their response to over-the-top (OTT) players.” Ovum estimates that telco IT spending will reach US$60bn in 2017, growing at a CAGR of 0.6 percent between 2013 and 2017. Growth in telco IT spending will be driven primarily by investments in packaged software and system integration. Spending in emerging markets in Asia-Pacific, the Middle East and Africa, and South and Central America will drive global IT spending. And in North America, telco IT spending will grow more modestly at a CAGR of 0.8 percent, reaching US$17.5bn by 2017. Bali states that, “Although overall telco IT spending will grow modestly, the trend is for telcos to reduce internal IT spending and increase spending on external IT projects.

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“To control costs, telcos are outsourcing the maintenance of legacy IT and turning to trusted partners, both to implement unified and standards-based systems and software and to provide skills such as those of data scientists for Big Data analytics projects. Consequently, the overall addressable market for vendors will increase.” “The combination of middling profits, high capital requirements, high risk, and uncertain economic growth requires telcos to place their bets carefully, including investing in growing revenue streams and managing customer experience more than ever before. The result is increased opportunities for the IT industry. In the long term, telcos will place more focus than they have before on software to drive innovation,” concludes Bali. *Global Telecoms Technology Spending Forecast Through 2017 Analysis

Demand for connectivity continues worldwide New figures show buoyant global demand for information and communication technology (ICT) products and services, steadily declining prices for both cellular and broadband services, and growth in 3G uptake. By end 2013 there will be 6.8 billion total mobile-cellular subscriptions ~ almost as many as there are people on the planet. An estimated 2.7 billion people will also be connected to the internet ~ though speeds and prices vary widely, both across and within regions. Mobile broadband connections over 3G and 3G+ networks are growing at an average annual rate of 40 per cent, equating to 2.1 billion mobile broadband subscriptions and a global penetration rate of almost 30 per cent. Almost 50 per cent of all people worldwide are now covered by a 3G network.

ICT Development Index Country Rankings New data from the 2013 edition of Measuring the Information Society reveal that the Republic of Korea leads the world in terms of overall ICT development for the third consecutive year, followed closely by Sweden, Iceland, Denmark, Finland and Norway. The Netherlands, the United Kingdom, Luxembourg and Hong Kong (China) also rank in the top 10, with the UK nudging into the top 10 group from 11th position last year. ITU’s ICT Development Index (IDI)* ranks 157 countries according to their level of ICT access, use and skills, and compares 2011 and 2012 scores. It is widely recognized by government, UN agencies and industry as the most accurate and impartial measure of overall national ICT development.

Top Performers ~ and Connectivity Challenges All countries in the IDI top 30 are high-income countries, underlining the strong link between income and ICT progress. There are large differences between developed and developing countries, with IDI values on average twice as high in the developed world compared with developing countries. The report also identifies a group of ‘most dynamic countries’, which have recorded above-average improvements in their IDI rank or value over the past 12 months. These include (in order of most improved): United Arab Emirates, Lebanon, Barbados, Seychelles, Belarus, Costa Rica, Mongolia, Zambia, Australia, Bangladesh, Oman and Zimbabwe.

©OffComm News ~ Winter 2013

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Least connected countries (LCCs), end 2012 The report also identifies the countries with the lowest IDI levels ~ so-called Least Connected Countries (LCCs) Home to 2.4b people ~ one third of the world’s total population ~ the Least Connected Countries are also the countries that could potentially derive great benefits from better access to and use of ICTs in areas such as health, education and employment. “This year’s IDI figures show much reason for optimism, with governments clearly prioritizing ICTs as a major lever of socio-economic growth, resulting in better access and lower prices,” said ITU SecretaryGeneral Dr Hamadoun I. Touré. “Our most pressing challenge is to identify ways to enable those countries which are still struggling to connect their populations to deploy the networks and services that will help lift them out of poverty.”

Telecoms Investment Telecommunication operators’ capital expenditure (CAPEX) peaked in 2008 with global investment totalling US$290b, followed by two consecutive years of decline. Despite the upturn in 2011, 2008 investment levels have not yet been restored. Sluggish investment levels after 2008 are consistent with an overall economic environment of restricted access to capital markets, which may limit the capacity of operators to raise funds for new investments. With the expansion of global operators into new markets, many operators are active in both developing and developed countries, with the adverse financial environment in the developed world likely impairing investments in the developing world.

