19th Ka and Broadband Communications, Navigation and Earth Observation Conference and the 31st AIAA International Communications Satellite Systems Conference (ICSSC) Florence 14th to 17th October 2013

1. Delivering on the broadband promise:
technology trends and institutional landscape
Antonio Bove, Senior Manager Products & Marketing
SES Broadband Services

2. Agenda
SES Broadband. Our view, our positioning, how do we see the future
 Broadband for all: it is only about market failure?
 Broadband in sub-urban areas: urban legends and laws of physics
 Internet Speeds fail to meet promises from terrestrial operators
 The Evolution of the Internet: where the world is going
 HTS approaches: are we selling drilling machines or an hole?
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3. Broadband for all
It is only about market failure?
Satellite broadband
 The market for Satellite broadband has changed
noticeably in recent years
• Downlink speeds approaching 20 Mbps
• High speed satellite proposition is well in line
with those for terrestrial and mobile services
Terrestrial broadband
 Average DSL speeds in Europe are still very low
 LTE networks, have been heavily supported from
European governments to diminish the digital divide,
however technology and pricing wise LTE has now
been able to deliver the undertaking.
 The more the fiber is deployed the bigger the fork
between who will get fair and fast access to internet
versus who will not be able to get decent
connectivity will enlarge
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Observed average speeds
0
1
2
3
4
5
6
7
Average Mbps
0%
20%
40%
60%
80%
100%
120%
> 5 Mbps > 2 Mbps <2 Mbps
Source: Akamai

4. Internet Speeds fail to meet
promises in Germany
Politics under pressure to deliver
 Over recent years the European Union and
its Member States have taken important
steps to support growth
 The main pillar to achieve growth is to
enable fast penetration to the vast majority
of the population of internet access services
 The EC has prioritised the development of
digital services in an attempt to increase
European GDP by 5% over the next eight
years
 ….. but
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Study Shows
 The German telecommunications regulator,
Bundesnetzagentur, measured the Internet
connection speeds of 250,000 consumers,
confirming what many German consumers
have long suspected:
• Internet broadband service is much
slower than advertised
• The study showed that only 15.7% of
those using fixed telephone lines and 21%
percent using mobile devices achieved
the advertised maximum speeds
Source: Bundesnetzagentur, Study on the Quality of Service of
Broadband Access Lines, April 2013,

5. Broadband delivery
Urban legends and laws of physics
 All in all, a large variance of the
measured data transfer rates could be
observed for all technologies examined
 Differences could be due to technical
specifications of the products
• Throttling of the subscriber line in
the case of xDSL infrastructures
• The joint use of resources (shared
medium) in the case of cable and
LTE
• Other factors as current location,
environmental factors and the user's
speed of motion for LTE
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Source: Bundesnetzagentur, Study on the Quality of Service of Broadband Access Lines, April 2013,

6. Achieved performances
DSL and LTE
Proportions of the users who receive at least x% of the advertised data transfer, by
technology and bandwidth class
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Percentage of the advertised data transfer rate
TECHNOLOGY BANDWIDTH 50% 60% 70% 80% 90% 100%
DSL
< 2 Mbps 80.1% 72.7% 65.6% 57.8% 52.0% 42.5%
2-8 Mbps 70.5% 54.7% 50.2% 45.8% 40.7% 24.8%
8-18 Mbps 63.4% 56.6% 47.0% 33.9% 19.1% 4.5%
18-25 Mbps 74.9% 68.5% 62.4% 58.0% 47.9% 14.7%
25-50 Mbps 69.0% 63.0% 57.3% 51.1% 41.9% 10.8%
4x
LTE
2-8 Mbps 67.5% 57.4% 52.5% 47.2% 41.3% 33.1%
18-25 Mbps 49.6% 40.4% 33.0% 27.2% 21.1% 12.2%
25-100 Mbps 23.3% 15.5% 9.3% 5.8% 3.6% 1.6%
20x3x
1.1x

7. Achieved performances
Cable
Proportions of the users who receive at least x% of the advertised data transfer, by
technology and bandwidth class
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Source: Bundesnetzagentur, Study on the Quality of Service of Broadband Access Lines, April 2013,
Percentage of the advertised data transfer rate
TECHNOLOGY BANDWIDTH 50% 60% 70% 80% 90% 100%
Cable
2-8 Mbps 84.3% 75.8% 72.4% 66.9% 63.9% 50.5%
8-18 Mbps 82.3% 72.4% 67.7% 63.1% 58.4% 50.7%
18-25 Mbps 80.1% 71.4% 65.7% 59.4% 51.0% 40.2%
25-50 Mbps 77.1% 67.8% 61.8% 55.9% 49.6% 39.9%
> 50 Mbps 70.5% 59.9% 54.5% 49.5% 43.7% 36.3%

