New Satellite System

[sandbox]

Tuesday, 27 May 2003
European governments have agreed to launch the long-delayed Galileo space program.
Galileo is seen as a potential rival to the United States military's GPS global satellite positioning system.
The European Space Agency (ESA) said in a statement that an agreement had been reached among its member states which finalised the conditions for their participation in the project.
The ESA's members are Norway, Switzerland and the 15 European Union countries excluding Greece and Luxembourg.

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[kelly]

Ok.

"...criticised as redundant by officials in the US."

I agree.

[sandbox]

I don’t see the demand side, as of yet, but  the expanding Asian Market may warrant it? I see it more like an infrastructure investment, the pay-off may-be in convenience,  bragging rights, and minimizing the GPS dependency. The competition might do the consumer some good in the retail market as well? Nope, I’m not buying stocks, but as a bond issue it may have potential in the East-mideast.

[Mrious_be]

It's a good thing they do, a bad thing it had to take 2 years for a agreement.
Belgium is taking 5% of the costs and the lead office in Brussel

[sandbox]

If I’m not mistaken Mrious_be, the cost is 3.5 billion, the BBC said today that some claimed that they will  recover over 30 billion in the first 10 years. In my guesstimate, the satellite market is saturated, and the construction cost now has to exceed the expense of the U.S. GPS system, so as far as being competitive goes, I suspect they will have a hard time of it.

Of course there is always government acquisitions for security concerns, but that’s not the same as a retail capital stream. I do expect China, and points east to expand their demand for service, but I suspect that contracts may be tied to trade negotiations, giving the U.S. another advantage.

Do you in Belgium see a need for this system? Is there a demand not met?