Fast Facts Telco operator CAPEX peaked in 2008; However despite an economic upturn investment levels have not returned

Mobile broadband is now more affordable than fixed broadband

250 million people came online in 2012 By end 2013 40% of the world will be online. But 1.1b households (or 4.4b people) remain unconnected

Almost the whole world is now within reach of mobile cellular service

ITU is the United Nations agency for information and communication technology. For nearly 150 years, ITU has coordinated the shared global use of the radio spectrum, promoted international cooperation in assigning satellite orbits, worked to improve communication infrastructure in the developing world, and established the worldwide standards that foster seamless interconnection of a vast range of communications systems. From broadband networks to new-generation wireless technologies, aeronautical and maritime navigation, and converging fixed-mobile phone, internet and broadcasting technologies, ITU is committed to connecting the world.

Broadband is getting faster; 2Mbps now most popular basic package

©OffComm News ~ Winter 2013

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Connectivity has a direct impact on just about every corporate bottom line. Some business operations are conducted in highly challenging locations where a whole new spectrum of issues ~ and innovations ~ arise. OffComm News is the global magazine dedicated to exploring developments in communications destined for some of the remotest places on earth.

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Feature

Satcoms Oil & Gas Interface ~ By Martin Jarrold, GVF Chief International Programme Development

RoI in CAPEX & OPEX As throughout the global ‘oil & gas patch’, the continuing priority of Southeast Asian and East Asian nations in respect of oil & gas industry policy remains tightly centred on ensuring national energy security and the injection of measures for continued n a t io na l an d pan - re giona l economic stimulus. To slow import dependency (to boost energy security and maximise potential for accelerated growth) the region's countries exhibit continuing interest in meeting as much domestic oil & gas demand as possible from home sources. Asia’s offshore energy industry does have the potential to deliver assured domestically-sourced supplies – on the basis of both continuing production from already operating fields and from the accelerated exploitation of newly discovered reserves. Asia’s offshore exploration and production (E&P) environment will continue to be characterised by shallow water developments, however, for the longer term, fresh oil frontiers are being opened up in deeper and more remote waters. Within any such broad overview of E&P, it is important to remember that multiple professional disciplines contribute to resources exploration and recovery. The mission critical operational success of all professionals in the upstream

environment depends on access to the most efficient information and communications technologies (ICTs), as well as to the wealth of sophisticated applications these technologies bring to the disposal of the teams of geologists, geophysicists, drilling engineers, seismic data analysts, etc., who locate new reserves and get them from beneath the ocean floor through the collection of massive amounts of disparate data in multiple formats (including GPS, acoustic, compass and other sensor data) and using the information for predictive analysis. Using ICT widely spread and remotely located experts can see oil & gas field data as it is collected in real time, determining the size of a payload before any actual drilling begins – a capability that can significantly reduce the amount of time and other resources wasted on drilling sites that don't have a strong yield potential. In the upstream, in Southeast and East Asia specifically, exploration for new hydrocarbon reserves has moved increasingly to dangerous, difficult (and otherwise very expensive) environments, where the extreme physical conditions of a hostile climate and multiple geographic/topographic obstacles are as equally challenging as the investment imperatives that must be fa ce d in t he re m o te deployment of drilling equipment.

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Communications solutions represent only a small fraction of energy companies’ total CAPEX and OPEX, yet wellmanaged ICT networks play a disproportionately great role in reducing expenditures not only in exploration, drilling, and production, but in every other area of operations.

Global unified communication market to grow at CAGR 15.85% over 2012/2016 TechNavio's report, Global Unified Communication Market 2012-2016, highlights one of the key contributing growth factors as the shift from on-premises to cloudbased unified communication. The industry has also been witnessing the unified communication heading towards WebRTC. However, the initial high cost could pose a challenge to the further growth. The report covers the Americas, APAC & EMEA regions; it also covers the global unified communication market landscape and its growth prospects in the coming years, as well as the key vendors operating in the space. WebRTC is a free, open project that enables web browsers with Real-Time Communications (RTC) capabilities via simple JavaScript APIs.

