MDA Space Partners with Globalstar on $1.1 Billion LEO Satellite Deal

MDA Space Partners with Globalstar on a Groundbreaking Contract

MDA Space Ltd., a recognized leader in the global space industry, has officially partnered with Globalstar Inc. to build a next-generation low Earth orbit (LEO) satellite constellation. The deal is valued at approximately $1.1 billion CAD and is set to pave the way for transformative advancements in satellite technology.

The Details of the Contract

On February 10, 2025, MDA Space (TSX: MDA) announced that it will be the prime contractor for Globalstar's ambitious project. As part of this agreement, MDA Space will manufacture over 50 state-of-the-art MDA AURORATM software-defined digital satellites, which are designed to enhance connectivity and communication capabilities. Mike Greenley, CEO of MDA Space, expressed his enthusiasm, stating, "We are pleased to once again be working with Globalstar as they develop their next-gen LEO constellation." This comprehensive contract affirms MDA's commitment to innovation and excellence in satellite manufacturing.

Overcoming Challenges of LEO Development

The signing of this definitive contract follows an earlier Authorization to Proceed (ATP) contract, indicating a clear commitment to advancing satellite technology. The high stakes surrounding the LEO constellation speak volumes about the growing need for reliable satellite infrastructure, particularly as industries increasingly rely on digital communication.

MDA Space's experience, with over 55 years in the field, positions the company as a formidable player in this arena. With a workforce of more than 3,000 experts, MDA is equipped to tackle the challenges posed by such ambitious satellite projects, ranging from design and engineering to testing and deployment.

The new constellation is anticipated to bring improvements in various sectors, including telecommunications, data transfer, and global connectivity. With an estimated addition of approximately $750 million to MDA Space's backlog in the first quarter of fiscal 2025, this contract not only solidifies the company's financial health but also the potential for innovation in the satellite industry.

Looking Ahead: Implications for the Space Industry

The collaboration between MDA Space and Globalstar underscores a broader trend within the global space industry—to enhance and expand the capabilities of satellite systems to meet the growing demand for faster and more reliable connectivity solutions. This initiative is part of a larger movement toward advanced technological solutions that will shape the future of communication and exploration in space.

Moreover, MDA Space aims to leverage this partnership to push the boundaries of what's possible in space technology, a vision reflected in their mission statement of building the space between proven and possible. The future holds exciting possibilities not only for MDA and Globalstar but also for the entire space industry.

Conclusion

MDA Space's recent contract with Globalstar represents a significant milestone in satellite development and a testament to the increasing interdependence of global industries on advanced satellite technology. As the company moves forward with this ambitious project, the implications of enhanced satellite capabilities will likely reverberate throughout various sectors, providing new opportunities for connectivity and exploration. With this bold step, MDA Space is well-positioned to contribute to the future of satellite communications and help shape a new era in space innovation.

For more information about MDA Space and its ongoing projects, visit www.mda.space.