Skip to Content News Archives Economy Energy Oil & Gas Renewables Electric Vehicles Mining Commodities Agriculture Real Estate Mortgages Mortgage Rates Finance Banking Insurance Fintech Cryptocurrency Work Wealth Smart Money Wealth Management Investor Personal Finance Family Finance Retirement Taxes High Net Worth FP Comment Executive Women Puzzmo Newsletters Financial Times Business Essentials More Innovation Information Technology FP500 Podcasts Small Business Lives Told Tails Told Shopping Financial Post Store Obituaries Place a Notice Advertising Advertising With Us Advertising Solutions Postmedia Ad Manager Sponsorship Requests Classifieds Place a Classifieds ad Working Profile Settings My Subscriptions Saved Articles My Offers Newsletters Customer Service FAQ News Economy Energy Mining Real Estate Finance Work Wealth Investor FP Comment Executive Women Puzzmo Newsletters Financial Times Business Essentials HomeInnovationMDA Space nabs $474 million in Telesat deal and new federal contract to build satellites for militaryAnalysts say MDA is poised to be a key beneficiary of Canada’s military and sovereign space capabilities buildoutLast updated 1 hour ago You can save this article by registering for free here. Or sign-in if you have an account.The announcement follows a partnership announced between MDA Space, Telesat and the Department of National Defence to deliver military satellite communications for the CAF in the Arctic. Photo by Anton Petrus/Getty ImagesSpace satellite and robotics company MDA Space Ltd. announced on Tuesday that it has added $474 million to its contract with Telesat Corp. to build more cutting-edge broadband satellites that will in part support the Canadian Armed Forces operating in the Arctic. Subscribe now to read the latest news in your city and across Canada.Exclusive articles from Barbara Shecter, Joe O'Connor, Gabriel Friedman, and others.Daily content from Financial Times, the world's leading global business publication.Unlimited online access to read articles from Financial Post, National Post and 15 news sites across Canada with one account.National Post ePaper, an electronic replica of the print edition to view on any device, share and comment on.Daily puzzles, including the New York Times Crossword.Subscribe now to read the latest news in your city and across Canada.Exclusive articles from Barbara Shecter, Joe O'Connor, Gabriel Friedman and others.Daily content from Financial Times, the world's leading global business publication.Unlimited online access to read articles from Financial Post, National Post and 15 news sites across Canada with one account.National Post ePaper, an electronic replica of the print edition to view on any device, share and comment on.Daily puzzles, including the New York Times Crossword.Create an account or sign in to continue with your reading experience.Access articles from across Canada with one account.Share your thoughts and join the conversation in the comments.Enjoy additional articles per month.Get email updates from your favourite authors.Create an account or sign in to continue with your reading experience.Access articles from across Canada with one accountShare your thoughts and join the conversation in the commentsEnjoy additional articles per monthGet email updates from your favourite authorsSign In or Create an AccountorOttawa’s Telesat said that it is expanding its Telesat Lightspeed low-earth orbit (LEO) network — a satellite constellation that provides high-speed internet connectivity to businesses, government and military entities — by 67 satellites, lifting its total number of fully funded satellites to 225 from 156. Brampton, Ont.-based MDA will manufacture an additional 27 satellites for Telesat.In 2023, MDA and Telesat signed a $2.1-billion contract for the delivery of 198 satellites, which was the largest-ever contract in MDA’s history, said Beacon Securities analyst Russell Stanley in a Tuesday note.Get the latest headlines, breaking news and columns.By signing up you consent to receive the above newsletter from Postmedia Network Inc.A welcome email is on its way. If you don't see it, please check your junk folder.The next issue of Top Stories will soon be in your inbox.We encountered an issue signing you up. Please try again“Today’s news expands on that,” he said.The federal government also announced on Tuesday that it has tapped MDA to serve as the primary contractor for a new satellite constellation for military and government communications — namely, an ultra-high frequency and X-band network in medium earth orbit (MEO) — with Telesat acting as MDA’s subcontractor. The contract terms will be disclosed once finalized.The announcement follows a strategic partnership announced last December between MDA Space, Telesat and the Department of National Defence to develop and deliver military satellite communications for the CAF in the Arctic. The partnership falls under the Enhanced Satellite Communication Project — Polar (ESCP-P), which is being led by the newly-launched Defence Investment Agency (DIA).The government previously said that the project could involve spending of at least $5 billion, so there is “considerable upside” for MDA’s participation, said Beacon Securities’ Stanley.“Reliable military communication in the Arctic is a necessity for protecting Canadian sovereignty, maintaining situational awareness, coordinating joint operations with allies and responding quickly to emergencies in a region where every minute counts,” MDA chief executive Mike Greenley said in a statement on Tuesday.Analysts say that MDA is poised to continue to be a key beneficiary of Canada’s military and sovereign space capabilities buildout. Earlier this year, the company launched a wholly-owned defence subsidiary to take on major, multibillion-dollar programs for the CAF and other agencies.At the same time, MDA has identified a US$40-billion-plus pipeline of global opportunities over the next five years, and is eyeing revenue growth from American and European markets in part via acquisitions. Most recently, MDA acquired a majority stake in French company Collecte Localisation Satellites SAS in July for $920 million.Canada currently accounts for 63 per cent of MDA’s revenue.The company is set to report second quarter earnings on Friday before market open. Join the Conversation This website uses cookies to personalize your content (including ads), and allows us to analyze our traffic. Read more about cookies here. By continuing to use our site, you agree to our Terms of Use and Privacy Policy.