- Serge Van Herck, CEO Newtec
Year in Review 2011
This year has been a particularly successful one for the satellite industry. Whilst the global markets in 2011 have been steady but lack lustre in many regions, they have been particularly strong in rapidly developing parts of the world. The satellite industry has been buoyant with connectivity, increasing TV transmissions, IP broadband traffic, a growing requirement for mobile backhaul and also implementation of technological innovations such as Ka-band pushing it forward.
In a recent paper by international telecom market research and consulting firm NSR, analysts predict that 1,600 satellites will be launched in the next 15 years. This will likely be worth $250 billion to the satellite industry over the same time period.
With the future outlook for the industry being particularly bright, Newtec has been planning and implementing new strategies in 2011 to align itself and reap the potential rewards. Innovations this year, major contract wins and the decision to improve the way Newtec works with its partners, have assured 2011 has its place in the record books as one of the most transformational in the company's 26-year history.
- New bePART® Business Programme
Enhanced Partner-Driven Era
In 2011 Newtec unveiled a new strategy that will ensure partners can access the company’s comprehensive and unique range of products quickly and easily across the globe. After a successful unveiling of the new bePART® Business Programme in Asia in June, Newtec launched it globally at IBC 2011 show in September.
In the past Newtec had sold its products to end-users directly or through business partners, depending on the region or the specific relationship with the end-user. Today, Newtec’s strategic goal is to fulfil more of its business through key partnerships that will bring added value to end-users locally and reinforce the Newtec brand and sales strengths.
Focus on Key Vertical Markets
Newtec has also set a clear ambition to strengthen its core focus onto key vertical markets. The company’s sights are set on broadband, Ka and multiservice solutions, converging broadcast technologies, government and defence solutions, and IP trunking and backbone markets as primary targets. For the latter, market research has already shown that Newtec is the global market leader.
With the burden on governments to monitor their budgets tightly, and to make the most of satellite throughput, Newtec continues to see this as an area where major efficiencies can be made. Satellite communications are vital to many government communications. They play an important role in communicating with UAVs, fixed communications, Intelligence gathering and also with troop Moral, Welfare and Recreation (MWR) programmes. When talking about technologies for UAVs Newtec’s FlexACM® ensures more efficient beyond line of sight communications. At the same time optimal availability can be achieved in any fading condition – such as inclined orbit, weather and interference – to keep mission-critical communications running at all times.
With this in mind Newtec has expanded its conference and exhibition programme. In 2011 it exhibited at Milcom, Global MilsatCom and Milipol to name just a few. And for those who could not attend tradeshows, Newtec has regularly offered free webinars as well as hosted its own seminar in Miami.
Of course Newtec has maintained its focus on other exhibitions in 2011 too, launching many new products in the broadcast, IP trunking and broadband access markets at IBC 2011. It also had a major presence at NAB, CommunicAsia, Convergence India and the Satellite show in Washington among other industry shows.
Major Contract Wins
- Newtec’s Sales and Marketing Team at IBC show in Amsterdam, September 2011
One of the reasons for Newtec’s success in 2011 has been major contract wins with three of the largest satellite service providers in the world. This cemented Newtec’s commitment to its position in the market as an independent technology provider of choice. SES ASTRA, Eutelsat and Intelsat are providing the satellite capacity in three separate deals that have proven to be a landmark moment for not only Newtec, but also the industry. At the beginning of 2011 Newtec passed the 100,000 terminal milestone for its award-winning Sat3Play® IP broadband terminals. Now new Newtec Ka-band Sat3Play terminals are soon to be shipped in what is the first network of its kind in Europe.
Serge Van Herck, CEO of Newtec, is convinced that Ka-band will play a major role in the future of satellite. Van Herck said: “The future of consumer broadband services over satellite is Ka-band. This is simply because the total capacity offered by other commercial frequency bands cannot possibly cope with new demands. ASTRA2Connect’s download speed and volume has increased over the years and the new Sat3Play Ka-band terminals will enable a further expansion to its offering.”
In 2011 Newtec has also expanded the Arab States Broadcasting Union (ASBU) MENOS® network and implemented several TV and radio exchange systems throughout the Middle East with the largest in Saudi Arabia. It also supported the launch of the private Radio FM distribution. Together with its partner Arabsat, Newtec and ASBU are now offering extended services and products for Fast News Gathering (FNG) and High-Definition TV (HDTV) contribution as well as exchange on its Multimedia Exchange Network Over Satellite (MENOS) platform for existing and new customers.