The Deadliest Catch Counts on Satellite Dispatch Radio in Northern Alaska Roughly 300 fishing boats make up the Alaskan crab fleet, catching anywhere in the region of 10-15 million pounds of crab every year. For the fishermen, it’s a challenge to maintain reliable satellite communications with dry land while in the midst of extreme conditions. While most folks opt for jobs that are safe and free from danger, there are others that choose careers such as mining, law enforcement, fire rescue, crabbing, and more. It may come as a surprise to learn that Alaskan crabbers top the list of people with the most dangerous job. Crabbers are the men and women that take to the frigid waters north of 60° for a few weeks at a time in search of prized Alaskan king crab. This is considered by many to be the most dangerous job out there, with 20+ hour work shifts and an unforgiving sea some of the issues they have to face. Combine that with subzero temperatures and 40-foot waves and you have a recipe for extreme danger. It seems strange to most of us that people would put their lives at risk in order to put a delicious crab on our plates, but crabbers see the potential rewards as well worth the risk. The small town of Dutch Harbor, Alaska sees an influx of crabbers in the week leading up to the start of fishing season. They load up on pots, supplies, fuel and bait, all whilst trying to prepare themselves for the arduous work schedule ahead of them. Of the satellite carriers that operate in the area, Lightsquared's dispatch mobile satellite radio service is the one most used by the Pacific fishing community.

This is largely due to the flat rated, person-to-person and one-to-many services that enable efficient satellite push-to-talk connectivity in even the most remote parts of North America. The captains that steer the fleet often refer to the Lightsquared dispatch mobile satellite radio phones as ‘TAG’ phones. This is in reference to talk-groups where one captain might let another know that he will be available to call on TAG1. This is often the only way crabbers are able to communicate when out at sea. When you are out in the middle of nowhere, a simple push-to-talk service can be the difference between life and death. Most captains would never think of heading to sea without it. Each season, be it crab, cod, halibut or pollock, requires fishing quotas to be met, which has driven the Pacific fleet to over 1400 MSAT G2 satellite systems. For these brave workers, the MSAT dispatch radio has become almost as popular as a standard cell phone. This mobile satellite radio has become the way in which maps are downloaded, weather reports picked, e-mails sent and calls to loved ones on dry land made. It’s clear that Lightsquared's satellite network has become an essential part of this industry’s day to day operations. Without it the job just couldn't get done.

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OffComm News is a media partners with some of the most influential events in the industry. For a full list see the events page on the website.

Diary Where Technology & Energy Connect

19-20 November 2013 O&GCommsSEA2013 Kuala Lumpur, Malaysia Contacts: martin.jarrold@gvf.org paul.stahl@uk-emp.co.uk.

5-6 November 2013 2nd Annual Global Mining IT and Communication Summit The Westin Harbour Castle, Toronto, Canada www.energy.fleminggulf.com/global -mining-it-communication-summit

Contact: sonika.mendjoge@fleminggulf.com Information, communication, mobile and cloud computing technologies are revolutionising business. The outlook of the mining sector has radically changed due to global instabilities in metal prices and currency fluctuations. CIOs and IT heads are looking at improved tools and systems for data management, cyber security, communication in remote locations, and wireless technologies for operational benefits which can impact the bottomline and deal with global changes. The 2nd Global Mining IT and Communication Summit will explore the latest innovations in information and communication technology to optimize mining operations and get a low down on the accelerating ICT trends shaping this sector.

6-8 November 2013 2013 OilComm Conference & Exposition George R. Brown Convention Center, Houston, TX Contact: Adriana Lora T: 001 301-354-1783 www.OilComm.com Strengthening your connectivity to your drill sites, your assets and your professional colleagues. OilComm is the only event dedicated to the communications challenges faced in the oil and gas community throughout the lifecycle of the platform no matter where the drill site is located. Join hundreds of IT professionals, CTOs, network engineers and integrators responsible for procuring and implementing communications systems, all under one roof!

O&GCommsSEA2013 will, over a two-day programme, be examining the subject of satellite based communications, and integrated satelliteterrestrial hybrid communications, solutions to which the oil & gas industry upstream segment turns to provide the essential connectivity to access the vital applications necessary to facilitate: Regional oil & gas industry optimisation of production and exploration activities; Efforts to enhance the regionâ&#x20AC;&#x2122;s upstream domestic production; Maximised potential for ICT to enhance oil & gas recovery.

December 9-11 2013 Digital Oilfields USA Summit Houston, Texas http://bit.ly/16qjJMc The Digital Oilfields Summit will bring together industry experts to explore developments in this rapidly evolving field through case study analysis and engaging speaker sessions about how to implement and effectively utilize digital oilfield technology. Speakers include companies such as Halliburton, Weatherford, Schlumberger, Chevron and many more. Brochure at: http://bit.ly/1eKJTPL

26-27 February 2014 6th Annual SCADA Asia Summit Singapore www.scadasummit.com SCADA Asia will capture recent trends in power transmission, O & G (which is process critical) and other utilities (streamed for the first time) SCADA Asia will be introducing, for the first time, Cyberphysical security in the region and will run a focused workshop on countering black hat threats in securing physical assets. SCADA Asia will feature 12 case studies from different industries/countries.

