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Hughes Space
and Communications Company has been selected by New ICO to build
at least three more satellites. Hughes has also been contracted to
modify 11 other spacecraft currently in production for the
revamped New ICO system. The spacecraft modifications will assist
in the enhancement of the New ICO constellation to provide
high-quality voice and packet-data services. New ICO expects to
begin service in 2003. Financial terms of the new contract orders
and spacecraft modifications were not disclosed. New ICO will make
launch vehicle arrangements for the additional satellites
separately.
 Hughes’
original contract to manufacture 12 ICO satellites was awarded in
July 1995. The first satellite was lost during the Sea Launch
failure in early 2000. The ICO satellite design is complex, and
incorporates a number of unique design features. The satellite,
based on the HS 601 satellite bus, carries more computing power
than 600 Pentium III-based computers; features transmit and
receive antennas allowing direct air link to users; and use a
so-called "smart processor" that is capable of adapting
beam configuration to match usage and make the most efficient use
of the bandwidth available. These features give New ICO
unprecedented flexibility to meet ever-changing market demands on
a global basis.
New
ICO, London, acquired the assets of ICO Global Communications
Limited, established in January 1995, to provide global mobile
personal communications services by satellite. The business was
renamed New ICO following the US$1.2 billion acquisition of the
former ICO group, which was completed in May 2000. 
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