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Pentagon comes to the rescue of Iridium

Topic
Military Security and intelligence agencies
Country/Region
EU USA

01 January 2001

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The collapse of Iridium last year led to concerns that its 70 satellites circling the earth could, if not maintained, pose a danger of falling onto the earth. Iridium failed because it failed to attract sufficient business to match its $7 billion investment. However, one of its major customers were US government agencies like the army, Secret Service and the Drug Enforcement Administration (DEA). The Pentagon has come to the rescue by agreeing a two-year deal worth $72 million to provide unlimited air time for 20,000 government and military users of hand-hled satelite phones. The deal is with Iridium Satellite who will buy the network from Iridium LLC.

International Herald Tribune, 8.12.00.

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