Skip to main content

Europe's Galileo satellite navigation project is a ''stupid idea''

The head of the German firm contracted to build 14 satellites for Europe's Galileo satellite navigation system called the entire project a "stupid idea," according to a leaked diplomatic cable published in Norway's Aftenposten newspaper.The head of the German firm contracted to build 14 satellites for Europe’s Galileo satellite navigation system called the entire project a "stupid idea," according to a leaked diplomatic cable published in Norway’s Aftenposten newspaper. Aftenposten said the cable quotes Be
March 6, 2012 Read time: 2 mins
The head of the German firm contracted to build 14 satellites for Europe’s Galileo satellite navigation system called the entire project a "stupid idea," according to a leaked diplomatic cable published in Norway’s Aftenposten newspaper.

Aftenposten said the cable quotes Berry Smutny, CEO of OHB-System AG, telling American diplomats at the US Embassy in Berlin during a meeting on 2 October, 2009, that the entire project was "a waste of EU taxpayers' money championed by French interests."

However, the cable added that Smutny said he would "gladly accept contracts to build the satellites," and that he believed that European navigational needs could already be served by GPS instead of Galileo.

Last Thursday, in response to the Aftenposten story, OHB issued a statement saying that Smutny denies making the reported comments. Yesterday, however, the OHB supervisory board announced that it had passed a unanimous resolution to revoke Smutny’s appointment to the position of CEO of the company.

“The General Assembly and the Supervisory Board saw no alternative to this decision in order to effectively avert any further damage to the company on the part of customers, political representatives and the public at large,” the company stated.

OHB’s contract to build 14 satellites that will be used in the Galileo constellation is worth US$742 million.

Meanwhile, today, the EC will present its midterm review on progress in the development of Europe’s satellite navigation programmes to date, including the start of operations of the EGNOS system, the deployment of two experimental satellites and the allotment of the necessary construction and engineering work to subcontractors. In addition the future directions of Galileo are considered in the review.

Related Content

  • CECE meets with EU Commission to discuss policy
    July 3, 2017
    Construction equipment body CECE has met with senior figures within the EU Commission to help safeguard the competitiveness of the European industrial base. This is intended to help create jobs and to instil new sustainable economic growth in Europe. As a result, the European manufacturing industry is requesting a far thinking industrial policy strategy and action plan at EU level.
  • Turning the construction industry green
    July 19, 2023
    Green is good for industry – delivering sustainability can also help reduce costs for construction firms, ensuring better financial performance
  • bauma postponed until October 2022
    April 23, 2021
    bauma—the world's biggest trade fair for construction machinery, building material machines, mining machines, construction vehicles and construction equipment—has been postponed until 24th -30th October 2022
  • MOBA founder Paul Harms will be “sorely missed” after death aged 82
    March 4, 2013
    Paul G. Harms, founder and long-time managing director of MOBA, has died aged 82. For more than 30 years Harms led and shaped the German firm, from its foundation in 1972 to its current position among leading international companies in mobile automation. Born in 1931 in Osnabrück, Germany, on leaving school Harms completed an apprenticeship as an instrument mechanic then worked as thermal technician for Georgsmarienhütte AG. At the same time, Harms attended technical evening school and then studied mechanic