Crash hurts Russia satellite challenge to U.S. GPS

Analysts believe the botched launch of three of its satellites will delay Russia's bid to challenge US dominance of the market for satellite navigation technology by at least six months.

The loss of the three satellites, which crashed into the Pacific Ocean about 1,500 km (900 miles) north-west of Hawaii on Sunday, scuppers the Kremlin's much-touted plans to complete the GLONASS system this year. The state has spent over $2 billion in the last decade on achieving what Russian Prime Minister Vladimir Putin has called "satellite navigation sovereignty" and has high hopes it will lead a domestic revolution in consumer devices like smartphones and vehicle sat-navs. But experts estimated the crash cost 5 billion roubles ($160 million) and set Russia back six months in realizing the navigation system, which has its roots in the Cold War technology that was used to guide strategic missiles.