Eutelsat Group, Intelsat forge major partnership for OneWeb LEO Constellation
In a significant development for the satellite communications industry, Eutelsat Group (ISIN: FR0010221234 – Euronext Paris / London Stock Exchange: ETL) has entered into a substantial partnership with Intelsat, focusing on the OneWeb Low Earth Orbit (LEO) Constellation. The deal, set to commence in mid-2024, is valued at up to $500 million over a seven-year span, including a confirmed commitment of $250 million. This figure encompasses the $45 million agreement signed in March 2023, with an additional option for $250 million extending to the end of the contract period.
This landmark agreement enables Intelsat to amalgamate OneWeb’s LEO Network with its own Geostationary Orbit (GEO) and terrestrial networks. The aim is to provide comprehensive solutions that cater to the networks, government, and mobility sectors. The collaboration will focus on innovation and technological advancement, allowing Intelsat to contribute significantly to the development of the next-generation OneWeb constellation. This synergy is expected to elevate the OneWeb system’s capabilities, ensuring it meets the complex, evolving communication needs of the future with reliable and robust connectivity solutions.
Dave Wajsgras, Chief Executive Officer of Intelsat, emphasized the strategic value of the partnership, stating, “Over the past couple of years, Intelsat has leveraged our partnership with the Eutelsat Group to initiate our strategy of enabling multi-orbit solutions in the commercial aviation and government markets. Today’s announcement takes that partnership to a new level, enhancing our ability to offer new, true multi-orbit services and solutions across our portfolio of customers and business segments.”
Echoing these sentiments, Eva Berneke, Chief Executive Officer of Eutelsat Group, remarked, “This expanded partnership with Intelsat represents a strong vote of confidence in the capabilities of the OneWeb satellite constellation, today and well into the future, as well as showcasing the necessity in today’s world for major satellite operators to be able to offer multi-orbit solutions to their customers. We are also delighted to further deepen our collaborative approach with Intelsat going forward, leveraging its unparalleled experience in the key verticals of Aviation and Government.”
The partnership not only signifies a major leap in the integration of LEO and GEO satellite services but also highlights the critical role of multi-orbit solutions in providing mobile connectivity solutions across Europe, the Middle East, and the Pacific. The agreement between Eutelsat Group and Intelsat marks a milestone in the satellite communications sector, promising to deliver enhanced connectivity and innovative solutions to meet the demands of a rapidly evolving global landscape.
This strategic partnership is a testament to the growing importance of LEO constellations in complementing traditional GEO satellites for global communication networks. It underscores the satellite industry’s shift towards versatile, multi-orbit strategies to offer seamless, high-quality connectivity solutions. Such collaborations are vital for addressing the complex challenges of modern telecommunications, driving forward the capabilities and reach of satellite technology.