[ex10_84.jpg] 
Exhibit 10.4

 
Pursuant to 17 CFR 240.24b-2, confidential information has been omitted in
places marked "[***]" and has been filed separately
with the Securities and Exchange Commission pursuant to a Confidential Treatment
Application filed with the Commission.
AMENDMENT TO CONTRACT
BETWEEN
TERRESTAR NETWORKS INC. AND HUGHES NETWORK SYSTEMS, LLC
FOR DESIGN, DEVELOPMENT AND SUPPLY OF
SATELLITE BASE STATION SUBSYSTEM (S-BSS)

This Amendment to Contract (the “Amendment”) is made as of August 1, 2008 (the
“Amendment Effective Date” or “EDA”) by and between Hughes Network Systems, LLC
(the “Contractor”) with its principal place of business at 11717 Exploration
Lane, Germantown, Maryland, 20876, and TerreStar Networks Inc., a corporation
organized under the laws of Delaware with its principal place of business at One
Discovery Square, Suite 600, 12010 Sunrise Valley Drive, Reston, Virginia 20190
(“TerreStar”).  As used herein, Contractor and TerreStar may each be referred to
individually as a “Party” and collectively as the “Parties.”

WHEREAS, TerreStar has contracted with Contractor for the design, development
and supply of an S-BSS and related Deliverable Items under the contract between
the Parties titled “Contract Between TerreStar Networks Inc. and Contractor for
Design, Development and Supply of Satellite Base Station Subsystem (S-BSS),”
dated February 6, 2007, as amended by that certain Addendum and Amendment to
Contract between the Parties dated April 13, 2007 (collectively the “Contract”);

WHEREAS, the Parties desire to amend the Contract to extend the Key Milestone
date and to include certain other revisions as set forth herein.
 
NOW, THEREFORE, in consideration of the mutual covenants and agreements
contained herein and intending to be legally bound, the Parties hereby agree to
the following:
 
I. 
The Contract is hereby amended as follows:

 
1. 
Replacement Exhibits.  The following Exhibits to the Contract shall be deleted
in their entirety and replaced with the revised versions of such Exhibits
attached to this

Amendment:

 
(a)
Exhibit A – S-BSS Statement of Work;

 
(b) 
Exhibit B – S-BSS Functional Requirements; and

 
(c) 
Exhibit C – S-BSS Price and Payment Milestone Schedule.

          
All other Exhibits to the Contract shall remain in full force and effect, except
to the extent the same are expressly amended herein.
 
2. 
Article 3.B (Liquidated Damages).  Article 3.B (Liquidated Damages) is hereby
amended to read as follows:

 
This Amendment and the information contained therein are confidential and
proprietary to TerreStar and Contractor and shall not
be published or disclosed to any third party except as permitted by the Terms
and Conditions of this Amendment and the Contract.

--------------------------------------------------------------------------------

 
[ex10_84.jpg]
 
B.    Contractor acknowledges that time is of the essence with respect to the
Milestone Schedule and timely delivery of the Work, and that if Contractor fails
to meet the Key Milestone by [***], TerreStar may incur substantial damages that
will be difficult to calculate.  If Contractor fails to complete the Key
Milestone by [***], then Contractor shall pay liquidated damages in accordance
with Article 18.
 
3. 
Article 5.B (S-BSS Acceptance).           The following paragraph shall be
inserted between the first and second paragraph of Article 5.B (S-BSS
Acceptance”):

 
“Operational Acceptance Testing shall be conducted during the Operational
Verification Phase for S-BSS Release 2, once Contractor has completed all
prerequisite Work to be performed under this Contract with respect to S-BSS
Release 2 and prior Releases, and has successfully achieved all previous
applicable Milestones for S-BSS Release 2 and prior Releases through the end of
the Technical Verification Phase.”
 
4. 
Article 7.E (Invoices).  Article 7.E is hereby amended to read as follows:

 
All invoices required to be delivered by Contractor hereunder shall be submitted
by overnight courier to TerreStar (original and one (1) copy), including
supporting documentation and data at the following address:
 
TerreStar Networks Inc.
Attn: Accounts Payable
12010 Sunset Hills Road, Sixth Floor
Reston, VA 20190

With Copies to:

TerreStar Networks Inc.
Attn: [***], Sr. Director, Satellite Operations
12010 Sunset Hills Road, Sixth Floor
Reston, VA 20190
Tel: [***]
Fax: 703/483-7977

TerreStar Networks Inc.
Attn:  [***], Director of Contracts
12010 Sunset Hills Road, Sixth Floor
Reston, VA 20190
Tel: [***]
Fax: 703/483-7977

This Amendment and the information contained therein are confidential and
proprietary to TerreStar and Contractor and shall not
be published or disclosed to any third party except as permitted by the Terms
and Conditions of this Amendment and the Contract.
Page 2

--------------------------------------------------------------------------------

 
[ex10_84.jpg]
 
 
5. 
Article 9.F (Spare Parts).  The sixth sentence of Article 9.F (Spare Parts) is
deleted in its entirety and replaced with the following:

 
“After the Warranty Period, and for a period of seven (7) years from Provisional
Acceptance, at TerreStar’s request, Contractor shall sell additional spare parts
(those not included in the then-current replenished spare parts inventory) to
TerreStar and/or its service providers on commercially reasonable terms and
prices.”
 
6. 
Article 9.R (Post-Warranty Support).  Article 9.R (Post-Warranty Support) is
deleted in its entirety and replaced with the following:

 
“Contractor shall use commercially reasonably efforts to ensure that
post-warranty hardware and software support may be procured from Contractor for
the Deliverable Items, on commercially reasonable terms and pricing, for a
period of seven (7) years from Provisional Acceptance.”
 
7. 
Article 18.A (Liquidated Damages).  Article 18.A (Liquidated Damages) is hereby
amended to read as follows:

 
A.    Liquidated Damages.  In the event that the relevant Key Milestone is not
completed as specified therefor in Exhibit A by [***], then Contractor shall pay
liquidated damages, which are not intended to be, and shall not be construed as,
a penalty, for each calendar day of delay after [***].  Contractor shall pay
TerreStar:
 
With respect to the S-BSS Work, for each [***] ([***]) [***] period after [***],
liquidated damages for each [***] of additional delay during such [***] period
shall be equal to [***] ([***]%) of the total S-BSS Purchase Price multiplied by
[***].

With respect to the Chipset Work, for each [***] ([***]) [***] period after
[***], liquidated damages for each [***] of additional delay during such [***]
period shall be equal to [***] percent ([***]%) of the portion of the Chipset
Purchase Price applicable to Phase 1 of the Chipset Work as set forth in Exhibit
C2 (the “Phase 1 Chipset Purchase Price”) multiplied by [***].
 
The total accumulated liquidated damages payable by Contractor under this
Contract for delays in meeting the Key Milestone Date shall not exceed [***]
percent ([***]%) of the total S-BSS Purchase Price and [***] percent ([***]%) of
the Phase 1 Satellite Chipset Purchase Price as applicable as adjusted by any
price impact resulting from changes to the respective Purchase Price (for these
purposes total Purchase Price will not include the value of any options
exercised under this Contract as listed in Exhibits D and D2).
 
This Amendment and the information contained therein are confidential and
proprietary to TerreStar and Contractor and shall not
be published or disclosed to any third party except as permitted by the Terms
and Conditions of this Amendment and the Contract.
Page 3

--------------------------------------------------------------------------------

 
[ex10_84.jpg]
 
 
8. 
Attachment 1 - Glossary.  The following term is hereby added to Attachment 1
(Glossary):

 
“Operational Acceptance Testing” means operational testing of the Canadian
gateway S-BSS as described on Exhibit A.
 
The following term in Attachment 1 (Glossary) is hereby amended to read as
follows:
 
“Release 1 - Alpha” shall mean the Deliverable Items and Work associated with
completing the alpha version of the first release of the Chipset Software as
further described in Exhibit B2 and/or the associated Satellite Chipset, as the
context requires.
 
9. 
Article 9.D (Warranty Period). Article 9D is hereby amended to read as follows:

 
D.     Warranty Period.  With respect to each Deliverable Item or Service
associated with the S-BSS Work, these warranty and support obligations shall run
for a period of one (1) year from the completion of Technical Verification
Review for Release 1 (the “S-BSS Warranty Period”).  With respect to the Chipset
Work, these warranty and support obligations shall run for a period of one (1)
year from Final Acceptance of Phase 2 (the “Chipset Warranty Period”). 
Notwithstanding the preceding, as part of the Services included in the Purchase
Price, Contractor shall remedy any problems or defects in Releases 1 and 2 of
the Phase 1 Satellite Chipset that arise between their respective Acceptance
dates and Final Acceptance of the Phase 2 Satellite Chipset.  With respect to
the Deliverable Items or Service, TerreStar may purchase an extended Warranty as
provided for in Exhibit D and D2.
 
10. 
Article 10.C (Key Personnel).  Article 10.C Item 2. is hereby amended to read as
follows:

 
(2)    Dedicated Engineering Manager for Chipset Phase 1: [***]
 
11. 
Article 29.A (Notification Address).  Article 29.A is hereby amended to replace
Dennis Matheson, Sr. VP, Satellite Operations with Tann Pinney, Sr. Director,
Satellite

Operations.:

 
II.    Capitalized terms shall have the meaning ascribed to them in the
Contract, and the related Exhibits and Glossary attached to the Contract, as may
be amended by this Amendment.
 
This Amendment and the information contained therein are confidential and
proprietary to TerreStar and Contractor and shall not
be published or disclosed to any third party except as permitted by the Terms
and Conditions of this Amendment and the Contract.
Page 4

--------------------------------------------------------------------------------

 
[ex10_84.jpg]

 
III.    This Amendment and the Contract together constitute the entire agreement
and understanding between the Parties in connection with the transactions hereby
contemplated.  This Amendment supersedes all previous agreements, arrangements
and understandings between the Parties with regard to such transactions.  Except
as specifically amended in this Amendment, the Contract remains in full force
and effect, and is ratified and confirmed.
 
IN WITNESS WHEREOF, the parties hereto have caused this Amendment to be executed
by their duly authorized representatives as of the day and year first above
written.

 

ACCEPTED:
 

TERRESTAR NETWORKS INC.    HUGHES NETWORK SYSTEMS, LLC           By: 
/s/ Neil Hazard
  By:
/s/ Matthew Mohebbi
              Typed Name:
Neil Hazard
  Typed Name:
Matthew Mohebbi
         
Title: 
Chief Financial Officer
 
Title:
Vice President
              Date: August 1, 2008   Date: July 25, 2008  

 
This Amendment and the information contained therein are confidential and
proprietary to TerreStar and Contractor and shall not
be published or disclosed to any third party except as permitted by the Terms
and Conditions of this Amendment and the Contract.
Page 5

--------------------------------------------------------------------------------

 
[ex10_84.jpg]
 
AMENDMENT 2
 
TerreStar Satellite Base Station Subsystem SOW
 
 

 
 
 
 
TerreStar Satellite Base Station Subsystem
 
(S-BSS)
 

 
Statement of Work
 

 
TSN_SAT_2_REQ-Satellite Base Station Subsystem SOW V 2.5
 

 
 
July 16, 2008
 
 

 
This document contains data and information proprietary to TerreStar Networks
Inc. This data is being furnished pursuant to the provisions of the Contract
between TerreStar Networks Inc. and Hughes Network Systems, LLC for the
TerreStar Satellite Base Station Subsystem.  Hughes Network Systems, LLC and
TerreStar Networks Inc. shall have the right to duplicate, use or disclose the
data and information to the extent specified in the Contract and herein.
This document contains information subject to the U.S. Export Administration
Regulations (EAR).  Re-export or retransfer not in conjunction with the U.S. EAR
is prohibited.
 

Use or disclosure of the data contained on this sheet is subject to the
restiction on the title page.
Page 1 of 32

--------------------------------------------------------------------------------

 
[ex10_84.jpg]
 
AMENDMENT 2
 
TerreStar Satellite Base Station Subsystem SOW
 
 

 
Revision History
 
Date
Version
Description
Author
1/31/07
1.0
Initial Release
[***]
1/31/07
1.1
Changed KOR/SRR to 45 days after go ahead
[***]
2/2/07
1.2
Added Clarification to Acceptance Criteria
[***]
2/06/07
1.3
Renamed to correct Execution Copy Errors
[***]
2/07/07
1.4
Clarified Acceptance Criteria for the TVR and ORR
[***]
2/09/07
1.5
Changed the Export Control Language to eliminate ITAR
[***]
1/31/08
2.0
Incorporated CCN #6
Removed references to [***] Alpha
Minor editorial updates
[***]
5/1/08
2.1
Updated milestones for extended schedules.  Added upgrade and rollback of
releases.
[***]
6/6/08
2.2
Amendment 2 Update for extended schedule
[***]
6/13/08
2.3
Further Amendment 2 Updates
[***]
6/17/08
2.4
Final Amendment 2 Changes
[***]
7/16/08
2.5
Final Amendment 2 Changes (New Payment Schedule and [***] CTS Date Change}
[***]

Use or disclosure of the data contained on this sheet is subject to the
restiction on the title page.
Page 2 of 32

--------------------------------------------------------------------------------

 
[ex10_84.jpg]
 
AMENDMENT 2
 
TerreStar Satellite Base Station Subsystem SOW
 
 

 
 
Table of Contents
 
Revision History
    2  
Table of Contents
    3  
1   Introduction
    4  
1.   Purpose and Objective
    4  
1.2   Scope
    4  
2   Applicable Specifications
    5  
3   Requirements
    6  
3.1   General Requirements
    6  
3.2   Program Management
    7  
3.3   System Design and Development
    10  
3.4   Production and Implementation
    14  
3.5   Technical and Operational Verification Phase
    15  
3.6   System Deliverables
    16  
3.7   Deployment
    17  
3.8   Technical Verification
    17  
3.9   Operational Verification
    18  
3.10   First Call
    18  
3.11   Documentation
    18  
3.12   Training
    24  
3.13   Customer Furnished Equipment
    26  
4   Project Schedule
    27  
4.1   General
    27  
4.2   Program Milestones
    27  
4.3   Operational Verification
    30  
4.4   Operational Capability
    32                      
Figure 3-1 S-BSS Test Objectives
    15  
Figure 3-2 Contract Deliverable Schedule
    19  
Figure 3-3 [***]
    25  
Figure 4-1 High Level S-BSS Project Schedule
    27  
Figure 4-2 Technical Meetings
    28  
Figure 4-3 Integration and Test High Level Schedule
    29  
Figure 4-4 [***]
    30  

 
Use or disclosure of the data contained on this sheet is subject to the
restiction on the title page.
Page 3 of 32

--------------------------------------------------------------------------------

 
[ex10_84.jpg]
 
AMENDMENT 2
 
TerreStar Satellite Base Station Subsystem SOW
 
 

 
1  Introduction
 

--------------------------------------------------------------------------------

1.1   Purpose and Objective
 
This statement of work (SOW) defines the program partnership, tasks, deliverable
data, and schedules for the design, development, manufacture, installation,
test, integration with the TerreStar Network (TSN) and the ongoing support of
the satellite base station subsystem.  The SOW defines the design, development,
integration, test, deployment, integration with the TSN, and operational
verification of two Functionality Releases anticipated for full S-BSS
functionality.  At Provisional and Final Acceptance an operations and
maintenance (O&M) handover shall occur.
 

