LOS ANGELES-Celsat America Inc. has entered into an agreement with Hughes Space and Communications Co. as a potential supplier for the Celsat geosynchronous telecommunications satellite system to serve the United States.
Celsat said it plans to use a stationary satellite to provide low cost personal communications service coverage of the United States in areas where ground systems are not economically practical and to provide roaming ability for out-of-area PCS and cellular customers.
“A single Celsat satellite, positioned over the country in geosynchronous orbit, can allow a PCS or cellular customer, using only a palm-sized handset, to communicate directly with the satellite from anywhere in the U.S.,” said David Otten, Celsat chief executive officer and president of Celsat. “The system capital cost for the service is anticipated to be only a penny per minute for a telephone call.”
Hughes will assist Celsat in defining the satellite design and system specifications. Celsat said it is negotiating with other potential suppliers to provide other key system elements.