US court asks commercial arm of Isro to pay $1.2 billion compensation to Bengaluru start-up3Photo© hindustantimes.com

US court asks commercial arm of Isro to pay $1.2 billion compensation to Bengaluru start-up

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A US court has asked Antrix Corporation, the commercial arm of Indian Space Research Organisation, to pay compensation of USD 1.2 billion to a Bengaluru-based startup, Devas Multimedia, for cancelling a satellite deal in 2005.

As per the agreement in January 2005, Antrix agreed to build, launch and operate two satellites and to make available 70 MHz of S-band spectrum to Devas, which the latter planned to use to offer hybrid satellite and terrestrial communication services throughout India.

The agreement was terminated by Antrix in February 2011. Over the next several years, Devas approached various legal avenues in India. This included the Supreme Court, which directed for a tribunal.