Current Satellite Perspectives Therese Jones, SIA NSMA Spectrum .

Current Satellite Perspectives Therese Jones, SIA NSMA Spectrum Management Conference May 14, 2019

2018 Satellite Industry Indicators Summary Mobile ( 4.1) Remote Sensing Services ( 2.1) Fixed 17.9 Consumer 126.5B 277.4B Satellite Services 2018 Global Revenues -1.7% 125.2 126.5 Ground Equipment* Satellite Services 3% Non-U.S. 26% 8.0 102.4 19.5B Satellite Manufacturing 11.5 Network Growth 2017 2018 Consumer 18.1 U.S. 13.8 Non-U.S. 125.2B Ground Equipment 19.5 Launch Industry ( 6.2B) 6.2B 5% Satellite Manufacturing 3.9 93.3 GNSS Satellite services: broadband, satellite radio, managed services grew 12%, 7%, 7% respectively. Satellite TV, transponder agreement sales decreased 3%, 4% respectively. Remote sensing imagery decreased 6%. Ground equipment: network, GNSS grew 17%, 4% respectively. Consumer decreased 1%. 2.3 Launch U.S. 34% 2

Global Satellite Industry Revenues Global Satellite Industry Revenues ( Billions) 300 250 Billions 200 150 100 168 161 177 210 231 246 255 261 269 Ten-Year Global Industry Growth 50 0 Growth Rate 1.7X 277 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 11% 5% 6% 18%* 10% 7% 3% 2% 3% 3% Global satellite industry grew 3% in 2018, tracking worldwide economic growth (3%) and U.S. growth (2.9%) *Reported since 2017 and including years beginning with 2012, ground equipment revenues include the entire GNSS segment: stand-alone navigation devices and GNSS chipsets supporting location-based services in mobile devices, traffic information systems, aircraft avionics, maritime, surveying, and rail. 3

The Satellite Industry in Context Telecommunications Government Space Budgets* Commercial Human Spaceflight** Non-Satellite Space Industry 82.5 360B Global Space Economy Satellite Services 126.5B 3% Growth 2017 2018 Television Telephone Broadband Aviation Maritime Road and Rail Remote Sensing Agriculture Change Detection Disaster Mitigation Meteorology Resources Earth Science 277.4B Satellite Industry (77% of Space Economy) Space Science National Security Ground Equipment 125.2B Satellite Manufacturing Launch Industry Consumer Equipment Sat TV, radio, and broadband equipment GNSS stand-alone units & in-vehicle systems GNSS chipsets (beginning with the 2017 report) Network Equipment Gateways VSATs 3% Growth 2017 2018 NOCs SNG equipment * Includes government civil and military space spending by 70 countries and international organizations (ESA) using published data. ** Includes commercial cargo missions to ISS and other human spaceflight projects, about 2B 4 Acronyms: Network operations centers (NOCs), satellite news gathering (SNG), very small aperture terminal (VSAT) equipment, global navigation satellite systems (GNSS)

The Satellite Network in Context Operational Satellites by Function and Mass Class Estimated as of December 31, 2018 Number of satellites increased 67% over 5 years (from 1,261 in 2014) Non-Profit Communications ( 1%) Scientific Space Observation ( 1%) » Military Surveillance Navigation Government Communications 7% 7% 10% 5% Commercial Communications 27% 2,100 Total Operational Satellites » » Remote Sensing 13% Unknown/Classified 29% Extra Heavy (7,000 kg) (1%) Heavy (5,400-7,000 kg) R&D Pico (0.1-1 kg) 2% Large (4,200-5,400 kg) 6% » 7% Nano (1-10 kg) 22% Micro (10-200 kg) 7% Active Satellites by Mass Class (total mass 3,300MT) 12% 7% Mini (200-600 kg) 14% Satellites launched 2014—2018 increased 243% over previous 5 years » Average 210/year » Due mostly to small/very small satellites in LEO ( 1,200 kg) Total satellite mass in orbit about 3,300 metric tons Average operational lives of larger (mostly communications) satellites becoming longer, exceeding 15 years; 272 active satellites launched before 2003 558 active satellites in GEO (27 more than in 2017, mostly providing communications services) 2,100 satellites operated by entities from 68 countries (some in regional consortia) 11% Intermediate (2,500-4,200 kg) » 11% Medium (1,200-2,500 kg) Small (600-1,200 kg) Cumulatively, organizations from 86 countries have deployed at least one satellite since 1957 U.S. entities operate 849 satellites, some in partnership with other nations 5