--------------------------------------------------------------------------------

1.2   Scope
 
Contractor shall develop the satellite base station subsystem (S-BSS) within the
satellite segment of the TSN.  The satellite segment includes the [***]. The
development of the two functionality releases shall include all tasks necessary
to bring the S-BSS into Initial Operational Capability and Full Operational
Capability as a part of the TSN and shall progressively add functionality until
full S-BSS functionality is attained.  These tasks include:
 
·  
S-BSS Operational Concepts Development

·  
S-BSS Design, Development, Fabrication, Spare Parts, Implementation, Integration
and Test

·  
S-BSS Delivery and Technical and Operational Performance Verification

·  
Satellite Segment Integration and Test

·  
Documentation

·  
Training

·  
Program Management

 
The S-BSS interfaces with the Satellite Beam Access Subsystem (SBAS) [***].  It
shall include a [***] defined in Exhibit B, TSN_SAT_2_TRD-S-BSS Functional
Requirements.  The S-BSS interfaces to [***].  The S-BSS shall be composed of
two components of equipment located at the satellite gateways in Ontario,
Canada, and North Las Vegas, Nevada (NLV) and an S-BSS Test Bed located at a
TerreStar facility to be identified prior to shipment.
 
Use or disclosure of the data contained on this sheet is subject to the
restiction on the title page.
Page 4 of 32

--------------------------------------------------------------------------------

 
[ex10_84.jpg]
 
AMENDMENT 2
 
TerreStar Satellite Base Station Subsystem SOW
 
 

 
2   Applicable Specifications
 
The S-BSS development shall conform to the requirements in the following
specifications.
 
·  
[***]

 
·  
[***]

 
·  
[***]

 
·  
[***]

 
·  
[***]

 
·  
[***]

 
·  
[***]

 
·  
[***]

 
·  
[***]

 
 
The following documents are included as reference documents to ensure all
components of the satellite segment are designed in a consistent manner where
applicable.
 
 
·  
[***]

 
·  
[***]

 
·  
[***]

 
·  
[***]

 
·  
[***]

 
·  
[***]

 
Use or disclosure of the data contained on this sheet is subject to the
restiction on the title page.
Page 5 of 32

--------------------------------------------------------------------------------

 
[ex10_84.jpg]
 
AMENDMENT 2
 
TerreStar Satellite Base Station Subsystem SOW
 
 

 
3  Requirements
 

--------------------------------------------------------------------------------

3.1   General Requirements
 
3.1.1   S-BSS Development
 
The Contractor shall perform all tasks necessary to design, prototype, develop,
implement, install, test, and operationally deploy a satellite base station
subsystem which meets the requirements set forth in this SOW, the [***], and the
other documents that comprise the S-BSS contract.  To facilitate a progressive
development of S-BSS functionality, the S-BSS project shall include a succession
of [***] functionality releases as defined in Exhibit B, [***].  The definitions
contained in the Exhibit B were determined based on the following TerreStar
requirements.  [***].  The following are the major program milestones:
 
·  
[***]

 
·  
[***]

 
·  
[***]

 
·  
[***]

 
·  
[***]

 
·  
[***]

 
·  
[***]

 
·  
[***]

 
·  
[***]

 
·  
[***]

 
·  
[***]

 
·  
[***]

 
·  
[***]

 
·  
[***]

 
·  
[***]

 
·  
[***]

 
[***] shall have an SRR/PDR, CDR, CTS, Technical Verification Test (TVT) and
Operational Verification Test (OVT) in accordance with sections 3.2 and 3.5 with
acceptance of the Release occurring after successful completion of Operational
Verification.  [***] shall include documentation updates for all affected S-BSS
documents defined in section 3.10 in
accordance with the schedule defined in Figure 3-2 Contract Deliverable
Schedule.  The dates for the SRR/PDR and CDR shall be determined by mutual
consent.
 
Use or disclosure of the data contained on this sheet is subject to the
restiction on the title page.
Page 6 of 32

--------------------------------------------------------------------------------

 
[ex10_84.jpg]
 
AMENDMENT 2
 
TerreStar Satellite Base Station Subsystem SOW
 
 

 
Network capacity for each Operational Verification Test shall be as follows:
 
·  
[***]

 
·  
[***]

 
The network capacity at each gateway shall be capable of being used within any
of the [***] satellite beams required to cover the Primary and Secondary
coverage areas as defined in the satellite specification, in any amount of
bandwidth, as selected by TerreStar.
 
 
3.1.2   Acceptance
 
There will be [***] acceptance milestones for the S-BSS.

·  
[***]

·  
[***]

·  
[***]

 
3.1.3   Operations and Maintenance Handover
 
The Contractor shall provide the necessary documentation in accordance with
section 3.11 and training in accordance with section 3.12to transition O&M
responsibility to TerreStar.  The documentation and training shall be provided
during the Operational Verification Phase for handover of O&M responsibilities
for [***] at [***].  The documentation and training shall be provided during the
Operational Verification Phase for handover of O&M responsibilities for [***]
Functionality at Operational Acceptance of the Canadian gateway S-BSS. After
Operational Acceptance of the Canadian gateway S-BSS, the Contractor shall
upgrade and regression test the NLV S-BSS to [***].  The Contractor shall
demonstrate upgrade and regression procedures in the lab.
 

--------------------------------------------------------------------------------

3.2   Program Management

 
3.2.1   Program Management Organization
 
3.2.1.1   Program Manager
 
The Contractor shall assign a full time program manager who has the
responsibility for accomplishment of all the tasks defined in this SOW.  This
shall include planning, directing, controlling and reporting progress on all
program activities from contract award through Operational Acceptance.
 
The Program Manage shall be supported by an Engineering Manager/Chief System
Engineer with responsibility for all technical tasks defined in this SOW.
 
Use or disclosure of the data contained on this sheet is subject to the
restiction on the title page.
Page 7 of 32

--------------------------------------------------------------------------------

 
[ex10_84.jpg]
 
AMENDMENT 2
 
TerreStar Satellite Base Station Subsystem SOW
 
 

 
3.2.1.2   Subcontracts
 
If the Contractor elects to subcontract portions of the contract, the Contractor
shall provide technical and administrative subcontract management sufficient to
ensure successful performance of all subcontracts.  Successful performance is
delivery of the required products on time, with full compliance to the technical
specifications.  Procurement specifications shall be generated for all
subcontracts to assure compliance with the standards and requirements of this
contract.  The Contractor shall ensure that maintenance and support is provided,
either by his own or subcontractor personnel, for the duration of the
Operational Verification Phases.
 
3.2.1.3   Program Communications
 
The Program Manager shall be the principal interface between the Program and the
Contractor’s corporate organization, the Contractor and Subcontractors (if
applicable), and between the Contractor and the TerreStar Program Office for all
matters relating to the contract.  The Program Manager shall also serve as the
focal point for the identification and resolution of all problems.
 
3.2.2   Program Plans
 
3.2.2.1   Program Management Plan
 
The Contractor shall prepare and submit a Program Management Plan (PMP)
describing the S-BSS Program activities.  The plan, at a minimum, shall describe
the organizational structure and the contractual and technical lines of
communication; define program responsibilities; describe the management
objectives and priorities and any risk areas; describe the risk management
process; personnel and staffing profiles and any plans for using subcontractors;
describe all program interfaces, including any subcontractor interfaces;
describe the documentation control and configuration management processes; and
describe the quality assurance processes.
 
The Contractor shall submit a Preliminary PMP with the Contractor’s
proposal.  The Final PMP shall be submitted at the Kick-Off Meeting.  The
Program Manager shall manage the S-BSS program in accordance with the approved
PMP.
 
3.2.2.2   Program Schedule
 
The Contractor shall develop and maintain a Master Phasing Schedule and Detailed
Program Schedules.  The Master Phasing Schedule shall clearly identify all key
milestones including all hardware, software, and data deliveries, all customer
furnished items and the date required, major technical and programmatic reviews,
and all TerreStar milestones that are dependent on S-BSS deliveries.  The
Detailed Program Schedules shall be used by the contractor to plan all tasks,
task dependencies, and critical path.  The Detailed Program Schedules shall be
updated monthly to reflect program progress and provided to the TerreStar PMO
with the monthly status report.
 
3.2.3   Program Management Reviews, Meetings, and Status Reports
 
3.2.3.1   Kick-Off Meeting
 
The Contractor shall conduct a Program Kick-Off Meeting [***] after letter
contract go ahead to ensure a mutual understanding on all contractual
requirements incorporated into the negotiated contract and the Contractor’s
Program Plan.  The meeting shall review the total program including contractual,
technical, schedule, business conduct and risk and mitigation plans.  Business
conduct subjects would include topics such as: lines of authority and
communication, meeting formats, TerreStar/Contractor Responsibilities, scope
change process, etc.  The Contractor shall deliver a Kick-Off Meeting data
package one week prior to the meeting that includes all the draft, preliminary,
and final documents listed in Figure 3-2 Contract Deliverable Schedule.
 
Use or disclosure of the data contained on this sheet is subject to the
restiction on the title page.
Page 8 of 32

--------------------------------------------------------------------------------

 
[ex10_84.jpg]
 
AMENDMENT 2
 
TerreStar Satellite Base Station Subsystem SOW
 
 

 
3.2.3.2   Program Status
 
The Contractor shall provide TerreStar full visibility into all S-BSS
contractual efforts through both formal and informal communications.  The formal
communications shall be in the form of monthly program reviews, ad hoc meetings
to discuss contractual issues, and monthly written reports.  The PMP shall
specify which metrics will be used to certify milestone completion.
 
3.2.3.3   Monthly Program Management Reviews
 
The Contractor shall conduct Monthly Program Management Reviews (PMR) to present
a summary of major accomplishments, problems and concerns, and status the Master
Phasing Schedule.  All technical, schedule and management problem areas shall be
identified and discussed with risk and risk mitigation efforts detailed.  The
schedule review shall include a comparison of the work planned to the work
accomplished, an update on staffing status, and a discussion of the activities
planned for the next month.  The Contractor shall provide summary Project Status
Reports at the PMRs.  Action items shall be assigned and recorded in an Action
Item Log with specific closure dates for each item and a person responsible for
resolving the action.  All recently closed or on-going action items from
previous reviews shall be individually reviewed and discussed.  If the
Contractor team includes any subcontractors, the monthly reviews shall include a
review of the individual subcontractor major accomplishments and problems and
concerns, including an update on the schedule progress.
 
The PMR shall be held in a face-to-face meeting at least once every three months
at a mutually agreed location.  Other venues for this meeting can be
teleconferences, web meetings, video conferences, etc.
 
The Contractor shall generate an agenda for each PMR and provide a copy to
TerreStar one week prior to the review.  The Contractor shall generate minutes
of the PMRs, including the current status of the Action Item Log, and deliver a
copy to TerreStar within one week after the review.
 
3.2.3.4   Additional Management Reviews
 
Additional program management meetings shall be scheduled as required to insure
TerreStar is fully apprised of status and risk issues that might impact S-BSS
functionality or delivery date.
 
3.2.4   Technical Reviews, Meetings, and Reports
 
3.2.4.1   General
 
The Contractor shall conduct formal reviews to provide TerreStar an assessment
of system performance.  These reviews shall include a System Requirements Review
(SRR), a Preliminary Design Review (PDR), A Critical Design Review (CDR) a
Consent-to-Ship Test Review, an Operational Readiness Review, and an Operational
Acceptance Review.
 
3.2.4.2   SRR
 
The Contractor shall conduct the SRR at a mutually agreed time to [***].  The
Contractor shall deliver an SRR Data Package one week prior to the meeting that
includes all the draft, preliminary, and final documents listed in Figure 3-2
Contract Deliverable Schedule.
 
Use or disclosure of the data contained on this sheet is subject to the
restiction on the title page.
Page 9 of 32

--------------------------------------------------------------------------------

 
[ex10_84.jpg]
 
AMENDMENT 2
 
TerreStar Satellite Base Station Subsystem SOW
 
 

 
3.2.4.3   PDR
 
The Contractor shall conduct a PDR at a mutually agreed time.  The Contractor
shall review the [***]. The Contractor shall deliver a PDR data package two
weeks prior to the meeting that includes all the draft, preliminary, and final
documents listed in Figure 3-2 Contract Deliverable Schedule.
 
3.2.4.4   CDR
 
The Contractor shall conduct a CDR at a mutually agreed time.  The Contractor
shall present data that [***].  The Contractor shall deliver a CDR data package
two weeks prior to the meeting that includes all the draft, preliminary, and
final documents listed in Figure 3-2 Contract Deliverable Schedule.
 
3.2.4.5   Consent to Ship
 
The Contractor shall conduct a CTS Review to present the results of the system
integration and test activities and the status of deployment preparations prior
to shipping and installing at the operational sites.  Section 4.2.7 defines the
documentation required at this review.
 
3.2.4.6   Meeting Minutes
 
The Contractor shall provide reports and/or minutes for each of the technical
reviews including a listing of action items with specific closure dates for each
item.  All engineering assumptions and agreements made or reached during the
technical meetings shall be documented in the minutes.
 
3.2.4.7   Additional Meetings
 
The Contractor or TerreStar may schedule additional meetings to provide a
technical interchange on topics requiring a greater level of detail or
involvement of technical specialists.  An agenda for each technical interchange
meeting (TIM) shall be generated and copies distributed to all participants one
week prior to the TIM.  The Contractor shall prepare minutes of each TIM,
including the assigned action item list, and deliver a copy to TerreStar within
one week after the TIM.
 
3.2.4.8   Readiness Reviews
 
The Contractor shall conduct Test Readiness Reviews (TRR) prior to formal tests
defined in Section 3.5 of this SOW.
 

--------------------------------------------------------------------------------

3.3   System Design and Development

 
The Contractor shall perform the system engineering, software design and
development, hardware design and development, and prototyping efforts necessary
to ensure that the S-BSS satisfies all of the functional and performance
requirements set forth in the S-BSS Procurement Specification.
 
3.3.1   [***]
 
[***]
 
Use or disclosure of the data contained on this sheet is subject to the
restiction on the title page.
Page 10 of 32

--------------------------------------------------------------------------------

 
[ex10_84.jpg]
 
AMENDMENT 2
 
TerreStar Satellite Base Station Subsystem SOW
 
 

 
 
3.3.2   Export Compliance Analysis
 
The Contractor shall perform an analysis of the S-BSS components and shall
determine the applicable export compliance regulations (e.g. International
Traffic in Arms Regulations (ITAR) or Export Authorization Regulations (EAR).  A
preliminary assessment shall be made by the Kick-Off Meeting.  Final rulings
from the appropriate export control authorities shall be received NLT PDR.
 
