AVN.L Regulatory News (AVN)

15 Jun 2009 07:00



Date: 15 June 2009

On behalf of: Avanti Communications Group plc ("Avanti" or "the Company")

Embargoed until: 0700hrs

Avanti Communications Group plc

Contract Win

Avanti Communications Group plc (AIM: AVN), the broadband satellite operator, has been awarded preferred bidder status (subject only to completion of standard contract documentation) for the rollout of broadband services via satellite to Byrness and surrounding areas in Northumberland. The programme will provide access to high speed broadband services to a rural village currently unable to receive services via any terrestrial alternatives. Avanti will provide services to the village and surrounding area for an initial two year period, with services being migrated to the HYLAS satellite following its launch.

The project is part funded via The North East Regional Portal (part of the ONE North East Regional Development Agency) and has been awarded through the ADIT Broadband & ICT Services Framework.

David Williams, Chief Executive of Avanti, said:

"I am pleased to be able to help more rural communities to join the digital economy. In the light of the objectives of the Government's Digital Britain project, it is clear that satellite technology is now delivering large scale solutions, with much more to come when our HYLAS satellite launches.

"We are already doing this for many regional government agencies around the United Kingdom. Satellite is clearly the only economically viable solution for high speed, high download broadband in the 10% - 15% of the population where population density is low or cable networks are weak."

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Notes to Editors:

About Avanti Communications

Avanti sells satellite broadband services to telecoms companies which use them to supply homes and businesses.

Avanti's first satellite, called Hylas is under construction and will be the first superfast broadband satellite launched in Europe.

The market for satellite broadband products in Europe is estimated by the EU at more than 24 million.

Avanti currently provides satellite broadband services to customers in Europe using leased satellite capacity which it will transfer to Hylas on launch.

The European Commission has set aside funding for rural broadband projects in 79 regions across Europe with a total value of €2.8 billion over the next five years.