Events for quality global networking & real live innovation ÂŠOffComm News ~ Winter 2013

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HOW TO Upgrade TV systems for the UK offshore industry By Ian McIntosh, sales and projects engineer at Woodsons of Aberdeen Ltd. Up until around the mid 1990s if you worked in the offshore industry ~ on either a vessel, rig or a platform ~ the televised entertainment available would often have been one TV in the main recreation room and a library of well used VHS videos, and latterly DVDs. Unless you worked on a fixed platform which was near enough to the coast to receive terrestrial analogue TV, you would have been unlikely to have seen any live broadcasts. Since then the entertainment supplied offshore has advanced to plasma screen televisions in recreational areas and many cabins, offering a wide range of live TV streams, video on demand, recording services and welfare information. Original TV distribution systems using head-end satellite decoders started to appear in the late 1990s. The single outputs from each decoder would be converted to an analogue output within the frequency range of the TV sets; the different frequencies would be combined onto one coaxial cable as if simulating a terrestrial broadcast of the TV channels. Woodsons of Aberdeen began to install TVRO (Television Receive-Only) stabilized satellite antennas in 1998 on fishing vessels as well as oil & gas supply vessels. Consequentially it has become something of an expert of various TV products and installations. As the majority of existing customers operate in one of the harshest environments possible, the North Sea, they have the experience and background to offer the best TVRO systems for satellite TV, along with the various methods of TV distribution throughout the accommodation areas. From experience, when upgrading a TV system if a new infrastructure is to be implemented, this is best done during vessel or rig refits, or future proofed on a new-build. So in this day and age it is best to think ahead and plan the distribution accordingly.

ÂŠOffComm News ~ Winter 2013

DVB-t Distribution Essentially the easiest and cheapest method of distributing TV signals around the accommodation. The advantage being that the older analogue coaxial infrastructure can be reused. This is a simple RF distribution configuration. Using a splitter/amplifier, the digital TV signal can be distributed to a number of different cabins and recreational areas providing digital signals at each TV outlet. The number of points this can feed is dependant on the method used to split and amplify the signals. The advantage of digital over analogue, is that the inevitable signal losses incurred over the coaxial distribution seen in areas further away from the headend unit, are not so apparent because, as long as the TV tuner is receiving the correct amount of digital information (even on a weak signal), the picture will remain of a high quality.

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As standard, all TV sets have DVB-T tuners (some include HD reception) so all TVs are capable of viewing independent channels. In addition to the channels offered by freeview – other channels can be added to this system for the TV sets to receive via the DVB-t tuner. By incorporating a DVB-t modulator unit ~ outputting channels on a multiplex not used by freeview, channels such as encrypted satellite channels (SKY Sports, SKY movies etc) or information channel, CCTV, DVD or Blu-Ray channel etc.) can be added. DVB-s Distribution (digital freesat or SKY) ~Where an independent satellite signal is required in every room, or two feeds if SKY+ is required~ Here a satellite TV multiswitch is used, which can provide as many feeds as it has outputs (generally up to 32 outputs). In larger establishments a multiswitch cascade system is required. Both the DVB-t and DVB-s systems can be used together if required so that the additional information channels, CCTV, etc. can be accessed.

IPTV Distribution Internet Protocol Television (IPTV) is a system through which television services are delivered using the internet protocol suite over a packetswitched CAT5 network, instead of being delivered through traditional coaxial cable television formats, thus eliminating cable losses. It is possible to add modules which can allow IP applications to work via the accommodation power cabling, known as ‘mains networking’ thus eliminating the need to run a new CAT 5 cable network. IPTV securely distributes video content to televisions over a managed two-way network IP infrastructure that enables a more customized and interactive user experience. It uses a two-way path using a downstream multicast or unicast video signal sent through the provider’s backbone network over IP and from IP-based video servers, allowing viewers to select content on demand, time -shift, and take advantage of other interactive TV options. When a viewer changes the channel or selects a program, a new stream of content is transmitted directly to the viewer’s set-top box. There may be a large number of streams of video being sent into the IP core network, but only one is switched into the user’s access network. www.OffCommNews.com

