Satellite providers Intelsat S.A. Luxembourg and OneWeb yesterday announced that they have formed a partnership in order to build, deploy and operate a low earth orbit (“LEO”) Ku-band satellite constellation.
Intelsat S.A., a leading provider of satellite services worldwide, will draw on OneWeb's LEO platform to complement the company's own geostationary orbit ('GEO') and subsequently produce the first and only fully global, pole-to-pole high throughput satellite system.
Intelsat has reported it will also be making a minority share investment of $25 million in OneWeb as part of the commercial agreement. The joint venture will also involve the development of hybrid LEO/GEO end user access terminals, in conjunction with Intelsat's reported aim to lower the cost and accessibility of satellite-based broadband and thus unlock new markets for this domain.
“As the world’s first and largest provider of commercial satellite services, Intelsat believes that the opportunity for space-based communications is at a new inflection point, especially as broadband connectivity has become an essential input to economic growth for individuals, businesses and communities,” stated Intelsat Chief Executive Officer, Stephen Spengler. “In this context, we are accessing new technologies and leveraging sector innovations to the benefit of our customers and our network.
“Through this partnership with OneWeb, we will further differentiate our own GEO infrastructure, including our next generation Intelsat Epic NG high performance satellites that will begin to launch in the first quarter of 2016,” the CEO continued. “By complementing our GEO services with LEO services, we will be able to provide connectivity over the Earth’s poles and in urban canyons, coverage that is important for certain mobility applications, including automotive services. In collaborating on Ku-band access hardware, we will develop technologies with additional scale that will simplify access, reduce costs and open new addressable markets.”
Greg Wyler, CEO and Founder of OneWeb, supported Spengler's statement, adding:
“Intelsat’s endorsement of our technology and solution is key to driving our venture to the next phase of development. Our mission is to enable affordable Internet access for everyone. While the primary goal is to bridge the digital divide for rural areas, we recognize the potential for a seamless Ku-band infrastructure to support other applications as well."
The companies expect that the coalition will help overcome previous operational hurdles, through the joining of OneWeb's network interoperability with Intelsat's global Epic NG GEO infrastructure and services.
"The OneWeb and Intelsat alliance allows each company to leverage the strength of the other," said Wyler. "We believe that access to Intelsat’s global service and technology footprint, and collaboration on solutions which combine the benefits of LEO and GEO, will advance our mission."
The agreement will also include a firm service commitment from Intelsat for OneWeb services upon commencement of operations, which is currently estimated for 2019.