3.3.3   System Engineering
 
The Contractor shall establish a system engineering office within the S-BSS
program organization and shall maintain this office throughout the duration of
the program.  This office shall implement and maintain the System Design Plan
submitted with the Contractor’s proposal and approved at the Kick-Off Meeting,
and shall ensure that all design activities are conducted in accordance with the
provisions of the plan.
 
The system engineering office shall have the overall responsibility of ensuring
that the S-BSS is in full compliance with the functional and performance
requirements contained in the System Procurement Specification, and agreed to in
the CONOPS, the System Performance Specification, and the ICD.
 
The Contractors system engineering office shall perform the following specific
tasks and others as necessary.
 
3.3.3.1   System Design
 
The Contractor shall develop, in accordance with the design plan and the S-BSS
Functional specification, an S-BSS concept and top level subsystem design and
shall document that design in the System Performance Specification (SPS).  The
system design functions shall be allocated to hardware, software, and procedures
and documented in the Hardware Requirements Document, the Software Requirements
Document, and the CONOPS.
 
3.3.3.2   Common Satellite Air Interface Specification Development
 
The Contractor shall develop an air interface specification for the [***].  The
Contractor shall support TerreStar in the [***].
 
3.3.3.3   Interface Control Document
 
The Contractor shall specify all external and internal interfaces in a Subsystem
ICD.  This document shall [***].
 
3.3.3.4   Analysis and Simulation
 
The design[***].  The interim results and trade studies shall be presented at
the SRR with final results and trade studies at the PDR.  The Analysis and
Simulation Plan shall be presented and agreed to at the Kick-Off Meeting.
 
3.3.3.5   Control and Management
 
The Contractor shall develop an S-BSS control and management system integrated
into the Satellite Beam Access Subsystem (SBAS) Control and Management System
(CMS) to provide a single integrated control console.
 
Use or disclosure of the data contained on this sheet is subject to the
restiction on the title page.
Page 11 of 32

--------------------------------------------------------------------------------

 
[ex10_84.jpg]
 
AMENDMENT 2
 
TerreStar Satellite Base Station Subsystem SOW
 
 

 
3.3.4   Software Design and Development
 
3.3.4.1   Software Development Plan
 
The Contractor shall provide a Software Deployment Plan (SDP) in accordance with
paragraph 3.11.1.5 of this SOW.  The S/W development shall be managed in
accordance with the SDP through delivery of all three functionality releases.
 
3.3.4.2   Contractor Developed Software
 
The Contractor shall design, code, integrate, test, deliver, and repair all the
software required for subsystem operation and maintenance: including, software
installation, S-BSS configuration, monitoring, operation, and maintenance
through Operational Acceptance. The Contractor shall specify the software
language to be used.
 
3.3.4.3   Commercial Off-the-Shelf Software Products
 
If commercial off-the-shelf (COTS) software is used in the design, it shall be
products with demonstrable probability for support over the expected life of the
S-BSS in accordance with the contract.
 
3.3.4.4   Software Development
 
Where Contractor-developed software or Contractor modified commercially
available, off-the-shelf software is used as part of the design, the S/W shall
be developed or modified in accordance with the Contractor's approved SDP. The
Contractor shall provide all licenses and documentation required for system
operation. S/W developed or modified under this contract, including all related
documentation and source code, shall be delivered as described in the Contract.
 
3.3.4.5   Software Design Documentation
 
The Contractor shall document functional software requirements in the Software
Design Specification, validating the traceability of the requirements from the
System Performance Specification. The Software Design Specification detail shall
be sufficient to ensure a common understanding of the requirements; ensure that
requirements are complete, consistent, and testable; and define the inputs and
outputs for every function. The software shall be designed, selected or
developed to facilitate life-cycle maintenance.
 
3.3.4.6   Software Test
 
The Contractor shall generate and use test plans, procedures, and reports to
verify that each software configuration item (SWCI) performs in accordance with
individual SWCI test specifications and the CI interface requirements. TerreStar
shall have the right to observe and monitor the CI tests. Following completion
of testing, the Contractor shall document the test results, deviations from test
procedures, and all software anomalies and submit a report to TerreStar.
 
The Contractor shall provide all necessary test tools and equipment to support
S-BSS integration and test and Technical and Operational Verification.
 
 
3.3.5   Hardware Design and Test
 
3.3.5.1   Hardware Development Plan
 
The Contractor shall provide a Hardware Development Plan (HDP) in accordance
with paragraph 3.10 of this SOW.  The H/W development shall be managed in
accordance with the HDP through delivery of all three functionality releases of
the S-BSS Program.
 
Use or disclosure of the data contained on this sheet is subject to the
restiction on the title page.
Page 12 of 32

--------------------------------------------------------------------------------

 
[ex10_84.jpg]
 
AMENDMENT 2
 
TerreStar Satellite Base Station Subsystem SOW
 
 

 
The hardware for this program shall consist of a combination of existing COTS,
modified COTS, modified Contractor equipment, and, if required, newly developed
equipment. The Contractor shall use the latest version of COTS hardware
components wherever possible, when consistent with the results of analysis,
reliability, availability, performance and other technical factors. The HDP
shall clearly define which portions of each HWCI are in each of these categories
with a justification for each selection.
 
3.3.5.2   Contractor Developed Hardware
 
The Contractor shall perform the planning, coordination, and implementation of
the tasks required to develop the S-BSS hardware developed tools, engineering
aids, simulators, tests aids, etc.
 
All hardware designed or modified, developed, manufactured, assembled and tested
by the Contractor or its Subcontractors shall be in accordance with the
requirements of the Program Product Assurance Plan.
 
The Contractor shall document functional hardware requirements in the Hardware
Design Specification, validating the traceability of the requirements from the
System Performance Specification. The Hardware Design Specification detail shall
be sufficient to ensure a common understanding of the requirements; ensure that
requirements are complete, consistent, and testable; and define the inputs and
outputs for every function. The hardware shall be designed and selected or
developed to facilitate life-cycle maintenance and to permit access to
facilitate replacement of components. The Contractor shall provide recommended
procedures for maintaining the equipment in the CI and System Maintenance
Procedures.
 
3.3.5.3   Hardware Test
 
The Contractor shall generate and utilize test plans, procedures, and reports to
verify that each hardware configuration item (HWCI) performs in accordance with
individual CI test specifications and the interface requirements for each input
and output port. TerreStar shall have the right to observe and monitor the CI
tests. Following completion of testing, the Contractor shall document the test
results, deviations from test procedures, and all hardware anomalies and submit
a report to TerreStar.
 
3.3.6   Prototyping, Demonstrations, and Simulations
 
3.3.6.1   Analysis and Simulation Plan
 
The Contractor shall review and analyze all S-BSS requirements, particularly the
[***], to determine which development activities require prototyping and/or
performance demonstrations and which requirements should be tested using
simulation. The results of this review shall be documented in the Analysis and
Simulation Plan and presented at the SRR.
 
3.3.6.2   Simulators
 
The Contractor shall develop simulator(s) in accordance with the requirements
agreed to in the Analysis and Simulation Plan. The simulator(s) shall be used
for formal test activities as agreed to in the System Integration and Test Plan.
The simulators shall be capable of run times that allow for rapid turn around of
scenarios that facilitate a thorough engineering analysis and design
optimization effort. In addition, TerreStar intends to use the simulator(s)
after delivery for troubleshooting, verification of new system upgrades, and
traffic loading analysis.
 
3.3.6.3   Prototyping and Demonstration Documentation
 
Any prototyping or demonstrations shall be completely defined and documented by
the Contractor with copies provided to TerreStar. The results of the prototyping
and demonstrations shall be documented in a report and summary data shall be
presented at the PDR. TerreStar shall have the right to be present at any S-BSS
performance demonstrations or simulations.

Use or disclosure of the data contained on this sheet is subject to the
restiction on the title page.
Page 13 of 32

--------------------------------------------------------------------------------

 
[ex10_84.jpg]
 
AMENDMENT 2
 
TerreStar Satellite Base Station Subsystem SOW
 
 

 

--------------------------------------------------------------------------------

3.4   Production and Implementation
 
3.4.1   Production Process, Quality Assurance, and Configuration Management
 
The Contractor shall establish a production process and be responsible for the
procurement, manufacture, assembly, test and integration of the hardware and
software required for the delivery of a complete and operating S-BSS.
 
All production and implementation of deliverable equipment shall be in
accordance with the requirements of the S-BSS Hardware Development Plan,
Software Development Plan, the Product Assurance Plan, and the Manufacturing
Quality Assurance Plan.
 
The Contractor shall be responsible for the configuration management of the
Contractor controlled baseline and shall maintain configuration management until
Final Acceptance.
 
 
3.4.2   COTS Hardware and Software
 
3.4.2.1   COTS Procurement
 
The Contractor shall be responsible for the procurement of the COTS hardware and
software and for the verification of its performance. All COTS components shall
be selected to facilitate life-cycle maintenance. The configuration shall permit
updates and performance of preventive maintenance on a non-interference basis
with operations.
 
3.4.2.2   COTS Performance Verification
 
The Contractor shall define the specific verification methods to be used to
assure the acceptable performance of all COTS hardware and software items
selected to fulfill the S-BSS requirements. For equipment acquired from original
equipment manufacturers or other vendors, one or more levels of testing may be
performed in the factory according to vendor's methods which conform to industry
standards, or according to approved procedures. Factory demonstrations,
post-installation verification testing and other standard evaluation methods to
ensure that acquired components operate as specified shall be identified in the
System Integration and Test Plan. Vendor-supplied documentation, including
user's guides and operation procedures, shall be validated for accuracy and
completeness for S-BSS use prior to final acceptance from the vendor.
 
3.4.2.3   COTS Post Installation Testing
 
Following installation in the S-BSS, additional COTS functional and performance
tests may be required to ensure that the item has been properly integrated with
other satellite segment components and continues to operate as specified. It
shall be the Contractor's responsibility to insure ongoing system operation and
performance in accordance with the requirements of the specification.
 
3.4.3   S-BSS Integration
 
The Contractor shall be responsible for the integration of the COTS and all
manufactured elements of each CI, including the hardware and software required
for system operation, using the System Integration and Test Plan.
 
Use or disclosure of the data contained on this sheet is subject to the
restiction on the title page.
Page 14 of 32

--------------------------------------------------------------------------------

 
[ex10_84.jpg]
 
AMENDMENT 2
 
TerreStar Satellite Base Station Subsystem SOW
 
 

 

--------------------------------------------------------------------------------

3.5   Technical and Operational Verification Phase
 
The functions and objective performance of each S-BSS Functionality Release
shall be verified during a Technical Verification Phase. This phase shall begin
with CI integration and test and shall conclude with the TVT, [***].
 
3.5.1   Integration
 
The Contractor shall perform integration of all hardware and software elements
of all CIs comprising the S-BSS Functionality Releases.  The Contractor shall
perform integration of the S-BSS with all [***]. The integration activities
shall be in accordance with the Contractor developed System Integration and Test
Plan (STP), and the Product Assurance Plan and shall include TerreStar engineers
under the direction of Contractor management. Full access to all System
components at all times shall be granted to TerreStar personnel.
 
3.5.2   Test
 
3.5.2.1   General
 
The Contractor shall demonstrate S-BSS Functionality Release performance in a
series of formal tests and demonstrations using simulators/emulators, and actual
operational components. The formal tests shall be executed using Test Procedures
approved by TerreStar and generated in accordance with the STP and the System
Integration and Test Plan. The formal tests and demonstrations shall include
active TerreStar and QA participation in execution of procedures. The Contractor
shall execute the following formal tests: [***].  Each formal test shall be
preceded by a TRR conducted by the Contractor.  During the TRR, all aspects of
the formal test shall be reviewed and assessed for readiness to start testing
including personnel, hardware, software, procedures, and external coordination
(i.e. satellite monitoring, external interface support, etc.). A go/no-go
assessment is made by TerreStar at the conclusion of the TRR.
 
3.5.2.2   Test Objectives
 
Each Formal Test shall accomplish the following:
 
Figure 3-1 S-BSS Test Objectives
 

Test
Objective
Entry Criteria
Success Criteria

Consent-to-
Ship
[***]
[***]
[***]
Technical
Verification
[***]
[***]
[***]
Operational
Verification
[***]
[***]
[***]

 
Use or disclosure of the data contained on this sheet is subject to the
restiction on the title page.
Page 15 of 32

--------------------------------------------------------------------------------

 
[ex10_84.jpg]
 
AMENDMENT 2
 
TerreStar Satellite Base Station Subsystem SOW
 
 

 
3.5.2.3   Test Discrepancies
 
The Contractor shall use his approved Product Assurance Plan processes to
document, correct, and regression test system test discrepancies. These
discrepancies shall be corrected prior to the start of the next formal test or
at a later time approved by TerreStar.
 
3.5.2.4   Test Reports
 
The Contractor shall prepare test reports documenting the results of the test
activity, including procedures executed, procedure pass/fail status,
discrepancies discovered, and data collected. Discrepancies that cause system
degradation or indicate a failure to meet performance specifications shall be
discussed with system impact defined and correction plans indicated.
 

--------------------------------------------------------------------------------

3.6  System Deliverables

 
The Contractor shall deliver the hardware and software required to provide the
full capability and service features for each Functionality Release as described
in the S-BSS Functional Requirements.
 
3.6.1   Satellite Base Station
 
The Contractor shall deliver two components of the S-BSS, one for the satellite
gateway in NLV and one for the satellite gateway in Ontario, Canada.  The S-BSS,
including all its components, shall satisfy the functional and technical
requirements specified in the S-BSS Functional Requirements.
 
3.6.2   Spares
 
The Contractor shall deliver sufficient initial spares, as defined in the Spares
Provisioning Plan, to operate and maintain the S-BSS in accordance with the
S-BSS availability requirements set forth in the TSN_SAT_2_TRD-S-BSS Functional
Requirements.
 
3.6.3   S-BSS Test Bed
 
The Contractor shall deliver and install at a TerreStar facility to be
identified prior to shipment an S-BSS Test Bed comprised of a minimal S-BSS
configured with sufficient Base Station/channel equipment to fully exercise and
test the satellite network, hardware and software upgrades, the air interface,
and network configurations in a non-operational environment. The S-BSS Test Bed
shall interface to the [***].
 
Use or disclosure of the data contained on this sheet is subject to the
restiction on the title page.
Page 16 of 32

--------------------------------------------------------------------------------

 
[ex10_84.jpg]
 
AMENDMENT 2
 
TerreStar Satellite Base Station Subsystem SOW
 
 

 
3.6.4   System Simulators and Test Tools
 
The Contractor shall deliver to TerreStar and install as appropriate the S-BSS
System Simulator(s) used in system development, integration and test, and the
technical and operational verification phases.
 

