U.S. Military and Government Demand for Global Satellite Communications is on the Rise.

PALO ALTO, Calif. -- Since the events of September 11th, satellite operators have experienced a significant increase in U.S. military and government demand for commercial satellite communications.

A new study from Frost & Sullivan, U.S. Military and Government Demand for Global Satellite Communications, demonstrates that revenues from U.S. military users of satellite communications will increase rapidly throughout the remainder of the decade. Moreover, though industry participants fear that military demand would be short-lived, the study shows how solid and enduring growth drivers are fueling demand. .

"There is a misconception in the marketplace that military demand for satellite communications is a function of wartime operations -- it isn't. U.S. military demand will definitely continue to increase, potentially to over $1 billion by 2009, even if the U.S. military engages in no further conflict for the remainder of the decade. We've approached the market from several different angles, and all of our analysis leads us to this conclusion," says Karim Nour, Frost & Sullivan Space & Communications analyst and former U.S. Marine.

The study estimates current revenues from combined US military and US civilian government commercial leasing at $423 million, and projects growth to $925 million by 2009.

"The most serious restraint to the market is lack of communication between government and industry," says Nour.

The study illustrates how this lack of communication could cause satellite operators to lose potential revenue from military and government sales, and could cause the government to lose the opportunity to at once lower its cost for satellite communications procurement and improve its access to satellite communications resources.

The study explains how longer-term contracts for satellite capacity procurement would enable DOD to lower costs and improve its management of satellite communications use.

If you are interested in a virtual brochure, which provides an overview of this analysis, please e-mail Dustin McVey at [e-mail] with the following information:

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U.S. Military and Government Demand for Global Satellite Communications study is part of the Space & Communications Group Subscription, which also includes market insights on satellite operators, satellite broadband, Ka-band technology and global transponder leasing.

Frost & Sullivan, a global growth consulting company, has been supporting clients' expansion for more than four decades. Our market expertise covers a broad spectrum of industries, while our portfolio of advisory competencies includes custom strategic consulting, market intelligence and management training. Our mission is to forge partnerships with our clients' management teams, to deliver market insights, and to create value and drive growth through innovative approaches. Frost & Sullivan's network of consultants, industry experts, corporate trainers and support staff, spans the globe with offices in every major country.

US Military and Government Demand for Global Satellite Communications

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