(REUTERS) CAPE CANAVERAL, Fla.–An experimental communications satellite flying piggyback aboard a Space Exploration Technologies' Falcon 9 rocket fell out of orbit and burned up in the atmosphere following a problem during liftoff, satellite operator Orbcomm said on Friday.

The New Jersey-based company's OG2 satellite was a prototype for a new 17-member communications satellite network scheduled to be launched aboard two more Falcon 9 rockets in 2013 and 2014.

Orbcomm declared the satellite a total loss and filed a claim under an insurance policy worth up to $10 million, “which would largely offset the expected cost of the OG2 prototype and associated launch services and launch insurance,” the company said in a statement.

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