Telesat switches satellite suppliers, saving $2 billion in internet services

Telesat switches satellite suppliers, saving  billion in internet services


A rendering of Telesat’s‌ low ​earth orbit broadband constellation

Telesat

Shares of Canadian telecommunications satellite operator​ Telesat surged on Friday after ⁤the company announced‌ it would swap suppliers for its planned Lightspeed global internet network.

Canadian space company MDA will ‍now build the Lightspeed satellites, taking⁣ the place of French-Italian manufacturer Thales‍ Alenia ⁤Space and resulting in “total capital cost ⁣savings” of about $2 billion, Telesat announced.

The company ⁤expects to begin launching ⁣the first Lightspeed satellites in ⁢mid-2026, with ⁤global‍ service beginning once‌ the first 156 satellites are in orbit.​ The full network is planned to consist of 198 satellites.

Telesat stock surged as ​much as much as 64% with‍ heavy volume in early trading ⁣from its ‌previous close at $8.45 a share, before slipping slightly to closer to 50%.

“I’m incredibly proud ⁤of the Telesat team for their innovative work to further⁤ optimize … resulting in dramatically reduced costs,”…

2023-08-11⁢ 08:38:17
Original from www.cnbc.com
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