Lockheed Martin, ACeS sign $1b satellite deal
JAKARTA (JP): PT Asia Cellular Satellite System (ACeS), a Jakarta-based telecommunications firm, signed yesterday a contract with a U.S. defense contractor, Lockheed Martin Corporation, to manufacture a region-wide cellular mobile satellite telecommunications system.
The contract, worth US$1 billion, was signed by ACeS's chief executive officer, Adi Rahman Adiwoso, and Lockheed's president for space and missile sector, Vance Coffman.
ACeS, was established in February by three telecommunications firms -- PT Pasifik Satelit Nusantara of Indonesia, Philippines Long Distance Telephone Co. of the Philippines and Jasmine International Public Co. Ltd. of Thailand-- as an attempt to provide an Asian solution to a rapidly growing need for telecommunications infrastructure.
ACeS will operate in telecommunications which will use four geo-stationary satellites to be called Garuda.
The project, covering the most important region in Asia, will allow any person with a handheld device to directly communicate with another person carrying a similar device within the satellite coverage and, through ground station gateways and normal public switch telephone networks, to any person with a cellular or normal fixed telephone anywhere in the world.
The satellite's coverage will encompass India, Bangladesh, Myanmar, China Korea, Southern Japan, Hong Kong, Taiwan, Indochina and the ASEAN countries.
"The launching of the satellites is expected to commence in early 1998, while commercial operation will likely start by mid- 1998," Adi told reporters after the signing ceremony, which was also attended by Minister of Tourism, Post and Telecommunications Joop Ave, State Minister of Research and Technology B.J. Habibie and U.S. Ambassador to Indonesia Robert L. Barry.
"The satellites will be launched either by Proton of Russia or Ariane of France. We will be still studying this," he said.
He said that ACeS put up only $150 million as an equity in the project, while the rest is financed with loans arranged by PT Swadinamika Multi Finance, a Jakarta-based finance company.
The contract with Lockheed Martin which is based on a turn-key project also includes a network control center to monitor and control telecommunications traffic, a satellite control center to track the satellite orbital path and three gateways linking the system with three public switch telephone networks.
One gateway will be located in Indonesia and managed by Pasifik Satelit Nusantara which is the national service provider within Indonesia. Another gateway will be located in Thailand and the third one in the Philippines.
Meanwhile, PT Satelindo, the operator of satellites of the Palapa-C generation, announced yesterday the launching of Palapa- C1 in January 1996.
Satelindo's president, Iwa Sewaka, said his company and Pasifik Satelit Nusantara signed a contract agreement with Martin Marietta Commercial Launch Services of the United States on May 12 for the launching of the Palapa-C1 satellite with the Atlas IIAS rocket.
Iwa said the launch will be conducted during the period between Jan. 3 and Jan. 31, 1996.
The contract is worth $92 million, including levies imposed by the U.S. government, he said.
Palapa-C1 was originally set to be launched by the France- based Arianespace. Due to a double-failure at Arianespace, the company has rescheduled Palapa-C1's launching from October- November this year to May 1996. As Palapa-C1 will now be launched by Martin Marietta, Satelindo has arranged for Arianespace to launch Palapa-C2 in May, 1996. (icn)