Satellites and National Broadband Plan

1. Satellites and National Broadband Plan Maximiliano Martinhão Ministry of Communications

2. Summary • National Broadband Plan (NBP) • Why use satellite to attend the NBP? • Satellite market • Satellite regulation • Special Tax regime • NBP GSO Satellite

3. National Broadband Plan (NBP) The Decree nº 7.175 of 2010 establishes the National Broadband Plan and includes goals towards the massification of the access to broadband connections and the reduction of regional and social imbalances. 3

4. Why use satellite to attend the NBP? • Area > 8.500.000 km2 • Population > 193 million people • Rural Population > 30 million people (15% pop) Source: http://databank.worldbank.org 4

5. Why use satellite to attend the NBP? • Telebras National Backbone • 1Mbps for 35 reais (~ 17 USD) • Internet Capacity for ISPs • Transport capacity for telecom operators Extension 21,000 km Cities 2,018 5

6. Why use satellite to attend the NBP? • Brazilian territory has a vast extension • Many regions of difficult access • Satellite geographical coverage • Ease of implementation in regions with no previous available infrastructure • Attractive costs 6

7. Why use satellite to attend the NBP? • GESAC Project • Digital inclusion program that makes telecentres available in remote areas based on satellite and terrestrial communications • Thousands of licensed stations currently in operation • Operational Earth stations associated to fixed and mobile backhaul networks • Increase of Broadband demand • Capacity for 2016 Olympic Games and 2014 World Cup 7

8. Satellite market • Geostationary Satellites: • Non Geostationary Satellite Systems: 3 Foreign operators • Most satellites cover the entire Brazilian territory 8

9. Satellite regulation • General Telecommunications Law - Lei nº 9.472, de 16 de julho de 1997 • Satellite Exploitation Rights - Resolução nº 220, de 5 de abril de 2000 • Public Price for Satellite Exploitation Rights and Telecommunication Service Authorizations - Resolução nº 386, de 3 de novembro de 2004 • Public Price for Spectrum Usage - Resolução nº 387, de 3 de novembro de 2004 • Operation Conditions of GSO Satellites in the Ku Band - Resolução nº 288, de 21 de janeiro de 2002 • Earth Stations Licensing - Resolução nº 593, de 7 de junho de 2012 • Operation Conditions of GSO Satellites in the Ka Band - Resolução nº 599, de 30 Outubro de 2012 9

10. Satellite regulation • Current regulation aims at: • Assuring an efficient use of the orbit/spectrum resource • Promoting competition • 100% national coverage for Brazilian satellites • Last auction in 2011/2012: • R$ 233,2 million reais (~ USD 115 million) • 4 Brazilian Satellite Exploitation Rights granted - C (planned), Ku (planned and non-planned) and Ka Bands • A new auction is expected this year 10

11. Special Tax Regime – Decree (under study) • Exemption of Federal Taxes applicable to: • VSAT Equipment • VSAT Stations Licensing • Services • Requirements include: • Minimum capacity per user depending on technology used

12. NBP GSO Satellite • Satellite operating in 2 Frequency Bands: • X Band (Defense) • Ka Band (National Broadband Plan) • National Coverage • Orbital Position: 75° W • Earth Stations for Operation and Control 75 º W Equador

13. Project Directives Project National Company 49% 51% Budget and schedule approvals VISIONA Operation Definitions and Follow up System acquisition and Technology transfer DEFESA Br1Sat

14. Challenges • Coexistence of satellite services and existing services. • Complementary mobile services to MSS (S band).

15. Thank you www.mc.gov.br twitter.com/Minicombrasil conexaominicom.mc.gov.br flickr.com/photos/conexaominicom youtube.com/minicombrasil