Satellite Phones

The most expensive destinations on any A-to-Z wholesale rate sheet are almost always satellite phone networks. Depending on the satellite network and its design, they can be used to provide voice, text and low bandwidth Internet access in specific regions or the entire Earth including Antarctica and the North Pole.

Satphones are ideal for certain applications; on board ships and airplanes, for remote resource industries such as mining, oil and gas exploration, natural disaster recovery scenarios and they are very popular on expeditions into wilderness areas where terrestrial cellular service is unavailable. Government agencies and militaries also find them quite useful.

Traditional satellite networks are based on satellites in geostationary orbit, which are meant to remain in a fixed position in the sky relative to an observer on Earth. Geostationary satellites are 35,786 km above sea level so there is a noticeable delay when talking over them as the signal has to go up to the satellite and then back down. Examples would include Inmarsat and Thuraya.

There are also satellite networks that rely on a constellation of satellites in Low Earth Orbit (LEO) to provide worldwide coverage including the polar regions. The LEO satellites orbit the earth at altitudes of only 640 to 1120 km so their delay is negligible and goes unnoticed during a call. Examples would include Globalstar and Iridium.

These networks show up on wholesale A-to-Z rate sheets because satellite phone are issued with their own special country codes.

Inmarsat has been issued with codes +870 designated SNAC for Single Network Access Code. Prior to 2008 there were separate codes for geographic regions such as the Pacific Ocean, Indian Ocean, and Atlantic Ocean East and West). Inmarsat was originally created to provide a communications network for the maritime community. Inmarsat now has a variety of services beyond the strictly maritime such as Aeronautical (for aircraft obviously), BGAN (IP based Broadband Global Area Network), M2M for machine to machine applications such as IoT. Other services such as B, M and Mini-M were closed Jan 2017.

LEO systems that provide global coverage are issued virtual country code +881. Iridium satphones have country codes +881 6 and +881 7. Globalstar is allocated +881 8 and +881 9. Calls to both networks can be very expensive, thus it is possible to call them with charges reversed (i.e. paid by the satphone customer) by first dialling a number in the USA. That way the receiver pays the standard rate for satellite to landline calls , but the caller only pays for the domestic USA call.

Smaller regional satellite phone networks are allocated numbers in the +882 code range designated for “international networks”.

Finally, the voice codecs used in satphones have very aggressive voice compression due to the limited bandwidth. The sound quality will exhibit a clipping effect. Satphones use far less bandwidth than a 3G cellphone or a G.729 IP call. Thus it is even more imperative to access these numbers with as high quality a connection as possible to maximize the intelligibility of the speech.

If your business or commercial customers require operating in remote regions of the globe, away from cellular networks (which would include most of Canada !) then have them consider satphones and then route their traffic via AurorA’s premium connections for maximum quality.

Six Sigma Telecom (or why Quality is paramount over cost)

Over the holidays I was able to catch up on some reading. The book I finished was “Eccentric Orbits – The Iridium Story” by John Bloom. In a future post I plan to give a short review of this book and a few other books on telecom that I have recently enjoyed.

Eccentric Orbits: The Iridium Story

One of the items that struck me in the book was the description of the Six Sigma management philosophy pioneered by Motorola (the builder of the Iridium constellation of satellites) in the 1980’s that was famously adopted by Jack Welch and General Electric in the 1990’s. The focus on Six Sigma is on eliminating defects and reducing variability. It takes its name from statistics, sigma being the term for a standard deviation from a normal distribution.

In layman’s terms Six Sigma can be summed up as “…if you build things that don’t break, you don’t have any costs of fixing them later…”.

This is the central philosophy we have at AurorA and it resonated strongly with me. In our view the concept of Least Cost Routing (LCR) for international voice traffic is outdated, ultimately more expensive and leads to substandard business outcomes. Choosing the highest quality termination, i.e. a direct route that passes true Calling Line ID (CLID), actually leads to better value and over a longer period of time, higher revenue and lower overall total costs.

