Archive for the ‘News’ Category

Robert Gottliebsen, Management Insights

Our Management Insights interview with the chief operating officer of NewSat, Michael Hewins, is an inspiration to all those who believe small companies can succeed in the current environment if they have the right technology.

Incredible as it may seem, the low-cap Australian-listed NewSat provides the satellite communications for the US land forces in Afghanistan.

The Australian army believes that it is better to use satellites linked to China for its Afghanistan military satellite communications.

NewSat operates satellite teleports out of Adelaide and Perth and its services have been so successful in coordinating the US Afghanistan land forces that the US military wants NewSat to go the next step and extend its satellite operation from simply operating satellite communication to owning a satellite or satellites.

Remember this is a company whose shares are at 0.7 cents and has a tiny capitalisation, although it is profitable. But with the right technology, and the US military behind you, anything is possible.

And that’s why American satellite expert Michael Hewins has come to Australia to join NewSat chief executive Adrian Ballintine – to give NewSat the management clout to take the next step.

Satellite spots are not easy to obtain and NewSat has bought seven of them.

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Cisco predicts that the number of network-connected devices in Australia will be more than 84 million, more than triple Australia’s population, by 2015.

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Space may still be the final frontier but technology is making the earth and its environments seem that much smaller.

One Australian company is already winning world recognition for its space communication facilities. Now it’s going where no other Australian company has gone before and sending its own satellite into space.
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PoI decision was only the first challenge.

NBN Co has been distributing its product and price list noting that the prices still have to be accepted by the competition watchdog. David Havyatt outlines the challenges NBN Co will face in getting the prices accepted.

Both Telstra and Optus have raised concerns about NBN Co becoming a new monopoly.

It’s a better monopoly – in that it will be structurally separated and won’t have a retail division in favour of which it might discriminate.

But it is nonetheless an organisation whose pricing decisions are unconstrained by market competition.  That’s where the Australian Competition and Consumer Commission steps in.

Speaking at the Communications Alliance’s recent Broadband and Beyond conference, NBN Co’s Mike Quigley and the ACCC’s Michael Cosgrove provided some detail about the first stumbling block: Points of Interconnect (POIs) between NBN Co’s access network and the networks of ISPs.

There are reasons to believe the future path will be quite rocky.

The POI decision

NBN Co had proposed a model that had only 14 PoIs around Australia.  Quigley favoured this model as it was administratively simple and facilitated uniform national pricing.

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