Avanti Communications Share Discussion Threads

[estienne] 14/4/2011 14:36

Hylas is the only satellite with the capacity to meet the needs of UK MOD; They are in immediate need of a Ka band capability. With all the defence cuts, they certainly aren't going to launch their own Ka band satellite.

[marksnsparkle] 14/4/2011 14:34

BlackberryDrop ... yea I think people have forgot announcements from Avanti like this ...

Avanti and Astrium Launch Military and Government Ka-Band Test-Bed ..


"In addition we are experiencing significant bidding activity for large enterprise and cellular backhaul deals which could accelerate the rate of fill." ...


There are many more announcements like that emphasizing military, government and business ... I seem to remember an announcement about them being in talks with two large mobile phone operators but I can't find the rns

[blue forever] 14/4/2011 14:18

Somebody tell Mr Cawkwell that or does he already know? Maybe he needs another informant? :-)

[blackberrydrop] 14/4/2011 14:14

Simon, even the only analyst with a sell on AVN says that the Fujitsu announcement should be 'taken with a pinch of salt' and 'looks like more noise than substance'.

Marksnsparkle - you're spot on. consumer broadband is just a small bit of the pie, and the UK is a small bit of that small bit. Military, enterprise and cellular backhaul are huge markets!

[marksnsparkle] 14/4/2011 14:02

all the discussion seems to be about residential broadband ... I'm not convinced that is the focus of the Avanti business model, I have always seen them as a company selling value added broadband connections/services to government, military and business ... not just simply selling basic broadband connections to the residential market

[volsung] 14/4/2011 13:45

But has dey really got da sattelite or is dey joking?

[jonnyno1] 14/4/2011 13:44

this is all good stuff Fujitsu, BT.... bilions of pounds, superfast broadband, 5 Years,95% of the country... Wow that sounds amazing! its such a shame these rural areas cant get decent broadband right now...oh they can.. sorry!!!!!

J.

[geheimnis2] 14/4/2011 13:41

I think we have seen that already, cawky

keep up at the back of the class

incidentally, do you still think PDX technology is a "scam"?

;-)

[simon cawkwell] 14/4/2011 13:39

Gentlemen,

AVANTI SHARE PRICE SET TO PLUNGE FURTHER

My informant in the matter of AVCN who has been so generally reviled on this thread has passed on the following to me:

"I don't know enough about the cost of this (see below or to have a view as to whether this is a really serious proposition. But, if it is, that's most of Avanti's target market gone in the UK (as is already the case in Ireland due to the rollout of 3's mobile broadband network there, which has taken terrestrial broadband coverage from 90% to nearly 99%). At the same time Deutsche Telekom started last year to roll out an LTE mobile broadband network in rural areas of Germany using the radio spectrum freed up by analogue TV switch off (see to cover the 4% of homes not supplied by ADSL. This is what the European Commission has stated it should primarily be used for all across the EU (see All of this competing investment in terrestrial fixed line and mobile networks is precisely the reason SES Global give for not investing in a dedicated ka-band satellite."

Elsewhere, my informant points up:

"Fujitsu unveils plans to bring fibre to 5 million homes and businesses in rural Britain

London, 13th April 2011 - Fujitsu, one of the world's largest technology and communications companies, today announced plans to work in collaboration with Virgin Media, TalkTalk and Cisco to deliver next generation internet services to 5 million homes in rural Britain.

The collaboration and subsequent Fujitsu build of a new superfast, fibre optic broadband network is a ground breaking and innovative alternative to BT Openreach and provides an opportunity for any community or local authority looking to access a proportion of the £530 million earmarked by the UK Government to drive investment in superfast broadband in rural communities.

The Fujitsu open access wholesale network will be underpinned by Cisco's world leading technology. Virgin Media and TalkTalk intend to access wholesale products via this network in order to retail next generation services to customers in remote parts of the UK . The network will also be open to other service providers on wholesale terms.

Fujitsu's vision builds on the company's extensive experience in both managing telecommunications networks and in building next generation "Fibre to the Home" (FTTH) networks.