Nearing Nirvana The launch of HTS services over the coming decade promises to provide something of a nirvana in communications for the maritime industry. Potential increases, in bandwidth capability and available airtime, suggest that the sector will finally achieve some kind of parity to terrestrial throughput rates. While in some cases this may be true, it is far from the whole picture, says Geoff Davison, product manager, maritime, Thuraya Telecommunications. A comprehensive awareness of the maritime satcoms landscape is more than simply recognising the changing dynamics of demand and supply. One also needs to consider customer behaviour and needs. Doing that makes it immediately clear that, for the majority of owners and operators, legacy L band systems will continue to command the lionâ&#x20AC;&#x2122;s share of voice and data traffic in coming years. That may seem counter-intuitive given the lower per megabyte costs and package deals to be had by upgrading but the fact remains that many shipping companies are still in survival mode. Ask the average ship owner how much he pays per megabyte and the chances are he does not know. Ask the same ship owner how much his communications bill is every month and he will be able to tell you quite easily (and it will be too high).

ÂŠOffComm News ~ Winter 2013

Look ahead to the medium term and the drivers to satcoms adoption are likely to remain focussed on a service that delivers on price, quality of signal, robustness, ease of use and installation.

Many VSAT vendors have succeeded in making sales to such owners based on demand for crew welfare communications, but any communications package comes with limits, regardless of what the sales brochures say.

HTS makes great news but questions remain

Crew use of social media will test the parameters of contract clauses covering best effort, committed information rates, throttling back and maximum MB consumption.

Do the majority of ship owners need a bandwidth pipe that big? Are they prepared for the complexity, the higher CAPEX on ground equipment and maintenance? Will these services work as well as L band in the mobility market? Even the providers accept that these services are likely to be attractive to comparatively few high-end users ~ making their penetration a small percentage of the addressable market. Anyone that has spent time in the maritime industry knows that the leading edge is not always representative of the majority. Shippingâ&#x20AC;&#x2122;s middle ground is a place of fragmented ownership and small to medium sized companies working in far lower profile niches.

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As the operator of a high capacity L band network, our experience is that for the majority of business users, a smaller pipe with more reliable throughput works fine ~ even accounting for peaks and troughs in demand. L band signals, and their associated shipboard and ground based signals, are prized for their robustness, resistance to rain-fade and that fact that for the most part the crew can install, troubleshoot and even upgrade the equipment, with a little help from a service provider. Cont.../ HTS: High Throughput Satellite

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Figures from Northern Sky Research suggest that in-service Maritime Safety Services units will grow from 368,000 in 2011 to 955,000 in 2021, the vast majority of them narrowband. Revenues from HTS services will begin to emerge by 2015 but maritime L band revenues will be double those of Ku and Ka band combined by 2021. True, L band is not completely global but ‘regionality’ is not limited to L band providers. Most current VSAT coverage is put together from beams operated by FSS providers (Fixed Satellite Services) and coverage is rarely, if ever, global. The fact that maritime has never been a one-size-fits-all market, and is emerging from the worst downturn for almost a generation, is truer than ever. A successful shipping company will need to be connected, but it will also need to keep costs under control and employ proven systems and services designed to fit its specific needs. Maritime is an environment where equipment must be designed for pu r po s e an d r e lia bilit y . A consistent and reliable service, albeit at unstarry data rates, might be better for a mid-sized operator compared to a high speed connection that only gives 70 percent coverage and a high dropout rate. The price equation will continue to play a key role Ship owners do not spend their hard earned dollars without measurable and meaningful payback. So there is good reason to believe that dedicated L band operators, who understand their customers and have close links to their partners, cannot just survive the HTS wave, they can prosper by continuing to provide a proven and trusted connection.

FORECAST Looking good for satellite M2M “The perspective of satellite M2M is looking good. Based on two decades of experience in a growing number of markets, we are looking forward to a healthy growth in future, complementary to the growth in terrestrial M2M applications.” Hub Urlings, satellite consultant, M2sat

Huawei Investment Expected to Double in Response to Data Rise Global information and communications technology (ICT) provider, Huawei, has reaffirmed its commitment to the European market. The company has increased investment in its European research and development operations in an effort to help meet the evolving business needs of its customers; address the European Union’s strategic goals for ICT; and to continue to grow its revenue in Europe and worldwide. “Huawei is committed to reinvesting a minimum of 10% of revenue in research and development every year,” said Renato Lombardi, vice president of Huawei’s European research centre. “In 2012, we re-invested over 13% of our global revenue in R&D, one of the largest single commitments to R&D in the ICT industry by a private company. Our investment in R&D in Europe also continues to grow. It doubled between 2010 and 2013 and we expect it will double again over the next five years.”

