EchoStar Corporation provides satellite operations, video delivery solutions, digital set-top boxes, and broadband satellite technologies and services for home and office, delivering network technologies, managed services, and solutions for enterprises and governments worldwide. Segments The company’s segments include Hughes; EchoStar Technologies (ETC); and EchoStar Satellite Services (ESS). Hughes This segment provides satellite broadband Internet access to North American consumers and broadband network services and equipment to domestic and international enterprise markets. The Hughes segment also provides managed services to large enterprises and solutions to customers for mobile satellite systems. The company provides broadband satellite technologies and services for the home and office, delivering network technologies, managed services, and solutions for consumers, enterprises and governments. The company’s Hughes segment uses its two owned satellites, the SPACEWAY 3 satellite and the EchoStar XVII satellite, and additional satellite capacity acquired from multiple third-party providers, to provide satellite broadband Internet access to North American consumers, which it refers to as the consumer market, and broadband network services and equipment to domestic and international enterprise markets. The company’s Hughes segment also provides managed services and equipment to large enterprises and solutions to customers for mobile satellite systems. The company offers HughesNet Gen4 satellite broadband Internet services to its customers in North America on the EchoStar XVII satellite. In 2014, the company entered into a satellite services agreement pursuant to which Eutelsat do Brasil would provide to it fixed broadband service using the Ka-band capacity into Brazil on the EUTELSAT 65 West A satellite for a 15-year term. In 2015, the company entered into satellite services agreements pursuant to which affiliates of Telesat Canada (Telesat) would provide to it fixed broadband service into South America using the Ka-band capacity on a satellite to be located at the 63 degree west longitude orbital location for a 15-year term. Customers The company’s Hughes segment delivers satellite broadband Internet service to North American consumers. It also provides satellite, network products and services and managed network services and equipment to enterprises and broadband service providers worldwide. In addition, its Hughes segment provides satellite ground segment systems and terminals to mobile system operators. DISH Network Corporation (DISH Network) accounted for 7.8% the company’s total Hughes segment revenue for the year ended December 31, 2015. As of December 31, 2015, the company’s Hughes segment had approximately 1,035,000 broadband subscribers, respectively. These broadband subscribers include customers that subscribe to its HughesNet broadband services through retail, wholesale and small/medium enterprise service channels. Competition: The company’s primary satellite competitor in its North American consumer market is ViaSat Communications, Inc. (ViaSat Communications), which is owned by ViaSat, Inc. (ViaSat). In its enterprise market, its principal competitors for the supply of very-small-aperture terminal (VSAT) satellite networks are Gilat Satellite Networks Ltd; ViaSat, SageNet LLC; Newtec; and iDirect Technologies. ETC This segment designs, develops and distributes video technology solutions, including digital set-top boxes and related products and technology, primarily for satellite TV service providers and telecommunication companies. The company’s ETC segment also provides digital broadcast operations, including satellite uplinking/downlinking, transmission services, signal processing, conditional access management, and other services, primarily to DISH Network and Dish Mexico, S. de R.L. de C.V. (Dish Mexico), a joint venture the company entered into in 2008. In addition, the company provides its TV Anywhere technology through Slingbox units directly to consumers via retail outlets and online, as well as to the pay-TV operator market. Beginning in 2015, this segment
echostar corp-a (SATS:NASDAQ GS)
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