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Connecting to the Net by Satellite

Boot Camp feature for Wednesday, December 13, 2000

A high speed connection to the Internet... by satellite. I'm Fred Fishkin with Bloomberg Bootcamp. How do you wire all of those homes for broadband Internet connections where cable and DSL aren't available? The answer is... in space. Pegasus Communications is teaming with DirecPC from Hughes to launch two way satellite Internet service nationwide in January. Until now, DirecPC subscribers could download by satellite but required a modem and phone line for the outbound Internet connection. Pegasus VP Chris Walczak... .

"The hard part, and the most exciting thing that we're doing today is transmitting data and energy back up to that same spacecraft, 22 thousand miles in space, which hadn't been done before on a consumer level because the cost of that equipment had been tens of thousands of dollars. So today, we're able to introduce a system that costs less than five hundred dollars."

. The oblong dish can also receive DirecTV signals. Subscribers to that service will get ten dollars off the 69.95 monthly Internet access charges. That's pricier than most cable or DSL services, but Pegasus believes there will be a significant market ...

"If you would define a market that wants high speed access that can't yet get it because cable and DSL aren't yet available to them. Which might amount to well over fifty million homes right now."

The speed of the connection... about 400 kilobits per second coming down and more than 100 kilobits per second going up. Bootcamp, I'm Fred Fishkin, Bloomberg Radio.