Posts Tagged ‘wildblue’

Satcom: We Don’t Suck

Tuesday, November 5th, 2013

sat_chart

For years, Internet by satellite was deemed “acceptable” by those who couldn’t get broadband by other means. Satellite operators have known for 20+ years that Ka-band was good for data, but nobody had the balls to really make a financial and operational commitment toward achieving commercial and/or technical success. Hughes, Starband, Wildblue and a host of 2nd and 3rd tier resellers tried to make a go of it, but nobody could get the cost of satellite bandwidth down to a workable level.

When satellite operators are getting 80% EBITDA margins from video distribution, why bother?

ViaSat set out to change perceptions by working the technology to make it work. They’re winning.

Mark Fidelman put together a solid piece in Forbes last week that should have been written 15 years ago — if big satcom walked the talk back then. He sat down with ViaSat CEO Dankberg and got into the details:

Most people would assume that the bandwidth issues will forever limit the size of the satellite communications market, but I’d hold off on that assumption. Dankberg explained that current satellite systems are manufactured by different vendors that build to the lowest common technical denominator. The three primary components, the satellite, the ground systems and the satellite communications service providers are all different vendors with different priorities. Which means that the entire communication system is not optimized. These systems are like a large truck with a lawn mower engine meant for a race car driver.

“So what we’ve done is developed all three of those areas. We build the ground system, we design the satellites and we operate them, so we know what we need,” Dankberg explained, “Since we are the architect of all three, we can completely integrate and optimize the system.”

Dankberg told me that ViaSat-1 used existing space components, and sub-systems, but that ViaSat-2 will have a better design and thus optimized architecture. He believes it will be twice as fast as ViaSat-1 which means it will provide even greater competition with high speed cable and DSL providers.

That means anyone anywhere could have their own high speed communications antenna. Essentially filling the gaps that current providers can’t fill due to regulatory or terrestrial issues. Yes satellite communication technology still operates on higher frequencies which don’t propagate walls very well. But Dankberg says in those situations antennas on cars, busses, trains, homes and commercial buildings will convert the signal to lower frequency Wi-Fi which is better able to penetrate the interiors of buildings.

Has anyone noticed that when you need higher bandwidth the most, it never seems to be available? I’m thinking about those situations where streaming video, uploading and downloading media are essential but are slow due to network congestion. Dankberg’s solution was to develop a type of artificial intelligence: “One of the things we did to make our network faster is develop software to figure out what you are doing, and deliver it faster that you otherwise would get -because we can anticipate what you’re going to do,” Dankberg said.

Satellite’s gotten such a bad rap that Exede partner Dish Network barely mentions the word on its website. And not at all in TV spots…

Mark Dankberg and his team are real innovators and us rocket scientists are glad to see this part of his business meet real success.


Highway to Hughes

Wednesday, October 26th, 2011

I love a good customer service “moment of truth” situation. Something that’ll either keep or boot a customer. Whether it’s B2B or B2C, this is a moment when you should delight the customer — or else.

HughesNet just blew it in Texas. The report, via the Austin American-Statesman

When a police officer in their driveway screamed for Ken and Linda Schutt to evacuate their home as a wildfire closed in, they grabbed two dogs, three framed photos and clothes in a suitcase. Two days later, they surveyed what was left of their double-wide mobile home and started taking care of business: call the insurance company, the utilities and HughesNet, their satellite Internet provider. That’s when the headaches began.

Linda Schutt said she called the Maryland-based HughesNet to cancel service and couldn’t believe how the customer representative handled the call.

“She wanted me to send back the equipment — the dish, the cable and modem. When I asked her what part of me saying that our house burned to the ground that she didn’t understand, she insisted I return their equipment. If we didn’t, she said we owed $100,” Linda Schutt said.

The Schutts temporarily put aside dealing with HughesNet. They’d lost everything in the Sept. 5 fire, including the American flag that was used on the casket of Linda Schutt’s brother after he was killed in the Vietnam War.

The week after the fire, she wrote HughesNet a letter complaining about the service and saying she’d never use the company again.

“I included the burned satellite dish because that’s all that we found. It wasn’t any good, but since they insisted they wanted their equipment, we sent what we could find,” she said.

On Saturday, Linda Schutt got a call from someone who she thought was a HughesNet representative. “I thought he was calling about my letter, but I later found out it was a bill-collecting agency,” she said.

That call also didn’t end well. “He also told me we owed $100 for the equipment,” she said.

On Tuesday, Schutt said she noticed Hughes withdrew $106.25 from her bank account, presumably the cost to replace the equipment.

Statesman Watch contacted HughesNet on the Schutts’ behalf. Spokeswoman Judy Blake said the complaint was referred to the company’s executive customer service team. Within minutes, HughesNet called Linda Schutt to tell her the $106.25 would be credited back to her bank account.

“I’m sorry that she went through that,” Blake said, referring to the customer service representative who first spoke with Schutt. “I don’t know what went wrong, but perhaps the customer rep didn’t have the authority to give her credit or thought about asking a higher-up.”

Schutt is happy to get the refund. “But that wasn’t the point. We could afford the $100. It’s just that after all we’d been through, they could have been a little understanding. It’s the principle. If Statesman Watch hadn’t called on our behalf, we’d still be fighting this,” she said.

The good people at Hughes should be reminded of the Two Rules of Business:

  1. The customer is always right.
  2. If the customer is ever wrong, re-read rule #1.