SkyREPORT.COM News Headlines
News Update For 09/20/99
- - - EchoStar 5 Ready For Launch - - -
EchoStar 5 will launch on a Lockheed Martin Atlas
IIAS rocket early Wednesday morning, at 1:08 Eastern
Time, from Cape Canaveral Air Station in Florida.
The launch was postponed to allow engineers time
to analyze an avionics unit that failed factory
testing. Rocket crews also had to prepare for
weather associated with Hurricane
Floyd. Since then, the avionics unit, part of
the Atlas launch vehicle control system, has
been cleared and the hurricane passed without
causing any damage to the rocket.
EchoStar's fifth satellite will add 150 more
channels to the existing 350 channels available
on its DISH Network DBS service. EchoStar wants
to use a single small dish pointed at both its
110 degree and the 119 degree orbital slots to
deliver around 500 channels.
- - - Hughes Unit To Eliminate 450 Jobs - - -
Hughes Space and Communications, the satellite
building arm of Hughes Electronics, said it will
eliminate 450 jobs to offset slowing demand for
satellites from customers in Asia and Latin America.
The layoffs, which amount to about 5 percent
of the company's workforce, will take effect
in mid-November, said Hughes spokesman Don O'Neal.
Pink slips were handed out last week.
The satellite market has flattened in recent
months, he said, largely due to financial
challenges in Asia and South America.
Hughes also was hurt by the cancellation of
a contract to build a new telecommunications
satellite for a consortium of Asian nations,
including China. Hughes withdrew its export
application for the satellite and took a $450
million loss on the deal after the State
Department raised concerns the project could
benefit the Chinese army.
- - - Anstrom To DBS: Be Careful What You Wish For - - -
Weather Channel President Decker Anstrom warned
the DBS industry against allowing the government
to get directly involved in its business,
especially when it comes to lobbying for new
satellite TV legislation.
Anstrom, the former head of the National Cable
Television Association, said the satellite
industry should push Congress to pass a
"pro-competitive bill for consumers and then
get out of the way.
"Trust the market. Resist to urge government
intervention in these markets," he said at last
week's SkyFORUM symposium in New York City. "You
don't want government to regulate competitors or
suppliers. Once it gets into the marketplace, it
doesn't discriminate."
Legislation covering everything from
local-into-local channels to distant network
signals is pending before Congress. It's expected
that a conference committee of House and Senate
members will move on a bill sometime in October.
- - - Iridium Bankruptcy Moves To New York - - -
Financially strained sat-phone company Iridium
has moved its Chapter 11 bankruptcy proceedings
from Delaware to New York.
The move, approved by U.S. Bankruptcy Court
officials in Manhattan, is seen as a concession
to Iridium's bondholders. The company filed for
bankruptcy last month in Delaware, soon after
bondholders sought an involuntary filing in
New York.
Bondholders who filed an involuntary bankruptcy
petition against Iridium include Alliance Capital
Management, Conseco Capital Management, Canyon
Capital Advisors, Magten Partners and Wall
Financial Investments.
- - - SkyBOX: The Company That Brought Us Iridium - - -
So now Motorola, the company that brought us
Iridium, plans to buy major cable manufacturer
General Instrument. Hmmm.
On one hand we have a cell phone (among other things)
giant that helped start Iridium partly to boost its
position in satellite sales and partly to push
equipment, a service- and customers-be-damned
approach that blew up into today.s spectacular,
but not exactly surprising, bankruptcy.
On the other we have General Instrument, the
perennially behind-schedule cable manufacturer
that, in satellite at least, is best known for
its callous disregard for, but enormous profits
from, the C-Band platform.
A marriage made in heaven? Not if you.re a
customer. Not if you.re an investor either.
Wall Street signaled a giant thumbs down on
the proposal, shaving GI shares by -9.15% and
Motorola by -7.25% across the week.
Speaking of GI, we hear that cable.s King Leo
not too long ago told the equipment czar, and
its chief competitor, Scientific Atlanta, to
meet their schedules. Or else. Cablevision,
for its part, has cut a new deal with Sony
(which passed on buying GI).
Meanwhile, in satellite, top programmers are
seething about near catastrophic C-Band
equipment shortages and GI.s refusal to
divulge its planned runs. This despite the
fact that the San Diego/Horsham biggee is
the ONLY 4DTV manufacturer.
Arrogant? Yep. Short-sighted? That too.
- - - PEOPLE: - - -
- SBCA Recognizes DTH Pioneers - The Satellite
Broadcasting and Communications Association
awarded two pioneers for their contributions
at last week's SkyFORUM. Receiving the Arthur C.
Clarke Award was Dr. Woo H. Paik, senior executive
vice president and chief technology officer at
LG Electronics. Paik is credited for numerous
developments in digital TV and satellite
communications. The Chairman's Award was announced
by the SBCA and will be presented to Stanley E.
Hubbard during November's board of directors
meeting. Hubbard was president and CEO of
U.S. Satellite Broadcasting, which was
bought by DirecTV earlier in the
year.
- CBS Engineering Chief Joins XM Radio -
Anthony
J. Masiello will join XM Satellite Radio as vice
president of broadcast operations. Masiello, who
has more than 28 years experience in radio
engineering, will oversee the construction of
XM's state-of-the-art multi-studio programming
complex. Most recently Masiello served as vice
president of technical operations for CBS Radio
Networks.
- GlobalTrak's New President Comes From O.J.
Infamy -
Fred Goldman will join GlobalTrak
International as president. He will direct
the company it continues to develop personal
satellite tracking devices. Goldman, whose son
Ron Goldman was murdered five years ago along
with Nicole Brown Simpson, considers safety
issues to be a top priority.
- New Analyst at Banc of America -
Banc of America
Securities has hired Doug Shapiro as principal
and senior research analyst covering the cable
sector. Shapiro will lead the firm's broadband
communications services equity research effort.
- Network Executive To Lead Replay Networks -
Replay
Networks has selected Kim LeMasters as chairman and
CEO. LeMasters is best known for his career at CBS
Television, which culminated in his being named
president of CBS Entertainment in 1987. California-based
Replay Networks is a leader in personal television
technologies.
|