Operational Satellites, by Year 100% 80% 70% 60% 8% 8% 5% 5% 4% 8% 6% 5% 7% 7% 2200 Scientific 7% 6% 7% Military Surveillance 2000 11% 11% 12% 12% 13% 1800 16% 17% 16% 31% 29% 50% 14% 14% 1600 19% 40% 11% 10% 30% 20% 5% 38% 37% 35% 32% 28% 1400 1200 Number of Operational Satellites Share of Operational Satellites, by Application 90% 5% Navigation R&D/Other Remote Sensing/ Space Observation Government Communications Commercial/ Non-Profit Communications 10% Operational Satellites 0% 1000 2014 2015 2016 2017 2018 9

Operational GEO Satellites, by Year 600 Number of Operational GEO Satellites 500 400 300 200 448 506 520 531 2015 2016 2017 558 100 0 2014 2018 10

Satellites Can Bridge the Digital Divide ViaSat 2 Broadband Coverage FCC Fixed Broadband Availability by Household, 2018 HughesNet Gen 5 US Broadband Coverage

Satellites Are There When Disaster Strikes “Satellite broadband was the only reliable communications system [sic] in the aftermath of the hurricanes and must be fully implemented across the island to build a truly resilient and connected Puerto Rico.” --Liga de Cooperativas de Puerto Rico 95% of cell sites in Puerto Rico and 77% of cell sites in the Virgin Islands were taken out by Hurricanes Irma and Maria in Fall 2017 Residents in Guayama, Puerto Rico, queued for access to the only working phone in the town after Hurricane Maria, a satellite phone at Derkes Pharmacy Public Safety Answering Points Utilize Satellite Phones as Backup Hand-held terminals, portable Very Small Aperture Terminal (VSAT) antennas, and temporary fixed installations can be rapidly deployed

Satellites Are There When Disaster Strikes Satellites provide vital weather forecasting before disaster strikes Satellites image the entire Earth daily at 1m resolution Synthetic Aperture Radar can see through clouds/flooding Remote sensing companies participate in the International Charter Space and Major Disasters and work with organizations such as Humanitarian OpenStreetMap Hurricane Florence before (optical) and after (Synthetic Aperture Radar)

Satellite Companies Are Investing Billions in Innovation High Throughput Satellites allow for efficient use of spectrum HughesNet Spot Beam Coverage over North America Satellites will play a large role in 5G due to their global reach, contributing to the Internet of Things/communications on the move, trunking and head-end feed, backhaul and tower feed, and hybrid multiplay

Planned NGSO Constellations Filed with FCC 13 Companies 21 Constellations Purpose Operator/ Satellites Bands Broadband Broadband SES/O3b OneWeb 8 MEO 720 LEO Ka Ku, Ka Broadband Leosat 12 Inclined GSO Ka Broadband Broadband Broadband Broadband Broadband SpaceX Boeing/SOM 1101 LLC Boeing Boeing SES/O3b 4425 LEO 2956 LEO 132 LEO 15 HEO 24 MEO Ku, Ka V, Q V, Q V, Q Ka Broadband SES/O3b 12 Inclined MEO Ka Broadband Broadband Broadband Broadband Broadband Broadband IOT Broadband SES/O3b OneWeb OneWeb SpaceX Telesat Telesat Kepler ViaSat 24 MEO 1980 LEO 2560 MEO 7502 VLEO 117 LEO 117 LEO 140 LEO 20 MEO V, Q V, Q, Ku, Ka Ku, Ka, V, Q, E V, Q Ka V, Q Ku, Ka Ka Broadband, EO Theia 112 LEO Ku, Ka, V, Q Broadband Relay Space Norway Audacy 2 HEO 3 MEO Ku, Ka Ka, V, Q Broadband Karousel 12 Inclined GSO Ku, Ka 6887 Satellites Ku, Ka 14121 Satellites V, Q

