New broadcast standards, improved compression, consumer devices at competitive prices – these developments are driving the dynamics of a video market that enables viewers to watch video at home, in the office, in front of a flat-screen display or a PC, in fixed and mobile environments.

For Eutelsat, whose core business is TV broadcasting, these developments open new business opportunities, some of which we invite you to discover in this issue of our newsletter. We also take a look at how our satellites already play a pivotal role in extending broadband and GSM networks at sea and soon on trains.

As new video services capture consumer attention, we continue to see strong growth in Standard Digital television in the key markets we serve in Europe, the Middle East and North Africa. Over the last 12 months an impressive total of 400 new digital channels have started broadcasting to cable and satellite homes through our satellites. And more channels are set to launch, including FRANCE 24, France’s all-news channel, and the English version of Al Jazeera International.

In addition to launching two new HOT BIRD™ satellites to our flagship video neighbourhood at 13° East, which broadcasts 50 per cent of the more than 2,000 channels we deliver, Eutelsat is actively developing new satellite neighbourhoods to support these growing video markets, most particularly for eastern Europe, the Middle East and North Africa.

And, of course, this year also marks the launch in Europe of the first commercial HDTV channels. By the middle of 2006 Eutelsat’s satellites were already broadcasting 12 channels in HD from three video neighbourhoods. Leading pay-TV platforms, including SKY Italia, who benefited from this summer’s World Cup to convince consumers of the viewing experience of HD are now rolling-out new sports, cinema and entertainment content.

I look forward to seeing many of you at this year’s IBC in Amsterdam and to sharing innovations that will surely make the second half of 2006 as exciting as the first half.

Olivier Milliès-Lacroix
Commercial Director