Pentagon Approves Spy Satellite Program

Via Military.com -

The Pentagon will also increase the amount of imagery purchased from private companies operating similar satellites already in the sky.

The decision last week caps months of wrangling between the Air Force, the National Reconnaissance Office, the National Intelligence Directors Office and the Office of the Secretary of Defense over whether to buy and operate commercial satellites, or to pump the money into buying dramatically more imagery from the commercial companies that already have similar satellites in orbit.

The National Reconnaissance Office will buy two commercial satellites for about $1.7 billion. The satellites are to be launched around 2012, according to Pentagon documents obtained by The Associated Press.

But critics of the program say the Pentagon is spending billions to recreate and compete with private companies like GeoEye of Dulles, Va., and DigitalGlobe of Longmont, Colo., which are expected to put four new satellites into orbit by 2013. On its face the decision conflicts with the president's national security space policy, which directs the government to buy as much commercial imagery as possible to help the companies withstand competition from subsidized foreign satellite companies.

An intelligence official said Wednesday that the deal must still survive White House and Office of Management and Budget muster.

Purchasing the imagery from the companies may also be less expensive. The GeoEye 1 satellite was launched on Sept. 6 for $502 million, including the satellite, launch, insurance and four ground stations, according to company spokesman Mark Brender. It is expected to begin taking 16-inch resolution imagery this weekend.

The Pentagon may decide to turn over operation of the new satellites to the private companies, the internal document notes.