Worldspace Satellite Radio announced Tuesday it has signed an agreement with Sodielec, a French company specializing in transmission solutions, to develop terrestrial repeater prototypes that will enable Worldspace to expand its satellite radio and data services to automobiles across Western Europe, beginning in Italy.
Terrestrial repeaters, or gap fillers, are towers that enable Worldspace to transmit its content to consumers who do not have direct line of sight to a satellite. Such towers are most commonly used in urban areas where the satellite signal may be blocked by large buildings or other man-made obstacles.
Sodielec was selected through an RFP process that included corporations from around the world. The contract is valued at 800,000 Euros and includes prototype design and development as well as guaranteed pricing for subsequent large-scale production of at least one model.
Worldspace said it expects to evaluate the Sodielec prototypes in the fourth quarter of this year with production and deployment slated for 2007, when it expects to launch Europe's first digital satellite radio and data service for both portable and vehicular devices.
In May 2006, Worldspace Italia S.p.A., a majority-owned subsidiary of Worldspace, Inc.'s European holding company, Viatis Satellite Radio, received approval from the Italian Ministry of Communications to launch a subscription satellite radio service in Italy, and to use the frequency band 1479.5-1492 MHz for the operation of the corresponding hybrid satellite/terrestrial network.
Based on that authorization, Italy will become the first market in Western Europe to receive specialized audio content from the Worldspace Satellite Radio Network using its mobile technology. The Worldspace system already uses the only frequency band harmonized for satellite radio over Europe.
Worldspace operates two satellites that cover nearly two- thirds of the world's population. Its AfriStar satellite covers the continent of Africa, the Middle East and most of Western Europe.
The Company's strategy has been to roll out a European service on a sequential, country-by-country basis, which is now beginning with Italy.
A third satellite that is already built and in storage in Toulouse, France, will provide broader coverage over Western Europe and will enable consumers to have access to approximately 50 channels of sports, talk and commercial-free music programming at the service's maturity.
