2. A Worldwide Information Utility… the Global Positioning System (GPS) August 2000

3. Overview PolicyPolicy Applications & MarketsApplications & Markets AugmentationsAugmentations Sustainment & ModernizationSustainment & Modernization International CooperationInternational Cooperation

4. PolicyPolicy

5. U.S. GPS Policy Background Designed as a dual-use systemDesigned as a dual-use system –Military applications for multi-Service and Allied use –Civilian applications for worldwide use Free of direct user charges (policy since 1983)Free of direct user charges (policy since 1983) Consistent U.S. National Policy statements from both Executive and Legislative BranchesConsistent U.S. National Policy statements from both Executive and Legislative Branches –Presidential Decision Directive, March 1996 –U.S. Public Law, December 1998 SA turned off May 2000SA turned off May 2000

6. United States GPS Policy Provide GPS Standard Positioning Service free of direct user fees for peaceful civil useProvide GPS Standard Positioning Service free of direct user fees for peaceful civil use Encourage acceptance and integration of GPS into peaceful civil, commercial, and scientific applications worldwideEncourage acceptance and integration of GPS into peaceful civil, commercial, and scientific applications worldwide Encourage private sector investment in/ use of GPS technologies and servicesEncourage private sector investment in/ use of GPS technologies and services Promote safety and efficiency in transportation and other fieldsPromote safety and efficiency in transportation and other fields Promote international cooperation in using GPS for peaceful purposesPromote international cooperation in using GPS for peaceful purposes Advance scientific and technical capabilitiesAdvance scientific and technical capabilities Strengthen and maintain national securityStrengthen and maintain national security

7. Agriculture Commerce State Interior NASA Justice Joint Chiefs of Staff DefenseTransportation The Interagency GPS Executive Board

8. Applications & Markets

9. Worldwide Sales of GPS Goods & Services Will Reach $16B by 2003

10. Worldwide GPS Revenues By Market Segment

11. Car Navigation On-board navigationOn-board navigation Fleet managementFleet management Roadside assistanceRoadside assistance Stolen vehicle recoveryStolen vehicle recovery Enhanced servicesEnhanced services Mass market dominated by JapanMass market dominated by Japan Dataquest: Unit sales of chips for car navigation to reach 11.3M in 2001Dataquest: Unit sales of chips for car navigation to reach 11.3M in 2001 $4.7B sales by 2003$4.7B sales by 2003

12. Consumer/Recreational Portable receivers for fishermen, hunters, hikers, cyclists, etc.Portable receivers for fishermen, hunters, hikers, cyclists, etc. Recreational facilities -- golf courses, ski resortsRecreational facilities -- golf courses, ski resorts Integration of GPS into cellular phonesIntegration of GPS into cellular phones –E-911 requirement $3.8B market by 2003$3.8B market by 2003

13. Surveying/Mapping/GIS Sub-centimeter accuracySub-centimeter accuracy 100%-300% savings in time, cost, & labor100%-300% savings in time, cost, & labor –Control survey point: $10,000 in 1986; $250 in 1997 Rural electrificationRural electrification Telecom tower placementTelecom tower placement PipelinesPipelines Oil, gas, and mineral explorationOil, gas, and mineral exploration Flood plain mappingFlood plain mapping $3.12B market by 2003$3.12B market by 2003

14. Tracking/Machine Control Package/cargo deliveryPackage/cargo delivery Fleet and asset managementFleet and asset management Theft recoveryTheft recovery Public safety and servicesPublic safety and services Farming, mining, and construction equipmentFarming, mining, and construction equipment DGPS/RTK required for many applicationsDGPS/RTK required for many applications $3B market by 2003$3B market by 2003

15. Timing GPS offers an inexpensive alternative to costly, high maintenance timing equipmentGPS offers an inexpensive alternative to costly, high maintenance timing equipment Telecommunications network synchronization & managementTelecommunications network synchronization & management –Phones, pagers, wireless systems –LANs, WANs, Internet Financial transactionsFinancial transactions Electrical power grid management & fault locationElectrical power grid management & fault location Digital signatures for e-commerceDigital signatures for e-commerce Some estimate the timing market at $40-100MSome estimate the timing market at $40-100M

16. Emerging GPS Applications Entrepreneurs and scientific researchers invent new applications almost every dayEntrepreneurs and scientific researchers invent new applications almost every day Higher precision is necessary for many cutting-edge applicationsHigher precision is necessary for many cutting-edge applications –Differential GPS (DGPS) –Relative DGPS –Carrier phase positioning –Real-Time Kinematic (RTK) –Post-processing

