Migration of Satellite Broadcasting

As I always said, broadcast operators are migrating from satellite to internet broadcasting. The satellite broadcasting costs over $7,000 per channel per month for Mpeg4 transmission format. Mpeg-4 transmission requires the bandwidth at around 1.5 Mbps to transmit a single channel via network to uplink to the satellite. 
In the other hand, the older process, which uses Mpeg2 type of transmission, would costs more since the bandwidth required has to be at about 2 Mbps. You can click on this link to learn the different between Mpeg2 and Mpeg4. The cost of Mpeg2 transmission over the satellite would cost an operator about $14,000 per channel per month to operate and maintain services. This cost is only cover the uplink company to obtain a space on a satellite slot. Broadcast operator also needs to concern about networking cost, which would be around $2,000 – $4,000 per month.

So the total cost to operate a satellite company is about $15,000 - $20,000 per month. They must have to gain advertising or income at about $700 a day for a 30 days period. It is very tough in today’s economy.  A lot of companies, from my experiences, assumed that earning income would be easy to gain $700 a day from the sponsors, sales, and etc., they are underestimated the market size. 
At the beginning of 2012, there were about 5 Thai/Lao television stations opened up in the same satellite, but as of right now, only 2 stations survive and not doing well.

Many companies could not compete with the cost of production and demand from the viewers. Viewers would love to see good programs, operators would try to save production cost as much as possible. With the limited income from product sales and sponsors, the broadcasting company could not survive in the satellite market. Many new comers are starting their company as Internet Broadcasting.

Financial issue is the main reason people are migrating from satellite broadcasting to Internet broadcasting instead.  Many people are starting the company as an IPTV.

The Demised of Satellite Television

IPTV or Internet television has become more advanced everyday. Not only computers can stream video and watch television, a lot of computer hardware manufacturers, such as Apple, Sony, Roku, and any other companies are entering in the internet television market.  The reason people are changing their focus from satellite set top box to Internet set top box is because of it’s cost effective and portable. Internet box can be used everywhere with the Internet access.

The prices for Internet set top box are varies

• Apple TV cost about 99 dollars per unit

• Sony Internet Player with Google TV is about 169.99 dollars per unit

• Roku starts at 49 dollars per unit

People do not have to use traditional television devices, such as antenna and satellite dish anymore. They can purchase this portable Internet streaming device cheaper than the satellite dish cost. Also, some locations do not allowed to install satellite dish because of its dish size. 

I have experienced some concerns from my work, people often ask about Internet set-top-box availability instead of satellite set-top-box. They put their concern about installation since they do not have experience installing dish and set up the set top box by themselves. They have to get the correct frequencies and symbol rate information, which are different by their area.

Customers are trying to eliminate installation issue with internet set top box because of its technical skills requirement for setting up correct information are high. Please review this link to see how technical requirements are to install a satellite dish.  It requires a lot of time to understand the process and successfully installed.

In the other hand, Internet TV box can be moved from room to room and only basic Internet connection required, neither from wire connection or wireless, to stream the video or music.

In my opinion Internet streaming will become more popular in the future because of its size, cost, and low technical skills required. It can be used with all ages because of its simplicity to use the device.