Viasat to buy Inmarsat for $7.3 billion
Two long time traditional communication satellite companies today announced a merger, with the U.S.-based Viasat to buy the UK-based Inmarsat for $7.3 billion.
In a surprise move, California-based Viasat this morning announced a plan to acquire UK-based Inmarsat for a cost of some $7.3 billion — potentially creating a commercial satellite communications behemoth worth $4.1 billion in 2021 revenue, of which 40% is in government sales, including to the Defense Department.
While the acquisition will require approval from regulators, the combined company already is planning an expansion of its on-orbit assets, including two polar orbiting satellites that can bring capacity to the Arctic.
The bulk of business for both companies has in recent years been government military contracts, launching geosynchronous communications satellites. Both however have been under strong competitive pressure from the newer satellite constellations in lower orbit. Additionally, the push within the Space Force to shift from single large satellites to many redundant smallsats has put pressure on both companies.
This merger suggests a consolidation is occurring in these big old satellite companies as they struggle to adjust to a changing satellite market. Viasat for example was founded in 1986, while Inmarsat began in 1979, with both companies exclusively launching the traditional geosynchronous communications satellites. Both now are faced with new technologies in low Earth orbit, which has many advantages over high geosynchronous orbits. They need to adapt and change, or die.
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In 2020 when the world panicked over COVID I wrote that the panic was unnecessary, that the virus was apparently simply a variation of the flu, that masks were not simply pointless but if worn incorrectly were a health threat, that the lockdowns were a disaster and did nothing to stop the spread of COVID. Only in the past year have some of our so-called experts in the health field have begun to recognize these facts.
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Two long time traditional communication satellite companies today announced a merger, with the U.S.-based Viasat to buy the UK-based Inmarsat for $7.3 billion.
In a surprise move, California-based Viasat this morning announced a plan to acquire UK-based Inmarsat for a cost of some $7.3 billion — potentially creating a commercial satellite communications behemoth worth $4.1 billion in 2021 revenue, of which 40% is in government sales, including to the Defense Department.
While the acquisition will require approval from regulators, the combined company already is planning an expansion of its on-orbit assets, including two polar orbiting satellites that can bring capacity to the Arctic.
The bulk of business for both companies has in recent years been government military contracts, launching geosynchronous communications satellites. Both however have been under strong competitive pressure from the newer satellite constellations in lower orbit. Additionally, the push within the Space Force to shift from single large satellites to many redundant smallsats has put pressure on both companies.
This merger suggests a consolidation is occurring in these big old satellite companies as they struggle to adjust to a changing satellite market. Viasat for example was founded in 1986, while Inmarsat began in 1979, with both companies exclusively launching the traditional geosynchronous communications satellites. Both now are faced with new technologies in low Earth orbit, which has many advantages over high geosynchronous orbits. They need to adapt and change, or die.
Readers!
Please consider supporting my work here at Behind the Black. Your support allows me the freedom and ability to analyze objectively the ongoing renaissance in space, as well as the cultural changes -- for good or ill -- that are happening across America. Fourteen years ago I wrote that SLS and Orion were a bad ideas, a waste of money, would be years behind schedule, and better replaced by commercial private enterprise. Only now does it appear that Washington might finally recognize this reality.
In 2020 when the world panicked over COVID I wrote that the panic was unnecessary, that the virus was apparently simply a variation of the flu, that masks were not simply pointless but if worn incorrectly were a health threat, that the lockdowns were a disaster and did nothing to stop the spread of COVID. Only in the past year have some of our so-called experts in the health field have begun to recognize these facts.
Your help allows me to do this kind of intelligent analysis. I take no advertising or sponsors, so my reporting isn't influenced by donations by established space or drug companies. Instead, I rely entirely on donations and subscriptions from my readers, which gives me the freedom to write what I think, unencumbered by outside influences.
You can support me either by giving a one-time contribution or a regular subscription. There are four ways of doing so:
1. Zelle: This is the only internet method that charges no fees. All you have to do is use the Zelle link at your internet bank and give my name and email address (zimmerman at nasw dot org). What you donate is what I get.
2. Patreon: Go to my website there and pick one of five monthly subscription amounts, or by making a one-time donation.
3. A Paypal Donation or subscription:
4. Donate by check, payable to Robert Zimmerman and mailed to
Behind The Black
c/o Robert Zimmerman
P.O.Box 1262
Cortaro, AZ 85652
You can also support me by buying one of my books, as noted in the boxes interspersed throughout the webpage or shown in the menu above.
Ok, so who actually owns these 2 companies?
a cursory search on Viasat yields this:
“The co-owners are a swedish media group called Nordic Entertainment Group (NENT) in the Nordic countries, Sony Pictures Television in Hungary and Viasat World internationally.”