17. Construction Machinery, asset, and personnel managementMachinery, asset, and personnel management Rapid surveys for laying foundation piles, etc.Rapid surveys for laying foundation piles, etc. Accident preventionAccident prevention Remote control of machinery possibleRemote control of machinery possible –Japanese volcano dam GPS/RTK technology was used in the construction of the Øresund Bridge between Denmark and Sweden

18. Europe is a Major Player in the GPS Market Rapid growth projected, especially in car navigation sectorRapid growth projected, especially in car navigation sector Many European firms provide GPS goods and servicesMany European firms provide GPS goods and services –45 identified by Booz-Allen Hamilton –Scandanavian GNSS Industry Council European governments are investing in GPS augmentation systemsEuropean governments are investing in GPS augmentation systems –Maritime DGPS –EGNOS –EUREF, SWEPOS, FinnNet

19. The Market is Wide Open Civil signals are freely available, right nowCivil signals are freely available, right now Openly published GPS specifications allow anyone to build receivers (no licensing fees)Openly published GPS specifications allow anyone to build receivers (no licensing fees) Hardware is becoming a commodityHardware is becoming a commodity Huge potential exists in value-added servicesHuge potential exists in value-added services –Software development –Embedded applications –Localized GIS databases –Internet integration –Wireless markets

20. Unit Cost of Receivers Is Falling At ~30% Per Year 0 $200 $400 $600 $800 19911993199519971999 Source: U.S. GPS Industry Council

21. Projected Relative Market Share

22. AugmentationsAugmentations

23. Sustainment & Modernization

24. Constellation Status

25. The End of Selective Availability May 2, 2000

26. GPS Modernization Improved User Equipment Redundant Safety of Life Signals Increased Radiated Power Service for Space Users Augmentations, Improved Timing

27. Current GPS Segments Space Segment Block II/IIA Operational Operational Rockwell (now Boeing) Rockwell (now Boeing) 26 on orbit 26 on orbit MMD 6.0/8.6/10.6 yrs MMD 6.0/8.6/10.6 yrs Block IIR Operational/In production Operational/In production Lockheed Martin Lockheed Martin All 21 procured All 21 procured 2 on orbit 2 on orbit 1 Destroyed on launch 1 Destroyed on launch MMD 7.8 yrs MMD 7.8 yrs Block IIF In production In production Boeing(Rockwell) Boeing(Rockwell) 6 already procured 6 already procured Options for 24 more without modernization Options for 24 more without modernization MMD 12.7 yrs MMD 12.7 yrs User Equipment Segment Signals in Space Military P(Y) Civil (C/A) P(Y) L2L1 DIEGO GARCIA COLORADO SPRINGS CAPE CANAVERAL ASCENSION HAWAII KWAJALEIN Ground Control Segment Master Control Station (1) Monitor Station (5) Ground Antenna (4)

28. Modernized GPS Space Segment GPS Modernization plan meets White House announcements of adding new civil services while implementing spectrally separated military services P(Y) C/A P(Y) C/A M-codeM-code L51176.45MHz P(Y) C/A P(Y) C/A M-codeM-code Signals in Space Block IIRs (up to 12 SV’s) Adds C/A to L2 Adds C/A to L2 Adds new military M-Code Adds new military M-Code Increases signal power for existing signals Increases signal power for existing signals Adds civil L5 to all Block IIFs Pursue optimum Approach for higher power M-code spot beam L21227.6MHz L11575.45MHz L2 L1

29. GPS III Modernization FY0001020304050607080910111213 EMD IAT 14 GPS III Prod Decision on Spot Beam Production based on Qual Vehicle Testing SV 4-6 IAT LLProd Qual Vehicle On-Orbit Test Systems Arch / Rqts Study SV 7-9 IAT LLProd SV 10-12 IAT LLProd SV 13-15 IAT LLProd SV 16-18 LLProd IAT Qual Test GPS III SVs 1-3 transitioned to operational status Competitive Trade Studies (Two contractors) EMD Vehicles RFP/SS PD/RR

30. Modernization Budget Status DoD’s FY01 GPS Modernization budget request included both military and civil enhancementsDoD’s FY01 GPS Modernization budget request included both military and civil enhancements –Total request for GPS Modernization of Space and Ground Control Segment for FY01 was $440.9M –DoD’s FY01 Appropriation was enacted by Congress on August 9, 2000, at the requested level of funding

