20.09.2005 15:07:00

Small Businesses in the Dark With Dial-up Internet Access

GERMANTOWN, Md., Sept. 20 /PRNewswire/ -- The broadband digital divide is alive and well among the nation's small businesses, according to the "Broadband Access Survey," conducted by Survey.com and commissioned by Hughes Network Systems (HNS). The nationwide survey of 250 small businesses found that of those who do not use broadband, about two in five (43%) say that it is not available to them.

"A common misperception among small business owners is that there are only two ways to get a broadband connection, cable or DSL," said Mike Cook, senior vice president of HNS. "The reality is that just about every small business in the continental US can get a broadband connection using satellite.

"The survey confirms that despite years of talk about closing the digital divide, there are still many small business in rural, suburban -- and surprisingly even urban areas -- who are overlooked by terrestrial broadband providers, and that isn't going to change anytime soon," said Cook.

Reaping Broadband Benefits

The survey results also show that those on dial-up are clearly missing out on the tangible benefits of having a broadband connection.

Over two-thirds of the American small businesses surveyed using a broadband connection say that the most important factor in its use is that it either saves them time or helps them better service their customers. Over a third of those respondents (39%) said that the most important benefit about a broadband connection is that it helps them respond rapidly to online customer inquiries. More than a quarter (28%) said that the most important benefit is enabling them to surf the Web at high speeds.

"It's clear that small businesses will need to move to broadband in order to keep their competitive edge. DIRECWAY is the solution that delivers the connectivity they need, especially to those overlooked by the terrestrial providers," added Cook.

Other highlights of the survey include: * 35% of small businesses that are in urban locations do not have (terrestrial) broadband access to the Internet; * 44% of small businesses that are in suburban locations do not have (terrestrial) broadband access to the Internet; and * 76% of small businesses that are in rural locations do not have (terrestrial) broadband access to the Internet * Overall 60% of companies with 1-10 people do not have (terrestrial) broadband access to the Internet;

HNS, the sponsor of the survey, is the leading provider of satellite broadband services for small business. HNS currently provides more than 50,000 small businesses with broadband connectivity.

The "Broadband Access Survey" equally polled small businesses that do and do not have broadband for Internet connectivity. The survey was conducted online by Survey.com.

About Hughes Network Systems

Hughes Network Systems, LLC (HNS) is the world's leading provider of broadband satellite network solutions for businesses and consumers, with more than 800,000 systems ordered or shipped to customers in 85 countries. HNS pioneered the development of high-speed satellite Internet access services and IP-based networks, which it markets globally under the DIRECWAY(R) brand. DIRECWAY terminals are based on the IPoS (IP over Satellite) global standard, approved by the TIA, ETSI, and ITU standards organizations.

Headquartered outside Washington, D.C., in Germantown, Maryland, USA, HNS maintains sales and support offices worldwide. SkyTerra Communications, Inc. (BULLETIN BOARD: SKYT) and The DIRECTV Group, Inc. each own 50% of HNS. SkyTerra is its managing member. For additional information, please visit http://www.hns.com/.

HUGHES and Hughes Network Systems are trademarks of Hughes Network Systems, LLC. DIRECWAY is a registered trademark of The DIRECTV Group, Inc.

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