Operators Plan to Deploy Some 30 Tbps in 2018 - 2022 Total 48 commercial GEO satellites reported under contract, in various R&D or construction phases Satellites under contract, planned to launch in 2018 – 2022 – 27 conventional w/b satellites, predominantly for video distribution and broadcasting – 21 HTS mainly for broadband connectivity – Expected to deploy in 2018 – 2022 – Total capacity of at least 5,000 Gbps – More satellite orders anticipated to be announced with similar deployment timeframe Estimated 1,400 HTS planned for deployment by NGSO prospective constellation operators Satellite capacity under contract, planned to deploy in 2018 – 2022, Gbps – Focusing on global low latency broadband connectivity – Potential capacity approaching 25,000 Gbps Numbers reflect published plans of satellite operators with satellites under manufacturing contracts or announced in-house manufacturing plans; no adjustment made for likelihood of deployment 13

Large Sats Maxar CAN Airbus Intelligence FR IL ImageSat 21AT/TripleSat UK/CN UrtheCast CAN Astro Digital USA Axelspace JP USA BlackSky Global Capella Space USA CN Chuang. Sat. Tech. Co. Earth-i UK GeoOptics USA HawkEye 360 USA Hera Systems USA ICEYE FIN Kleos LUX Orbital Micro Systems UK Planet USA PlanetiQ USA KR SatByul Satellogic ARG Spire Global USA Siwei Star Company CN SpaceVR USA Umbra Lab USA Optical (MS), radar Optical (MS), radar Optical (MS) Optical (MS) Optical, radar Optical (MS) Optical (MS) Optical (MS) Radar Optical (MS) Optical (MS), video RO RF mapping Optical (MS) Radar RF mapping Optical (MS) Optical (MS), video RO Optical Optical (HS) RO, AIS, ADS-B Optical (MS) Optical (MS) Radar Generating Revenue (GR), Start-up no/some revenue (SU) 15 9 3 150-2,200 430-3,085 280-370 350 300-1,400 10-20 95 55 TBD 420 80 TBD 13 12 150 TBD 10 4-150 20 10 37 4.5-6 TBD 4 TBD GR GR GR GR GR SU SU SU SU SU SU SU SU SU SU SU SU GR SU SU SU GR SU SU SU 3 26 30 50 60 30 60 TBD 24 3 48 18 20 39 100 18 8 25 75 24 2 12 Added in 2018 SSIR High revisit ( 1 day) High Res ( 1m) Sensor Description Typical Sat Mass (kg) Operational includes initial deployment through full capacity UrtheCast operates cameras aboard ISS and acquired assets from Elecnor Deimos, but is also planning to deploy optical and radar satellites exactEarth/Harris features hosted payloads, rather than dedicated satellites Criteria for inclusion are satellites on orbit, announced funding, signed launch contract/agreement, or NOAA license Acronyms: MS – multispectral, HS – hyperspectral, RO – radio occultation, RF – radio frequency, AIS – Automatic Identification System; ADS-B – automatic dependent surveillance—broadcast Planned Number of Satellites – New systems continue to be announced – Certain industry consolidation through mergers and acquisitions in 2013 – 2017 Operational Small Satellites ( 200 kg) For many years, global remote sensing services were offered by small number of operators New competitors and new partnerships have recently emerged Tremendous investment and innovation driven by interest in business intelligence products using satellite imagery and powered by advances in data analytics and artificial intelligence (AI) Industry maturation Country Remote Sensing Services

Current Satellite Views C-band allocation 3.7-4.2 GHz – C-band vital to satellite TV and internet capabilities Satellite signals are much fainter than terrestrial signals, and interference can be caused from 100s of km C-band is resistant to rain, and allows for broad coverage Public Safety is dependent on these frequencies Uses of band include: connectivity of remote Alaskan villages, supporting missile warning systems and other national defense capabilities, delivering emergency alerts and weather information, and restoring services when terrestrial network is unavailable – SES, Intelsat, Telesat, Eutelsat propose allocating 200 MHz of spectrum to terrestrial mobile, who reimburse satellite for costs

Current Satellite Issues 24 GHz interference with passive microwave sensors – European threshold 4000x more sensitive than FCC – Similar issue at 1.675-1.695 GHz Smallsat NPRM – 10 satellites, either below ISS altitude or have propulsion, deorbit within 5 years Orbital Debris Mitigation, Space Situational Awareness, and Space Traffic Management GOES-15 RFI, Aug 17 2015, Credit: CIMSS/SSEC