Skynet 5 is a military satellite project led by the UK Ministry of Defence to provide a new generation of strategic communication services among the three branches of the UK Armed Forces, replacing the existing Skynet 4 system. It has been contracted via Private Finance Initiative to a partnership between Paradigm Space Services and EADS Astrium, a European spacecraft manufacturer. EADSAstrium will be responsible for the build & delivery of Skynet 5 satellites in orbit, whilst Paradigm will be responsible for provision of service to the MoD. Paradigm have also been contracted to provide communications services to NATO. The first Skynet 5 satellite is expected to become operational in 2006. The programme marks a change of approach in the UK from traditional defence procurement methods to a services-based contract.
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