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.


 
 

 

Headlines January 28, 2015

News: Panel will propose new military retirement system - The long-awaited report on military compensation set to drop Thursday will propose fundamental changes to military retirement and health care benefits, according to several people familiar with the report. Source: DOD to request $585 billion for fiscal 2016 - The Department of Defense is preparing to submit a...
 
 

News Briefs January 28, 2015

Defense contractor to pay $2 million to settle claims A Northern California defense contractor will pay the federal government $2 million to settle claims about its manufacturing of parts for remote-controlled aircraft. The U.S. Attorney’s Office in Sacramento says Sacramento-based Composite Engineering Inc. agreed to pay the money to end allegations that it artificially inflated...
 
 
Navy photograph

USS Roosevelt marks 200,000 trap

Navy photograph An F/A-18F Super Hornet flown by Capt. Daniel Grieco, commanding officer of the aircraft carrier USS Theodore Roosevelt (CVN 71), and Capt. Benjamin Hewlett, deputy commander of Carrier Air Wing (CVW) 1, complet...
 

 
Navy photograph by PO1 William Larned

USS California returns from maiden deployment

Navy photograph by PO1 William Larned The Virginia-class attack submarine USS California (SSN 781) returns from its maiden deployment to its homeport at Naval Submarine Base New London. Under the command of Cmdr. Shawn Huey, Ca...
 
 
Army photograph

Army proves new watercraft capabilities

Army photograph Marine Corps assets are loaded onto the USNS Sgt. Matej Kocak (T-AK 3005), from an U.S. Army Landing Craft Utility, or LCU, USAV Port Hudson during port operations, at White Beach Naval Base, Jan. 22, 2015. Sold...
 
 

Orbital stockholders approve merger with ATK’s aerospace, defense groups

Orbital Sciences Corporation announced Jan. 27 that at a special meeting, the company’s stockholders voted overwhelmingly to approve the proposed merger with the Aerospace and Defense Groups of Alliant Techsystems Inc., pursuant to the definitive transaction agreement dated April 28, 2014. Approximately 99 percent of the votes cast at the special meeting voted in favor...
 




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>