--------------------------------------------------------------------------------

3.7   Deployment
 
The Contractor shall provide a System Deployment Plan to define how the S-BSS
will be deployed for full revenue service. This plan is described in further
detail in the Documentation section.
 
The Contractor shall perform the planning and engineering necessary to install
the S-BSS in the two satellite gateway operational facilities at Ontario,
Canada, and NLV, in accordance with TerreStar Engineering and Installation
Guidelines (ref Section 2). Required facility modifications will be presented at
CDR with all supporting documentation. The Contractor shall provide all S-BSS
engineering drawings and other specifications necessary for
installation.  TerreStar shall provide access to the facilities, as reasonably
required by the Contractor, necessary facility modifications, and any required
local permits, licenses, etc. A physical audit will be conducted after
installation and prior to Technical Verification to ensure all required
equipment and documentation is available.
 
The Contractor’s deployment plan shall [***].
 
The Contractor shall be responsible for packing, shipment, unpacking, and
installation of the S-BSS to the two satellite gateway sites at NLV and Ontario,
Canada and shall do sufficient integrity testing to ensure the S-BSS is ready
for the Technical Verification Phase.
 

--------------------------------------------------------------------------------

3.8  Technical Verification
 
The S-BSS Technical Specifications for each Functionality Release and all
interfaces with the TerreStar Network Segments shall be verified at each
satellite gateway operational facility [***]. This verification shall begin
after site installation is complete and a TRR is conducted.  Tests shall include
[***] shall include verification of critical and relevant technical
parameters.  If the Contractor elects to perform portions of the TVTs without
using the in orbit satellite, those test shall be specifically mentioned in the
test plan and a strong justification provided.
 
[***].  Test deficiencies shall be documented and resolution plans developed and
implemented.
 
[***]
 
Use or disclosure of the data contained on this sheet is subject to the
restiction on the title page.
Page 17 of 32

--------------------------------------------------------------------------------

 
[ex10_84.jpg]
 
AMENDMENT 2
 
TerreStar Satellite Base Station Subsystem SOW
 
 

 
[***]
 

--------------------------------------------------------------------------------

3.9  Operational Verification
 
The readiness of the S-BSS Functionality Releases to enter operational service
shall be verified during an Operational Verification Phase. This phase shall
begin after the Technical Verification Review and shall conclude with the
completion of the operational demonstration/User Acceptance Test (UAT) for each
Functionality Release. [***]. Each test shall be preceded by a TRR conducted by
TerreStar.
 
[***]
 
[***]

--------------------------------------------------------------------------------

3.10   First Call
 
The Contractor shall use commercially reasonable efforts to assist TerreStar to
establish a voice and data call using the satellite chipset and the S-BSS
communicating through the satellite using the 2000 – 2020 MHz and 2180 – 2200
MHz bands as soon as possible after access to the satellite in its orbital
position is granted.  The parameters of a voice and data call shall be defined
by the end of CTS.
 

--------------------------------------------------------------------------------

3.11   Documentation
 
The Contractor shall follow industry standard documentation and data management
practices and procedures. Data Management shall encompass developed data and
data pertaining to COTS products.
 
For each Functionality Release, the Contractor shall provide COTS manuals for
all delivered COTS hardware and software and shall prepare CI and Subsystem
Maintenance Procedures for all developed hardware and software.
 
Documentation shall be delivered in a format compatible with the latest version
of Microsoft Office Professional Edition 2003 or higher and can be transferred
electronically. Delivery shall be in accordance with the schedules defined below
and shall allow a minimum of four weeks for TerreStar review prior to approval.
TerreStar shall approve/disapprove all documentation within four weeks of
receipt of final copy. Information contained in each document shall be as
proposed by the Contractor. The documents to be delivered for the Kick-Off
Meeting shall be delivered for review at a mutually agreed date to allow
TerreStar sufficient preparation time for the meeting.
 
Use or disclosure of the data contained on this sheet is subject to the
restiction on the title page.
Page 18 of 32

--------------------------------------------------------------------------------

 
[ex10_84.jpg]
 
AMENDMENT 2
 
TerreStar Satellite Base Station Subsystem SOW
 
 

Figure 3-2 Contract Deliverable Schedule

Deliverable
Proposal
Kick-Off
SRR
PDR
CDR
CTS
Comments
Program Master Phasing Schedule
Prelim
Final
         
Project Mgmt Plan
Prelim
Final
         
Product Assurance Plan
Prelim
Final
         
System Engineering Design Plan
Prelim
Final
         
Software Development Plan
Prelim
Final
         
Hardware Development Plan
   
Prelim
Final
     
Data Management Plan
Prelim
Final
         
System Performance Specification
Define Approach
Review Proposal
Prelim
Final
     
Interface Control Document
Define Approach
Review Proposal
Prelim
Final
     
CONOPS
Define Approach
Review Proposal
Prelim
Final
     
Air Interface Specification
Define Approach
Review Proposal
Prelim
[***]
     
System Integration and Test Plan
Concept provided by TerreStar
Review Concept
Draft
Prelim
Final
   
Analysis and Simulation Plan
 
Prelim
Final
       
Export Control Analysis
 
Prelim
 
Final
     
Hardware Requirements Document
   
Prelim
Final
     
Software Requirements Document
   
Prelim
Final
     
Specification Traceability Matrix
   
Prelim
Final
     
Hardware Design Specification
     
Prelim
Final
   
Software Design Specification
     
Prelim
Final
   
System Operator’s Manual
       
Prelim
Final
 
System Deployment Plan
     
Prelim
Final
   

 
Use or disclosure of the data contained on this sheet is subject to the
restiction on the title page.
Page 19 of 32

--------------------------------------------------------------------------------

 
[ex10_84.jpg]
 
AMENDMENT 2
 
TerreStar Satellite Base Station Subsystem SOW
 
 

 

Deliverable
Proposal
Kick-Off
SRR
PDR
CDR
CTS
Comments
Manufacturing QA Plan
     
Prelim
Final
   
Spares Provisioning Plan
     
Prelim
Final
   
Training Plan
     
Prelim
Final
   
System Test Procedures
       
Prelim
Final
 
CI and System Build Documentation
       
Prelim
Final
 
CI and System Maintenance Procedures
       
Prelim
Final
 
Test Reports
         
Final
required for TVT and OVT
Project Status Reports
           
Due at each PMR
Maintenance and Support Plan
 
Prelim
   
Final
   

 
3.11.1   Documentation Descriptions
 
3.11.1.1   Program Master Phasing Schedule
 
The Program Master Phasing Schedule shall define the following:

-  
[***]

-  
[***]

-  
[***]

 
3.11.1.2   Program Management Plan
 
The PMP shall define the structure and management organization used to execute
the program (ref. para 3.2.2).
 
3.11.1.3   Product Assurance Plan
 
A Product Assurance Plan shall be developed for Hardware Quality Assurance, Data
Management and Configuration Management. The Software Quality Assurance and
Software Configuration Management processes shall be documented in the Software
Development Plan according to normally accepted commercial practice. The
Hardware Quality and Configuration Management processes shall use best
commercial practices or accepted standards as applicable for the type of
hardware being developed. The Product Assurance Plan shall identify all
standards used.
 
Use or disclosure of the data contained on this sheet is subject to the
restiction on the title page.
Page 20 of 32

--------------------------------------------------------------------------------

 
[ex10_84.jpg]
 
AMENDMENT 2
 
TerreStar Satellite Base Station Subsystem SOW
 
 

 
3.11.1.4   System Engineering Design Plan
 
The Contractor shall provide a System Engineering Design Plan that details the
system engineering process to be used during the development. A structured,
top-down design process that ensures compliance to the SPS shall be used. At a
minimum the process shall consider the following: requirements allocation,
establishment and maintenance of design budgets; consideration of TerreStar
Network design and Satellite Segment design; analysis and simulation efforts;
design oversight of the various system, hardware, and software design
activities; design optimization; use of common methodologies, tools, procedures
and documentation: proactive coordination and resolution of issues with and
among design groups; a coordinated test philosophy; and a responsive
specification design process with TerreStar visibility and joint
Contractor/TerreStar system specification change approval.
 
3.11.1.5   Software Development Plan
 
The Contractor shall provide a Software Development Plan in accordance with
normally accepted commercial practice. The plan shall be delivered in final at
the Kick-Off Meeting.
 
3.11.1.6   Hardware Development Plan
 
Contractor shall provide a Hardware Development Plan that defines the hardware
development process to be used for the development of new hardware, the
integration of COTS, and the modification of COTS. The plan shall define
required documentation, use of engineering notebooks, integration processes,
discrepancy reporting, and discrepancy correction.
 
3.11.1.7   Data Management Plan
 
The Contractor shall implement a Data Management Plan to manage and control the
generation, acquisition and maintenance of technical documents, engineering
data, vendor data, manuals, management data and operational support data.
 
3.11.1.8   Analysis and Simulation Plan
 
The Contractor shall provide a plan which defines which requirements will be
verified by analysis, prototyping, simulation and/or modeling.
 
3.11.1.9   System Performance Specification
 
The System Performance Specification shall define the functional performance,
interface, logistical, and quality requirements of the S-BSS and shall include a
verification matrix to define how and when each requirement in the SPS will be
verified (analysis, inspection, test, computer simulation; unit test, subsystem
test, etc.).
 
3.11.1.10   Interface Control Document
 
The Contractor shall provide an ICD that describes both physically and
functionally all internal and external system interfaces.  It shall be
compatible with existing satellite segment, IP Network, OSS/BSS, and 3G Core/IMS
ICDs.  The IP Network and 3G Core/IMS ICDs will be provided by TerreStar as
described in section 2.
 
3.11.1.11   System Operations Concept
 
The Contractor shall develop a System Operations Concept (CONOPS) that describes
the operation of the S-BSS within the satellite segment and its interfaces with
the IP Network and User Equipment and allocates functional and performance
requirements from the SPS to the operational procedures. The document shall be
written in a format provided by the Contractor and should include: a system
description with functional diagrams, an operations description with data flow
diagrams, operation time lines, Human/Machine Interface (HMI), etc.  The
contractor shall include in the CONOPS likely disaster scenarios with how the
S-BSS would allocate frequency and power to the channels and the likely capacity
of the satellite segment in each scenario.
 
Use or disclosure of the data contained on this sheet is subject to the
restiction on the title page.
Page 21 of 32

--------------------------------------------------------------------------------

 
[ex10_84.jpg]
 
AMENDMENT 2
 
TerreStar Satellite Base Station Subsystem SOW
 
 

 
 
3.11.1.12   [***] Specification
 
The Contractor shall develop a [***] Specification for [***].
 
The specification shall be in a form compatible with [***].
 
3.11.1.13   Hardware Requirements Document
 
The Contractor shall provide a Hardware Requirements Document that allocates
functional and performance requirements from the SPS to the system hardware.
This document shall be used as the basis for the Hardware Design Specification.
 
3.11.1.14   Software Requirements Document
 
The Contractor shall provide a Software Requirements Document that allocates
functional and performance requirements from the SPS to the system software.
This document shall be used as the basis for the Software Design Specification.
 
3.11.1.15   System Integration and Test Plan
 
The Contractor shall provide a System Integration and Test Plan that reasonably
conforms with the Test Concept document previously provided to Contractor and
that details the test philosophy and test process to be used to accomplish
system integration and technical and operational verification. [***].
 
Examples of tests that shall be included are: [***].
 
The Test Plan shall define a problem reporting process that contains defined
severity levels with Contractor response and resolution times specified.
 
Use or disclosure of the data contained on this sheet is subject to the
restiction on the title page.
Page 22 of 32

--------------------------------------------------------------------------------

 
[ex10_84.jpg]
 
AMENDMENT 2
 
TerreStar Satellite Base Station Subsystem SOW
 
 

 
3.11.1.16   Specification Traceability Matrix
 
The Contractor shall generate a matrix showing the flow down of the TerreStar
system specifications into the S-BSS subsystem, CIs, and units.
 
3.11.1.17   Hardware and Software Design Specifications
 
The Contractor shall provide design specifications for each hardware and
software configuration item. The specification shall be written in a format
provided by the Contractor and shall include: a configuration item definition,
interface definitions, major components, characteristics, design and
construction standards, physical and functional characteristic, test
requirements, etc.
 
3.11.1.18   System Operators Manual
 
The Contractor shall provide complete documentation on the proper operation and
features of the S-BSS suitable for the network operators.
 
3.11.1.19   System Deployment Plan
 
The System Deployment Plan (SDP) shall include the Contractor's plan for S-BSS
delivery and installation, facility requirements, field service support after
Consent-to-Ship, etc. The plan shall also include depot and field support for
software and hardware maintenance, spares provisioning, O&M facility
modifications, and TerreStar operator, customer service, engineering and field
service training.
 
3.11.1.20   Manufacturing QA Plan
 
The Contractor shall provide an equipment manufacturing plan showing the
inspections, procedures and other quality functions it will use to assure that
the deliverable hardware satisfies the program quality requirements.
 
3.11.1.21   Spare Provisioning Plan
 
The Contractor shall provide a plan for recommended spare parts inventory to be
maintained by TerreStar to assure continued reliable operations.
 
3.11.1.22   Training Plan
 
The Contractor shall develop a plan describing the procedures, materials, media
and methodologies it will use to provide training to all subsystem users and
operators. Training methods may include, but are not limited to, computer
assisted instruction, classroom presentation, supervised on-the-job training,
and video tape presentations.
 
3.11.1.23   System Test Procedures
 
The Contractor shall develop System Test Procedures to test and validate system
performance during the formal test activities.
 
3.11.1.24   CI and Subsystem Build Documentation
 
Engineering documentation shall be delivered for all TerreStar funded
development. This documentation shall include: design specifications,
schematics, wiring diagrams, parts lists, process specifications, assembly
instructions, test specifications, quality standards, licenses, or any other
documentation needed to technically and legally operate the delivered
subsystem.  Schematics, wiring diagrams, parts lists and as installed facility
drawings shall be provided for each S-BSS location.  For S/W developed or
modified under this contract, the Contractor shall provide all licenses and
documentation required for system operation, including all source code, as
described in the Contract.
 
Use or disclosure of the data contained on this sheet is subject to the
restiction on the title page.
Page 23 of 32

--------------------------------------------------------------------------------

 
[ex10_84.jpg]
 
AMENDMENT 2
 
TerreStar Satellite Base Station Subsystem SOW
 
 

 
3.11.1.25   CI and Subsystem Maintenance Procedures
 
CI and System Maintenance Procedures shall be provided for the S-BSS at each
location. These documents shall include: field service manuals, troubleshooting
instructions and line replaceable unit (LRU) identification, operating
procedures, emergency procedures, network management procedures, Upgrade
procedures for [***] to [***], back-out procedures for [***] to revert to [***],
should also be provided.
 
