DigitalGlobe Satellite Acquisitions Schedule Growth (Percent) 160% 140% 120% 100% 80% 60% WorldView-1 40% QuickBird, WorldView-2 20% 0% -200% 0% 200% 400% 600% 800% Cost Growth (Percent) (All cost growth has been absorbed entirely by DigitalGlobe; none was passed on to the USG)
SLAs Enable This Performance• Stable requirements• Stable funding• Stable, experienced staffing• Managed innovation• Eating our own cooking
Why Are SLAs Better? Traditional Acquisition SLA Acquisition• You buy the car • You sign up for an SLA• You drive the car • We drive the car• You pay for gas • We pay for gas • We fix the car if it breaks• You fix the car if it breaks • We add a better car every few years• You buy a new car every few years • When your relatives visit, we provide extra cars for their use • And it all costs less than ownership
SLAs Most Applicable When• Up-front investment is needed to create required infrastructure• Activity requires development and operations• Long term, (mostly) predictable needs• Bleeding edge technology not required – SLA does allow for technology insertion• There are multiple customers across whom to spread costs, and enabling surge capacity
SLA Model is Applicable To Imagery Geospatial production • & Analysis?• Telecommunications• Launch• Weather?• Cyber?