The companies plan to work together to address specific market opportunities for satellite-based underserved telephony, regional and global mobile satellite networks, and broadband satellite and terrestrial multimedia systems.

"This is a natural extension of our continuing plans for bringing seamless innovative solutions to the satellite and terrestrial networks market," said Stanton D. Sloane, vice-president, Communications Systems for the newly formed Lockheed Martin Global Telecommunications.

Global Telecommunications, a wholly owned subsidiary launched on August 11, brings together the company's telecommunications interests -- including Lockheed Martin Intersputnik, Astrolink and Lockheed Martin Communication Systems -- into a single unit to concentrate and extend the corporation's role in the rapidly expanding global telecommunications networks and services business. The company's telecommunications focus was further solidified with this week's definitive, $2.7 billion merger agreement to combine with COMSAT.

Nortel is leveraging its expansive portfolio of IP-centric digital networking products and services through its Nortel Satellite Network Solutions initiative which addresses the access and ground network needs of broadband, mobile and fixed satellite systems. Nortel also offers the Satellite Access System using the Nortel Small Wireless Switch -- to offer satellite operators an economical alternative to provide telephony service in remote and other areas of low subscriber density.