Thuraya launching third satellite after SP deals in China, S. Korea

DUBAI — UAE's Thuraya, a satellite-based mobile telephone company that services one-third of the globe, has signed service provider (SP) agreements with telecom firms in China and South Korea ahead of the launch of its third satellite in October that could cost between Dh183.6 million and Dh551 million.

By Jose N Franco Jr

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Published: Thu 10 May 2007, 9:03 AM

Last updated: Sat 4 Apr 2015, 10:58 PM

Yousuf Abdulla Al Sayed, CEO of Thuraya, told Khaleej Times that the new satellite would service major countries in Asia, especially China, which is the biggest market in the Asia-Pacific region. "This would expand Thuraya's system capacity and coverage area, to include China, South Korea and Japan, and the seas and other countries between them," he said.

Boeing Satellite Systems is the builder of Thuraya's third satellite that would be sent into space via a sea-launch rocket from the Pacific Ocean. The Thuraya-1 satellite was launched on board a Sea Launch Zenith-3SL rocket from the middle of the Pacific Ocean on October 21, 2000 while the second satellite was launched on June 10, 2003.

Yesterday, the company kicked off its two-day 13th Thuraya Service Provider Forum with its service providers and partners to unveil the world's smartest and smallest dual-mode satellite mobile phone-Thuraya SG-2520-that is tri-band and offers Internet access and fax capability, and various other advanced features.

Al Sayed said Thuraya signed SP agreements last month with Asia-Pacific Satellite Industries Co Ltd in South Korea and China Satellite Communications Global Ltd based in the Chinese capital of Beijing. The accords call for the two Asian firms to provide ground services to mobile phone subscribers via the new Thuraya satellite, which weighs over five metric tonnes and would be fully operational after two months of testing.

He added that talks are being held for Thuraya to also partner with a Japanese telecom firm to further expand coverage in the Asia-Pacific region.

Louis Pao, director of international affairs at China Satellite, said the partnership with Thuraya would make his company earn at least Dh367.3 million for the first year, or the whole 2008, by tapping at least 400,000 marine vessels in China, and the users in 50 million villages and those involved in the agricultural industry.

China Satellite is a subsidiary of the government-owned China Satcom, the biggest of the six main telecom operators in China and the fourth biggest in the world.

Pao said China needs more satellites in space to improve communications facilities in the mainland's rural areas. In fact, the Chinese government has been spending Dh3.34 billion a year for the last three years on communications systems in the country's far-flung areas.

"We already have seven to 10 satellites in space, and we are planning to have more," Pao said. "This year, we are going to launch two more. It would be healthy to put new technology in China, that's why China Satellite is looking for more opportunities overseas."

Ryoo Jang-soo, president and CEO of Asia-Pacific Satellite, said his seven-year-old telecom company has 4,000 subscribers in South Korea, and registered a total revenue of Dh147 million last year, a 100 per cent increase from Dh73.5 million in 2005. He added that this year's target is Dh257.1 million.


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