PARIS, Sept. 10, 2018 /PRNewswire/ -- Yahsat, a leading global satellite operator based in the United Arab Emirates (UAE) and wholly owned by Mubadala Investment Company, and Hughes Network Systems (HUGHES), a subsidiary of EchoStar Corporation (NASDAQ: SATS), today announced an agreement to enter into a joint venture to provide commercial Ka-band satellite broadband services across Africa, the Middle East and southwest Asia. This new venture combines Hughes deep expertise as the global leader in broadband satellite networks and services with Yahsat's unique position and knowledge as the leader in satellite broadband solutions across these regions. Hughes will purchase a minority interest in the venture.
The new venture will continue to provide unserved and underserved communities with reliable, high-speed Internet services operating over Yahsat's Al Yah 2 (AY2) and Al Yah 3 (AY3) Ka-band satellites, and leveraging the capabilities of the Hughes JUPITER™ System, designed and optimized for large-scale High-Throughput Satellites (HTS). Hughes will also supply its proven Operating and Business Support System (OSS/BSS) solutions for comprehensive network operations and management.
Initially, the venture will focus on "direct-to-premise services" to homes and small- to medium-sized enterprises, and to community centers and schools that are served under local government programs across these regions. In parallel, there will be an increased focus on "community hotspot" solutions to make satellite-enabled broadband more accessible to many more users across the AY2 and AY3 footprint, which currently covers more than 1 billion people. In addition, the venture will also aim to capitalize on the accelerating transition towards Ka-band based backhaul and carrier solutions from mobile network operators.
Masood M. Sharif Mahmood, chief executive officer, Yahsat said: "The partnership with Hughes plays a significant role in Yahsat's growth story and serves as an important step in achieving our vision to providing global satellite broadband services to individuals, communities, governments and businesses in unserved and underserved communities. Yahsat's remarkable track record and experience in operating YahClick, combined with Hughes technology leadership and experience, are a winning proposition to unlock the mass market potential of satellite broadband services across the region. I am very pleased to see our longstanding partnership with Hughes as a supplier over the years now advance to this strategic and very important joint venture for Yahsat."
Pradman Kaul, president of Hughes, said: "Yahsat has been a valued customer for many years, incorporating our JUPITER System and operating expertise into their services. This next step in our relationship is a natural evolution that builds on our shared commitment to connecting the unconnected and reflects our strategy to partner with leading providers around the world. Our investment in this venture will expand our presence in Africa, the Middle East and southwest Asia markets, where broadband demand is expected to grow exponentially in the coming years."
Completion of the transaction is subject to customary regulatory approvals and closing conditions, and is expected to occur later this year.
Press Conference
Yahsat and Hughes will host a press conference on Tuesday, September 11 at 2:30 p.m.Paris time at the Westin Paris. Members of the media who cannot attend in person are invited to join by teleconference. For details, please visit: www.hughes.com/pressconference.
About Yahsat
Yahsat is a leading global satellite operator, providing multipurpose satellite solutions for broadband, broadcast, government and communications use across the Middle East, Africa, Europe, and Central and South West Asia. Headquartered in Abu Dhabi, UAE, and wholly owned by Mubadala Investment Company, the investment vehicle of the Government of Abu Dhabi, Yahsat is the first company in the Middle East and Africa to offer Ka-band services including YahClick, Yahsat Government Solutions, YahLink and Yahlive via its Al Yah 1 and Al Yah 2 satellites. With the recent launch of Al Yah 3, Yahsat's commercial Ka-band coverage will be extended to an additional 19 markets, reaching 60% of Africa's population and over 95% of Brazil's population. For more information, visit www.yahsat.ae
About Hughes Network Systems
Hughes Network Systems, LLC (HUGHES) is the global leader in broadband satellite technology and services for home and office. Its flagship high-speed satellite Internet service is HughesNet®, the world's largest satellite network with over 1.2 million residential and business customers across the Americas. For large enterprises and governments, the company's HughesON® managed network services provide complete connectivity solutions employing an optimized mix of satellite and terrestrial technologies. The JUPITER™ System is the world's most widely deployed High-Throughput Satellite (HTS) platform, operating on more than 20 satellites by leading service providers, delivering a wide range of broadband enterprise, mobility and cellular backhaul applications. To date, Hughes has shipped more than 7 million terminals to customers in over 100 countries, representing approximately 50 percent market share, and its technology is powering broadband services to aircraft around the world.
Headquartered outside Washington, D.C., in Germantown, Maryland, USA, Hughes operates sales and support offices worldwide and is a wholly owned subsidiary of EchoStar Corporation (NASDAQ: SATS), a premier global provider of satellite communications solutions. For additional information about Hughes, please visit www.hughes.com and follow @HughesConnects on Twitter.
About EchoStar
EchoStar Corporation (NASDAQ: SATS) is a premier global provider of satellite communication solutions. Headquartered in Englewood, Colo., and conducting business around the globe, EchoStar is a pioneer in secure communications technologies through its Hughes Network Systems and EchoStar Satellite Services business segments. For more information, visit www.echostar.com. Follow @EchoStar on Twitter.
Safe Harbor Statement under the U.S. Private Securities Litigation Reform Act of 1995
This press release may contain statements that are forward-looking, as that term is defined by the Private Securities Litigation Reform Act of 1995. These forward-looking statements are based on management's beliefs, as well as assumptions made by, and information currently available to, management. When used in this release, the words "believe," "anticipate," "estimate," "expect," "intend," "project," "plans," and similar expressions and the use of future dates are intended to identify forward-looking statements. Although management believes that the expectations reflected in these forward-looking statements are reasonable, it can give no assurance that these expectations will prove to have been correct. You are cautioned not to place undue reliance on any forward-looking statements, which speak only as of the date made. EchoStar, Hughes and Yahsat assume no responsibility for the accuracy of forward-looking statements or information or for updating forward-looking information or statements. These statements are subject to certain risks, uncertainties, and assumptions. See "Risk Factors" in EchoStar's Annual Report on Form 10-K for the period ended December 31, 2017 and Quarterly Report on Form 10-Q for the period ended June 30, 2018, as filed with the Securities and Exchange Commission and in the other documents EchoStar files with the Securities and Exchange Commission from time to time.
©2018 Hughes Network Systems, LLC, an EchoStar company. Hughes and HughesNet are registered trademarks and JUPITER is a trademark of Hughes Network Systems, LLC.
View original content with multimedia:http://www.prnewswire.com/news-releases/yahsat-and-hughes-to-form-joint-venture-to-deliver-satellite-broadband-services-300709185.html
SOURCE Hughes Network Systems, LLC
Sharyn Nerenberg, Hughes Network Systems, LLC, (301) 428-7124, Sharyn.Nerenberg@hughes.com; Susan Goodell, MWWPR, (202) 600-4547, helene.luis@ogilvy.com
