Peter Beck announcing Rocket Lab's acquisition of Iridium in a June 29 video presentation. Credit: Rocket Lab
WASHINGTON — Rocket Lab’s chief executive says the company’s acquisition of Iridium was the “logical next step” in his ambitions to tap into the lucrative space services market.
Rocket Lab announced June 29 it reached an agreement with Iridium to acquire the company for $54 per share in cash and stock, valuing Iridium at $8 billion. The deal is expected to close in mid-2027 after regulatory approvals.
Peter Beck, Rocket Lab’s chief executive, said in an interview shortly after the announcement that services, such as the communications and navigation offerings from Iridium’s constellation, were the next step for his company, best known for launches and satellite manufacturing, and that buying Iridium was the best way to enter that market.
“You can spend many years building your satellites and launching your satellites, and it’s like a decade before you get firm recurring revenue,” he said. “We thought that an entrance into applications would likely be through an acquisition.”
