Taipei, May 16, 2008 (CENS)--The U.S.-based EchoStart Corp., a leading provider of satellite television services in the world, plans to tap the Taiwanese market for the services this year, and aims to have more than 500,000 registered users of its HD (high definition) satellite TV services in the next five years, according to company sources.

EchoStar`s move to explore Taiwan`s satellite TV service market is expected to benefit Microelectronics Technology Inc., one of Taiwan`s two major suppliers of LNB (low-noise block) converters.

EchoStar is among the world`s top three providers of fixed satellite services, with more than 13 million registered users worldwide, only next to DirecTV Group. Last year EchoStar launched a satellite, which is now located in the sky between Hong Kong and China`s Guangzhou. This already showed the firm`s ambition to tap the Asian market.

In the same year, EchoStar was approved by Taiwan`s NCC (National Communications Commission) to provide direct broadcasting satellite (DBS) services abroad. The firm has also planned to officially promote its satellite TV services in Taiwan at the end of this year and maintained close contacts with Taiwanese TV program makers. Besides, it is going to introduce the U.S.`s HD satellite TV programs through 24 channels in the year.

Industry insiders indicated that at the moment there are seven providers of DBS services, including two local ones and five foreign ones; however, most Taiwanese residents still prefer cable TV services. But, with approval by NCC, EchoStar`s foray into Taiwan`s TV broadcasting services market will very likely threaten existing cable TV service providers and Chunghua Telecome Co., which is promoting its digital TV broadcasting service MOD.

On the other hand, Microelectronics has supplied its LNB converters to EchoStar for some time, with 20% of its sales revenue coming from the client. Last year Microelectronics`s sales of LNB converters grew 6% and contributed over 40% to the company`s annual revenue.

The company noted that EchoStar has increased its orders for LNB converters this year and has worked with it to jointly develop new LNB converters, which are scheduled to be shipped starting the third quarter of this year. Thanks to increasing popularity of HD satellite TV services in North America, the company is expected to see an influx of orders from EchoStar in the year.
(by Steve Chuang)