The proposals will provide future-proofed connectivity to 5 million households and beyond that would otherwise be unlikely to benefit from commercial investment in next generation digital networks. In particular, the collaboration has the potential to transform rural broadband in the UK in a number of important ways:

In the vast majority of areas, Fujitsu will run fibre optic cabling directly to the home (FTTH), rather than to the local street cabinet. As a result, the Fujitsu network will be one gigabit (1Gbps) symmetric capable from day one with potential to go to 10Gbps and beyond.

Fujitsu's network will be truly open access to all ISPs offering the end customer an unrivalled choice of services over a single physical network connection.

Deployment across a wide range of underground and overhead infrastructure means that the Fujitsu network architecture is entirely independent of existing street cabinets. This model enables public investment to be targeted in areas where broadband provision is poorest.

The collaboration will actively support the involvement of local community broadband groups, enabling dynamic and flexible solutions in rural communities for the first time.

Superfast upload and download speeds can enable entertainment, remote healthcare, education and future government services without the need to travel. This future-proof infrastructure will shrink distances and will bring to rural Britain the services that the rest of the UK can enjoy today.

The plans rely on the remedy imposed by the regulator Ofcom, on BT Openreach, to provide access to its underground ducts and telegraph poles on fair, reasonable and non-discriminatory terms.

Communication Minister Ed Vaizey said: "Superfast broadband is already helping businesses grow and improving the lives of those able to access it. But many rural and hard to reach areas are missing out. The whole of the UK should be able to share in the benefits of broadband and we are determined to make that happen by the end of the Parliament. That is why the Government is investing over £500m in taking superfast broadband to everyone.

"I am delighted that Fujitsu along with Virgin Media, TalkTalk and Cisco share the Government's vision. The collaboration between these companies was exactly the sort of ambition and innovation the Government wanted to stimulate by removing barriers to broadband rollout. Fujitsu and their industry partners are pledging a substantial investment in the UK and it represents a deep commitment to the future success of this country.

"Creating this superfast broadband network will help improve the economic and social prospects of the homes and businesses where high-speed internet access remains just a dream."

Duncan Tait, CEO of Fujitsu UK and Ireland said: "There is a unique opportunity for the UK to re-establish itself as a world leader by having the world's most advanced fibre network. If done correctly this can be a key vehicle to accelerate recovery in the UK and bring genuine choice to generations of communities starved of participating fully in the UK economy. We believe our approach, in collaboration with these major industry leaders, will provide a future proofed network for at least the next 20 to 30 years."

Virgin Media's CEO, Neil Berkett, said: "Virgin Media's involvement in this ground breaking project is part of our on-going drive to rapidly create a step change in the UK 's digital evolution. Fujitsu's vision and global expertise provides an opportunity to change the game in terms of broadband provision in parts of the UK that are otherwise being left behind. We now have a once in a lifetime opportunity to make the ambition of a digitally-enabled society a reality beyond the country's cities and towns."

Dido Harding, CEO, TalkTalk Group said: "TalkTalk believes that high-speed internet access must not become the preserve of the few. Fujitsu's investment will stimulate competition and allow us to deliver affordable products to the widest possible range of families and small businesses in all parts of the UK . Furthermore, accessing a Fujitsu network will allow us to extend our superfast broadband footprint while complementing our existing FTTC strategy."

Cisco UK & Ireland 's CEO, Phil Smith, said: "Cisco is focused on driving the best superfast broadband in Europe to communities, towns and cities. We are committed to economic development, digital inclusion and improved public services such as health care and education. Fujitsu's approach to building an open-access wholesale platform promotes innovation and competition across the UK . Underpinned by Cisco's next-generation technology, this partnership has the opportunity to revolutionise the digital agenda for rural Britain ."

[blue forever] 14/4/2011 13:27

Not sure it matters that much as Avanti aren`t targetting rural broadband simply for the UK.
Sp is shiite at the moment but nothing a couple of good rns`s can`t cure.

[tsmith2] 14/4/2011 13:08

Fujitsu's bid is based on getting access to £530m of public money currently earmarked for rural broadband. The company is proposing to build a network, focused on Britain's worst broadband areas, that it would then sell at wholesale prices to internet service providers, such as Virgin and TalkTalk. Prices would be for individual ISPs to set.


