Verizon to connect remote post offices

Verizon Inc. will bring satellite services to about 5,000 U.S. Postal Service locations under a new contract, the company announced.

The contract spans two years and could be worth up to $25 million. Called Outerspace Radio Broadcast Information Technology, or ORB-IT, the contract also has three optional two-year extensions.

"These guys have about 38,000 post offices around the country," said Peter Pin, regional vice president of civilian agencies at Verizon Business. "The real challenge is, how do these guys reach back into their organizations to run their business."

Most of the post offices are within reach of common Internet services such as cable or DSL, he said. But some are located far from population centers and are stuck with dial-up connections because broadband services don't extend to them. The new contract will make satellite connections available through partner Spacenet Inc.

The contract could potentially include supplying satellite connections to post offices that are within reach of other connection technologies, to serve as a backup, Pin added.

Verizon is ranked No. 19 on Washington Technology's 2007 Top 100 list of the largest federal government prime contractors.