Apple’s satellite communications partner, Globalstar, has signed a C$1.1 billion contract with Canadian firm MDA Space to manufacture over 50 satellites. This deal is part of Globalstar’s efforts to strengthen its low-Earth orbit (LEO) satellite network.

Apple took a 20% stake in Globalstar in November 2023 through a $1.5 billion investment. Of this, $400 million was used for equity acquisition, while the remaining $1.1 billion helped Globalstar reduce its debt and develop a mobile satellite service (MSS) network.

MDA Space initially announced a C$180 million contract in late 2023 to begin building satellites but kept the client undisclosed. The company has now confirmed that Globalstar is the customer. The agreement has since expanded to a total value of C$1.1 billion, allowing Globalstar to procure over 50 Aurora satellites.

MDA’s Aurora satellites, introduced in 2023, are designed for flexible deployment in various non-geostationary orbits. These software-defined satellites feature an advanced regenerative system that optimizes communication routes within their network. To meet production demands, MDA has expanded its manufacturing facility in Quebec, aiming to produce up to two satellites daily.

In addition to Globalstar, Canadian satellite operator Telesat is another major customer for MDA’s Aurora satellites. Under their agreement, MDA will manufacture 198 satellites for Telesat’s LEO constellation.

LEO is becoming a preferred choice for satellite communications providers, driven by SpaceX’s Starlink, the largest active LEO constellation. Beyond Apple and Globalstar, Amazon’s Kuiper project is also entering the space, using Blue Origin’s New Glenn rocket to launch its own LEO satellite network.

Competition in the satellite communications sector is intensifying. AST SpaceMobile recently conducted the first space-based video call in Europe through a Vodafone partnership. Meanwhile, SpaceX CEO Elon Musk has hinted at plans to enable low-quality video streaming via Starlink. Starlink’s early dominance in the sector has positioned it as a major player in satellite internet, with its services now available on commercial airlines.

Globalstar’s latest deal with MDA marks a significant step in the expansion of Apple’s satellite communication capabilities. With the growing demand for LEO satellite connectivity, the competition between providers is set to increase further.

SOURCE: WCCFTECH | PHOTO: APPLE

This article was created with AI assistance.