£2bn investment!

What prices do you think they are going to charge..!

[argy2] 14/4/2011 13:05

Can't agree with the last part B1ggles. Use of BT network is relatively easy these days.

[b1ggles] 14/4/2011 12:58

That's the one announced yesaterday (see post 5147).

It's long-term (five years at best) and all very dependent on arriving at a rental deal with BT to use its poles and ducts, which won't be made easy.

[waterloo01] 14/4/2011 11:10

like directors buying! All way too short term, but I guess most on here are short term traders

[levi 2] 14/4/2011 11:08

Some reassurance from the company that all is well needed badly to stop the share price going into freefall!

[jeffian] 14/4/2011 09:29

Estienne,
AVN's year-end is 30/6 and for the past 2 years they have issued Trading Updates in July (albeit buried within Placing announcements). No reason why they can't do the same again this year and, although nobody's expecting much in the period to 30/6/11, they could at least comment on prospects for the current year and going forward.

Yes, there is delay before we see cash flowing into the coffers and that is what gives the opportunity to shorters, unfortunately.

[b1ggles] 14/4/2011 08:50

The results have normally been late Sep/early Oct, maybe they were delayed last year for some reason?

[estienne] 14/4/2011 08:28

Jeffian,

The problem is that AVN doesn't report until December which is a long time to wait to see 'the cash flowing into AVN's coffers'.

[gorvachof] 13/4/2011 20:50

There is now Avanti service package pricing on another site, very
simular layout to the rural broadband link posted a while back. I'd be curious to know if this is the price Avanti are suggesting to their resellers.

[soundsplausible] 13/4/2011 20:01

jeffian,

ASVFN, could use this as an opener. Of course Avanti could summerise in a generalised manner, but if they have no underlying reason for this price re-trace they could easily come out with conformation that they know of no materialistic reason why the share has suffered so much in the intervening period. That would give a strong indication to the market that everything is in order and we can all laugh at SC as the price moves north.

However, what if there is a reason which they are aware of then this should be brought to the market's attention. Contracts won and/or canceled should be RNS'd.

[julcester] 13/4/2011 18:46

Fujitsu is planning to roll-out rural broadband using BT's poles n' pipes. Needs £500m worth of Government funding though.

Also relies on BT not charging the earth for access to their poles and pipes.

By the time they are operational (if it becomes operational), satellite broadband will have dropped in price anyway (and Hylas 2 will have been launched?).

[jeffian] 13/4/2011 17:41

Well a general question will get a general answer and I'm sure any Director of any company will tell you he thinks its shares ought to be worth more! Personally, I'd be far more interested in responses to specific enquiries - e.g. whether the 3 Ireland contract announced in April 2009 is still in place or been cancelled and although I don't think there's the faintest chance they will answer, there's no reason why they shouldn't as this has already been the subject of a RNS and is in the public domain.

But my point remains; IS it so undervalued at the moment? It's no lower than it was last July, only 8/9 months ago, and is still above the price at which they placed £70m-worth of shares, so they presumably thought that was the 'right' price at the time. The only material change in the meantime is the successful launch of the satellite and although that 'de-risks' the prospects to some extent, as I posted before, we are still in a period of uncertainty over delivery of the promised revenues, and that can only be resolved by seeing the cash flowing into AVN's coffers.

[soundsplausible] 13/4/2011 17:16

jeffian,

Just look at the share price. Avanti market's capitalisation is less than it was pre-launch. Pre-launch we were living in hope of what may be, now Avanti is a fully fledged communications company with it's own satellite (with more to come), which will/should deliver sustainable income/profits for the years to come.

Simon and one dodgy broker's report cannot be solely responsible for the current share price, so I would like Avanti's take on this.

ADVFN cannot directly ask price sensitive information (well they can but Avanti will not answer them), so I have approached it from a more general view point, hence the question.

[sg31] 13/4/2011 16:12

I have received an email from ADVFN confirming Darren is genuine.Looks like it could be an interesting initiative by ADVFN.

Darren my apologies,there are so many games played on these boards that I trust no one unless they have proved they are trust worthy.