WorldSpace's Satellite-Delivered Radio Service and the Market for Digital Receivers in the Middle East and Africa

Abstract

The dream of improving the sound quality of international radio broadcasting has become a reality. Even with satellite-delivered studio-to-transmitter links, international radio reception via shortwave (officially the radio spectrum below 30 MHZ) or mediumwave (standard AM) has sound-quality limitations, especially in the age of FM stereo radio, CD-quality home sound systems, and high-quality radio via webcasting on the Internet. Several technical developments will give international radio listeners not only better quality reception, but also more program choices. This paper explores one of these technologies. Washington, DC-based Worldspace has launched the first of three satellites that will provide direct-to-radio digital sound and data services in the L-band (1467-1492 MHZ), allocated at an International Telecommunications Union conference in 1992. The first satellite launched in October 1998 covers the Middle East and Africa; it officially started service on October 1, 1999. The Worldspace Corporation has spent a great deal of time and money developing and publicizing its transmission and receiving technology, for which it has received a U.S. Patent. It has further heavily promoted the number of people who could be reached by its three satellites. What this corporation seemingly has not done is to determine the potential adoption rates for WorldSpace receivers. This paper attempts to determine the market potential for the Middle East and Africa, the footprint area for Afristar, its first operational satellite.