The Federal Communications Commission has asked that companies seeking authorization to construct and operate communications satellite facilities for multi-purpose commercial uses in the United States give consideration to the communications needs of schools. In response to this request, MCI Lockheed Satellite Corporation proposes a low-cost telecommunication service for use by schools beginning in the 1970s. The service would offer satellite information transmission capacity equivalent to five television channels for school use at no cost for five years after the satellite goes into operation, and at a fraction of the prevailing commercial rates thereafter. This low-cost satellite information transmission capacity would be sufficient to provide many combinations of service. For example: three channels could provide at least one computer terminal full time in each U.S. school district; one channel could distribute instructional television and radio lessons nationwide to schools; and one channel could interconnect existing and planned noncommercial public broadcasting stations. School users will obtain access to the service through earth stations operated by the schools, the community, or the commercial common carriers. Capital costs for school-operated earth stations could be on the order of 1J per student-day for school districts of average size. (Author/JY)