EADS satellite division Astrium and Alcatel Space have agreed to jointly develop the AlphaBus communications satellite bus in a move seen as a first step towards a possible merger. The link-up could eventually include Italy's Alenia Spazio.

Alcatel and Astrium have agreed to develop and market 12kW communications satellites with the support of the European Space Agency and French space agency CNES.

EADS is aiming for a 20% global share of the satellite manufacturing market this year. Up to 12 communications satellite orders are expected for 2003 and the majority so far have gone to Alcatel and Lockheed Martin.

Alcatel has won a $190 million contract from the Brazilian Star One satellite operator to build a new communications satellite - the third deal the company has announced in the past few weeks. The other satellite contracts are for Koreasat 5 and Rascom.

The Star One C-1 satellite will be launched by an Arianespace Ariane 5 booster in 2005 into geostationary orbit.

Lockheed Martin has countered by winning a contract to build two communications satellites for SES Astra.

Source: Flight International