Three contractors compete to build Iridium satellites

Lockheed Martin of Bethesda is one of three firms selected from a field of more than 60 companies to compete to build Bethesda-based Iridium’s next-generation constellation of satellites.

Iridium is expected to spend more than $2 billion to replace the existing group of 66 Iridium satellites with more advanced models before they malfunction. Lockheed’s Space Systems division is competing against Space Systems Loral of Palo Alto, Calif., and French firm Thales Alenia Space.

The three companies will compete over the next five months, after which two will be selected to work on the system development phase of the project.

Iridium executives were not available for comment.

Lockheed Martin declined to discuss its approach to the project because the contract is still in the competitive phase.

Lockheed previously worked with Iridium to build the spacecraft bus for the communication company’s original satellites.

Iridium’s spacecraft are the backbone for a global phone network and are used for other applications such as asset tracking.

Iridium expects to begin launching the new satellites by 2013. The satellites Iridium initially launched have already outlasted their original shelf lives, according to Marco Caceres, senior space analyst for the Teal Group.

Caceres said the company needs to use its next-generation network to reach beyond its existing customer base, including military and government customers, to target consumers.

“Iridium needs to offer something that people can’t already do with most cell phones,” he said, noting however, that “it’s going to be tough to pack their technology in something that’s easier to use.”

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