From Ground to Outer Space - The Evolution of Mobile Backhaul Via K and C Band Satellites - By: Warren Smith Jr

Bandwidth allocation has become one of the top priorities of developed economies due to the rapidly growing demand for wireless communications. Bandwidth scarcity is more serious than most people think.

Terrestrial 3G and 4G technologies pose limitations on the coverage of cellular networks. The limited distance that can be travelled by cellular signals prompts ISPs and telecommunications firms to look for alternative backhaul channels in areas that are far from central operations centres. Fortunately, modern advances in satellite communications make it possible to run backhaul channels in areas not served by cellular towers.

A modern K and C band satellite can provide broadband coverage to as much as ⅓ of Earth’s surface. And with a fleet, broadband coverage can cover the entire globe. Mobile backhaul via satellite is scalable, but it still underutilized.

As of 2002, US had 6,700,000 telecommunications circuits, compared with 243,000 in 1995. The growth of the telecom sector led to the deployment of more satellite circuits, rising from 28,000 in 1995 to 81,000 in 2002. However, the amount of satellite circuits as a percentage of terrestrial circuits dropped from 10.6% to 1.2% during the same span of time, suggesting tremendous growth potential for K and C band backhaul services.

Nearly about 75% of the telecommunications circuits of Middle East and Africa are served by K and C band satellites. Asia is also poised to see more satellite backhaul channels. As of 2005, Asian telcos are operating 83 million ADSL circuits, with China, Japan and Korea leading the markets.

In areas not reached by cell towers, K and C band satellites can provide a cost-effective backhaul solution. In Europe, the government is looking up to satellite technology to bring Internet connections to 35% of rural households. An estimated 20 million rural households is expected to benefit from it. EU estimated the take-up rate under that scenario to be 15%, which means that more than 2 million rural customers will be willing to spend money to access satellite-based broadband services.

How much would be the unmet demand for mobile broadband if there are no K and C band satellites to facilitate mobile backhaul? The broadband gap will affect 4-8 million users. Based on a study conducted by Price Waterhouse Coopers, satellite broadband is needed to fully accommodate the Internet need of 4-7 million households in regions not served by terrestrial backhaul.

Because of narrow profit margins and longer time required to recoup their investments in rural regions, traditional telecommunications firms are reluctant to invest in those areas. The NPV of such investment would be 13% higher than the cost. But in cities, the margin is 70%.

Fortunately, satellite-based mobile backhaul can reduce the capital requirements for mobile backhaul. A single K or C band satellite can serve various countries. By partnering with satellite service providers, telecommunications carriers can have immediate access to state-of-the-art satellites that can connect cellular towers, radio hubs and NOCs altogether despite large distances. This has been proven to be more cost-efficient than running terrestrial backhaul networks in low-population areas.

About the Author

The author writes about mobile backhaul networks and c-band satellite services .

Article Directory Source: http://www.articlerich.com/profile/Warren-Smith-Jr/182317

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