how are falling oil prices affecting the vsat...

HARRIS.COM | #HARRISCORP

HOW ARE FALLING OIL PRICES AFFECTING THE VSAT INDUSTRY?

ANDRE GUSTAVO C DE SANTANNA

| 2Presentation Title Technology to Connect, Inform and Protect TM

Technology to Connect, Inform and ProtectTM

Advanced technologies for customers

whose missions are vital to the world’s

safety and security

Technology innovator with industry

leading commitment to research and

development

Agile, commercial mindset to meet the

most demanding budgets and deadlines

The result: innovation with a purpose

and missions that succeed

Our promise is simple: to connect,

inform and protect


Space and

Intelligence

Systems

$1.9BComplete Earth

observation,

weather, geospatial,

space protection and

intelligence solutions

from advanced

sensors, antennas

and payloads, as well

as ground processing

and information

analyticsCritical

Networks

$2.5BManaged services

supporting air traffic

management,

energy and maritime

communications,

and ground network

operation and

sustainment, as well

as high-value IT and

engineering services

Electronic

Systems

$1.6BExtensive portfolio

of solutions in

electronic warfare,

avionics, wireless

technology, C4I,

and undersea

systems

Communication

Systems $2.1BTactical and airborne

radios, night vision

technology, and defense

and public safety

networks

About Harris

NYSE: HRS

United States

International

FY15

~$8 Billion

Annual

Revenue

22,000 employees worldwide

9,000 engineers and scientists

Supports customers in more than

125 countries

Industry leading R&D investment

Broad portfolio, strong franchises,

key experts, and a proven track

record of innovation and success

Segment overviews


Global locations and support

Global Headquarters

Melbourne FL, USA Abu Dhabi, UAE

Winnersh, UK

Singapore, SGPRio de Janeiro, BRZ

Major Locations

Regional Headquarters

* excludes the U.S.


Unique communications challenges for oil & gas

-Communications stop, drilling stops

-Safety is paramount-Hard working crews require connectivity

-Costly for technicians to

fly out to switch bands-Essential for data transfer to be secure


How is VSAT used?

Satellite is the primary method of delivering reliable, always-on communications to

remote and harsh environments, where oil & gas assets typically operate


How does VSAT enable oil & gas customers?

VSAT providers tailor

services to meet the

connectivity needs of

energy customers

anywhere in the world,

for mission-critical

operations.

Providers have to

provide elevated

services at reduced

prices. Value added

services are crucial; its

not just bandwidth, it’s

how to utilize it.

Requirements include

corporate networking,

crew welfare, remote

monitoring and control,

as well as for safety and

training purposes


How does VSAT enable oil & gas customers?

VSAT Providers:

Tailor services to meet the connectivity needs of energy customers

anywhere in the world, for mission-critical operations.

Provide elevated services at reduced prices. Value added services are

crucial; it’s not just bandwidth, it’s how to utilize it.

Work on a wide range of requirements including corporate networking,

crew welfare, remote monitoring and control, as well as for safety and

training purposes.


VSAT innovation to support energy market

• Differentiated automatic band and beam switching technology

• Automatically determines the strongest, best network available at all times and automatically switches to maintain the best signal

‒ Selects from multiple satellite bands, wireless, terrestrial

‒ Manages cost by always selecting a network that maximizes bandwidth efficiency, and no employees are needed to perform switching.

‒ System intelligence can employee map based or signal strength based beam switching to minimize downtime

VSAT providers are consistently seeking new ways to help

energy companies operate more efficiently and manage costs

Harris CapRock® One Antenna


Growing cyber security concerns

• Cyber threats to energy companies are on the rise

‒ Remote locations and lean IT staffs provide opportunities for hackers

‒ Insider threats intensify as downsizing continues

‒ Monitor for, protect against and detect security issues and vulnerabilities to avoid downtime

‒ Protect your company against insider threats


VSAT Innovation- Remote Capabilities

• More remote capabilities to maintain steady operations with decreased headcount

• The internet of things drives additional remote monitoring and control activities

• Connect with colleagues across the world via phone, live video, email, IM in an instant in the most remote offshore environments

‒ Alleviates costly travel expenses

• Vendor portals gaining sophistication

‒ Monitor multiple sites, understand network utilization and stay on top of troubleshooting issues in real-time


Customer Solution Example- Transocean

• Requirement

• 50+ vessels operating worldwide

• Large scale semi-submersible drilling rigs and ships

• Complete voice, video and data applications

• Challenges

• Support global operations

• Frequent moves, adds and changes

• Tough marine and industrial environment

• Extreme temperatures and conditions

• Zero down-time tolerance

• Harris CapRock Solution

• Complete turn-key managed service solution

• Fleetwide deployment of Harris CapRock One

• On board IT system integration

• Installation and on-site maintenance

• C and Ku satellite bandwidth

• 24 x 7 proactive network management


How is the State of the Energy Industry Affecting VSAT?

Bandwidth requirements continue to increase on active assets:

• Less travel to remote assets

• Cost savings from reduction of employees traveling and living offshore

• Less individuals offshore promotes an increased need to transfer data, monitor the networks and troubleshoot remotely

• Employees that are not traveling still require regular, reliable communication (voice, video conferencing, data transfer) with colleagues offshore

• Both crew entertainment solutions and reliable, mission-critical operations are becoming more content-rich

• Cloud-based applications are more popular

• The need for additional security measures and cyber security software platforms are on the rise

• Applications continue to become more sophisticated and complex, using more bandwidth

Less active rigs and vessels mean a decreased number of VSAT sites, however…


Can other sectors pick up the slack?

Satellite communications benefit many industries that operate in remote or harsh environments:

-Commercial maritime

-Cruise ships and yachts

-Modes of transportation (trains, planes, etc.)

-Mining

Bandwidth requirements continue to rise as always-on connectivity is in

demand. Applications are more content-rich and therefore require additional

support from VSAT providers.


Conclusion

VSAT providers like Harris CapRock are committed to working with energy companies to get through this downturn

by providing reliable, always-on communications that are tailored to specific needs of each customer.

how are falling oil prices affecting the vsat...

Documents