The international satellite operator INTELSAT has announced that they have forged a deal with the European Astrium satellite manufacturer to build an all Ku-band communications craft that will serve Asian markets.

The satellite -- called INTELSAT APR-3 -- is due to launch early next year aboard a Long March rocket provided by the China Great Wall Industry Corporation.

The new satellite will be positioned in geostationary orbit at 85 degrees East, or above the Indian Ocean. From that perch, it will broadcast communications services to regions such as China, Russia, India, and the Middle East.

Another part of the agreement involves SINOSAT, a satellite communications firm in China. SINOSAT will utilize six of the Ku-band transponders on APR-3 during its orbital lifetime. The Chinese operator also secured rights to use two C-band transponders on an INTELSAT satellite set to launch in October 2003.

Possible uses of APR-3 may include involvement in corporate networking, the distribution of video to cable head-ends, and Internet connections.

INTELSAT CEO Conny Kullman had this to say about the agreement: "This relationship represents the type of innovative solution that helps build success for our customers. The new orbital role at 85 (degrees East) will provide SINOSAT with coverage to meet its increasing demands for domestic service. It will also give INTELSAT strategic landmass coverage of China, Russia, India and the Middle East. Further, with launch scheduled by Spring of 2002, this deal represents an extremely quick time to market for the design, manufacture and delivery of a new spacecraft, demonstrating INTELSAT's flexibility and responsiveness to customer needs."

"We are very pleased to establish this strategic relationship with INTELSAT," said Cheng Guangren, President of SINOSAT. "INTELSAT was quick to understand the growing demands of our market, and demonstrated great support in customizing coverage of the satellite beam to meet our requirements. This additional high quality capacity will help us meet the growing needs of our customers."