(AP)
Updated: 2007-12-01 14:48

Industry officials said the contract probably will be for a commercial or commercially derived spacecraft because of the time and budget constraints and the US government's apparent desire to maintain control of the satellite.

The US military has a US$1 billion contract with two commercial satellite companies to buy space imagery. Each US$500 million contract pays for a satellite, its launch and insurance and roughly US$200 million in photo imagery.

"We would look forward to reviewing any new government acquisition request since we give the government more eyes in the sky and high quality imagery at a fraction of the cost," said Mark Brender, vice president for communications at GEOEYE.

GEOEYE and DigitalGlobe have the imagery contract with the Pentagon.

The canceled Boeing satellite under FIA was supposed to provide both broad area views of the Earth and the ability to home in on a single target with a high-powered telescope on a single satellite. Those capabilities currently are provided by different satellites, according to an industry official.

When the Pentagon canceled the program in 2005, it hired Lockheed Martin to cobble together a space craft from spare parts from the current generation of secret electro-optical reconnaissance satellites to cover a potential gap in coverage.

The nation's classified network of satellites represent some of the most expensive government programs and receive almost no public oversight. Because of their multibillion-dollar price tags, sensitive missions and lengthy development schedules, spy agencies go to great pains to keep details from becoming public.

The US House and Senate intelligence committees have criticized the Pentagon and intelligence agencies' management of space programs. Half the programs have experienced cost growth of 50 percent or more. The US Defense Department spends about US$20 billion annually on space programs.

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