Frost & Sullivan Lauds Hughes Network Systems’ Market Share and Technology Dominance of the Eastern European and CIS VSAT Markets

Based on its recent analysis of very small aperture terminal (VSAT) markets, Frost & Sullivan recognizes Hughes Network Systems, LLC with the 2007 Eastern European and Commonwealth of Independent States (CIS) Frost & Sullivan Award for Market Leadership for its continued position of market leader for over 20 years.

Hughes has been a supplier of cost-effective and reliable broadband solutions in Eastern European and CIS countries since the early 1990s when this region was experiencing many challenges with political and economic instability. Hughes pioneered the commercial use of this technology, while providing reliable and innovative solutions to fulfill the communications needs of large corporate and government structures, as well as small businesses and individual consumers.

“Until 2004, the VSAT market in Eastern Europe and CIS was hardly considered promising by many of the world’s largest VSAT companies but Hughes doggedly pursued educating potential customers about the possibility of providing high quality broadband satellite services in this emerging marketplace,” says Frost & Sullivan Research Analyst Violetta Kuvaeva. “Since 1997, Hughes has successfully organized forums in Moscow during the Svyaz-Ekspocomm exhibition, bringing together key customers and partners in the region to promote and raise the awareness of VSAT technologies and to share information about broadband opportunities globally.”

Hughes is an excellent example of a true market leader with the strong ability to identify market challenges, drivers and restraints and to implement successful strategies to address market dynamics. Currently the company has 16 authorized service providers utilizing its system and terminal products in this region, having installed 22 Network Operations Centers (NOCs) and shipped more than 23,000 VSAT terminals, 8,500 in 2007 alone.

Hughes has built a strong, far-reaching brand name for its highly reliable and innovative products and services and continues to improve its already extensive VSAT product line. One of the main strengths is the company’s ability to provide high quality and high technology products and services while staying very competitive in terms of pricing policy.

A recent example of Hughes’ advancements and innovations is the HN7740S, which is a high performance satellite broadband router and the latest addition to the HughesNet family. The HN7740S has two broadband VoIP and LAN ports to simultaneously support complex multimedia services with voice and high-speed data applications from a single platform.

Another example of Hughes’ leadership is the HX system platform, which is optimized for small and medium-size satellite networks that have high traffic and QOS requirements. The HX system fully complies with and offers all the advantages of the IPoS/DVB-S2 with ACM standard, which yields higher throughputs and more efficient bandwidth utilization, and is the world’s leading broadband satellite standard approved by TIA, ETSI and ITU.

“With scarce satellite capacity in the CIS and many regions of the world, the new HX system employing DVB-S2/IPoS with ACM brings additional capacity where it was not previously available, giving operators the ability to maximize the efficiency of bandwidth utilization and contain costs as they grow their businesses,” adds Kuvaeva.

Frost & Sullivan expects that Hughes will continue to maintain its market and technology leadership in the future. For these reasons, Frost & Sullivan is pleased to present Hughes Network Systems with the 2007 Market Leadership Award within the Eastern European and CIS satellite VSAT market.

Each year Frost & Sullivan presents this Award to the company that has exhibited market share leadership through the implementation of market strategy. The Award recognizes displayed excellence in all areas of the market leadership process, including the identification of market challenges, drivers and restraints, as well as strategy development and methods of addressing these market dynamics.

Frost & Sullivan Best Practices Awards recognize companies in a variety of regional and global markets for demonstrating outstanding achievement and superior performance in areas such as leadership, technological innovation, customer service, and strategic product development. Industry analysts compare market participants and measure performance through in-depth interviews, analysis, and extensive secondary research in order to identify best practices in the industry.