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Euro 50 > Leaders in broadband and pay-TV

Digital TV Europe November/December 2010

Andrew Wallace Chief commercial officer, Eutelsat

Andrew Wallace took over as chief commercial officer at Paris-based satellite operator Eutelsat earlier this year, with a newly expanded role. His duties will include a focus on KA-Sat, the company’s big investment in a new technology capable of delivering satellite broadband services more efficiently.

Age 48

Education Physics and aeronautical engineering at Cambridge; MBA at INSEAD.

Previous positions Marketing Director at Pace where his time included the launch of all UK digital TV platforms, development and launch of Sky+, and Pace’s first moves into the US market; seven years at Cable & Wireless including general manager of Cable & Wireless France and operations director, global business-to-business network.

Achievements of the year It’s great to be working in Paris again. I have had sales teams in France for much of the last 20 years and I was involved in Pace’s French activities. Getting back into TV is great too – We were able to facilitate and drive so much innovation during my last five years in the industry and it’s fascinating to be back and see how it has evolved. Sky+ is an example. Looking at Eutelsat, video continues to be a strong performer, generating 70% of our revenues and growing by almost 10% over our last financial year to June 2010. We continue to see strong growth of Standard Digital TV across all our markets and an acceleration of HD content, with almost 200 channels broadcasting by the end of September.

Goals for next year Achieving higher customer satisfaction and bringing KA-SAT to the market are two key goals for next year. On the customer satisfaction side, one can always do better. I’ve worked in a number of different industries and staffing in the satellite business is rel- atively stable. That means that I – and others – can bring lessons learned elsewhere to this industry. For KA-SAT, both business-to-busi- ness and business-to-consumer applications are key elements of the business plan. There are three aspects. First, there is demand for busi- ness-to-business applications. Eutelsat has lengthy experience in this segment and we will use this new and much lower cost technology to drive a wholesale business. Secondly there is a European business-to- consumer opportunity which learns from similar already successful models in the US and uses skills from mobile, ISPs and other consumer services. One of my roles as chairman of our Skylogic subsidiary is to make sure that we use the best of those skills in our business. In the short term it’s possible that business-to-business applications will grow faster, but in the long term the B2C business through KA-SAT may be the most significant. Even today there are 30 million western European homes with less than 2Mb/s, and 15 million with no terrestrial broadband access at all. Third, there are local DTH opportunities but that’s the smallest of the three main target markets for KA-SAT. Next priorities are to focus on markets that are growing fast like Russia and central Europe and drive HD and 3D. Eutelsat has key positions in the

Central European markets and these are developing rapidly in their struc- ture and habits. HD and to a lesser extent 3D are expanding demand from mature markets, so we need to find the right bandwidth for them and help them create 3D channels by bringing our experience from other markets. We have got the first commercial 3D channel running with Orange but growth in HD is still really high, so there is still a huge amount of HD development to be done in the existing markets

Game-changing future development KA-SAT will bring much lower- cost bandwidth via satellite. We are working on and will launch business services running on KA-SAT, which should be competitively priced and complement our Ku and C-band resources. KA-SAT will deliver a much more efficient use of capacity than smaller satellites or C- and Ku-band- only satellites, opening up new business opportunities. It’s also feasible to deliver triple-play through a single antenna and we’ve done some testing of that. We are talking to some DTH operators about it and it’s possible that well-established DTH operators will experiment with broad- band via satellite with DTH TV to compete with existing triple-play offer- ings. We know that selling more services reduces churn, so triple play is important for Eutelsat’s main business and its customers as well as for the consumer satellite business. It helps our core customers to compete more effectively.

Ambition as a youngster A military pilot. I still get to fly aerobatics. Favourite TV show Spooks.

Life outside work Fell running, single-track mountain biking, flying aer- obatics.

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