3.11.1.26   Test Reports
 
The Contractor shall deliver a test report at the conclusion of each formal test
activity. These reports are described in paragraph 3.5.2.
 
3.11.1.27   Project Status Reports
 
Project Status Reports shall be provided at each PMR as described in paragraph
3.2.3.
 
3.11.1.28   Maintenance and Support Plan
 
The Contractor shall develop a Maintenance and Support Plan which details the
organization and activities necessary to provide operational support for S-BSS
throughout the Warranty period.
 
 
3.11.2   S-BSS Specification Tree
 
Figure 3-3 Documentation Specification Tree shows the specification and manual
relationships.

--------------------------------------------------------------------------------

3.12   Training

 
3.12.1   Training Plan
 
The Contractor shall generate an S-BSS Operations and Maintenance Training Plan.
The Contractor shall impart to TerreStar personnel the skills necessary to
operate and maintain the S-BSS in an effective and efficient manner and within
subsystem performance specifications.
 
Use or disclosure of the data contained on this sheet is subject to the
restiction on the title page.
Page 24 of 32

--------------------------------------------------------------------------------

 
[ex10_84.jpg]
 
AMENDMENT 2
 
TerreStar Satellite Base Station Subsystem SOW
 
 

 
                   Figure 3-3 [***]

[p25.jpg]
 
3.12.2   Training Material
 
The Contractor shall provide O&M training course materials including course
description, curricula, class handouts, and training course materials; provide
trained and qualified instructors; and conduct the presentation of the training
course.
 
3.12.3   Training Courses
 
The Contractor shall develop a training course that address safety, security,
familiarization with S-BSS equipment, functionality, air interface design,
maintenance, installation, and operation. Course shall be developed for specific
job areas to achieve proficiency levels consistent with assigned tasks, as well
as skills for overall operation of the S-BSS.
 
3.12.4   Training Methods
 
Training methods may include, but are not limited to, computer assisted
instruction, classroom presentation, supervised on-the-job training, and video
tape presentations.
 
3.12.5   Training Documents
 
The Contractor shall prepare the following documents: Training Plan, Training
Course Materials, Instructor’s Guide, Operations Certification Procedures and
Materials.
 
Use or disclosure of the data contained on this sheet is subject to the
restiction on the title page.
Page 25 of 32

--------------------------------------------------------------------------------

 
[ex10_84.jpg]
 
AMENDMENT 2
 
TerreStar Satellite Base Station Subsystem SOW
 
 

 

--------------------------------------------------------------------------------

3.13   Customer Furnished Equipment
 
Unless clearly stated in the body of the following, dates for deliverables are
TBD; the Contractor and TerreStar shall agree dates NLT SRR.
 
 
3.13.1   Site Facilities
 
TerreStar shall be responsible for provisioning the two satellite gateway
facilities including the building and associated infrastructure as specified in
the System Deployment Plan.  The site facilities must be available by [***].
 
TerreStar shall provide the onsite office space, power, communications, storage,
etc for the site installation team.
 
TerreStar shall provide the [***] no later than [***].
 
TerreStar shall provide connectivity to the CALEA and E911 services.
 
 
3.13.2   S-BSS Testing
 
[***]
 
TerreStar shall provide access to the satellite 24x7, except for coordinated
maintenance windows, no later than [***] for Technical Verification Testing.
 
TerreStar shall provide the User Equipment (UE) and the necessary UE technical
support to be used during the Technical and Operational Verification
Phases.  The UE must be available by [***].
 
TerreStar shall provide numbering plans (as required, IP address plans,
telephone numbering plans, or others not later than [***].
 
TerreStar shall provide [***] connectivity as required at the Contractor
facility for use during development, test, integration and Consent-to-Ship
Testing [***].
 
TerreStar shall provide a functional [***] simulator at Hughes Lab Facilities by
[***], and the operational [***] in the field for field testing by [***].
 
TerreStar shall provide access to the [***] for Contractor use during
development, test, integration, Consent-to-Ship Testing, and Technical and
Operational Verification as defined in the System Integration and Test Plan and
on a non interference basis with SBN activities.
 
After S-BSS Acceptance, TerreStar will provide access to the TerreStar
Development and Test environments for use during warranty repairs, functionality
improvements, integration and test activities, and other development
requirements.  TerreStar will provide test and development support as mutually
agreed.
 
Use or disclosure of the data contained on this sheet is subject to the
restiction on the title page.
Page 26 of 32

--------------------------------------------------------------------------------

 
[ex10_84.jpg]
 
AMENDMENT 2
 
TerreStar Satellite Base Station Subsystem SOW
 
 

 
4   Project Schedule
 

--------------------------------------------------------------------------------

4.1   General
 
The S-BSS project shall be comprised of several functionality releases as
described in section 3.1.  The Functionality [***] phasing is portrayed below.
Key dates are provided in section 3.1.  Planning for [***] starts when a letter
contract/MOU is issued and concludes 45 days later with a Kick-Off Meeting.  As
the [***] development progresses and subsystem integration begins, the program
enters the [***] Technical Verification Phase. This Phase concludes with the
[***] TVT and Technical Verification Review and the [***] Operational
Verification Phase begins. During this phase the Contractor shall support an
operational demonstration/UAT planned and executed by TerreStar.  This phase
concludes with S-BSS [***] after the successful completion of the operational
demonstration/UAT and the Operational Acceptance Review.  O&M Handover for [***]
1 occurs at [***] and for [***] at Final Acceptance.

Figure 4-1 High Level S-BSS Project Schedule
 
[p27.jpg]
 
Subsequent Functionality Releases shall follow the high level project phases
shown in Figure 4-1 High Level S-BSS Project Schedule.

 

--------------------------------------------------------------------------------

4.2   Program Milestones

Program milestones are: Kick-Off Meeting, System Requirements Review,
Preliminary Design Review, Critical Design Review, Consent-to-Ship Review,
Technical Verification Review, and Operational Acceptance. These are defined
below.
 
4.2.1   Planning and Development
 
Planning and development shall be conducted according to the Contractor's PMP,
System Engineering Design Plan, Hardware and Software Development Plans, and the
Product Assurance Plans. Suggested efforts are as follows and required
milestones are defined.
 
Use or disclosure of the data contained on this sheet is subject to the
restiction on the title page.
Page 27 of 32

--------------------------------------------------------------------------------

 
[ex10_84.jpg]
 
AMENDMENT 2
 
TerreStar Satellite Base Station Subsystem SOW
 
 

 
4.2.2   Kick-Off Meeting
 
The Kick-Off Meeting purpose, scope and deliverables are defined in paragraph
3.2.3.1.
 
 
4.2.3   System Requirements Review
 
The SRR purpose, scope and deliverables are defined in paragraph 3.2.4.2.  Each
Functionality Release shall have an SRR.
 
 
Figure 4-2 Technical Meetings
 
[p282.jpg]
 
 
4.2.4   Preliminary Design Review
 
The PDR purpose, scope and deliverables are defined in paragraph 3.2.4.3.  Each
Functionality Release shall have a PDR.  The PDR for [***] may be combined with
the SRR by mutual consent.
 
 
4.2.5   Critical Design Review
 
The CDR purpose, scope and deliverables are defined in paragraph 3.2.4.4.  Each
Functionality Release shall have a CDR.
 
4.2.6   Technical Verification
 
Technical verification shall be conducted according to the Contractor's PMP, the
System Integration and Test Plan, and the Product Assurance Plan. Suggested
efforts are as follows and required milestones are defined.  Each Functionality
Release shall have a TVT.
 
Use or disclosure of the data contained on this sheet is subject to the
restiction on the title page.
Page 28 of 32

--------------------------------------------------------------------------------

 
[ex10_84.jpg]
 
AMENDMENT 2
 
TerreStar Satellite Base Station Subsystem SOW
 
 

 
 
Figure 4-3 Integration and Test High Level Schedule
 
 
[p29.jpg]
 
4.2.7   Consent to Ship Review
 
4.2.7.1   CTS Purpose
 
Verify the readiness to ship S-BSS to the operational site and the readiness of
the operational sites to accept the S-BSS deliverables.
 
4.2.7.2   CTS Scope
 
Review CTS test results, operational facility preparations, and deployment
preparations.  Each Functionality Release shall have a CTS Review.
 
4.2.7.3   CTS Deliverables
 
Satellite Base Station; initial spares; S-BSS test tools; lien work-off plan; CI
and System Maintenance Procedures; System Test Procedures; CI and System Build
Documentation; Test Reports.
 
 
4.2.8   Technical Verification Review
 
4.2.8.1   Technical Verification Purpose
 
There shall be a Technical Verification Review (TVR) for each functionality
release to determine: [***]
 
4.2.8.2   Technical Verification Scope
 
During the TVRs the Contractor shall present information on the readiness of the
S-BSS including: a review of the TVT results to validate proper technical
performance; a complete report on all open problem reports that summarize the
issue, the severity, the resolution plan, and when the problem resolution will
be available for integration into the operational system; operations and
maintenance procedures; S-BSS spares availability; S-BSS stability and
availability; and other technical and operational readiness issues.
 
Use or disclosure of the data contained on this sheet is subject to the
restiction on the title page.
Page 29 of 32

--------------------------------------------------------------------------------

 
[ex10_84.jpg]
 
AMENDMENT 2
 
TerreStar Satellite Base Station Subsystem SOW
 
 

 
4.2.8.3    Technical Verification Deliverables
 
Test Reports; technically verified S-BSS; problem report work-off plan.
 
 
4.2.8.4   Technical Verification Success Criteria
 
The data presented at the TVR will be assessed and a determination made on the
readiness of the S-BSS to enter the Operational Verification Phase.  The
following criteria shall be met.  .

-  
[***]

-  
[***]

-  
[***]

At Completion of each TVR TerreStar will approve the TVT results or will notify
the Contractor in writing of any non-conformances with applicable
specifications.  Contractor will promptly correct such nonconformity and shall
notify TerreStar that the corrections are ready for retest.  Upon successful
completion of such retest, TerreStar will give its approval.  Upon
non-successful completion, this process shall repeat.  In the event TerreStar
fails to provide such written notice within ten (10) days after completion of
the TVR, TerreStar will be deemed to have given its approval of TVR.
 

--------------------------------------------------------------------------------

4.3   Operational Verification

Operational verification shall be conducted according to the Contractor's PMP,
TerreStar System Integration and Test Plan, S-BSS Integration and Test Plan, the
Product Assurance Plan, and the jointly developed operational procedures.
Suggested efforts are as follows and required milestones are defined.  Each
Functionality Release shall have an Operational Verification Test.

Figure 4-4 [***]

[p30.jpg]
 
Use or disclosure of the data contained on this sheet is subject to the
restiction on the title page.
Page 30 of 32

--------------------------------------------------------------------------------

 
[ex10_84.jpg]
 
AMENDMENT 2
 
TerreStar Satellite Base Station Subsystem SOW
 
 

 
4.3.1   Operational Readiness Review (ORR)
 
4.3.1.1   Operational Readiness Review Purpose
 
There shall be an Operational Readiness Review (ORR) for Functionality [***],
the Canadian Gateway, and [***] to determine: if the required functionality and
capacity for the release is operating in accordance with the design and
requirements and therefore is ready for revenue generating service.
 
4.3.1.2   Operational Readiness Review Scope
 
Review Operational Verification Test results for trouble reports, system
stability, operational procedure quality, personnel training, and other
pertinent requirements.
 
During the ORRs the Contractor shall present information on the readiness of the
S-BSS including: a review of the S-BSS technical performance during the OVT to
validate proper technical performance; a complete report on all open problem
reports that summarize the issue, the severity, the resolution plan, and when
the problem will be available for integration into the operational system;
operations and maintenance procedures; S-BSS spares availability; S-BSS
stability and availability; and other technical and operational readiness
issues.
 
4.3.1.3    Operational Readiness Review Deliverables
 
Operational procedures and trained personnel.  Problem report work-off plan.
 
4.3.1.4   Operational Readiness Review Success Criteria
 
The data presented at the ORR will be assessed and a determination made on the
readiness of the S-BSS to enter Revenue Service.  The following criteria shall
be met.

-  
[***]

-  
[***]

-  
[***]

-  
[***]

-  
[***]

-  
[***]

-  
[***]

[***]  At Completion of each ORR TerreStar will approve the ORR or will notify
the Contractor in writing of any non-conformances with applicable
specifications.  Where such non-conformance is attributable to Contractor,
Contractor shall promptly correct such non-conformity and shall notify TerreStar
that the corrections are ready for retest.  Upon successful completion of such
retest, TerreStar will give its approval.  Upon non-successful completion, this
process shall repeat.  With respect to each ORR, in the event (i) TerreStar
fails to provide such written notice within ten (10) days after completion of
the ORR, or (ii) TerreStar fails to complete the ORR within the time schedule
set forth in this Contract, or as amended, and such delay is not attributable to
Contractor, or (iii) TerreStar puts the S-BSS, or portions thereof, in each case
covered by such ORR, delivered by Contractor into revenue generating service,
TerreStar will be deemed to have given its approval of the relevant ORR.
 
Use or disclosure of the data contained on this sheet is subject to the
restiction on the title page.
Page 31 of 32

--------------------------------------------------------------------------------

 
[ex10_84.jpg]
 
AMENDMENT 2
 
TerreStar Satellite Base Station Subsystem SOW
 
 

 

--------------------------------------------------------------------------------

4.4   Operational Capability
 
4.4.1   Initial Operational Capability
 
The [***] ORR shall be held prior to the start of Initial Operational Capability
(ref. paragraph 3.1).
 
4.4.2   Canadian Gateway S-BSS Operational Acceptance
 
The Canadian gateway ORR shall be held prior to establishing operational
capability from the Canadian gateway S-BSS.  Canadian Gateway Operational
Acceptance shall occur after the successful completion of the Canadian Gateway
ORR.
 
4.4.3   Full Operational Capability
 
The [***] ORR shall be held prior to the start of Final Acceptance (ref.
paragraph 3.1).  The [***] ORR shall include a summary of the results from the
Canadian Gateway [***] ORR and the NLV [***] to [***] upgrade.  S-BSS Final
Acceptance shall occur after the [***] ORR and shall be no later than [***].
 
 
 
 
Use or disclosure of the data contained on this sheet is subject to the
restiction on the title page.
Page 32 of 32

--------------------------------------------------------------------------------

 
[ex10_84.jpg]
 
AMENDMENT 2
 
TerreStar Satellite Base Station Subsystem Functional Requirements
 

 
 
 
 
Exhibit B

Satellite Base Station Subsystem (S-BSS)
Functional Requirements

TSN_SAT_2_REQ-Satellite Base Station Subsystem Functional Requirements

Version 4.3                                                                June
17, 2008

 
Hughes Network Systems, LLC
 
 
11717 Exploration Lane
 
 
Germantown, Maryland 20876          
 
 
 
TerreStar Networks, Inc.
   