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Huawei’s European development spans ICT hardware and software, micro processing, optical data transmission and wireless networks. “Our priorities include helping our telecoms and enterprise customers to manage the rising volumes of data that are now flooding their networks, reducing the energy consumption of the components that make up those networks and ensuring that our customers will have access to the most advanced and efficient technologies to support fixed and mobile traffic growth controlled by the most advanced software management,” said Jim Lu, President of Huawei CEE & Nordic Region. Kevan Watts, a member of Huawei’s International Advisory Committee and deputy chairman of HSBC, said: “Huawei has identified Europe as its core strategic marketplace and is investing in Europe to realise this goal.” www.huawei.com

>>>

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>>> With the excitement of growth from the Internet of Things and M2M applications, itâ&#x20AC;&#x2122;s easy to forget that satellite M2M has been around for more than two decades. Today, it is gaining momentum.

ÂŠOffComm News ~ Winter 2013

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Customised VSAT delivers high-throughput equivalent to 120gb/day data transfer Marlink has completed delivery of Ku-band VSAT services based on a 12 Mbit/s dedicated return link for the Atlantic Explorer, a Petroleum Geo Services (PGS) owned seismic survey vessel. The high throughput link was an upgrade to Atlantic Explorer’s existing Sealink customized VSAT service supplied by Marlink. The service was used during a four week North Sea survey project, enabling seamless transfer of survey data to shore where it could be reviewed and addressed whilst Atlantic Explorer was still at sea. This enabled survey schedules to be amended based on results as they were generated, saving time, costs and resources for PGS’ client as there was no need to wait for data to be delivered on return to port or collected by a helicopter, as is usually the case. “Taking into account overheads, packet loss for instance, the link enabled throughput of approx 5GB per hour. To put it into context, this is about 50 times more throughput than an average offshore vessel needs for heavy operational and crew use,” explains Tommy-Konkol Dybvad, director, Customised

VSAT, Astrium Services. “A link of this scale was necessary in order to facilitate the transfer of survey data. The project was a success, with the link providing massive amounts of bandwidth that enabled PGS and its client to conduct a highly operationally and cost efficient offshore survey.” The connection was ordered by PGS mid May 2013 and was live by the end of June using the existing 1.5 m Ku-band antenna on board Atlantic Explorer. A Marlink engineer installed a new 40W BUC (Block Upconverter) prior to the survey, to enable the higher throughput, which was activated whilst the vessel was out at sea. The configuration and service provision reflects Marlink’s approach to project based VSAT, where it can quickly provide extended capabilities for vessels requesting extra temporary or permanent bandwidth. “This project represents the very cutting-edge of what is known as customized VSAT; the kind of services used by the offshore industry because every platform and vessel has different requirements. This kind of high-level connectivity is not an off-the-shelf product,” adds Tor Morten Olsen, head of maritime, Astrium Services.

Brazilian ship builder urges Russian industry to strengthen maritime ties AMEC Kromav, the Rio de Janeiro headquartered specialist company for shipbuilding and offshore activities, has urged Russian industry to take full advantage of Brazil’s multi-billion dollar offshore industry opportunities. In a presentation during NEVA in St Petersburg in late September 2013, Rosalo Sales, director of business development & strategic planning at AMEC Kromav, told delegates that the Petrobras business plan 2013-2017 had scheduled investments of more than $230 billion in Brazil (95%) and $11.7 billion (5%) overseas, with opportunities for annual contracts worth $28.4 billion alone in Brazil. According to a Sales, the current oil tanker fleet must go through a $101billion or $14.2billion per annum modernisation programme by 2020, at which time Petrobras is scheduled to double oil production to 4.2million bpd.

This will cater for future demand for 49 tankers, 196 platform support vessels, 38 offshore exploration and production units, 28 drill ships and ancillary equipment. Brazil offers offshore industry experience, large demand for ships and offshore units and needs qualified manpower and partnerships in construction and engineering. Russia offers high experience in ship design, high quality equipment and qualified manpower to support the shipbuilding industry. Looking at what both countries need and have to offer, we firmly believe that Brazil and Russia will profit from trading what is needed and what may be offered. One should stress the participation of Russia’s maritime market leaders, United Shipbuilding Corporation, Sovcomflot, the Russian Register and Krylov State Research Centre. The NEVA exhibition promotes breakthrough technologies and attracts investment to commercial shipbuilding and other Russian industries.