COMSAT Selected by INTELSAT for Broadband VSAT System; COMSAT to Provide LINKWAY Satellite Networking Terminals and Network Management Services

Business Wire, July 10, 2000

Business Editors/Hi-Tech Writers

BETHESDA, Md.--(BUSINESS WIRE)--July 10, 2000

COMSAT Corp. announced today that INTELSAT has selected it to supply LINKWAY(TM) satellite networking terminals and to provide network management services for INTELSAT's new Broadband Very Small Aperture Terminal (BVSAT) Service.

The INTELSAT BVSAT Service is designed to provide customers affordable high-speed virtual private networks (VPNs). BVSAT is a bandwidth-on-demand service that offers a cost-effective and rapidly deployable networking solution for data, voice, multimedia and high speed Internet using IP, Frame Relay, ATM or ISDN protocols.

The system, based on INTELSAT's existing fleet of C-band and Ku-band satellites, will provide quasi-global service via four network coverage areas around the world.

"Utilizing COMSAT's existing capabilities has enabled INTELSAT to fast-track our launch to market. COMSAT's expertise and flexibility has enabled us to build our market share while building our service support capabilities," said John Stanton, INTELSAT vice president of sales & marketing.

"The BVSAT system and services contracts with INTELSAT are further examples of COMSAT's ability to provide 'next generation' high-speed data solutions to our customers, today," said Tom Collins, vice president and general manager of COMSAT World Systems.

Under the terms of the equipment contract, COMSAT Laboratories will provide the networking terminals and the network management infrastructure for the BVSAT Service, and subsequent technical and maintenance support, while INTELSAT develops its own internal service support capabilities.

COMSAT is scheduled to complete the infrastructure for INTELSAT's first network, covering the Americas, Western Europe and Africa by July 2000 and remaining coverage areas within a year. The other three networks encompass Pan Asia; Western Europe and Northeast Asia; and Western Europe and the Middle East.

"LINKWAY satellite networking terminals are a perfect solution for today's bandwidth-rich applications," commented Dr. Benjamin Pontano, president of COMSAT Laboratories. "The INTELSAT award represents COMSAT Laboratories' second major contract for its new wideband Demand Assigned Multiple Access (DAMA) service, further validating LINKWAY as a leading broadband VSAT product."

Under one of two BVSAT contracts, COMSAT World Systems will provide 24 hour, seven day a week customer service and network management support to INTELSAT for its BVSAT customers.

Under the second contract to provide host station facilities and services, COMSAT World Systems will use existing COMSAT facilities and operational expertise at its Clarksburg Digital Teleport to operate the first regional network, covering the Americas, Western Europe and Africa.

Both contracts are for one-year duration, and allow INTELSAT to offer the service in a timely manner, while the company builds its own internal operational capabilities.

INTELSAT owns and operates a global communications satellite system providing capacity for voice, video, corporate/private networks and Internet in more than 200 countries and territories.

COMSAT Laboratories, a business unit of COMSAT Corporation, provides technical consulting and advanced communications products to customers worldwide. COMSAT World Systems, another business unit of COMSAT Corporation, provides telecommunications, broadcast and digital networking services between the US and other countries via the global, 17-satellite INTELSAT system.

COMSAT Corporation (NYSE: CQ) is a leading provider of global satellite services and digital networking services and technology.