Hughes, Sony Sign Satellite TV Pact
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Another piece in Hughes Aircraft Co.’s bold plan to launch a 150-channel satellite TV service in 1994 is expected to fall into place today with the announcement that the Los Angeles aerospace company has signed a $50-million contract with Sony Corp. of America for broadcast equipment and services.
Hughes’ satellite project, which has received $500 million in backing from its corporate parent, General Motors Corp., represents its most far-reaching attempt yet to expand its commercial and civilian businesses to offset the dwindling defense work available for aerospace contractors.
DirecTv, as the system is named, plans to deliver around-the-clock programming by bouncing video signals from two earth-orbiting satellites to special roof-top receiving stations available to subscribers. The first satellite is set for launch late next year.
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