Ottawa, ON – Aug. 4, 2026 – Ottawa-headquartered Telesat has signed a $2.3-billion Telesat Lightspeed services contract with Canada’s Defence Investment Agency (DIA) to deliver secure connectivity to the Canadian Armed Forces under the Enhanced Satellite Communications Project – Polar (ESCP-P) program.
The agreement is the largest in the company’s history and the first major contract under the strategic partnership between the Government of Canada, Telesat and MDA Space established in December 2025 under Canada’s Defence Industrial Strategy. The deal covers 15 years of service, including two five-year option periods valued at approximately $200 million each, bringing the total potential contract value to $2.7 billion.
Milestone-based payments from the Government of Canada begin in Q3 2026, with service delivery starting in Q1 2028.
Closing Canada’s Arctic Connectivity Gap
Under the agreement, Telesat will deliver Military Ka-band (Mil-Ka), a high-frequency satellite spectrum reserved for defence use, closing a longstanding gap in high-latitude military communications for the Canadian Armed Forces and allied partners.
The contract funds a 44 per cent expansion of the planned Telesat Lightspeed constellation, growing from 156 to 225 fully funded satellites. As prime contractor, Telesat leads the program’s design, delivery and operations from its Ottawa headquarters. The 69 additional satellites will be built by MDA Space.
Through Canada’s Industrial and Technological Benefits Policy, the procurement has the potential to create or maintain 2,600 jobs annually across Canada and contribute $335 million annually to GDP over approximately seven years, according to the Government of Canada.
Canada’s New Procurement Architecture in Action
The contract flows through the Defence Investment Agency using its Strategic Partner model, an approach designed to streamline procurement and accelerate delivery by leveraging industry expertise in complex defence programs. It reflects the Defence Industrial Strategy’s “Build-Partner-Buy” framework in practice: Ottawa-headquartered Telesat, working alongside MDA Space, delivers sovereign Arctic connectivity at speed, with the DIA connecting Canadian operational requirements directly to Canadian industrial capacity.
Quotes
“This contract ensures the Canadian Armed Forces will have access to secure, resilient and sovereign connectivity years earlier than originally planned, at a great value for money, and with a scalable architecture designed to meet future global operational requirements and support interoperability with Canada’s allies and partners.”
Dan Goldberg, President and CEO, Telesat, in the company’s official press release.
“By investing in the Enhanced Satellite Communications Project – Polar, we are giving the Canadian Armed Forces next generation military satellite communications, so our personnel have secure, resilient, and reliable connectivity in the Arctic and other high-latitude regions where they need it most. Through this project, we are accelerating the delivery of critical capabilities, defending Canada’s sovereignty and security, and strengthening our domestic defence industrial base to deliver for Canadians for years to come.”
The Honourable David J. McGuinty, Minister of National Defence, in the Government of Canada announcement
Ottawa’s Space and Defence Ecosystem Delivers
Telesat has been headquartered in Ottawa since its founding in 1969, part of a defence, aerospace and security community that now counts more than 330 companies and 10,000 professionals active in Canada’s Capital Region. The region is also home to the only cluster of NATO DIANA Test Centres in Canada, including Area X.O, Invest Ottawa’s all-weather R&D complex where defence technologies are tested and validated at speed.
As Canada works toward its commitment to raise defence spending to five per cent of GDP by 2035, the ESCP-P contract is a concrete demonstration of what that investment can produce: sovereign capability, Canadian jobs and a more secure Arctic, delivered through an Ottawa company with six decades of operational experience. Invest Ottawa’s Defence Innovation Hub exists to help more companies like Telesat move from early-stage innovation to contracts of this scale.
- To learn more about the Defence Innovation Hub, visit dihub.ca.
- Read the full announcement: Telesat secures $2.3 billion Arctic military satcom contract, expanding Telesat Lightspeed network and capacity by 44%
Shoebox enables hearing care around the world. It creates, sells, and supports products that help clinicians identify hearing loss. The maker of Shoebox, Clearwater Clinical, hit a huge milestone in 2018 when they entered a strategic partnership with international hearing device company 
Transforming our data-driven world takes talent, and MindBridge is where it’s happening. This is where you’ll take artificial intelligence to enable and inspire humans to do more and be better. Our people, our customers, and our investors agree: No one else is accomplishing what we’re doing with data-driven AI right now. 
Tehama is enabling the digital workplace of the future. 150 companies are using Tehama. 600,000+ hours of IT services delivered. Zero breaches. The company’s head office is in the heart of the highly desirable Westboro neighborhood of Ottawa where you have your pick of the best of Ottawa’s cafes, restaurants and shops. Prefer to work from home? Tehama offers remote working options and flexible core hours. Join a team of the best and brightest and enjoy competitive salaries, benefits and a commitment to YOUR long-term success. 
Spartan Bioscience aspires to unleash the power of DNA testing for everyone. Like the Spartan warriors of Ancient Greece, our smart, hard-working, and honorable team members get things done. Learn