One Discovery Place
 
 
12010 Sunset Hills Road, 6th Floor      Reston, Virginia  20190      /s/ Neil
Hazard

 
                                                                                                         

This document contains data and information proprietary to TerreStar Networks
Inc. This data is being furnished pursuant to the provisions of the Contract
between TerreStar Networks Inc. and Hughes Network Systems, LLC for the
TerreStar Satellite Base Station Subsystem.  Hughes Network Systems, LLC and
TerreStar Networks Inc. shall have the right to duplicate, use or disclose the
data and information to the extent specified in the Contract and herein.
Information included in this Exhibit may contain technical data controlled by
the Export Administration Regulations ("EAR") and/or the International Traffic
in Arms Regulations ("ITAR").  This document has not been cleared for export or
transfer to a Foreign Person or foreign entity.

 
Use or disclosure of the data contained on this sheet is subject to the
restiction on the title page.
Page 1 of 47

--------------------------------------------------------------------------------

 
[ex10_84.jpg]
 
AMENDMENT 2
 
TerreStar Satellite Base Station Subsystem Functional Requirements
 

 
 
Revision History
 
Date
Version
Description
Author
1/31/07
3.3
Initial Release/Contract Execution version
[***]
1/31/08
4.0
Incorporate CCN 1, 2, 3, 6
[***]
5/15/08
4.1
Incorporate CCN 4
[***]
5/17/08
4.2
Draft for May 08 Replanning
[***]
6/17/08
4.3
Final Execution Copy for Amendment 2
[***]
               

 
 
 
Use or disclosure of the data contained on this sheet is subject to the
restiction on the title page.
Page 2 of 47

--------------------------------------------------------------------------------

 
[ex10_84.jpg]
 
AMENDMENT 2
 
TerreStar Satellite Base Station Subsystem Functional Requirements
 

 
 
Notices:

·  
The S-BSS shall comply with stricter of the requirements in Section 1 through12
and Annex 1 of this document.

 
 
 
 

 
Use or disclosure of the data contained on this sheet is subject to the
restiction on the title page.
Page 3 of 47

--------------------------------------------------------------------------------

 
[ex10_84.jpg]
 
AMENDMENT 2
 
TerreStar Satellite Base Station Subsystem Functional Requirements
 

 
 
Table of Contents

       
1.0    OVERVIEW
    6  
1.1    Company Overview
    6  
1.2    Purpose of This Document
    6  
1.3    TerreStar System Architecture
    6  
1.4    S-BSS ARCHITECTURE AND REQUIREMENTS
    7  
1.5    FREQUENCY ALLOCATION
    9  
1.5.1    ATC Network Air Interface
    9  
1.5.2    Satellite Network Air Interface
    9  
1.5.3    Satellite Network Interference
    10  
1.6    FCC REQUIREMENTS
    11  
1.6.1    Out of Channel/Out of Band Emissions
    11  
1.6.2    ATC Satellite Sharing Requirements
    11  
1.6.3    ATC Certification
    11  
1.7    OPERATIONAL REQUIREMENTS
    11  
2.0    S-BSS INTERFACES
    12  
3.0    SERVICES & QUALITY of SERVICE MANAGEMENT OPERATIONS
    13  
3.1    ServiceS
    16  
3.1.1    VoIP:
    16  
3.1.2    Emergency Voice Calling:
    17  
3.1.3    IP Multicast and Push-to-Talk Voice:
    17  
3.1.4    Data Services:
    18  
3.1.5    Video Services:
    18  
3.1.6    Multimedia:
    19  
3.2    Handoff REQUIREMENTS
    19  
3.3    Element Management Operations
    20  
4.0    S-BSS TECHNICAL & PERFORMANCE REQUIREMENTS
    22  
4.1    Radio Performance Requirements
    22  
4.1.1    Transmitter
    22  
4.1.2    Receiver
    25  
4.2    General Performance Requirements
    28  
4.2.1    Synchronization
    28  
4.2.2    Spot Beam Operation
    28  
4.2.3    Inter-Beam Beam C/I
    28  
4.3    INTERFACE TECHNICAL PARAMETERS
    28  
4.3.1    S-BSS to GBBF
    29  
4.3.2    S-BSS to SGSN (Iu-PS)
    29  
4.3.3    S-BSS to SGSN (Iu-BC) (P6M)
    29  
4.3.4    S-BSS Clock Stability
    29  
4.3.5    VLANs, GigE and Routing (TBR by PDR)
    30  
4.4    Physical and Environmental Requirements
    30  
5.0    S-BSS Radio Resource Control Requirements
    31  
6.0    Prioritization and Pre-emption Support
    32  
7.0    Power Control
    32  

 
Use or disclosure of the data contained on this sheet is subject to the
restiction on the title page.
Page 4 of 47

--------------------------------------------------------------------------------

[ex10_84.jpg]
 
AMENDMENT 2
 
TerreStar Satellite Base Station Subsystem Functional Requirements

 
8.0    Network Management
    33  
8.1    Fault Management
    33  
8.2    Configuration management
    34  
8.3    Performance and Usage Statistics Collection
    34  
8.4    security and Access Management
    34  
9.0    [***]
    34  
10.0    Two-Satellite Diversity
    37  
11.0    [***]
    37  
12.0    [***]
    37  
13.0    Annex 1- GMR-3G Reference and Requirements
    39  
A.   GMR-3G Physical Channels
    42  
B.   Logical Channels
    45  
14.0    Annex 2 – Schedule of Feature Releases
    47  

 
Use or disclosure of the data contained on this sheet is subject to the
restiction on the title page.
Page 5 of 47

--------------------------------------------------------------------------------

 
[ex10_84.jpg]
 
AMENDMENT 2
 
TerreStar Satellite Base Station Subsystem Functional Requirements
 

 
    1.0    OVERVIEW
 
1.1    COMPANY OVERVIEW
 
TerreStar Networks Inc. is a Reston, Virginia-based provider of advanced mobile
communications services for the North American market.  TerreStar plans to
launch an innovative communications system to provide mobile coverage throughout
the US and Canada using several classes of devices from a typical handset to
vehicle mounted terminals.  This seamless, ubiquitous network, based on
integrated satellite/ground-based technology, will allow service in even the
most hard-to-reach areas, and will finally allow for the interoperable,
survivable and critical communications infrastructure that our nation’s first
responders need. The TerreStar hybrid network will provide advanced IMS based
3.5/4G communication services for government, enterprise and personal
customers.  More information is available at http://www.terrestar.com/
 
1.2    PURPOSE OF THIS DOCUMENT
 
This document provides the functional requirements for the Satellite Base
Station Sub-system (S-BSS) to provide satellite air interface radio connectivity
to User Equipments (UEs) and their connectivity to the TerreStar IP networks to
provide packet switched IMS based services.
 
1.3    TERRESTAR SYSTEM ARCHITECTURE

The overall hybrid (Terrestrial and Satellite) radio access network (RAN)
architecture is shown in
Figure 1-1.

Use or disclosure of the data contained on this sheet is subject to the
restiction on the title page.
Page 6 of 47

--------------------------------------------------------------------------------

 
[ex10_84.jpg]
 
AMENDMENT 2
 
TerreStar Satellite Base Station Subsystem Functional Requirements
 

 

 
 
 
 
 
[***]
 
Figure 1-1.   TerreStar Hybrid Radio Access Network Architecture
 
The RAN is composed of two radio subsystems:
 
·  
Satellite BSS ( S-BSS)

 
·  
Terrestrial RAN (ATC-RAN)

 
[***]
 
1.4    S-BSS ARCHITECTURE AND REQUIREMENTS

Figure 1-2 shows the system architecture with S-BSS subsystems.

Use or disclosure of the data contained on this sheet is subject to the
restiction on the title page.
Page 7 of 47

--------------------------------------------------------------------------------

 
[ex10_84.jpg]
 
AMENDMENT 2
 
TerreStar Satellite Base Station Subsystem Functional Requirements
 

 

 
 
 
 
 
[***]
 
1.4.1.1  Figure 1-2.   S-BSS Segment and Gateways
S-BSS Requirements/Specifications:
[***]
 
Use or disclosure of the data contained on this sheet is subject to the
restiction on the title page.
Page 8 of 47

--------------------------------------------------------------------------------

 
[ex10_84.jpg]
 
AMENDMENT 2
 
TerreStar Satellite Base Station Subsystem Functional Requirements
 

 
 
[***]
 
1.5    FREQUENCY ALLOCATION

[***]

1.5.1    ATC Network Air Interface

[***]

1.5.2    Satellite Network Air Interface

[***]
 
 
 
Use or disclosure of the data contained on this sheet is subject to the
restiction on the title page.
Page 9 of 47

--------------------------------------------------------------------------------

 
[ex10_84.jpg]
 
AMENDMENT 2
 
TerreStar Satellite Base Station Subsystem Functional Requirements
 

 
[***]
 

 
 
 
 
 
[***]
 
Figure 1-3.   Frequency Plan

1.5.3    Satellite Network Interference

[***]

Use or disclosure of the data contained on this sheet is subject to the
restiction on the title page.
Page 10 of 47

--------------------------------------------------------------------------------

 
[ex10_84.jpg]
 
AMENDMENT 2
 
TerreStar Satellite Base Station Subsystem Functional Requirements
 

 
1.6    FCC REQUIREMENTS

The operation of the satellite network elements with regard to RF Spectrum
issues are governed by national regulatory rulings.  For operation within the
US, these rulings are issued by the FCC.  For operation within Canada, they are
issued by Industry Canada.  Both agencies have allowed ATC operation in
conjunction with MSS operation.  The FCC rules pertaining to operation of the
satellite network are contained in 47CFR part 25.
 
1.6.1    Out of Channel/Out of Band Emissions
 
The FCC rules contained in 47 CFR 25.202 must be met with respect to out of
channel emissions. Specifically, the mean power of emissions shall be attenuated
below the mean output power of the transmitter in accordance with the following
rules:
 
1.  
In any 4 kHz band, the center frequency of which is removed from the assigned
edge of channel/band by more than 50% up to and including 100% of the authorized
bandwidth: 25 dBc

 
2.  
In any 4 kHz band, the center frequency of which is removed from the assigned
edge of channel/band by more than 100% up to and including 250% of the
authorized bandwidth: 35 dBc

 
3.  
In any 4 kHz band, the center frequency of which is removed from the assigned
edge of channel/band by more than 250% of the authorized bandwidth: An amount
equal to 43 dB plus 10 times the logarithm to the base 10 of the transmitter
power in Watts, i.e. 43 + 10 LOG10 [P (W)] dB

 
 
1.6.2    ATC Satellite Sharing Requirements

1.  
47CFR 25.149 (b) Defines the requirements for ATC and satellite sharing

 
1.6.3    ATC Certification
 
47CFR 25.150 (C) (1).  Equipment must be certified as set forth in 2.803.
 
47CFR 25.150 (C) (2).  Equipment must comply with RF Safety as outlined in
1.1307(b).
 
1.7    OPERATIONAL REQUIREMENTS

[***]

Use or disclosure of the data contained on this sheet is subject to the
restiction on the title page.
Page 11 of 47

--------------------------------------------------------------------------------

 
[ex10_84.jpg]
 
AMENDMENT 2
 
TerreStar Satellite Base Station Subsystem Functional Requirements
 

 
    2.0    S-BSS INTERFACES

The S-BSS shall interwork with the following interfaces (as shown in Figure 1-2)
:

[***]

 
Figure 2.1 illustrates [***]
 
 
 
Use or disclosure of the data contained on this sheet is subject to the
restiction on the title page.
Page 12 of 47

--------------------------------------------------------------------------------

 
[ex10_84.jpg]
 
AMENDMENT 2
 
TerreStar Satellite Base Station Subsystem Functional Requirements
 

 

 
 
 
 
 
[***]
 
Figure 2-1. An interface diagram for SBAS[***].
 

[***]

3.0     
SERVICES & QUALITY OF SERVICE MANAGEMENT OPERATIONS

 
 

 
Use or disclosure of the data contained on this sheet is subject to the
restiction on the title page.
Page 13 of 47

--------------------------------------------------------------------------------

 
[ex10_84.jpg]
 
AMENDMENT 2
 
TerreStar Satellite Base Station Subsystem Functional Requirements
 

 

 
 
 
 
 
[***]
 
Figure 3-1:   End-to-End QoS Model

[***]
 
Use or disclosure of the data contained on this sheet is subject to the
restiction on the title page.
Page 14 of 47

--------------------------------------------------------------------------------

 
[ex10_84.jpg]
 
AMENDMENT 2
 
TerreStar Satellite Base Station Subsystem Functional Requirements
 

 
[***]
 
 
 
 
 
 
Use or disclosure of the data contained on this sheet is subject to the
restiction on the title page.
Page 15 of 47

--------------------------------------------------------------------------------

 
[ex10_84.jpg]
 
AMENDMENT 2
 
TerreStar Satellite Base Station Subsystem Functional Requirements
 

 
[***]

3.1    SERVICES

[***]

 
3.1.1    VoIP:
 
[***]
 
 
 
Use or disclosure of the data contained on this sheet is subject to the
restiction on the title page.
Page 16 of 47

--------------------------------------------------------------------------------

 

[ex10_84.jpg]
 
AMENDMENT 2
 
TerreStar Satellite Base Station Subsystem Functional Requirements
 

 
[***]
 
 
3.1.2    Emergency Voice Calling:
 

[***]
 
 
3.1.3    IP Multicast and Push-to-Talk Voice:
 

[***]
 
 
 
Use or disclosure of the data contained on this sheet is subject to the
restiction on the title page.
Page 17 of 47

--------------------------------------------------------------------------------

 
[ex10_84.jpg]
 
AMENDMENT 2
 
TerreStar Satellite Base Station Subsystem Functional Requirements
 

 
[***]

 
3.1.4    Data Services:
 

[***]
 
 
3.1.5    Video Services:
 

 
[***]
 
 
 
Use or disclosure of the data contained on this sheet is subject to the
restiction on the title page.
Page 18 of 47

--------------------------------------------------------------------------------

 
[ex10_84.jpg]
 
AMENDMENT 2
 
TerreStar Satellite Base Station Subsystem Functional Requirements
 

 
 
3.1.6    Multimedia:
 

[***]

3.2    HANDOFF REQUIREMENTS

The different possible mobility and hand-off scenarios are shown in the figure
below:
 
 
 
 
 
[***]
 
Figure 3-2:  Hand-off Scenarios

The S-BSS shall support the following [***]:

[***]
 
Use or disclosure of the data contained on this sheet is subject to the
restiction on the title page.
Page 19 of 47

--------------------------------------------------------------------------------

 
[ex10_84.jpg]
 
AMENDMENT 2
 
TerreStar Satellite Base Station Subsystem Functional Requirements
 

 
[***]

 
3.3    ELEMENT MANAGEMENT OPERATIONS

[***]

 
The element management shall include the following interfaces at the minimum:

