Galileo satellite runs into trouble

EUROPE'S PROPOSED satellite-navigation system, Galileo, is running out of cash and might need an injection of public funds before it is ready to fly.

German Transport Minister Wolfgang Tiefensee, told the Beeb that Galileo is going through a "deep and grave crisis."

Part of the problem is that a private consortium which is tasked to run the system is at each other's throats. The European Commission wanted the group to come up with a single company structure to run Galileo, a chief executive and common negotiating position.

Unfortunately the consortium, which is made up of EADS, Thales, Inmarsat, Alcatel-Lucent, Finmeccanica, AENA, Hispasat, and Teleop, can't even agree on what day it is, let alone a company structure.

The Commission told them to come up with a structure by May 16 and insiders say that is about as as likely to do this as a US Republican president is to announce that they believe in evolution.

The EC is threatening to overhaul the whole project, although it is a bit handicapped by the fact that the consortium is supposed to come up with two thirds of the cash for the expensive project. It looks like if it does anything that the consortium does not agree with it will be asked to stump up extra cash. µ