Direct costs are lower if you choose premium quality over a cheaper but lower quality route. The LCR way will lead to call failures and trouble tickets. Customers will complain.The cost of chasing trouble tickets can be substantial as well as the re-routing necessary until the faulty route is fixed. Customer service staff to take the calls and service technician costs will increase. These costs can quickly eat up the lower rate per minute of the cheap route.

Secondly, only a small percentage of customers that experience poor quality or call failures will actually complain and take the time to put in trouble tickets. The silent majority will simply stop using your service and use an alternative. They will, however, complain internally to their management team about the poor experience.

Top-line revenue will then also decline over time, initially from customers not using your sub-quality voice service, but further once your organization develops a reputation for poor quality. The maxim “How you do one thing is how you do everything” describes that phenomenon. Customers will not renew, or would look more favourably on competitors offerings. One poor niche allows a competitor an advantage and an avenue to exploit.

This is especially true if your customers are enterprise or business customers. Commercial customers demand excellent quality from your entire service offering. International voice termination may be only a small fraction of your portfolio but if they cannot rely on the calls completing each time, every time with superb “pin drop” audio quality than it would reflect poorly on the rest of your service offering.

This is why at AurorA we insist upon serving you with the highest quality, premium international voice termination. The Six Sigma philosophy highlights that the penny pinching of using a LCR is not worth it, and over the long run higher revenues and lower costs accrue from providing superior quality service to your customers.

Start up week – Oct 5 to 10

Today marks the start of Start-up week in Ireland. Ireland has done an impressive job of attracting established Silicon Valley companies to establish their European headquarters in the Emerald Isle. They have now set their sights on establishing themselves as an innovation hub by 2020.

I flew into Dublin on Saturday to join my partner, Ben Maguire for Start-Up week. The week-end was for adjusting for jet lag, getting caught up, watching some football and WorldCup rugby. Here is Ben in front of the local Dundalk Enterprise Ireland office where we have started talks

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Sunday was a bright, warm sunny day and we toured around Dundalk, home of the FAI champion Lilywhites (who will be playing in the FAI Cup final again this year against Cork City !) and we finished up at the Spirit Store for some Guiness and traditional Irish music.

spirit store

It was wonderful and reminded me of the céilidh parties in Nova Scotia and Newfoundland back in Canada. All ages we are at the pub, players joined in the fun, adding their guitars, flutes, fiddles and accordians to the mix. The jovial atmosphere had us making new friends and reconnecting with old, including the former trombone player of the Benny Maguire All-Stars orchestra !

Today we are off to Dublin as we are booked in the Silcon Stroll. Looking forward to meeting some Irish start-ups and seeing how the entrepreneurial culture here compares and contrasts with Waterloo and the Bay Area. Follow us along on twitter @TimoVainionpaa

The Pros and Cons of Doing Business in Ireland

put-em-up

This was published on the IrishCentral website on April 16, 2015

Stephen Mullan, vice president of emerging business at the IDA (Industrial Development Agency) Ireland, outlined some of the advantages that Ireland offers to businesses.

“Ireland is an ideal entry point for businesses seeking access to the European Union and its population of more than 300 million people. Businesses with operations in Ireland benefit from barrier-free access to the EU’s 28 member countries and its four freedoms – free movement of goods, capital, services, and people,” Mullan said.

More than 1,000 multinational companies have chosen Ireland as their strategic European base. The Emerald Isle has one of the world’s lowest nominal corporate tax rates, 12.5 percent for active businesses.

Other advantages are its predominately young workforce, with a median population age of 35 – the lowest in the EU – and a higher percentage of post-secondary graduates than the U.S. or the U.K.

However, Mullan cautioned that there must be “a legitimate business reason” for wanting to locate in Ireland.

“The country’s low corporate tax rate should be among the considerations–but cannot be the sole reason,” he said. 
Business seeking to be considered for financial incentives must satisfy the IDA that the assistance is necessary to ensure the establishment or development of the operation and that it is both commercially viable and will provide new employment.

Read the full article here at
http://www.irishcentral.com/news/Pros-and-Cons-of-Doing-Business-in-Ireland.html