Shaw 2010 Annual Report Download - page 18

December 2009 policy decision from Industry Canada and further strengthens the capabilities of
the country’s competitive satellite distribution sector. The new capacity will increase Shaw Direct’s
satellite television services by 30 percent through 16 new national transponders. The transponders
residing on the third satellite will provide bandwidth for expanded customer choice, including new
high definition and other advanced services. It will also provide enhanced service quality acting as
important in-orbit back-up capacity.
Shaw Broadcast Services
Shaw Broadcast Services redistributes television and radio signals via satellite to cable operators
and other multi-channel system operators in Canada and the U.S. and provides uplink and network
management services for conventional and specialty broadcasters on a contract basis.
The redistribution of signals to cable companies and other operators is known in Canada as SRDU
services. Shaw Broadcast Services currently provides SRDU and signal transport services to over
400 distribution undertakings, primarily cable operators, and redistributes 300 television signals
and over 120 audio signals in both English and French to multi-channel system operators. Shaw
Broadcast Services also offers HITS/QT and QT Plus (Headend In the Sky/Quick Take), which allow
small and medium size cable companies to offer digital signals to subscribers for a substantially
reduced capital outlay. HITS/QT and QT Plus facilitate increased availability and penetration of
digital services in Canada and thereby add incremental revenues to Shaw Broadcast Services from
the additional services provided to smaller cable companies.
Shaw Broadcast Services’ uplink and network management services include backhaul (transport of
signals to the uplink site), uplink (delivery of signal to the satellite so that it can be distributed to
cable operators and other distributors), bandwidth, authorization and signal monitoring. Shaw
Broadcast Services currently provides such services to approximately 125 specialty and pay
broadcasters across Canada,as well as to Canadian pay audio providers.
Shaw Tracking
Shaw Tracking provides asset tracking and communication services to over 600 companies in the
transportation industry in Canada, with approximately 38,000 vehicles using its services. Shaw
Tracking’s services capture all related information pertaining to an asset (i.e. location, performance
and productivity measures) and effectively integrate into a carrier’s fleet management system. Via
satellite, cellular and Bluetooth networks, Shaw Tracking provides immediate real time visibility to
a company’s fleet and freight. Shaw’s services and solutions target a wide variety of segments of
transportation across Canada.
3. Media
The acquisition of Shaw’s Media business was completed early in fiscal 2011 and includes the
Global Television Network and 24 Speciality services. Initial steps of the acquisition occurred in the
latter part of 2010 and that portion of the investment was equity accounted for in 2010. In 2011
the Media results will be equity accounted until October 27, 2010, at which time the remaining
portions of the acquisition closed shortly after receiving CRTC approval for the transfer of 100%
ownership and control. After closing of the acquisition, the balance sheet and results of operations
will be consolidated.
The Canadian television broadcasting market is comprised of a number of English, French, and
third language stations and services that operate in different segments of the market. The
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Shaw Communications Inc.
MANAGEMENT’S DISCUSSION AND ANALYSIS
August 31, 2010