THE HAGUE, Netherlands, May 5, 2003 - KMS (Kuwait Messaging Services)/FalconStream and New Skies Satellites N.V. (AEX, NYSE: NSK), the global satellite communications company, today announced a long-term multi-transponder, multi-satellite agreement to offer high-speed Internet access services to more than 2,000 customer sites throughout the Middle East, the Indian Subcontinent and North Africa.
KMS/FalconStream is using Ku-band capacity on the NSS-6 satellite to deliver Internet traffic, via New Skies' IPsys Internet connectivity services, directly to end users as well as businesses, ISPs and telecom companies across the Middle East and the Indian Subcontinent. Internet content transmissions originate from New Skies' IP hub, which the company utilizes through a partnership agreement with REACH to provide communications services across the entire Middle East/Asian region.
KMS/FalconStream also has selected the NSS-7 Atlantic Ocean region satellite for complementary and extended IPsys Internet connectivity services throughout the Middle East and North Africa. KMS/FalconStream links directly to the North American Internet backbone via New Skies' Washington D.C. mediaport.
Mr. Khalid Derbas, KMS/FalconStream's deputy general manager, said: "We were extremely impressed by the comprehensive Middle Eastern coverage, technical characteristics and flexibility of New Skies' NSS-6 satellite, as well as the complementary, high-power coverage of NSS-7. These satellites will allow us to extend the delivery of high-speed, broadband Internet connections to virtually anyone, anywhere within the region, while offering a level of confidence and reliability unmatched by terrestrial alternatives."
Also, Mr. Ahmed Mekky, the operations/engineering director for KMS/FalconStream, said: "We are very pleased with the technical support and customer service that New Skies has offered us, especially with their customer-managed platform capabilities. This allows us and our wholesale distributors to manage the Quality of Service parameters of our end customers."
New Skies continues to increase its market share in the India, Middle East and Africa (IMEA) region. Revenues from this region have more than tripled over the past two years from $14.2 million in 2000 to $46.8 million in 2002, and its importance as a percentage of total revenues has increased from 7 percent to 23 percent over the same period. New Skies serves Internet, broadcast, and telecom customers in the IMEA region with its NSS-6, NSS-703 and NSS-7 satellites.
Hussein Oteifa, New Skies' director for Middle East sales, said: "The increasing flow of information and entertainment content in and out of the Middle East is creating strong demand for reliable, high-power satellite capacity. When combined with recent deregulation in the Indian Subcontinent and continued development in Africa, the IMEA region represents one of the fastest growing markets for fixed satellite services.
"Following the launch of NSS-6 and NSS-7, we now have three high-power satellites providing Middle East coverage with excellent connectivities to Asia-Pacific as well as Europe and North America. By combining New Skies' technical expertise and strong customer focus with KMS/FalconStream's distribution channels and presence throughout the entire Middle East, we are confident that this service will deliver dependable and secure access to the Internet for consumers and businesses across the region."
