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Telesat Wins $1.63B Canadian Defense Contract

August 7, 2026

2 min read

Key Takeaways

Telesat signs $1.63 billion Canadian defense contract.
Contract covers military Ka-band services starting in 2028.
Agreement includes options valued at $142 million each.
Funding will expand Lightspeed satellite network from 156 to 225 satellites.

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Strategic Implications

This contract may indicate a shift in Telesat's business toward military customers, which could strengthen its position in the global satellite communications market. The expansion of Lightspeed suggests a growing demand for secure and resilient connectivity, particularly in the Arctic region, which may benefit other satellite operators and manufacturers.

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What Happened

Canadian Satellite Operator Expands Lightspeed Network

Telesat has secured a $1.63 billion contract with the Canadian Defence Investment Agency to provide secure communications across the Arctic and expand its Lightspeed satellite network. The agreement includes two five-year options and will increase the number of fully financed satellites from 156 to 225. The contract gives Telesat an anchor defense customer and supplies funding for the network’s expansion, which is expected to begin global service in the first quarter of 2028. This development was first reported by SpaceNews.

Source | Originally Published: August 4, 2026

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