SatMagazine (SM)
Please tell our readers about your Company’s business focus, and history, within the various European market segments.
iDirect’s business model is based on providing technology exclusively for our partners’ satellite networks. We are 100 percent focused on developing the ground infrastructure technology—the iDirect Intelligent Platform—that allows our partners to build the most optimized satellite networks; differentiate their services; seize new revenue opportunities; maintain margins and lower TCO; and expand their businesses.
Europe is a mature market for VSAT and iDirect has been working with partners in this region for more than 10 years to provide satellite services for a variety of different end markets, such as oil and gas, government and defense, and more. Many of our European service provider partners maintain a strong focus in Africa and the Middle East, where they offer a range of IP communications services to enterprises and government users. Others, particularly in Northern Europe, focus more on the maritime market. Our role in the European market is to grow the market for satellite communications and that’s why we focus on developing innovative new technologies to address emerging market challenges.
SM
What European SATCOM sectors do you believe offer the most potential for Company growth and why?
Dean Griffler
There are several areas where we’re seeing opportunity for growth in Europe, such as the military and government market where we have already had strong success in the United States and in Europe. Another area of growth is the maritime market, particularly as more high-throughput satellites (HTS) become operational. iDirect has always been the market leader in the maritime segment and will continue to be a leader through multiple HTS partnerships, including its role as the ground infrastructure technology partner for Inmarsat’s Global Xpress service. We anticipate a growing demand for our technology in parts of Eastern Europe and Russia where terrestrial technology is insufficient to address communications requirements. The recent release of our new class of low-cost X1 routers will play a big role here, as we see strong growth opportunities in the cellular backhaul, oil and gas, and utility markets. For the cell backhaul market, the rugged X1 Outdoor remote can be paired with small cell technology to provide a cost-effective way for mobile operators to expand their networks in rural and remote areas.
SM
How is your Company coping with euro fluctuations?
Dean Griffler
Obviously, the macro-economic impact of the global recession can’t be ignored. Some companies that were considering satellite are delaying their decision—we believe iDirect is in a strong position to continue growing. While the recession may be causing organizations to rethink their spending, it’s unlikely that any company that requires worldwide access to communications will avoid investing in satellite technology completely. The launch of HTS will also likely help, as it will lead to a significant increase in the amount of available satellite capacity and will change the economics of the satellite industry to be more attractive to new users.
SM
How will the European markets impact global, as well as your Company’s business opportunities?
Dean Griffler
iDirect functions as one company in a larger portfolio and, while Europe is an important region for iDirect, business opportunities are considered from a global perspective.
SM
What obstacles do you see facing your Company? How do you plan on overcoming such challenges?
Dean Griffler
Some of the macro-economic issues discussed earlier present a general concern, but we are very optimistic about our growth. We are aligned with the direction of the industry and have invested in the infrastructure to support the push into HTS technology and remain focused on increasing adoption of VSAT in general.
SM
What new technologies/products will your Company be working on and/or releasing over the next few months?
Dean Griffler
We just the latest upgrade to SatManage 5.2, which brings deeper levels of integration, scale, and power to the software, giving our partners an important tool to improve network performance and streamline operations. SatManage 5.2 is also now STIG-compliant, which is an important Department of Defense security requirement. Earlier this year we introduced the Evolution X1 satellite router as well as the iDX 3.1 operating software. This release was designed to give our partners a lower-cost solution to support large-scale networks and focus on SCADA applications, while leveraging their existing iDirect infrastructure.
The benefit of the iDirect Intelligent Platform is that it gives our partners a complete IP-based satellite communications system that is engineered to deliver quality broadband connectivity wherever and whenever it’s needed. Moving forward, we plan to release updates to our core hardware and operating software that improves efficiency, provides even greater flexibility for our partners, and maximizes the benefits of HTS technology.
About the author
Dean Griffler is the Senior Vice President for Global Sales at iDirect.