POTENTIAL CIA UTILIZATION OF COMMERCIAL COMMUNICATIONS SATELLITE

• Document Type: CREST
• Collection: General CIA Records
• Document Number (FOIA) /ESDN (CREST): CIA-RDP87M00539R002403900034-4
• Release Decision: RIFPUB
• Original Classification: K
• Document Page Count: 5
• Document Creation Date: December 22, 2016
• Document Release Date: September 23, 2009
• Sequence Number: 34
• Publication Date: April 12, 1985
• Content Type: MEMO

Approved For Release 2009/09/23: CIA-RDP87M00539R002403900034-4
ROUTING AND RECORD SHEET
SUBJECT: (Optional)
,T10 S % - 1C>B~S~
FROM: R.
E. Hineman
EXTENSION
NO.
DDS&T
6E60 Hqs
7713
DATE
*- 12 Apr 1985
TO: (Officer designation, room number, and
building)
DATE
OFFICER'S
COMMENTS (Number each comment to show from whom
RECEIVED
FORWARDED
INITIALS
to whom. Draw a line across column after each comment.)
ER
12 A R
R 1985
'
Separate responses to Mr. Korth
644-4
and Mr. Hubbard mentioned in
2. EXDIR NJl13
paragraph 4 are attached.
1 j
0 1
Il
/''
3. DDCI
16 AP
1985
4. DO
~
19 AP
$~
5.
6.
7.
8.
9.
10.
11.
12.
13.
14.
DCl
EXEC
REG
15.
I I
I
I
. I
/- 3 OZ(
FORM
1-79
6 1 O USE PREVIOUS
EDITIONS
Approved For Release 2009/09/23: CIA-RDP87M00539R002403900034-4
 Approved For Release 2009/09/23: CIA-RDP87M00539R002403900034-4
DDS$T-308/85
MEMORANDUM FOR: Director of Central Intelligence
VIA: Deputy Director of Central Intelligence
Executive Director
FROM:
SUBJECT:
REFERENCES:
R. E. Hineman
Deputy Director for Science and Technology
Potential CIA Utilization of Commercial Communications
Satellite
A. Personal Letter to the Honorable William J. Casey
from Fred Korth, dated 1 February 1985
B. DCI Memorandum to DDS$T, dated 23 March 1985
1. As requested in Reference B, we have reviewed the proposal set forth
in Reference A by Fred Korth on behalf of Hubbard Broadcasting, Inc. Our
assessment is that the proposed development is not of particular interest or
utility to this Agency and that the suggested joint approach to the proposed
venture is, at best, very tenuous.
2. Specifically, Hubbard proposes that the Agency/USG fund a portion of
the procurement costs for a new commercial television satellite system. If
the system proved commercially viable, then Hubbard would repay the
Agency/USG some reasonable costs and continue to provide us with some level
of free service. Should it not work out to be a commercial success, then
Hubbard would turn the satellite over to the Agency/USG. The system, as
designed, provides for CONUS-based transmission and receipt of communications
traffic.
3. Our negative assessment of this proposal is based on the following:
a. The system is designed for CONUS communications. At present,
and projected into the foreseeable future, we see no difficulty in
obtaining the channels we need for CONUS communications from existing
commercial and/or DoD systems under reasonable leasing arrangements. In
fact, current market analysis indicates that we, as a country, may
actually find ourselves with a "glut" of orbiting transponders over the
next ten years or so, a situation which is further influenced by the
growth of AT&T's fiber optic network.
Approved For Release 2009/09/23: CIA-RDP87M00539R002403900034-4
 Approved For Release 2009/09/23: CIA-RDP87M00539R002403900034-4
b. Even if the system could provide for some level of non-CONUS
coverage, its flexibility would be very much limited by the system's
commercial applications. For example, coverage of crisis areas would
require repositioning the satellite. In a situation where we would have
invested our fiscal resources in a specific commercially oriented system,
such operational alternatives would not be available to us.
c. The potential political ramifications of the Agency's
involvement in the commercial communications media are far from trivial
and, alone, would probably fully mitigate against such an approach.
4. I am sending separate responses to Messrs. Korth and Hubbard
thanking them for their interest but indicating that we cannot presently
accept Mr. Hubbard's proposal.
Distribution:
Orig - Addee
,' - ER
1 - DDSF,T Chrono
1 - DS&T Reg
DDS&T-308/85
Page 2
Approved For Release 2009/09/23: CIA-RDP87M00539R002403900034-4
 Approved For Release 2009/09/23: CIA-RDP87M00539R002403900034-4
Central Intelligence Agency
11 April 1985
Mr. Fred Korth
Korth and Korth
Suite 401, Barr Building
Farragut Square
Washington, D. C. 20006
Dear Mr. Korth:
Your letter of 1 February to the Director of Central Intelligence
concerning a proposal put forward by Mr. Stanley Hubbard of Hubbard
Broadcasting, Inc. was recently brought to my attention. I have had the
appropriate office closely review Mr. Hubbard's proposal, and I regret to say
that for various reasons it is not possible for the Agency to utilize Mr.
Hubbard's ideas at this time. Nevertheless, I would like to thank you for
your interest.
I have sent a separate response to Mr. Hubbard advising him of the above
and expressing appreciation for his interest.
R. E. Hineman
Deputy Director
for
Science and Technology
Approved For Release 2009/09/23: CIA-RDP87M00539R002403900034-4
 U
~Approved For Release 2009/09/23: CIA-RDP87M00539R002403900034-4
Central Intelligence Agency
11 April 1985
Mr. Stanley S. Hubbard
President and Chief Executive Officer
Hubbard Broadcasting, Inc.
3415 University Avenue
Saint Paul, Minnesota 55114
Recently, a proposal you put forward concerning U.S. Government
cooperation with your company in the building and placement of communications
satellites was brought to my attention. I referred your proposal to the
appropriate office, and after serious review I regret to say that for various
reasons we are not able to utilize your ideas at this time. Nevertheless, I
would like to express my appreciation for your interest, and I wish you luck
in your venture.
Sincerely,
R. E. Hinman
Deputy Director
for
Science and Technology
Approved For Release 2009/09/23: CIA-RDP87M00539R002403900034-4