31. International Cooperation

32. Promote acceptance and peaceful use of GPS and its augmentationsPromote acceptance and peaceful use of GPS and its augmentations –International offering of GPS to ICAO and IMO Service free of direct user chargesService free of direct user charges Non-proprietary signal standards for civil servicesNon-proprietary signal standards for civil services –GPS Augmentations -- Worldwide interoperability Space-based systems (WAAS, MSAS, EGNOS) for aviationSpace-based systems (WAAS, MSAS, EGNOS) for aviation Land-based DGPS technology for maritime and terrestrial uses: already adopted by 35 countriesLand-based DGPS technology for maritime and terrestrial uses: already adopted by 35 countries Global, non-proprietary standardsGlobal, non-proprietary standards

33. Principles for Cooperation No direct user fees for civil and public safety servicesNo direct user fees for civil and public safety services Ensure open market driven competition for user equipment and applicationsEnsure open market driven competition for user equipment and applications Open signal structure for all civil services to promote equal access for applications development and value added servicesOpen signal structure for all civil services to promote equal access for applications development and value added services Protection of the current radionavigation spectrum from disruption and interferenceProtection of the current radionavigation spectrum from disruption and interference Use of GPS time, geodesy, and signal structure standardsUse of GPS time, geodesy, and signal structure standards Seamless, global interoperability of future systems with GPSSeamless, global interoperability of future systems with GPS Recognition of national and international security issues and protecting against misuseRecognition of national and international security issues and protecting against misuse

34. U.S. - Japan Cooperation September 1998: Joint Statement signedSeptember 1998: Joint Statement signed GPS based augmentationsGPS based augmentations Largest commercial market share for products and servicesLargest commercial market share for products and services September 1999: Working Groups met in Washington, D.C.September 1999: Working Groups met in Washington, D.C. –Policy –Transportation –Commercial & Scientific Next plenary session in TokyoNext plenary session in Tokyo

35. U.S. - Russia Consultation May 19 in Washington, D.C.May 19 in Washington, D.C. Excellent dialogueExcellent dialogue –Many common views –Principles of Cooperation Next meeting in Fall 2000 in MoscowNext meeting in Fall 2000 in Moscow

36. U.S. - E.U. Use of GPS and its augmentations for commercial products and services incorporating open signal structureUse of GPS and its augmentations for commercial products and services incorporating open signal structure 1998: U.S. presented draft Framework Agreement based on GPS and its augmentations1998: U.S. presented draft Framework Agreement based on GPS and its augmentations –Consider inclusion of: International Advisory Commission, Intent of Guarantee, Statement of Free Service 2000: Cooperation concept2000: Cooperation concept –Stage 1: Framework Cooperative Agreement based on Principles of Cooperation –Stage 2: Working groups –Stage 3: Follow-on agreement to cover Galileo operations phase

37. U.S. Questions About Galileo To be understood:To be understood: –Revenue stream generation –Future regulatory actions –Required use (mandate through standards) –Interoperability of free open system with fee-based encrypted system Safety of life applicationsSafety of life applications –Prevention of misuse –Open specifications and standards for equal worldwide market access –Spectrum use –Security service

38. Summary GPS is a key component of the global information infrastructureGPS is a key component of the global information infrastructure U.S. is committed to providing GPS service free of direct user fees to users worldwideU.S. is committed to providing GPS service free of direct user fees to users worldwide Adherence to U.S. principles has led to GPS standardization and market growthAdherence to U.S. principles has led to GPS standardization and market growth GPS modernization is under wayGPS modernization is under way U.S. is continuing international outreach to further understanding of GPS, its augmentations, and its applicationsU.S. is continuing international outreach to further understanding of GPS, its augmentations, and its applications U.S. is fostering international dialogue to be responsive to global user needsU.S. is fostering international dialogue to be responsive to global user needs

39. BackupBackup

40. Public Services Transportation infrastructureTransportation infrastructure –Road Billing Network (ROBIN) –Snowplows Emergency responseEmergency response –Law enforcement –Fire fighting –Search and rescue –Paramedics –Disaster relief

41. Aviation GPS approved for en-route navigationGPS approved for en-route navigation More efficient flight routing leads to fuel savingsMore efficient flight routing leads to fuel savings Better tracking of aircraft enhances safetyBetter tracking of aircraft enhances safety Closer spacing of planes increases airspace capacityCloser spacing of planes increases airspace capacity $710M market by 2003$710M market by 2003

