Press release
DirecTV’s Exit from AWS Spectrum Auction Refocuses Attention on
Mobile Satellite Spectrum
MENLO PARK, Calif., Aug. 15 /PRNewswire/ -- Telecom, Media and
Finance Associates, Inc. (TMF Associates), the specialist Mobile Satellite
Services consulting firm, today predicted that the exit of Wireless DBS
LLC (a partnership of DirecTV and Echostar) from the FCC’s ongoing
AWS spectrum auction will refocus attention on alternative spectrum
bands, and particularly on the spectrum allocated to Mobile Satellite
Services (MSS) operators.

In recent years, the FCC has moved to permit use of MSS spectrum for
integrated satellite-terrestrial services. Deployment of terrestrial base
stations, known as Ancillary Terrestrial Components or ATC, will enable
MSS operators to provide service in urban areas and inside buildings
which satellite signals are too weak to penetrate. This will provide a
workable alternative option for deployment of a new national wireless
network.

TMF Associates published the first comprehensive assessment of the
ATC opportunity, entitled “ATC: The Future of Mobile Satellite
Services?" in February 2006 and has recently released an update to the
report as part of its new continuous information service on the Mobile
Satellite Services (MSS) industry.

Tim Farrar, author of the report, commented "MSS operators will need
to secure major partners, in order to fund the US$3B+ projected cost of
terrestrial base station deployment and to secure adequate mass-market
distribution channels. We have maintained that the optimum partner for
MSS operators would be a satellite TV operator such as DirecTV or
Echostar, because of their compelling need to develop new wireless and
broadband service offerings, and the shortage of alternative spectrum
options for deploying a nationwide wireless network. Such a partnership
could generate as much as US$5.3B in annual service revenues by 2015.

“The exit of Wireless DBS from the AWS auction means that DirecTV
and Echostar will now have to focus on alternative sources of spectrum.
They could opt for a partnership with either Craig McCaw’s Clearwire,
which operates in the 2.5GHz band, or with one or more MSS operators.
Although Clearwire’s network is already operational, the national footprint
of MSS operators may prove a decisive advantage in the long term.”

For more information about the report, and details of TMF Associates’
work on ATC, see
http://www.tmfassociates.com/ATC

The report forms part of TMF Associates' newly launched information
service on the Mobile Satellite Services (MSS) sector. More details are
available at
http://www.tmfassociates.com/reports.

TMF Associates, headquartered in Menlo Park, California, is a leading
consulting and research firm providing business and technical analysis in
satellite, wireless and broadband telecommunications. The firm specializes
in Mobile Satellite Services (MSS), including Ancillary Terrestrial
Component (ATC) technology, and works with operators, investors and
equipment manufacturers to analyze complex market issues. For additional
information, please visit
http://www.tmfassociates.com.

CONTACT:  Tim Farrar, President
Telecom, Media and Finance Associates, Inc.
650-839-0376 or tim.farrar@tmfassociates.com
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