Naim to venture into satellite business

Kota Kinabalu: Naim Indah Corporation Berhad Group or one of its companies is set to venture into the satellite business to provide telcos in Malaysia better coverage and content service.Telcos are pressured by the government to reduce their Internet broadband pricing and increase their reach as well as speed.

CEO Dato' Sri Alex Siaw told Daily Express that a collaboration agreement was signed in China last Nov 4.

"We are now in the process of negotiation for the final agreement. We hope to finalise the agreement for signing by Nov 30."

The future direction involves providing better telco services via satellite transmission for more remote areas where the setting up of land-based transmission towers is not cost effective.

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The Malaysian authority proposed considering Australian satellite services but Naim Indah is eyeing China's satellite services which is more modern in technology, with better synch in timing. China plans to build a space-based information network that will provide global coverage.

China will put 156 communications satellites into low Earth orbit, at an altitude of 160 to 2,000km.

Each satellite of the network will be able to transmit 500 mega-bytes of data per second.

Before 2019, four satellites will have been put into space to conduct trial operations.

The rest will follow in 2019 and 2020, ensuring that the whole network will be built before 2021.

When it becomes operational, users around the world will be able to connect with broadband Internet anytime and anywhere, even from on board an aircraft or a ship or in a remote area.

Yang Yuguang, secretary of the International Astronautical Federation's Space Transportation Committee, said that most of the world's communications satellites today operate in the geosynchronous orbit at about 36,000km above Earth.

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"The prospect that the satellites will operate in low Earth orbit will give them a lower probability of data transmission delays," he said. "That will strongly facilitate users' access to the Internet around the globe."

Chinese Internet giants such as Baidu Inc and Alibaba Group Holding Ltd, as well as State-owned telecom companies like China Telecom, have explored cooperation opportunities.

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