42. Maritime Navigation GPS-based vessel tracking and traffic management maximizes effectiveness of waterwaysGPS-based vessel tracking and traffic management maximizes effectiveness of waterways Improved safety increases maritime commerceImproved safety increases maritime commerce Maritime DGPS service for enhanced accuracy and safety available in 34 countriesMaritime DGPS service for enhanced accuracy and safety available in 34 countries $210M market by 2003$210M market by 2003

43. Original Equipment Manufacturers ChipsetsChipsets Electronic boardsElectronic boards Antennas, componentsAntennas, components Standalone receiversStandalone receivers $690M market by 2003$690M market by 2003

44. Military GPS is a recognized NATO standardGPS is a recognized NATO standard GPS is required on all U.S. military systemsGPS is required on all U.S. military systems Precision munitions widely used during Gulf War, KosovoPrecision munitions widely used during Gulf War, Kosovo

45. Scientific Research Monitoring geological changeMonitoring geological change –Glaciers, tectonic plates, earthquakes, volcanoes Wildlife behaviorWildlife behavior Atmospheric modelingAtmospheric modeling –Water vapor content Oceanic studiesOceanic studies –Tidal patterns –Surface mapping Time transferTime transfer

46. Environmental Management ForestryForestry Wetlands managementWetlands management Natural resource managementNatural resource management Fisheries boundary enforcementFisheries boundary enforcement Endangered species and habitat preservationEndangered species and habitat preservation Hazardous material cleanupHazardous material cleanup –Oil spills, toxic waste

47. Open Pit Mining Enhanced management of assets, equipmentEnhanced management of assets, equipment Progress tracked in real-time, remotelyProgress tracked in real-time, remotely Improved machine control saves time, lowers maintenance and fuel consumption, prevents accidentsImproved machine control saves time, lowers maintenance and fuel consumption, prevents accidents Rapid surveying for drilling blast holesRapid surveying for drilling blast holes Smaller, more empowered workforceSmaller, more empowered workforce

48. Space Applications Improved orbit and attitude control for satellites, International Space StationImproved orbit and attitude control for satellites, International Space Station Space Station return vehicleSpace Station return vehicle Advance Land Observing Satellite uses GPS to calibrate high resolution radar mapsAdvance Land Observing Satellite uses GPS to calibrate high resolution radar maps Satellite formation flyingSatellite formation flying Space launch range safetySpace launch range safety

49. Basic Positioning: Today Before May 2000: 25-100 m 10-20 m C/A Code on L1C/A Code on L1

50. Basic Positioning: Tomorrow 1-5 m C/A Code on L1C/A Code on L1 C/A Code on L2C/A Code on L2 New Code on L5New Code on L5 Better resistance to interference Eliminates need for costly DGPS in many non-safety applications

51. Advanced Positioning: Today L1 Code and CarrierL1 Code and Carrier L2 CarrierL2 Carrier Data LinkData Link 10 km 2 cm accuracy

52. Advanced Positioning: Tomorrow L1 Code and CarrierL1 Code and Carrier L2 Code and CarrierL2 Code and Carrier L5 Code and CarrierL5 Code and Carrier Data LinkData Link 100+ km Faster recovery following signal interruptions (ex., under bridges) 2 cm accuracy Fewer base stations needed

53. GPS Spectrum Importance Radio interference affects a wide range of users and limits growth of new capabilities and applicationsRadio interference affects a wide range of users and limits growth of new capabilities and applications Without backbone GPS signals, derived performances and safety of life services will not functionWithout backbone GPS signals, derived performances and safety of life services will not function

54. Spectrum Use GPS service frequenciesGPS service frequencies –Radionavigation satellite signals currently provided in two frequency bands: 1575 MHZ (L1) and 1227 MHz (L2) New civil GPS frequenciesNew civil GPS frequencies –New civil signals to be added at 1227 MHz (L2) and 1176 MHz (L5) –L5 signal to feature higher power and ARNS protection to support safety of life navigation –Three civil signals will increase reliability –Space-to-space service (satellite control & positioning)

55. Spectrum Use E.U. proposal to overlay L1, L2, and L5E.U. proposal to overlay L1, L2, and L5 U.S. primary objective: No impact or degradation to current usersU.S. primary objective: No impact or degradation to current users –Suggested overlay of L5 -- designed to accommodate more than one system –Initial European opposition due to DMEs –Requested data on Galileo signal structure to analyze overlay feasibility –Requested E.U. plan for use of spectrum already planned for Galileo (E1-E6)