8. 6.3 Billion 6.8 Billion 7.2 Billion 7.6 Billion
500 Million
12.5 Billion
25 Billion
50 Billion
2003 2010 2015 2020
World Population
Connected Device
Connected Devices
(per capita):
0.08 1.84 3.47 6.58
A more connected society:
the Internet of things
More connected
devices than
people
Source: Ten in Ten. Ten Technology Trends that will change the world in Ten Years, Cisco – July 2011
2x2x

9. Internet of Things:
First Evolution of the Internet
New Internet Inhabitants
 What do trees, cows, shoes, and your
body have in common?
• A tree has 3,000 followers... do
you?
• Cow transmits 200 MB per year
• Connected shoe
New Internet Inhabitants
 What do trees, cows, shoes, and
your body have in common?
• Asthma inhaler cross-referenced
with environmental / weather data
• Proteus chip transmits data from
your stomach
9Sources: Cisco IBSG, 2011; Sparked, 2010; Nike, 2010; David Van Sickle, 2011; Proteus, 2011

10. The Zettaflood is coming
By 2015, 1 Zettabyte of Data will flow
over the internet
 One zettabyte = stack of books from
Earth to Pluto in 20 times (72 billion
miles)
 Increase of 540,000 times from 2003;
more than 90% from video
 If an 11 oz. cup of coffee equals 1
gigabyte, than 1 zettabyte would have
the same volume of the Great Wall of
China
10Source: Cisco Visual Networking Index (VNI), June 2011

11. More and more data in the cloud
 By 2020, one-third of all data will live in or pass through the cloud
 Global cloud services revenue will jump 20% per year
 IT spending on innovation and cloud computing could top $ 1 trillion by 2014
Creating new capabilities …
Wisdom of the Cloud
11Sources: Lew Tucker, Cloud CTO, Cisco, 2011; EMC, 2010; IDC, 2010
1960 1970 1980 1990 2000 2010
Mainframe
Minicomputer
Client Server
Web
Visualization
Cloud

12. How the future will look like
 In the foreseeable future media
content will be delivered using a
combination of fiber, cable networks,
wireless terrestrial networks and
satellites
 Leveraging the strengths of each
individual technology and forming
“hybrid satellite-terrestrial” networks
 Terrestrial and mobile networks will
rely on satellites for cost-efficient
multicast of high-bandwidth data
streams and high-definition media,
delivering
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13. Broadband
Various approaches to the market
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Christmas Island
Cocos Island
Norfolk Island
Lord Howe
Island

14. High-speed broadband internet via
satellite for individuals and businesses
 Mix of Ku and Ka-band payloads
 Open platform (multi vendor compatible)
 Cheapest terminal on the market
 Flexibility to deal with the future
SES Broadband

15. The satellite perspective
The Math Does Not Lie
 Satellite broadband addresses between 5 to 10%
of households in Europe also where terrestrial
broadband penetration is relatively high
 Satellite broadband users are geographically
dispersed therefore channels to the market are
fragmented
 The growth speed and scale differs from DTH
 SES is focused on selected markets where
potential penetration is significant and it is reflected
in our Ku/Ka band roll out
 Our policy is to increase Ka-band capacity,
adding specialized transponders as market
development dictates
 Access only proposition will be commoditized
sooner or later
15
t
R
15 years

16. Voice is dead, broadband only will be
soon a commodity, how do you feel?
OTT, Multiscreen & Non-Linear Viewing:
Video Traffic Evolution
"The sum of all forms of IP video (Internet video, IP
VoD, video files exchanged through file sharing, video-
streamed gaming, and video conferencing) will
ultimately reach 90 percent of total IP traffic." (video
conferencing and gaming to remain very low)
Today, despite coverage(*) / quality limitations, the
traffic generated by the currently less than 10% non-
linear viewing already created a major cost/revenue
disconnect for multi-play operators
(*) EU27: 36% HHs do not subscribe to Internet and 70% of these Internet HHs
get less than 5Mbps average speed which is insufficient for a quality
multiscreen experience
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90% of the expected residential broadband consumption
growth is expected to be video, mainly unicast access

17. Triple-Play
The open questions today
DVB in
Sat BB
in/out
USPs  Bundled offer with lower TCO (BOM)
 Seamless integration at platform level
 Mix of streaming and push COD (linear and non-linear)
DVB-TV
Broadband access
Will satellite broadband
cohesist with DTH on the
same orbital slot
Will the ODU support
DTH/BB in Ku/Ka
How DTH/BB shall be supported
by IDU (e.g. same device, more
devices)
How the different platfroms shall
integrate from IP point of view
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18. Thank you
Antonio Bove
Senior Manager, Products & Marketing
antonio.bove@ses.com