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A new horizon for broadband
A sky full of internet satellites? Take cover, take cover...

By Ben King

Published: Thursday 05 July 2001

As ADSL rollouts drag on, other technologies which were previously thought unviable are appearing on the horizon.

Today, a newly formed company called Aramiska, launches a low-cost consumer broadband internet service for SMEs and large corporates in remote locations.

A range of companies across the world have made similar announcements this week as the broadband industry looks to the skies to bypass the blockade at the local loop.

Alan Pyne, analyst at broadband consultancy Schema, reckons that satellite broadband will only be a niche product at best.

He told silicon.com: "Intuitively, I would always look for a fixed line solution. But 25 per cent even of the UK is beyond the reach of ADSL and cable. So this could have an application in remote rural areas."

They key, he said, would be finding a price. Sending satellites into orbit is necessarily an expensive business, but satellite broadband internet services would have to be offered at similar prices to other forms of broadband if they were to sell widely.

The industry is clearly optimistic, however, and the news follows a flurry of broadband satellite announcements this week.

Interxion and Cidera announced a deal which will allow ISPs to stream video content from node to node bypassing most of the routers which degrade video on a normal internet connection.

On 29 June Tiscali promised to offer broadband satellite by the autumn in a deal with Gilat Satellite Networks. The initial charge will be $500 for installation and a $70 monthly subscription.