Posted: Sat, Sep 6, 2003, 1:14 PM ET (1714 GMT)
Several key US military satellite and launch vehicle programs are being plagued by development problems caused by an overemphasis on containing costs, a Pentagon report concluded this week. The report, completed in May but only released to the public on Thursday, concluded that several projects skipped critical engineering and testing work in an effort to reduce costs. This, the report noted, actually created additional cost overruns and delays. The report singled out several programs, including the Future Imagery Architecture (FIA) reconnaissance satellite program led by Boeing, the SBIRS-High missile warning satellite program led by Lockheed Martin, and the EELV launch vehicle program that both companies are involved with. The Pentagon has had to add $4 billion in additional funding for FIA and $3 billion to SBIRS-High in an effort to correct those problems, although the Los Angeles Times reported that FIA's cost overruns may be as high as $8 billion. Air Force undersecretary for space Peter Teets agreed with much of the report and promised reforms to the Pentagon's space acquisition system. The report was prepared by a panel led by former Lockheed Martin head Thomas Young, who previously chaired a study into NASA's Mars program in the wake of the Mars Climate Orbiter and Mars Polar Lander mission failures.

Related Links:

•  SPACE.com article
•  Wall Street Journal article (subscripition required)
•  Los Angeles Times article
•  Washington Post article