Telesat lands $1.63 billion Canadian defense contract
AI-summarised brief · reviewed before publication
Telesat has secured a roughly $1.63 billion contract with Canada’s Defence Investment Agency to deliver secure Ka‑band communications for the Canadian Armed Forces across the Arctic, with service slated to start in 2028. The deal includes two five‑year options worth about $142 million each, potentially raising the total to $1.92 billion over 15 years. Funding from the agreement will expand Telesat’s Lightspeed low‑Earth‑orbit constellation from 156 to 225 fully financed satellites, adding 69 spacecraft and increasing MDA Space’s manufacturing order to 225. Lightspeed will provide both wideband and narrowband links between 65° and 90° N, addressing the limited terrestrial infrastructure in the high‑latitude region and supporting Canada’s Arctic sovereignty commitments. The contract anchors a defense customer before Lightspeed’s global launch and shifts Telesat’s revenue outlook toward military clients.
💡 Why It Matters
- · The deal fast‑tracks sovereign Arctic connectivity, giving Canada a resilient communications backbone well before commercial alternatives can reach the region.