[***]
 
Fault Management Requirements:
 
[***]
 
 
 
Use or disclosure of the data contained on this sheet is subject to the
restiction on the title page.
Page 20 of 47

--------------------------------------------------------------------------------

 
[ex10_84.jpg]
 
AMENDMENT 2
 
TerreStar Satellite Base Station Subsystem Functional Requirements
 

 
[***]

Configuration Management Requirements:

[***]

Performance Management requirements:

[***]

Security Management Requirements:

[***]
 
 

 
Use or disclosure of the data contained on this sheet is subject to the
restiction on the title page.
Page 21 of 47

--------------------------------------------------------------------------------

 
[ex10_84.jpg]
 
AMENDMENT 2
 
TerreStar Satellite Base Station Subsystem Functional Requirements
 

 
5.  
The S-BSS element manager shall log operator commands to provide an operations
audit trail.

6.  
The S-BSS element manager shall support operator display of the operator log.

7.  
The S-BSS element manager shall support secure command and file access and
communication between S-BSS and GRM.

[***]

    4.0    S-BSS TECHNICAL & PERFORMANCE REQUIREMENTS

4.1    RADIO PERFORMANCE REQUIREMENTS
 
4.1.1    Transmitter
 
4.1.1.1     
Output Spectrum

 
[***]
 
4.1.1.2     
Number of Beams

 
[***]
 
4.1.1.3     
Carrier Bandwidth

 
[***]
 
4.1.1.4     
Carrier Spacing

 
[***]
 
4.1.1.5     
Number of Carriers Supported Per Beam

 
[***]
 
4.1.1.6     
Modulation

 
[***]
 
Use or disclosure of the data contained on this sheet is subject to the
restiction on the title page.
Page 22 of 47

--------------------------------------------------------------------------------

 
[ex10_84.jpg]
 
AMENDMENT 2
 
TerreStar Satellite Base Station Subsystem Functional Requirements
 

 
[***]
 
 
4.1.1.7     
Transmit Symbol Rates

 
[***]
 
4.1.1.8     
Transmit Pulse Filter

 
[***]
 
4.1.1.9     
Transmit Error Vector Magnitude

 
[***]
 
4.1.1.10     
Transmit Power Control

 
[***]
 
4.1.1.11     
Frequency Accuracy

 
[***]
 
4.1.1.12     
Forward Error Correction Coding

 
[***]
 
Use or disclosure of the data contained on this sheet is subject to the
restiction on the title page.
Page 23 of 47

--------------------------------------------------------------------------------

 
[ex10_84.jpg]
 
AMENDMENT 2
 
TerreStar Satellite Base Station Subsystem Functional Requirements
 

 
[***]
 
 
4.1.1.13     
TDMA Burst and Frame Length

 
[***]
 
Table 4.1: Burst Length for Traffic and Control Channels

Channel Type
Nomenclature
Burst Length
[***]
[***]
[***]
[***]
[***]
[***]
[***]
[***]
[***]
[***]
[***]
[***]
[***]
[***]
[***]
[***]
[***]
[***]
[***]
[***]
[***]
[***]
[***]
[***]
[***]
[***]
[***]
[***]

[***]
 
Table 4.2: Frame Length for Traffic and Control Channels

Traffic Channels
Channel
Modulation
Coding Scheme
Effective Code Rate Approx.
BW (KHz)
Symbol Rate
Approx. Net Payload  Bit Rate (Kb/s)
Frame Length (bytes)
[***]
[***]
[***]
[***]
[***]
[***]
[***]
[***]
[***]
[***]
[***]
[***]
[***]
[***]
[***]
[***]
[***]
[***]
[***]
[***]
[***]
[***]
[***]
[***]

Use or disclosure of the data contained on this sheet is subject to the
restiction on the title page.
Page 24 of 47

--------------------------------------------------------------------------------

 
[ex10_84.jpg]
 
AMENDMENT 2
 
TerreStar Satellite Base Station Subsystem Functional Requirements
 

 
 
[***]
[***]
[***]
[***]
[***]
[***]
[***]
[***]
[***]
[***]
[***]
[***]
[***]
[***]
[***]
[***]
[***]
[***]
[***]
[***]
[***]
[***]
[***]
[***]
[***]
[***]
[***]
[***]
[***]
[***]
[***]
[***]
[***]
[***]
[***]
[***]
[***]
[***]
[***]
[***]
[***]
[***]
[***]
[***]
[***]
[***]
[***]
[***]
[***]
[***]
[***]
[***]
[***]
[***]
[***]
[***]
[***]
[***]
[***]
[***]
[***]
[***]
[***]
[***]
[***]
[***]
[***]
[***]
[***]
[***]
[***]
[***]
[***]
[***]
[***]
[***]
[***]
[***]
[***]
[***]
[***]
[***]
[***]
[***]
[***]
[***]
[***]
[***]
Common Control Channels
Channel
Modulation
Coding Scheme
Effective Code Rate Approx.
BW (KHz)
Symbol Rate
Approx. Net Payload  Bit Rate (Kb/s)
Frame Length (bytes)
[***]
[***]
[***]
[***]
[***]
[***]
[***]
[***]
[***]
[***]
[***]
[***]
[***]
[***]
[***]
[***]
[***]
[***]
[***]
[***]
[***]
[***]
[***]
[***]
[***]
[***]
[***]
[***]
[***]
[***]
[***]
[***]
[***]
[***]
[***]
[***]
[***]
[***]
[***]
[***]
[***]
[***]
[***]
[***]
[***]
[***]
[***]
[***]

 
4.1.1.14     
RF Output Spectrum Emissions

 
Spectrum Mask shall comply with FCC requirements.

Spurious shall meet the FCC requirements.
 
4.1.2    Receiver
 
Use or disclosure of the data contained on this sheet is subject to the
restiction on the title page.
Page 25 of 47

--------------------------------------------------------------------------------

 
[ex10_84.jpg]
 
AMENDMENT 2
 
TerreStar Satellite Base Station Subsystem Functional Requirements
 

 
4.1.2.1    Input Spectrum
 
[***]
 
4.1.2.2    Number of Beams
 
[***]
 
4.1.2.3    Carrier Bandwidth
 
The individual carrier bandwidth may be 31.25, 62.5 (R2) and 156.25 KHz.
 
4.1.2.4    Carrier Spacing
 
[***]
 
4.1.2.5    Number of Carriers Supported Per Beam
 
Each beam output shall support from 1 to 160 carriers, depending on traffic
conditions and carrier bandwidth options.  Not every beam will simultaneously
support the maximum number of carriers.  This upper limit is derived from using
all 5 MHz of a single transponder spectrum as 31.25 kHz bandwidth carriers.
 
4.1.2.6    Modulation
 
[***]
 
4.1.2.7    Receive Symbol Rates
 
[***]

 
4.1.2.8    Receiver Matched Filter
 
[***]
 
4.1.2.9    Receive Dynamic Range
 
[***]

Use or disclosure of the data contained on this sheet is subject to the
restiction on the title page.
Page 26 of 47

--------------------------------------------------------------------------------

 
[ex10_84.jpg]
 
AMENDMENT 2
 
TerreStar Satellite Base Station Subsystem Functional Requirements
 

 
 
4.1.2.10    Frequency Accuracy
 
[***]
 
4.1.2.11    Diversity Combining
 
[***]
 
4.1.2.12    Forward Error Correction Coding
 
[***]
 
4.1.2.13    TDMA Burst and Frame length
 
[***]
 
 
 
Use or disclosure of the data contained on this sheet is subject to the
restiction on the title page.
Page 27 of 47

--------------------------------------------------------------------------------

 
[ex10_84.jpg]
 
AMENDMENT 2
 
TerreStar Satellite Base Station Subsystem Functional Requirements
 

 
 
4.1.2.14    Es/No, Eb/No Requirements
 
[***]
 
4.1.2.15    Receiver Selectivity
 
[***]
 
4.1.2.16    Spurious Emissions
 
[***]

4.2    GENERAL PERFORMANCE REQUIREMENTS
 
4.2.1    Synchronization
 
[***]
 
4.2.2    Spot Beam Operation
 
[***]

[***]
 
4.2.3    Inter-Beam Beam C/I
 
[***]

4.3    INTERFACE TECHNICAL PARAMETERS

Use or disclosure of the data contained on this sheet is subject to the
restiction on the title page.
Page 28 of 47

--------------------------------------------------------------------------------

 
[ex10_84.jpg]
 
AMENDMENT 2
 
TerreStar Satellite Base Station Subsystem Functional Requirements
 

 
4.3.1    S-BSS to GBBF
 
[***]
 
4.3.2    S-BSS to SGSN (Iu-PS)
 
[***]
 
4.3.3    S-BSS to SGSN (Iu-BC) (P6M)
 
[***]
 
4.3.4    S-BSS Clock Stability
 
[***]
 
 
 
Use or disclosure of the data contained on this sheet is subject to the
restiction on the title page.
Page 29 of 47

--------------------------------------------------------------------------------

 
[ex10_84.jpg]
 
AMENDMENT 2
 
TerreStar Satellite Base Station Subsystem Functional Requirements
 

 
4.3.5    VLANs, GigE and Routing (TBR by PDR)
 
[***]
 

4.4    PHYSICAL AND ENVIRONMENTAL REQUIREMENTS
·  
[***]

o  
[***]

o  
[***]

o  
[***]

·  
[***]

 
[***]
 
·  
. [***]

o  
[***]

o  
[***]

·  
[***]

o  
[***]

o  
[***]

o  
[***]

·  
[***]

o  
[***]

·  
[***]

o  
[***]

·  
[***]

o  
[***]

Use or disclosure of the data contained on this sheet is subject to the
restiction on the title page.
Page 30 of 47

--------------------------------------------------------------------------------

 
[ex10_84.jpg]
 
AMENDMENT 2
 
TerreStar Satellite Base Station Subsystem Functional Requirements
 

 
5.0    S-BSS RADIO RESOURCE CONTROL REQUIREMENTS

The Radio Network Control (RNC) function in the TerreStar S-BSS system is
similar in many respects to its counterpart in the [***].

[***]
 
 
 
 
 
 
Use or disclosure of the data contained on this sheet is subject to the
restiction on the title page.
Page 31 of 47

--------------------------------------------------------------------------------

 
[ex10_84.jpg]
 
AMENDMENT 2
 
TerreStar Satellite Base Station Subsystem Functional Requirements
 

 
[***]
 
6.0    PRIORITIZATION AND PRE-EMPTION SUPPORT

In case traffic congestion or critical conditions such as disasters, the network
quickly becomes overloaded and cannot service its high priority users (for
example, public first responders) or commercial users.  In these cases, [***]
 
[***]
 
7.0    POWER CONTROL

In some instances it might be desirable to [***]
 
 
 
Use or disclosure of the data contained on this sheet is subject to the
restiction on the title page.
Page 32 of 47

--------------------------------------------------------------------------------

 
[ex10_84.jpg]
 
AMENDMENT 2
 
TerreStar Satellite Base Station Subsystem Functional Requirements
 

 
[***]
 
8.0    NETWORK MANAGEMENT

[***]
 
·  
[***]

 
·  
[***]

 
·  
[***]

 
·  
[***]

 
[***]

8.1    FAULT MANAGEMENT

[***]
 
Use or disclosure of the data contained on this sheet is subject to the
restiction on the title page.
Page 33 of 47

--------------------------------------------------------------------------------

 
[ex10_84.jpg]
 
AMENDMENT 2
 
TerreStar Satellite Base Station Subsystem Functional Requirements
 

 
[***]
 
8.2    CONFIGURATION MANAGEMENT

 
[***]
 

8.3    PERFORMANCE AND USAGE STATISTICS COLLECTION

The S-BSS shall report performance parameters representing the health and
operation of the S-BSS to network operations personnel in an accurate, complete,
and timely manner.
 

8.4    SECURITY AND ACCESS MANAGEMENT

[***]

9.0    [***]

Use or disclosure of the data contained on this sheet is subject to the
restiction on the title page.
Page 34 of 47

--------------------------------------------------------------------------------

 
[ex10_84.jpg]
 
AMENDMENT 2
 
TerreStar Satellite Base Station Subsystem Functional Requirements
 

 
[***]
 
 
 
 
 
 
 

Use or disclosure of the data contained on this sheet is subject to the
restiction on the title page.
Page 35 of 47

--------------------------------------------------------------------------------

 
[ex10_84.jpg]
 
AMENDMENT 2
 
TerreStar Satellite Base Station Subsystem Functional Requirements
 

 

 
 
 
 
 
[***]
 
Figure 9-1: NBBF to SBSS dynamic interfaces

[***]

Use or disclosure of the data contained on this sheet is subject to the
restiction on the title page.
Page 36 of 47

--------------------------------------------------------------------------------

 
[ex10_84.jpg]
 
AMENDMENT 2
 
TerreStar Satellite Base Station Subsystem Functional Requirements
 

 
10.0    TWO-SATELLITE DIVERSITY

[***]

11.0    [***]

[***]

12.0    [***]

[***]
 
 
 
Use or disclosure of the data contained on this sheet is subject to the
restiction on the title page.
Page 37 of 47

--------------------------------------------------------------------------------

 
[ex10_84.jpg]
 
AMENDMENT 2
 
TerreStar Satellite Base Station Subsystem Functional Requirements
 

 
[***]
 
 
 
 
 

 
Use or disclosure of the data contained on this sheet is subject to the
restiction on the title page.
Page 38 of 47

--------------------------------------------------------------------------------

 
[ex10_84.jpg]
 
AMENDMENT 2
 
TerreStar Satellite Base Station Subsystem Functional Requirements
 

 
 
13.0    ANNEX 1- GMR-3G REFERENCE AND REQUIREMENTS
[***]
 
 
 
 
 
 

Use or disclosure of the data contained on this sheet is subject to the
restiction on the title page.
Page 39 of 47

--------------------------------------------------------------------------------

 
[ex10_84.jpg]
 
AMENDMENT 2
 
TerreStar Satellite Base Station Subsystem Functional Requirements
 
 

 

 
 
 
 
 
[***]
 
Figure A-1.   GMR-3G User Plane Protocol Stack
 
 
Use or disclosure of the data contained on this sheet is subject to the
restiction on the title page.
Page 40 of 47

--------------------------------------------------------------------------------

[ex10_84.jpg]
 
AMENDMENT 2
 
TerreStar Satellite Base Station Subsystem Functional Requirements
 

 
 
 
 
 
 
[***]
 
Figure A-2.   GMR-3G Control Plane Protocol Stack
 
Table A-1.   GMR-3G Application Specifications
Section
Reference
Requirement
 
1
The S-BSS contractor shall be responsible for the design and specification of
the [***]
2
The S-BSS shall comply [***].
3
The GMR-3G CAI shall be based on the [***].
4
The GMR-3G CAI shall be an extension of [***].
5
The GMR-3G CAI shall extend operation of [***].

