Satellite Business Systems

Satellite Business Systems (SBS), a partnership between IBM, COMSAT and Aetna Life & Casualty, was purchased and merged into MCI as its subsidiary in February 1986. The merger helped to establish MCI as a company associated with IBM, the world's largest computer corporation, and to complete MCI's network with digital satellite technology.

In 1971, MCI started a joint venture with Lockheed Aircraft Corporation - MCI Lockheed Satellite Corporation (MCIL) which applied to construct and operate a domestic communication satellite system. Later, Communications Satellite Corporation (COMSAT) joined the venture and it was renamed CML Satellite Corporation (CML) in January 1973. MCI and Lockheed sold their interests in MCIL to IBM, and when Aetna Life & Casualty joined the partnership in December 1975 the enterprise was renamed Satellite Business Systems. After ten years, SBS was failing financially, and first COMSAT and then Aetna sold their interests to IBM, which in turn looked for an opportunity to abandon its communication business. The IBM-MCI agreement under which IBM acquired a 16 percent stake in MCI and MCI received all the assets and operations of SBS was first announced in June 1985.

From the description of Records, 1971-1990 (bulk 1975-1985). (Hagley Museum & Library). WorldCat record id: 122516293