Show notes
Listeners, please see the introductory video on the Avealto website, www.avealto.com.Walt Andereson, CEO and Co-founder of AVEALTO, was our guest for this program. We focused on Walt's company's progress in developing high-altitude communication platforms to provide affordable internet access to underserved areas, including discussions about funding, regulatory approvals, and technical capabilities. Later, other topics were explored including Mars colonization, satellite technology, and frequency reuse strategies, with Walt presenting his company's terrestrial communication technology as a cost-effective alternative to satellite services. The conversation concluded with discussions about investment opportunities and upcoming events, including an art exhibition featuring aerospace-related artwork.Concerning program detail, Walt talked about his company's progress and future plans. Walt explained that they are close to securing funding for their first three vehicles, with a term sheet signed and due diligence underway. He mentioned their plans to operate in Malaysia, where they have received positive responses from regulators and a potential customer. Walt expressed hope that the funding will go through, as they have been waiting for this opportunity for a long time.Walt shared the introductory video referenced above explaining Avealto’ s platform, which provides affordable internet access to underserved areas by deploying platforms 20 kilometers above Earth. They briefly touched on space exploration, with Walt expressing skepticism about the feasibility of long-term human habitation on Mars and advocating for O’Neill colonies instead.Walt presented Avealto’s new telecom technology that uses high-altitude platforms at 20,000 meters to provide internet service to remote areas. Unlike traditional satellites, Avealto's platforms offer low latency and low power consumption, allowing for affordable connectivity in areas currently unserved by traditional means. Walt explained that the company has developed test vehicles and is working with UK-based manufacturers to build the final 331-foot-long vehicles, which will be launched and maintained to provide coverage for 45,000 square kilometers. The technology aims to compete with satellite operators by offering 75-80% lower costs, targeting telecom operators and direct home users in underserved regions.Walt explained the supply and pricing of helium, noting that while it's a byproduct of natural gas, its limited commercial uses make it expensive. He discussed their balloon-based communication platform's coverage capabilities, highlighting its potential to provide connectivity in underserved areas like the Mojave Desert and remote regions worldwide. Walt also addressed regulatory considerations, explaining that as an unmanned aerial vehicle, they operate under aviation regulations which are increasingly harmonized globally, and described their experience with high-altitude operations, including navigating the jet stream and military airspace.Walt discussed the regulatory and technical challenges of using frequencies in Southeast Asia, highlighting successful negotiations with Malaysian regulators and plans to expand to other countries like Indonesia and the Philippines. He explained the limitations of their solar-powered technology, which currently operates within 30 degrees of the equator, and mentioned a potential future partnership with Electric Sky to overcome these constraints. Walt also shared that they recently secured funding to build their factory in the UK and are on track to begin operations in Malaysia within 23 months, with plans to produce and deploy multiple vehicles to address the digital divide.Walt explained his company's terrestrial communication technology, which provides high-capacity, low-latency connectivity at a lower cost than satellite services like Starlink. He noted that while they have many MOUs, securing long-term contracts is challenging due to the commoditized nature of the satellite industry. Walt emphasized that their technology offers superior quality compared to satellite-based services, as it provides dedicated, non-contended capacity to serve towers and infrastructure rather than individual devices. He also clarified that they do not pursue military contracts, citing ethical and commercial reasons, and instead focus on providing affordable connectivity to underserved areas globally.The group, consisting of Space Show supporters Marshall Martin and Joe Pistritto, discussed space colonization options, with Walt advocating for O'Neill colonies in space over Mars settlement due to Mars' 38% gravity and lack of valuable resources. Walt expressed concerns about Elon Musk's Mars plans, noting that solving Earth's climate change would be 100 times cheaper than terraforming Mars. Joe shared his interest in Mars settlement while Marshall suggested farming could be a key activity on Mars. The discussion concluded with concerns about payload capabilities, with Joe noting that reliable, affordable large-payload launches are crucial for both O'Neill colonies and Mars missions.Walt discussed the challenges and opportunities in the satellite internet market, emphasizing the limited profitability of deploying large numbers of satellites due to replacement and maintenance costs. He highlighted the potential for competition with other companies and the need to efficiently use available frequencies to meet growing demand. Walt also mentioned a business model involving backup service for urban areas and the possibility of expanding capacity in the future. He concluded by pitching a convertible note investment opportunity to private investors, offering a 20% discount on a larger deal.Walt discussed his company's plans to reuse frequencies for satellite communications, explaining how they can avoid interference by using low-power signals and focusing on ground-level communications rather than satellite links. He noted that while the FCC would be challenging to work with, there are many countries eager to solve their digital divide through this technology. The group also discussed streaming services' impact on bandwidth usage, with Joe sharing his experience as an early Starlink user in California's Amador County. David provided information about an upcoming art exhibition in Fairfax, Virginia featuring an aerospace engineer's work, and Walt expressed interest in attending the opening reception.Special thanks to our sponsors:Northrup Grumman, American Institute of Aeronautics and Astronautics, Helix Space in Luxembourg, Celestis Memorial Spaceflights, Astrox Corporation, Dr. Haym Benaroya of Rutgers University, The Space Settlement Progress Blog by John Jossy, The Atlantis Project, and Artless EntertainmentOur Toll Free Line for Live Broadcasts: 1-866-687-7223For real time program participation, email Dr. Space at: [email protected] Space Show is a non-profit 501C3 through its parent, One Giant Leap Foundation, Inc. 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