In a press statement issued by the U.S. House of Representatives Committee on Commerce, committee chairman Tom Bliley (R-VA), Senator Conrad Burns (R-MT) and Rep. Edward J. Markey (D-MA) announced a deal has been reached among key Members of Congress on satellite privatization legislation.
Bliley, Burns and Markey said they have agreed to draft legislation that:
Mandates a pro-competitive privatization of Intelsat and Inmarsat, ending the cartel-like structure of these organizations;
Ends COMSAT's monopoly over Intelsat access in the U.S.;
Ends the privileges and immunities from law of Intelsat and COMSAT; and,
Eliminates the outside ownership cap on COMSAT.
Additionally, the Members agreed to fully support the draft legislation without modification through the entire legislative process and enactment into law.
"Our deal will bring lower prices for consumers. It will also create more jobs for our workers, and more opportunities for our companies to do business overseas," Bliley said.
"It is high time to privatize Intelsat and Inmarsat in a pro-competitive manner, and to end their cartel-like ownership structures," Bliley continued.
"Our bill does this, as well as eliminate COMSAT's monopoly access to the U.S. market. We also end the privileges and immunities from law of Intelsat and COMSAT."
"I want to thank Chairman Bliley for his efforts on this issue and for what has been a wonderful, productive working relationship," said Senator Burns.
"This agreement ensures that privatization of international satellite communications will move ahead quickly. Competition in the private sector breeds innovation, and for the first time international satellite communications will be subject to competition.
It is my hope that privatization will lower prices and spur development of new technologies so that no one is left behind in the information revolution," said Burns.
"I have long battled to update the 1962 COMSAT Act for the modern satellite era by making US satellite policy more pro-consumer and pro- competitive," Rep. Markey said.
"The Bliley-Markey legislation was designed to modernize US satellite policy in light of the rapid technological change and fierce global competition we are all witness to at this time in history.
"Today's agreement brings us closer to the day when we can effectively update our international satellite policy for the next century. This is good news for consumers, good news for competitors, and good news for high tech workers and innovation," Markey added.
"I want to congratulate Chairman Tom Bliley (R-VA) for his leadership in promoting a more competitive international satellite blueprint for the country.
"I also want to applaud his efforts in crafting today's agreement with Lockheed Martin and commend as well, Senator Conrad Burns (R-MT), for his work on the Senate side of this legislative equation."
This deal will eliminate the outside ownership cap on COMSAT which will allow the Lockheed-COMSAT merger to go forward, the release concluded.