Use or disclosure of the data contained on this sheet is subject to the
restiction on the title page.
Page 41 of 47

--------------------------------------------------------------------------------

 
[ex10_84.jpg]
 
AMENDMENT 2
 
TerreStar Satellite Base Station Subsystem Functional Requirements
 

 
 

 
6
The GMR-3G CAI specification shall [***].
7
The GMR-3G CAI shall be specified in a format that will [***].

 
 
A.  
GMR-3G Physical Channels

[***]

Table A-2.   Forward Link Modulation, Coding, and Information Rates
Reference
Modulation
Approx.
BW
Symbol Rate
Approx. Net
Gross Bit

 
 
 
Use or disclosure of the data contained on this sheet is subject to the
restiction on the title page.
Page 42 of 47

--------------------------------------------------------------------------------

 
[ex10_84.jpg]
 
AMENDMENT 2
 
TerreStar Satellite Base Station Subsystem Functional Requirements
 

 
 

   
Effective
Code Rate
(KHz)
 
Payload  Bit Rate (Kb/s)
Rate (Kb/s)
1
[***]
[***]
[***]
[***]
[***]
[***]
2
[***]
[***]
[***]
[***]
[***]
[***]
3
[***]
[***]
[***]
[***]
[***]
[***]
4
[***]
[***]
[***]
[***]
[***]
[***]
5
[***]
[***]
[***]
[***]
[***]
[***]
6
[***]
[***]
[***]
[***]
[***]
[***]
7
[***]
[***]
[***]
[***]
[***]
[***]
8
[***]
[***]
[***]
[***]
[***]
[***]
9
[***]
[***]
[***]
[***]
[***]
[***]
10
[***]
[***]
[***]
[***]
[***]
[***]
11
[***]
[***]
[***]
[***]
[***]
[***]
12
[***]
[***]
[***]
[***]
[***]
[***]
13
[***]
[***]
[***]
[***]
[***]
[***]
14
[***]
[***]
[***]
[***]
[***]
[***]

[***]

Table A-3.   Return Link Modulation, Coding, and Information Rates
Reference
Modulation
Approx.
Effective Code Rate
BW (KHz)
Symbol Rate
Approx. Net Payload Bit Rate (Kb/s)
Gross Bit Rate (Kb/s)
1
[***]
[***]
[***]
[***]
[***]
[***]
2
[***]
[***]
[***]
[***]
[***]
[***]
3
[***]
[***]
[***]
[***]
[***]
[***]
4
[***]
[***]
[***]
[***]
[***]
[***]
5
[***]
[***]
[***]
[***]
[***]
[***]
6
[***]
[***]
[***]
[***]
[***]
[***]
7
[***]
[***]
[***]
[***]
[***]
[***]
8
[***]
[***]
[***]
[***]
[***]
[***]
9
[***]
[***]
[***]
[***]
[***]
[***]
10
[***]
[***]
[***]
[***]
[***]
[***]
11
[***]
[***]
[***]
[***]
[***]
[***]

Use or disclosure of the data contained on this sheet is subject to the
restiction on the title page.
Page 43 of 47

--------------------------------------------------------------------------------

 
[ex10_84.jpg]
 
AMENDMENT 2
 
TerreStar Satellite Base Station Subsystem Functional Requirements
 

 
[***]

Table A-4.   Return Link Es/No (Modem to Modem)
Reference
Modulation
FEC
Approx Code Rate
Symbol Rate (KS/s)
Required Es/No (dB)
BER/FER
1
[***]
[***]
[***]
[***]
[***]
[***]
2
[***]
[***]
[***]
[***]
[***]
[***]
3
[***]
[***]
[***]
[***]
[***]
[***]
4
[***]
[***]
[***]
[***]
[***]
[***]
5
[***]
[***]
[***]
[***]
[***]
[***]
6
[***]
[***]
[***]
[***]
[***]
[***]
7
[***]
[***]
[***]
[***]
[***]
[***]
8
[***]
[***]
[***]
[***]
[***]
[***]
9
[***]
[***]
[***]
[***]
[***]
[***]
10
[***]
[***]
[***]
[***]
[***]
[***]
11
[***]
[***]
[***]
[***]
[***]
[***]

Table A-5.   S-BSS Channel Unit Specifications
Section
Reference
Requirement
 
1
The S-BSS shall support [***]
2
The S-BSS shall support [***]
3
The S-BSS demodulator shall support [***]
4
The S-BSS shall use [***]
5
The S-BSS shall support [***]
6
The S-BSS shall operate [***]
7
The S-BSS shall operate [***]
8
The S-BSS shall have [***]

Use or disclosure of the data contained on this sheet is subject to the
restiction on the title page.
Page 44 of 47

--------------------------------------------------------------------------------

 
[ex10_84.jpg]
 
AMENDMENT 2
 
TerreStar Satellite Base Station Subsystem Functional Requirements
 

 
 

 
9
The S-BSS transmitter output spectrum will [***]
10
The S-BSS receiver input signal will [***]
11
The S-BSS transmit pulse shaping filter [***]
12
The S-BSS receiver pulse shaping [***]
13
The S-BSS transmitter shall [***]
14
The S-BSS transmitter shall be capable of [***]
15
The S-BSS transmitter shall support [***]
16
The S-BSS receiver shall support [***]
17
The S-BSS transmitter frequency accuracy [***]
18
The S-BSS receiver frequency accuracy [***]
19
The air interface burst lengths [***]
20
The air interface frame length [***].

B.  
Logical Channels

[***]

Use or disclosure of the data contained on this sheet is subject to the
restiction on the title page.
Page 45 of 47

--------------------------------------------------------------------------------

 
[ex10_84.jpg]
 
AMENDMENT 2
 
TerreStar Satellite Base Station Subsystem Functional Requirements
 

 
 
 
[***]

 
 
[***]

 
 
[***]

 
 
[***]

 
 
[***]

 
 
[***]

 
 
[***]

 
 
[***]

 
 
[***]

 
 
[***]

 
 
[***]

 
 
[***]

 
Use or disclosure of the data contained on this sheet is subject to the
restiction on the title page.
Page 46 of 47

--------------------------------------------------------------------------------

 
[ex10_84.jpg]
 
AMENDMENT 2
 
TerreStar Satellite Base Station Subsystem Functional Requirements
 

 
 
14.0    ANNEX 2 – SCHEDULE OF FEATURE RELEASES

Release
Feature
[***]
[***]
[***]
[***]
[***]
[***]
[***]
[***]
[***]
[***]
[***]
[***]
[***]
[***]
[***]
[***]
[***]
[***]
[***]
[***]
[***]
[***]
[***]
[***]
[***]
[***]
[***]
[***]
[***]
[***]
[***]
[***]
[***]
[***]
[***]
[***]
[***]
[***]
[***]
[***]
[***]
[***]
[***]
[***]
[***]
[***]

 
Use or disclosure of the data contained on this sheet is subject to the
restiction on the title page.
Page 47 of 47

--------------------------------------------------------------------------------

 
[ex10_84.jpg] 
TERRESTAR SATELLITE BASE STATION SUBSYSTEM PRICE
AND PAYMENT MILESTONE SCHEDULE
  AMENDMENT 2

 

 

 

 
Exhibit C
 

 
TerreStar Satellite Base Station Subsystem
 
(S-BSS)
 

 
Price and Payment Milestone Schedule
 

Version 4.5
July 22, 2008
       
Hughes Network Systems, LLC
 
11717 Exploration Lane
 
Germantown, Maryland 20876
/s/ Matthew Mohebbi
       
TerreStar Networks, Inc.
 
One Discovery Place
 
12010 Sunset Hills Road, 6th Floor
 
Reston, Virginia  20190
/s/ Neil Hazard

 
 
 
 

This document contains data and information proprietary to Hughes Network
Systems, LLC and TerreStar Networks Inc.  This data is being furnished pursuant
to the provisions of the Contract between TerreStar Networks Inc. and  Hughes
Network Systems, LLC for the TerreStar Satellite Base Station Subsystem.  Hughes
Network Systems, LLC and TerreStar Networks Inc. shall have the right to
duplicate, use or disclose the data and information to the extent specified in
the Contract.

 
Page 1 of 9

--------------------------------------------------------------------------------

 
 
[ex10_84.jpg]
TERRESTAR SATELLITE BASE STATION SUBSYSTEM PRICE
AND PAYMENT MILESTONE SCHEDULE
  AMENDMENT 2

 
 
Revision History
 
Date
Version
Description
Author
       
[***]
4.0
Initial Release and Contract Execution Copy
[***]
[***]
4.1
Incorporate CCN #6
[***]
[***]
4.2
Incorporate CN #
[***]
[***]
4.3
Amend 2 Final Version
[***]
[***]
4.4
Removed % amounts / replaced with actual $ amounts. Release 1 CTS date changed
to March 2009.
[***]
[***]
4.5
Correction made to actual $ amounts; Final Execution Version of Amendment 2
[***]
       

 
Page 2 of 9

--------------------------------------------------------------------------------

 
 
[ex10_84.jpg]
TERRESTAR SATELLITE BASE STATION SUBSYSTEM PRICE
AND PAYMENT MILESTONE SCHEDULE
  AMENDMENT 2

 
TABLE OF CONTENTS
 
SECTION
 
PAGE
         
REVISION HISTORY
   
2
 
1.1    PURPOSE AND SCOPE
   
5
 
1.2    DOCUMENT HIERARCHY
   
5
           
2.0    PRICE SCHEDULE
   
6
 
2.1    PRICE SCHEDULE
   
6
 
2.1.1    SBSS Baseline Price
   
6
 
2.1.2    SBSS Options Prices
   
7
           
3.0    PAYMENT PLAN
   
9
 
3.1    PAYMENT PLAN
   
9
 

 
 
 
 
 

 
 
Page 3 of 9

--------------------------------------------------------------------------------

 
 
[ex10_84.jpg]
TERRESTAR SATELLITE BASE STATION SUBSYSTEM PRICE
AND PAYMENT MILESTONE SCHEDULE
  AMENDMENT 2

 
LIST OF TABLES

TABLE
 
PAGE
         
Table 1-2.   Document Hierarchy
   
5
 
Table 2-1.   S-BSS Baseline Price
   
6
 
Table 2-2.   S-BSS Options
   
7
 
Table 2-3.   S-BSS [***]
   
7
 
Table 2-4.   S-BSS [***]
   
8
 

 
 
 
 
 
 
Page 4 of 9

--------------------------------------------------------------------------------

 
[ex10_84.jpg]
TERRESTAR SATELLITE BASE STATION SUBSYSTEM PRICE
AND PAYMENT MILESTONE SCHEDULE
  AMENDMENT 2

 
1.1   PURPOSE AND SCOPE

This Exhibit covers the Price Schedule and Payment Plan for the work that will
be performed by Hughes Network Systems, LLC (the Contractor) for the design,
development, fabrication, implementation, integration, delivery, performance
verification, and testing of the Satellite Base Station Subsystem (S-BSS).

1.2   DOCUMENT HIERARCHY

Table 1-2.   Document Hierarchy
No.
Document
Content
1.
Contract
Terms and Conditions
2.
Exhibit A
Statement of Work
3.
Exhibit B
S-BSS Technical Specification
4.
Exhibit C
Price Schedule
5.
Exhibit D
Options

 
Page 5 of 9

--------------------------------------------------------------------------------

 
 
[ex10_84.jpg]
TERRESTAR SATELLITE BASE STATION SUBSYSTEM PRICE
AND PAYMENT MILESTONE SCHEDULE
  AMENDMENT 2

 
2.0   PRICE SCHEDULE
2.1   PRICE SCHEDULE

2.1.1   SBSS Baseline Price

Table 2-1.   S-BSS Baseline Price
Item
Description
Price
1
[***]
$     [***]
 
[***]
[***]
 
[***]
[***]
 
[***]
[***]
 
[***]
[***]
 
[***]
[***]
 
[***]
[***]
 
[***]
[***]
 
[***]
[***]
 
[***]
[***]
 
[***]
[***]
2
[***]
$       [***]
     
3
[***]
$       [***]
     
4
[***]
$       [***]
     
5
[***]
$       [***]
     
6
[***]
$       [***]
     
7
[***]
$       [***]
     
8
[***]
$       [***]
     
9
[***]
$       [***]
     
10
[***]
$       [***]
     
11
[***]
$       [***]
 
TOTAL PURCHASE PRICE
$       [***]

 
Page 6 of 9

--------------------------------------------------------------------------------

 
 
[ex10_84.jpg]
TERRESTAR SATELLITE BASE STATION SUBSYSTEM PRICE
AND PAYMENT MILESTONE SCHEDULE
  AMENDMENT 2

 
2.1.2   SBSS Options Prices

Table 2-2.   S-BSS Options
1
[***]
$       [***]
     
2
[***]
$       [***]
     
3
[***]
$       [***]
 
Equipment
   
Installation and Travel
   
Test and Integration
 

The following options defined as [***] ([***]) in Table 2-6 of the Technical
Specifications and schedule shall be priced at [***]:

Table 2-3.   [***] Options
1
[***]
[***]
     
2
[***]
[***]
     
3
[***]
[***]
     
4
[***][***]
[***]
     
5
[***]
[***]
     
6
[***]
[***]
     

 
Page 7 of 9

--------------------------------------------------------------------------------

 
 
[ex10_84.jpg]
TERRESTAR SATELLITE BASE STATION SUBSYSTEM PRICE
AND PAYMENT MILESTONE SCHEDULE
  AMENDMENT 2

The following options defined as [***] ([***]) in Table 2-7 of the Technical
Specifications and schedule shall be priced and defined at [***]:

Table 2-4.   [***] Options
1
[***]
[***]
     
2
[***]
[***]
     
3
[***][***]
[***]
     

 
 
 
 

 
Page 8 of 9

--------------------------------------------------------------------------------

 
 
[ex10_84.jpg]
TERRESTAR SATELLITE BASE STATION SUBSYSTEM PRICE
AND PAYMENT MILESTONE SCHEDULE
  AMENDMENT 2

 
3.0   PAYMENT PLAN
3.1   PAYMENT PLAN

Number
Payment Milestone
Percentage of
Contract
Value
Approximate
Date
Estimated
Calendar Date
1
[***]
[***]
[***]
[***]
2
[***]
[***]
[***]
[***]
3
[***]
[***]
[***]
[***]
4
[***]
[***]
[***]
[***]
5
[***]
[***]
[***]
[***]
6
[***]
[***]
[***]
[***]
7
[***]
[***]
[***]
[***]
8
[***]
[***]
[***]
[***]
9
[***]
[***]
[***]
[***]
10
[***]
[***]
[***]
[***]
11
[***]
[***]
[***]
[***]
12
[***]
[***]
[***]
[***]
13
[***]
[***]
[***]
[***]
14
[***]
[***]
[***]
[***]
 
Total
[***]
   

 
Page 9 of 9

--------------------------------------------------------------------------------