The initial service rollout will cover Mexico, but plans include marketing the service to all of Central and South America as well. The value of the contract is approximately $4.9 million and deliveries of the network hub and terminals have already begun.

"Through our strategic relationships with ViaSat and PanAmSat, we will be able to provide consumers with the first broadband satellite communications alternative throughout Mexico, Central and South America at very competitive prices," said Javier Braun Burillo, general director of Pegaso Banda Ancha.

The Pegaso Banda Ancha network will connect to the Internet backbone through the PanAmSat Teleport in Atlanta, Georgia, using extended Ku-band capacity on the PAS-1R satellite. PAS-1R, one of the largest and most powerful commercial geostationary satellites ever launched, offers an expanded and enhanced reach throughout the Americas, Caribbean, Europe and Africa.

The Atlanta teleport is PanAmSat's primary satellite transmissions gateway to Africa, Europe, Latin America and North America. It provides crucial turnaround services between the Atlantic Ocean Region and the U.S.

"We're delighted that Pegaso has chosen our SurfBeam system for this very large scale, consumer broadband system," said Jorge Vespoli, vice president of worldwide sales for ViaSat.

"Based on our DOCSIS-for-satellite technology, this project is unprecedented both in terms of its potential scale and of the leading technology that will be deployed and available for consumers. We are very proud that Pegaso Banda Ancha selected ViaSat and SurfBeam for this very ambitious project in Latin America."

The ViaSat SurfBeam system is a new approach to broadband satellite communication that makes satellite a cost-effective medium for broadband delivery through efficient use of satellite bandwidth, low cost consumer terminals, and mature back office and customer service systems.

The open standard network adapts the cable modem networking standard called DOCSIS (Data Over Cable Service Interface Specification) to satellite transmission.

Because the DOCSIS broadband networking standard is already used by millions of terrestrial cable customers, the technology is highly developed and low-cost in terms of modem chipsets, hub (head end) hardware, installation, and customer support.

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