Satellite operator Telesat has given space tech firm MDA a CAD 2.1 billion (nearly Rs. 12,950 crore) contract to build 198 satellites for its low-earth orbit program.

The deal announced on Friday sparked a more than 45 percent surge in both Telesat’s Canadian and US shares, putting them on track for their best day ever. MDA, meanwhile, rose about 29 percent.

Telesat said it had earmarked $3.5 billion (nearly Rs. 29,020 crore) as capital expenditure for the Lightspeed project and that the MDA deal had helped it save $2 billion (nearly Rs. 16,580 crore).

The launches are scheduled to commence in mid-2026, with polar and global services scheduled to begin in late 2027.

By using MDA’s beam-forming array antennas and integrated regenerative processor, the redesigned Telesat Lightspeed network will achieve increased network efficiency and enhanced flexibility to focus and deliver capacity to users, the company said in a statement.

The technology would also allow each satellite to be slightly smaller than the ones Telesat was previously considering.

Telesat’s Lightspeed network is designed to serve the connectivity requirements of enterprise and government users, with highly secure, resilient, low-latency broadband connectivity anywhere in the world.

The company launched its first LEO 3 demonstration satellite aboard Rocket Lab’s Electron rocket in July.

Telesat earlier on Friday also reported second-quarter results. The company posted a profit of CAD 519.9 million (nearly Rs. 3,210 crore), compared with a year-ago loss of CAD 4.38 million (nearly Rs. 27 crore). Revenue fell 4 percent. 

© Thomson Reuters 2023


Affiliate links may be automatically generated – see our ethics statement for details.

For the latest tech news and reviews, follow Gadgets 360 on Twitter, Facebook, and Google News. For the latest videos on gadgets and tech, subscribe to our YouTube channel.


Offshore Online Gaming Companies in India Mandated to Register Their Business

You May Also Like

Our Solar System Likely to Remain Stable for the Next 1,00,000 Years, Study Says

The solar system is unlikely to lose stability for the next 1,00,000…
Heatwave That Gripped Spanish City of Seville Named as Zoe

Heatwave That Gripped Spanish City of Seville Named as Zoe

In a bid to warn people about excessively hot weather and the…

Japan Plans To Transport People From Moon To Earth By Train. Here Are The Details

Researchers in Japan have recently unveiled new plans for an artificial space…

Comet K2 Makes Closest Approach to Earth, but the Celestial Show Is Not Over Yet

The comet C/2017 K2 has offered a spectacular celestial show for stargazers…