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of beam interference becomes a real and significant factor by 1981. Crowding of both the frequency spectrum and the preferred geosynchronous orbit positions may lead to communications "rationing" in the 1980 decade unless large, integrated communications platforms are developed. It was generally felt that certain communications satellite technologies were lagging in the United States due to a lack of stimulation. Many firms in the United States must purchase parts and equipment overseas because of both advanced technology and lower costs. Some firms cannot compete with overseas competition. If the United States is to regain its initial leadership in the space communications area of space industrialization, it was felt that some organized coordination and stimulation is required.

In the manufacturing area, the industrial feedback was even more interesting. Nearly every contact stressed the fact that the work to date is too shallow to provide a data base for industrial decisions. Specific comments were:

1. The products are poorly defined at this time.

2. The markets are too indefinite yet.

3. Some terrestrial alternatives appear cheaper.

4. The experimental data is too soft for industrial use.

5. Many things taken for granted by space advocates

are really theoretical and their basis is yet

6. The risks are very large relative to the

capital outlay required.

7. The return on investment period is too long.

8. Space transportation costs are too high by a

factor of 100 or more in most cases.

However, it is highly encouraging that all industrial contacts admitted that the prospects looked "interesting" and that they would like to see more data. Nearly every one said their companies would probably get involved if their competetors did. All felt that an appropriate risk-reducing or risk-sharing policy on the part of the federal government would greatly spur interest and involvement from practically all segments of industry. They would like to see more NASAsponsored R&D that is relevant to their products and suggested that NASA-sponsored R&D be directed more toward practical product data. Most important of all, these domestic industrial contacts want channels of communication with NASA and other space-interested federal agencies, and they want these channels set up on a broad, up-to-date basis in a language they understand. Finally, feedback from individuals in the utility industry indicated they were attracted by some of the potential of the solar power satellite concept. They looked upon it as a potential open-ended solution to the energy problem but did not anticipate implementation earlier than 1995. After initial R&D costs are amortized, they see SPS as having potential for

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very low installed power costs on the order of $2000 per kilowatt-hour (installed). Of all the energy alternatives,

SPS appeared to them to have the most acceptable environmental impact. They also remarked that SPS might avoid future issues concerning coal resources allocations. Mostly, they felt that SPS neatly separates the generation and distribution issues and systems. They pointed out significant barriers to be overcome, including the current public image of microwave radiation hazards. Their most important comment was, "Stop treating the solar power satellite like a space program and start treating it like a power program!"


A viable space program for the United States in the next ten to fifteen years must be a balanced mix of (a) space exploration carried on by the federal government, and (b) space industrialization consisting of a co-operative effort between government and domestic industry.

Space exploration should be carried on by NASA at the current level of funding or greater with increasing activity as it becomes possible for space science and exploration activities to hitch-hike at very low cost on the very large payloads that will be launched as space industrialization grows. Additional emphasis in funding, activity, and public

awareness education must be given to space industrialization

by everyone involved because it offers the promise of a
space program that not only pays for itself but offers
other socially-acceptable benefits as well. Most people are
unaware of space industrialization; when exposed to its
concepts, it changes their whole view of the space program.

We have already started to use space in the communications area. This activity will increase dramatically in the next fifteen years, particularly if we develop very large systems in geosynchronous orbit to alleviate spectrum and location crowding and to provide the very large space systems necessary to permit simple and inexpensive ground equipment.

Initial experimentation and studies have started in

the manufacturing area of space industrialization. Work in this area will increase in order to provide some of the hard data required by potential investors and participants from domestic industry. We must find out and soon --whether some of the projected space products are real, economical, and marketable. Because the potential for this is there, a vacuum will exist if the federal government and domestic industry do not attempt to exploit the opportunity, and this vacuum will attract other firms from other nations. We have been Number Two in space once before; we did not like it then, and we will not like it in the future.

A strong potential and considerable interest exists for utilizing solar energy in space and beaming it to the ground

for use on earth. A progressive program must test the theories, develop the hardware, determine the cost factors, and build

a pilot plant in near-earth orbit in the next ten years. The solar power satellite holds forth a promise of greatly easing our dependence upon non-renewable foreign and domestic energy resources and of providing a very large percentage of our electrical power needs for an indeterminate time in the future. Conservative market forecasts indicate substantial

revenues could be received from some product and service areas that can, at this time, be examined with more or less substantiation. Instead of just spending money in space, we can make money there, too. In addition, the social and economic factors appear favorable.

Finally, significant overseas competition has been identified. Both Japan and the Federal Republic of Germany appear to be getting increasingly involved in space industrialization. Both nations have the industrial infrastructure to support the undertaking. Both nations either have a space launch capability or can create it if needed. Both nations have already shown themselves to be significant competition in the space communications area and have captured a significant share of the market.

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