Shaw 2011 Annual Report Download - page 16

Shaw Communications Inc.
MANAGEMENT’S DISCUSSION AND ANALYSIS
August 31, 2011
target and accommodate subscriber interests, primary language, income level and type of
household. Such packages are marketed through Shaw Direct and a nation-wide distribution
network of third party retail locations.
Shaw Direct continues to transition to advanced modulation and encoding technology, including
MPEG-4, for its programming allowing it to increase its channel capacity. As part of its
commitment to enhance its service offerings, over 30 standard and high definition channels
were added during 2011. As at August 31, 2011, Shaw Direct offered 79 HD channels.
With the new satellite expected to be available in late 2012, Shaw Direct’s satellite television
services capacity will expand by 30 percent through 16 additional national transponders. The
new transponders will provide bandwidth for expanded subscriber choice, including new HD
channels and other advanced services. The additional transponders will also provide enhanced
service quality, acting as important in-orbit back-up capacity. In 2011 Shaw Direct began to
install compatible outdoor equipment so that many customers will be able to immediately
access the new capacity once it is available.
Satellite Services
Satellite Services operations include two primary businesses, Shaw Broadcast Services and
Shaw Tracking.
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., referred to as a
satellite relay distribution undertaking (“SRDU”), 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 approximately 400 distribution undertakings, primarily cable operators, and redistributes
350 television signals and over 100 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 with 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 over 130 specialty and
pay broadcasters across Canada,as well as to Canadian pay audio providers.
Shaw Tracking provides asset tracking and communication services to approximately 600
companies in the transportation industry in Canada, with over 40,500 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.
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