ECHOSTAR SELECTS MDA SPACE FOR WORLD'S FIRST OPEN RAN BROADBAND NTN LEO CONSTELLATION

Executive Summary

• EchoStar Corporation has selected MDA Space Ltd. as the prime contractor for its new non-terrestrial network (NTN) low Earth orbit (LEO) direct-to-device (D2D) satellite constellation, marking a significant expansion into the space economy.
• The initial contract with MDA Space is valued at approximately $1.3 billion (approx. C$1.8 billion) for the design, manufacturing, and testing of the first tranche of over 100 software-defined MDA AURORA™ D2D satellites.
• The total estimated cost for EchoStar's LEO constellation is $5 billion, bringing the company's total investment in NTN satellite connectivity to over $18 billion since 2012.

Key Details

• Contract Value & Scope: The initial contract with MDA Space is valued at approximately $1.3 billion (approx. C$1.8 billion).
• Satellite Specifications: The contract covers the design, manufacturing, and testing of the first tranche of over 100 software-defined MDA AURORA™ D2D satellites.
• Total Constellation Size: The full initial configuration consists of 200 satellites, with future growth to thousands as demand requires.
• Total Investment: EchoStar intends to purchase over 200 MDA AURORA™ satellites from MDA Space for an approximate total value of $2.5 billion (approx. C$3.5 billion).
• Overall Project Cost: The new LEO project is estimated to cost $5 billion in total.
• Service Capabilities: The constellation will provide global talk, text, and broadband services directly to standard 5G NTN handheld devices. It will utilize up to 25x20 MHz of AWS-4/S-band 2GHz frequencies.
• Technical Compliance: The satellites will be fully compliant with newly created NTN and 3GPP standards, allowing services (messaging, voice, broadband data, video) to current 3GPP NTN specification devices without modification.
• Timeline: Delivery of satellites is planned for 2028, with commercial service starting in 2029.
• Spectrum Holdings: EchoStar holds exclusive licenses in the 2GHz band in the United States (AWS-4), 30 MHz in Europe, 40 MHz in Canada, 20 MHz in Mexico, and 30 MHz in Brazil.
• Historical Context: Since 2012, EchoStar has invested well over $13 billion in the 2GHz band, including the acquisition of DBSD and TerreStar, and the development of NTN 3GPP standards.

Notable Quotes

• "EchoStar's Hughes communications division has over 60 years of leadership in the satellite and space technology business. Our satellite expertise combined with our U.S.-based terrestrial 5G Open RAN network uniquely positions EchoStar to execute on this new large-scale wideband LEO constellation," said Hamid Akhavan, president & CEO of EchoStar.
• "EchoStar's selection of our new MDA AURORA™ D2D software-defined satellites to meet its demanding technical and business requirements is a testament to the confidence satellite operators have in our deep expertise and products, our differentiated MDA AURORA™ product, and our expanding production capacity," said Mike Greenley, CEO of MDA Space.