Itek

[1] In the early 1960s they built a conglomerate in a fashion similar to LTV or Litton, during which time they developed the first CAD system and explored optical disc technology.

[2] Leghorn left the Air Force to become head of Eastman Kodak's European division,[3] and started writing about the "Open Skies" proposal, which he strongly supported.

[4] At the time, the United States would have had a huge advantage if Open Skies was adopted, as their numerous European and Asian airbases would allow them access to the Soviet heartland, while the lack of USSR bases in the Americas — this being prior to the Cuban Revolution — would have made the treaty an empty promise.

[2] Aware that this would generate vast amounts of photography over long periods of time, Leghorn realized that a major problem would be storing the resulting imagery and allowing it to be easily retrieved for study.

Leghorn contacted his long-time friend Theodore "Teddy" Walkowicz about forming a new company to build such a machine for the Air Force.

The CIA quickly informed them of their top secret Corona to produce the first spy satellites, and asked them to bid on the camera systems.

One of these, E-5, was a project to provide low-resolution wide-area imagery for mapping purposes, which the Air Force needed to plan ingress routes for bombers during war.

[10] After winning the CORONA contract, Itek quickly grew from the executive staff to a company employing over a hundred scientists, engineers, and technicians.

[2] The real reasons for this growth - the BURPL purchase - remained secret, so on paper it appeared that Itek's information systems were generating huge orders that demanded a large staff.

In 1960 Leghorn agreed to fund development of a computerized drafting system, EDM, based on the PDP-1 that had earlier been experimented on at MIT.

[11] The same year he arranged a merger with Hermes Electronics (originally Hycon Eastern), makers of various military communications systems.

Frustrated by Leghorn ignoring the reconnaissance side of the company in favor of the continuing string of information projects, the engineers revolted and demanded that he be removed.

With Lindsay at the helm, Itek returned to focusing mostly on reconnaissance efforts, although by this point their photocopying machines were starting to become successful as well.

A rush effort started at Lockheed to adapt the E-5 camera to the existing CORONA airframe, resulting in the LANYARD project, today known as the KH-6.

[10] Both the CIA and Air Force continued development of new satellite systems, which led to concerns about the proper use of these valuable and expensive resources.

Although the Air Force was able to work within the new environment without any apparent problems, creation of the NRO led to serious political infighting with the CIA.

In a following experiment the team attempted to determine the optimal resolution for satellite photography, degrading a series of high-quality photographs in stages to see how much information could be pulled from them at different levels of detail.

[14] When news of the FULCRUM efforts later found their way to the NRO, a major fight broke out that eventually landed on the desk of Robert McNamara.

Richelson states that the NRO quickly handed Itek a contract for their own "S-2" system, a follow-on to the Air Force's troubled SAMOS program.

Lewis states that both the FULCRUM and S-2 projects had already been handed to Itek, and it was the internal power struggles between the CIA and NRO that led to Wheelon's stream of demands as punishment for accepting the S2 work.

In 1982 Litton Industries was attempting to diversify their military holdings, and engaged Lehman Brothers to arrange the purchase of a company specializing in electronic warfare.

In October, Litton started purchasing Itek stock in the market in an effort to gain control of about 4.9% of the common shares before making a friendly takeover offer.

[19] In 1986 it was revealed that a Lehman Brothers trader had been purchasing Itek stock during the negotiations, part of a wider insider trading scandal.

ITEK Corporation, Lexington, Massachusetts