Continued Expansion into Asia and Latin America
- Serge Van Herck, CEO of Newtec, cutting the Newtec Asia birthday cake at Newtec’s press conference, CommunicAsia show, June 2011
After a decade of activity in the Asian region, Newtec has built up a considerable reseller base and an impressive reputation for its products and services. As such it marked the tenth anniversary in 2011 by joining the Asia Pacific Satellite Communications Council (APSCC) as a member.
In addition to joining APSCC, Newtec’s team in Asia has also undergone reorganisation and expansion. Anver Anderson joined as Senior VP for Asia bringing more than 25 years' experience in the telecommunications and satellite sector, previously working for British Telecom, Inmarsat and Europe*Star.
Newtec has also expanded its operation in the rapidly growing Latin American market. Senior staff additions at the regional headquarters in São Paulo have taken place alongside the roll-out of the new partner-driven business programme "bePART" in Brazil and a number of neighbouring countries.
According to Bart Van Utterbeeck, Sales Director for Latin America, the regional market for satellite infrastructure is booming. A number of factors are at work, including strong economic growth, the desire to close the ‘digital divide’, and satellite technology advantages when addressing the challenges posed by Latin America’s various terrains and vast expanses.
Successful Partners and Booming Customer Satisfaction
- Newtec Significantly Strengthens Customer Satisfaction in 2011: 95.4 % of customers indicate that they would recommend Newtec’s products to others
Newtec's existing partners and customers have also shared some outstanding success stories during 2011. A completed morale, welfare and recreation project in Afghanistan has connected 40,000 with their family and friends back home. There have been efficiency savings on Sky Italia’s DTH platforms, and Red Bull Media House upgrades have been successfully implemented. These are among the many reports that are coming in with other customers including Aljazeera and Congolese service provider Microcom also confirming successful installations.
In fact Newtec has recently completed its yearly customer satisfaction survey that has outlined how the company further strengthened its customer satisfaction level. As of 2009 and as part of the ISO process Customer Satisfaction Management, Newtec is annually checking its customer satisfaction.
In this context, the overall satisfaction has been very impressive. In 2011 a very significant and positive shift can be noted with a move from "satisfied" to "extremely satisfied". To dive into details, this is especially true regarding performance and the price/performance ratio, and where the improvement has been very significant. The satisfaction ratio of the sales team also jumped significantly reaching an overall level of "extremely satisfied". Ordering, delivery, support and marketing communications also passed the “very satisfied” mark. The most positive quantitative result overall though is in Newtec's competitive positioning which has skyrocketed in terms of product quality and features, technical support and industry leadership. These results really sum up what has been an extremely strong 2011.
Carrier Interference Campaign
In 2011 Newtec has given its unreserved support for the standardisation and adoption of industry-wide counter-measures to combat interference. Interference of satellite carriers is a growing problem in the industry for users of satellite transmissions. There is an industry consensus that counter-measures should utilise the addition of carrier identification to enable the quick location and correction of misconfigured or unauthorised carriers.
DVB has accepted the topic of Carrier ID as a work item and Van Herck believes a solution is necessary. “Whilst an intermediate solution is necessary, we need to look to the longer term. We welcome increasing industry-led momentum to find solutions to these threats. Newtec is very supportive of and active in industry-wide initiatives and efforts to counter and reduce the impact of carrier interference.
“End-user dissatisfaction is unacceptable and so we are pleased to see so many stakeholders in the satcom industry working together. It is vital though that we choose the right solutions that will serve us all well in the years to come.”
What Next for 2012?
The year 2011 has been a very successful one for Newtec in which it has won major contracts and aligned itself successfully with a buoyant industry.
In 2012 Newtec will increase its efforts across the globe but in particular, in Africa and Russia where market penetration will be boosted as new excellent partners combine with innovative new solutions and products.
Now and in the future Newtec is committed to its position in the market as an independent technology provider of choice. Its core belief is to help customers and partners to succeed through innovation and cutting edge technology. With a fine-tuned strategy there is every confidence that 2012 can be equally as successful.