Transformational Satellite Communications System The Transformational Satellite Communications System ( TSAT ) program was a United States Department of Defense ( DOD ) program sponsored by the U . S . Air Force for a secure , high - capacity global communications network serving the Department of Defense , NASA and the United States Intelligence Community ( IC ) . It was intended as an enabler of net - centric warfare that would facilitate defense and intelligence professionals making rapid decisions based on integrated , comprehensive information . In 2003 , the estimated project costs for the period up to 2015 were estimated to US $ 12 billion ( inflation adjusted US $ billion in ) . In October 2008 , the DoD announced that it was postponing making a decision on choosing a contractor to build the system until 2010 . In April 2009 Secretary of Defence Robert M . Gates asked that the project be canceled in its entirety . Scope . The Transformational Satellite Communications System ( TSAT ) aimed to provide the Department of Defense ( DoD ) with high data rate Military Satellite Communications ( MILSATCOM ) and Internet - like services as defined in the Transformational Communications Architecture ( TCA ) . TSAT would have supported global net - centric operations . As the spaceborne element of the Global Information Grid ( GIG ) , TSAT would extend the GIG to users without terrestrial connections providing improved connectivity and data transfer capability , vastly improving satellite communications for the warfighter . TSAT ' s Internet Protocol ( IP ) routing would connect thousands of users through networks rather than limited point - to - point connections . TSAT would have enabled high data rate connections to Space and Airborne Intelligence , Surveillance , and Reconnaissance ( SISR , AISR ) platforms . Capabilities and Services . The TSAT program was planned as a five satellite constellation ( a sixth satellite was planned as a spare to ensure mission availability ) , TSAT satellite operations centers ( TSOC ) for on - orbit control , TSAT Mission Operations Systems ( TMOS ) to provide network management , and ground gateways . The TMOS single contract was awarded in January 2006 . TSAT planned radio frequency ( RF ) and laser communications links to meet defense and intelligence community requirements for high data rate , protected communications . The space segment aimed to make use of key technology advancements that have proven mature by independent testing of integrated subsystem brassboard s to achieve a transformational leap in SATCOM capabilities . These technologies include but are not limited to : single and multi - access laser communications ( to include wide field - of - view technology ) , Internet protocol based packet switching , bulk and packet encryption / decryption , battle command - on - the - move antennas , dynamic bandwidth and resource allocation techniques , and protected bandwidth efficient modulation . Chronology . An Interim Program Review was held 22 October 2004 ; the Milestone Decision Authority ( MDA ) directed the TSAT program to continue as planned to achieve the delivery , launch , and on - orbit checkout of the first TSAT satellite . In June 2003 , the acquisition strategy for TSAT was approved , as stated in the FY05 PB justification . On 20 January 2004 , the TSAT program entered Phase B , Risk Reduction and Design Development . Phase B space segment contracts ( Cost Plus , Fixed Fee ) were awarded to Lockheed Martin and Boeing in late Jan 04 . A $ 300M FY05 Congressional reduction resulted in a first launch delay from FY12 to FY13 . In response to the Congressional reduction , the Air Force adjusted the FY06 / 07 budget . On January 27 , 2006 TSAT Mission Operations System ( TMOS ) segment development contract , worth US $ 2 + Billion was awarded to Lockheed Martin . In July 2007 , Lockheed Martin and Northrop Grumman announced a plan to develop an IPv6 - based networking system with Juniper Networks for the TSAT project . Boeing also engaged in development related to the program . The results of the competition to select the final space segment development contractor were originally to be announced in October 2007 . However , the Air Force deferred this announcement until second - quarter 2008 . FY07 aimed to verify with subsystem hardware testing in a space - like environment , that technologies are mature . If a technology fails to mature , less - capable technology off - ramps exist and can be used to preserve schedule . Even the technology off - ramps will significantly enhance warfighter capabilities , and the advanced technology can be ' spiraled ' into a later spacecraft . First launch was scheduled for 2QFY13 . In October 2008 , the DoD announced that it was deferring until 2010 a decision on choosing a contractor to build the system . The DoD did not announce whether it would continue to fund further development of the system in the interim . In December 2008 , the US Air Force released a new request for proposal ( RFP ) to Lockheed Martin and Boeing . The new proposal calls for five satellites and ground stations providing message and data routing for US Army units , including vehicles in the new Future Combat System s , with the launch of the first satellite projected for 2019 . The RFP requests that the new system use the specifications developed under the less - costly , designed backup system . Program Termination . On 6 April 2009 , U . S . Secretary of Defense Gates announced the department ' s recommendations for the FY2010 budget . Among these recommendations was the plan to cancel the TSAT program . High cost , technological risk , and development delays were given as primary reasons , though some have argued that funding instability within the DoD was a primary cause of the protracted development timeline . A final decision on the TSAT program will be made as part of the Congressional budget approval process , however there appears to be a building consensus that the program will indeed be cancelled . As an interim replacement strategy , Secretary Gates recommended the fielding of two additional AEHF satellites .