Business

October 23, 2013

DOD awards Iridium $400 million, five-year contract for Iridium airtime services

Iridium Communications Inc. announced Oct. 21 that it has been awarded a $400 million, multi-year, fixed-price contract with the Defense Information Systems Agency (DISA) to provide satellite airtime services to meet the communications needs of the U.S. Department of Defense and their federal partners.

This five-year contract renews the provision for delivering Enhanced Mobile Satellite Services airtime effective Oct. 22. Iridium will provide unlimited global secure and unsecure voice, low and high-speed data, paging and Distributed Tactical Communications System services for an unlimited number of DOD and other federal government subscribers.

The renewed EMSS contract extends the U.S. governments existing relationship with Iridium and ensures the continuation of service through new terms which offer program stability and the best value to the DOD to expand services supporting its critical missions. Both the multi-year and fixed-cost terms allow an even greater number of government subscribers to fully take advantage of the current capabilities as well as the enhanced services that will become available with Iridium NEXT – the Companys next generation satellite constellation scheduled for first launch in early 2015 ñ without concern for incremental cost increases based on usage changes or growth in demand.

The companys U.S. government service revenue for the full-year 2012 was $61.8 million. The EMSS fixed-price rate in each of the five contract years is $64 million in fiscal year 2014, $72 million in fiscal 2015 and $88 million in fiscal years 2016, 2017, and 2018.

Iridium is proud to continue its longstanding relationship of providing global, mobile communications to the Department of Defense, our largest single customer, said Scott Scheimreif, Iridiums executive vice president, government programs. We expect the DODs needs for satellite communication services will continue to grow over the next five to 10 years. At a time when the U.S. government is operating under greater fiscal constraints, Iridium is confident that both our service and contract terms will provide an optimal solution for our war fighters and other federal partners to communicate effectively now and in the future.

In 2012, U.S. government services and support made up 20 percent of Iridiums revenues. Government subscribers on the Iridium network have grown from 32,000 to more than 51,000 during the last five-year contract period as services grew from basic voice and paging, to data and Netted IridiumÆ with growing applications across all the services. According to the Defense Business Board fiscal year 2013 report to the Secretary of Defense, commercial satellite communications currently supports about 40 percent of the DODs satellite communication needs.




All of this week's top headlines to your email every Friday.


 
 

 
atk-test

ATK successfully tests Orion launch abort motor igniter

NASA and ATK successfully completed a static test of the launch abort motor igniter for the Orion crew capsule’s Launch Abort System. Conducted at ATK’s facility in Promontory, Utah, this test is the next step towa...
 
 
uav-coalition

Small UAV coalition launched to advance commercial use of unmanned aerial vehicles

Leading technology companies Oct. 1 formally announced the formation of the Small UAV Coalition to help pave the way for commercial, philanthropic, and civil use of small unmanned aerial vehicles in the United States and abroad...
 
 

Northrop Grumman hand held precision targeting device completes successful developmental test

A new hand held targeting system developed by Northrop Grumman that will enable soldiers to engage targets with precision munitions while providing digital connectivity to related military units has successfully completed developmental testing at White Sands Missile Range in New Mexico. The evaluation of the company’s Hand Held Precision Targeting Device, or HHPTD, was conducted...
 

 

China’s first New-Generation Boeing Jetliner B747-8 delivered to Air China

In the evening of Sept. 29 29 in Seattle, Beijing time, Air China and Boeing held a grand aircraft delivery ceremony in Seattle, the United States, marking the official delivery of China’s first B747-8 to Air China. The type is a member of the latest generation B747 family. It will arrive at Beijing Capital International...
 
 

Raytheon awarded $251 million Tomahawk missile contract

The U.S. Navy has awarded Raytheon a $251 million contract to procure Tomahawk Block IV tactical cruise missiles for fiscal year 2014 with an option for 2015. The contract calls for Raytheon to build and deliver Tomahawk Block IV cruise missiles to the U.S. Navy and U.K. Royal Navy. Raytheon will also conduct flight tests...
 
 
Raytheon photograph

Poland’s TELDAT, Raytheon partner to develop new Patriot router

Raytheon photograph TELDAT President and CEO Henryk Kruszynski and Daniel J Crowley, president, Raytheon Integrated Defense Systems. Raytheon is partnering with TELDAT to develop and produce advanced militarized routers for the...
 




0 Comments


Be the first to comment!


Leave a Reply

Your email address will not be published. Required fields are marked *

You may use these HTML tags and attributes: <a href="" title=""> <abbr title=""> <acronym title=""> <b> <blockquote cite=""> <cite> <code> <del datetime=""> <em> <i> <q cite=""> <strike> <strong>