PRIVADO Y CONFIDENCIAL © Documento propiedad de HISPASAT,S.A.

SATELLITE FOR CELLULAR BACKHAUL:

CHALLENGES AND OPPORTUNITIES

Connectivity 2017, London

Jorge Rodríguez López, Head of Marketing

PRIVADO Y CONFIDENCIAL © Documento propiedad de HISPASAT,S.A.

Hispasat and backhaul

INTRO

2

BRASIL

MOROCCO

BRASIL

ARGENTINA

ECUADOR

BRASIL

ECUADOR

CHILE More than 25 years serving Telcos

to deploy and extend their

networks

PRIVADO Y CONFIDENCIAL © Documento propiedad de HISPASAT,S.A.

MARKET PERSPECTIVE

PRIVADO Y CONFIDENCIAL © Documento propiedad de HISPASAT,S.A.

MOBILE TRAFFIC

WILL MULTIPLY BY

FIVE IN THE

COMING YEARS

Source: Ericson Mobility report 2016

0

10

20

30

40

50

60

2015 2016 2017 2018 2019 2020 2021

GLOBAL MOBILE TRAFFIC (MONTHLY EXABYTES)

Voice Data: smarphones Data: mobile PCs, tablets, etc.

MARKET PERSPECTIVE

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4G IS GROWING

BUT 3G AND 3.5G

STILL LEAD

MARKET

PENETRATION

MOBILITY: MARKET PERSPECTIVE

LTE WCDMA/HSPA GSM/EDGE-only TD-SCDMA CDMA-only

Other

5G

SUBS BY TECHNOLOGY (BILLIONS)

Source: Ericson Mobility report 2016

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Regional trends

MARKET PERSPECTIVE

LTE/5G

WCDMA/HSPA

GSM/EDGE-only

TD-SCDMA

CDMA-only

Other

75%GSM/

EDGE

55%WCDMA

HSPA

50%GSM/

EDGE

50%LTE/5G

45%LTE/5G45%

WCDMA

HSPA

50%WCDMA

HSPA

60%LTE/5G

55%WCDMA

HSPA

90%LTE/5G

55%LTE/5G

95%LTE/5G

Source: Ericsson mobility report

New generation networks deployment is different by region. High penetration of 4G in Western Europe and USA but

less intensive in LATAM, AFRICA and ASIA

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VIDEO DOMINATES

TRAFFIC GROWTH

MARKET PERSPECTIVE

Source: Ericson Mobility report 2016

0

5

10

15

20

25

30

35

File Sharing Web browsing Softwaredownload

Audio Socialnetworking

Video

MOBILE TRAFFIC BY APPLICATION CATEGORY PER MONTH (EXABYTES)

2015 2021

8PRIVADO Y CONFIDENCIAL © Documento propiedad de HISPASAT,S.A.

MARKET PERSPECTIVE

IOT

Source: Ericsson mobility report

Mobile phones continue to be the largest category of connected devices , but in 2018 they are expected to be

surpassed by IoT.

Cellular IOT

Non-Cellular IOT

PC/laptop/tablet

Mobile phones

Fixed phones

0,4

4,2

1,7

7,1

1,3

8,6

14,2

1,8

1,5

1,4

1%

22%

0%

3%

27%

15

billion

28

billionCAGR

2015-2021

2016 20210

5

10

15

20

25

30

2014 2015 2016 2017 2018 2019 2020 2021

Connected devices (billions)

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BACKHAUL VIA

SATELLITE

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Total Mobile Backhaul Sites (000s) – All backhaul technologies – and percentage backhauled via satellite technology

Source: NSR

Market penetration

287,000

0.13 % satellite

180,000

4,11 % satellite

277,000

4,23 % satellite

573,000

0,19 %

Satellite

1,779,000

0,92 % satellite

BACKHAUL VIA SATELLITE

11PRIVADO Y CONFIDENCIAL © Documento propiedad de HISPASAT,S.A.

0

200

400

600

800

1,000

1,200

1,400

1,600

1,800

2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025

Trunking & backhaul - regular capacity usage (36MHz TPEs)

0

100

200

300

400

500

600

2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025

Trunking & backhaul - HTS capacity usage (Gbps)

BACKHAUL VIA SATELLITE

Capacity forecast

Source: Euroconsult

Capacity switch from wide-beams to HTS is impacting cellular backhaul market

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FIXED LAND-BASE

TOWERSSMALL CELLS MOBILITY

VIDEO

OFFLOADING

BACKHAUL VIA SATELLITE

Key applications

Main market for satellite

backhaul. Transition from 2G

to 3G/4G

.

Market opportunity specially in

rural and remote areas.

3G,4G backhaul for aereo,

land and maritime

7000Mbps of capacity used for

video offloading via satellite by

2023 (Source: NSR)

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ARCHITECTURE

HTS satellites vs Wide beams

TDMA vs SCPC

INTEROPERABILITY

Integration of mobile-satellite, mobile-

cloud networks, SDR

BACKHAUL VIA SATELLITE

Technology challenges

HYBRID SOLUTIONS

Combination of Ku/Ka wdebeam and

Ka HTS satellites to deal with

different capacity and quality of

service requirements

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5GTrending topic in the ICT industry, 5G ecosystem is still under

definition. Satellite industry shall keep innovating to adapt its

products and servicer to the new requirements.

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5G

A new paradigm

Increasing

wireless capacity

1000 times

x1000

Connecting 7

billion people

Connecting 7

trillion ‘things’

Saving 90%

energyPerceiving zero

downtime

7Billion 7Trillion

90% 0 Latency

Source: 5GPP

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MULTIMEDIA

DISTRIBUTIONNETWORK CONTROL

SIGNALLING,

OFFLOAD

M2M, CRITICAL MISSIONSSERVICE COMUNITY

The role of the satellite

5G

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+ 3 4 9 1 7 1 0 2 5 4 0 w w w . h i s p a s a t . c o mi n f o @ h i s p a s a t . c o m

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Thank you !