Terrestar Solutions signed a memorandum of understanding on October 28, 2026, to link its planned CaStar satellite constellation with the global Equatys platform. The agreement marks a significant step in Canada’s effort to secure sovereign control over telecommunications infrastructure.
This partnership matters because it offers a domestic alternative to foreign-controlled networks, ensuring that Canadian data remains under national jurisdiction. Launch Len Media views this as a calculated move to mitigate the risks associated with relying on a single dominant provider for essential connectivity.
The mechanics of the Terrestar and Equatys partnership
The agreement was finalized in Ottawa during the official visit of Abu Dhabi Crown Prince Sheikh Khaled bin Mohamed Al Nahyan. It connects Terrestar’s upcoming CaStar low-earth orbit constellation with the Equatys platform, which was co-founded by Space42 and Viasat in September 2026. Source: Canada Newswire.
Equatys operates as a neutral host, similar to a traditional telecommunications tower company. According to reports from Telecoms, this structure allows participating entities to offer global direct-to-device services while maintaining their own customer bases and satellite assets.
The deal provides a pathway for Terrestar to scale its operations internationally. By linking with Equatys, the Canadian firm can offer its users global coverage without sacrificing its sovereign status.
The financial backing for the Equatys platform is substantial, with up to $1 billion in equity commitments. Terrestar’s own CaStar project is estimated to cost at least C$500 million for the initial phase of deployment.
The future of mobile satellite connectivity won’t be built by countries or constellations acting alone. It will be built through open standards-based networks that combine national sovereignty with global reach, positioning us to compete at scale.
Jacques Leduc, President and CEO of Terrestar Solutions
Sovereignty and the shift away from foreign providers
The Canadian government has signaled a clear intent to diversify its satellite dependencies. Prime Minister Mark Carney noted in September 2026 that relying on a single supplier poses a systemic risk to national telecommunications.
Current Canadian carriers, including Rogers, utilize starlink mobile services for satellite texting in various international markets. However, Ottawa is actively seeking to reduce this dependence to ensure long-term stability.
Terrestar emphasizes its position as Canada’s only sovereign mobile-satellite operator. The company, founded in 2008 by the group behind Fido, currently holds 40 MHz of satellite spectrum dedicated to Canadian devices.
Under the new partnership, all ground stations for the CaStar network will remain within Canadian borders. This ensures that traffic from domestic users is processed under Canadian law, even when the devices are roaming globally. Source: Quartz.
Options for domestic satellite connectivity
As Canada looks to expand its satellite footprint, several models are emerging for consumers and enterprise users. These options highlight the trade-off between established global networks and emerging sovereign alternatives.
The following list outlines the primary approaches currently available or in development for Canadian satellite connectivity.
- CaStar by Terrestar: A sovereign-controlled LEO constellation focused on keeping ground assets and data traffic within Canada.
- Equatys Platform: A global, neutral-host infrastructure backed by $1 billion in equity to facilitate direct-to-device roaming.
- Starlink Mobile: An established, high-performance global network currently used by major Canadian carriers for satellite roaming services.
- Legacy MSS: Existing mobile-satellite services, such as Terrestar’s Strigo, which provide connectivity through older, non-LEO satellite architecture.
Analysis of the sovereign satellite strategy
The Terrestar-Equatys partnership is a strategic hedge against the volatility of foreign-owned satellite providers. By building a sovereign shell, Canada gains leverage in negotiations and ensures that critical infrastructure is not subject to the whims of external corporate entities.
A fair counterpoint is that Starlink currently offers a level of established, high-performance global coverage that emerging constellations struggle to match. The cost-efficiency and immediate reliability of existing networks remain a significant hurdle for new entrants like CaStar.
Despite these challenges, the sovereign model remains a necessary evolution for national security. Relying solely on a foreign entity for communication infrastructure is a vulnerability that the government is clearly moving to correct.
The success of this strategy will ultimately depend on the timely deployment of the CaStar constellation. If Terrestar can meet its technical milestones, it will provide a viable, secure alternative for the Canadian market. Source: Telecoms.
What users and investors should do
If you are a consumer, monitor the progress of your mobile provider regarding direct-to-device satellite offerings. Many carriers are currently testing various satellite partnerships, and you may soon have the option to choose between different network providers.
For investors, the satellite sector requires a long-term view. Monitor the capital expenditure requirements for projects like CaStar, as the C$500 million estimate is a baseline that could fluctuate based on launch costs and technology integration.
Stay informed about regulatory changes from the CRTC regarding satellite spectrum usage. These decisions will directly impact the competitive landscape for companies like Terrestar and their ability to challenge incumbent providers.
Finally, assess your own need for satellite connectivity. If you frequently travel to remote areas, evaluate which providers offer the most reliable coverage in your specific regions of interest.
Frequently Asked Questions
When will the CaStar network be available for Canadian users?
Terrestar has not yet provided a specific launch date for the CaStar constellation or a timeline for when Canadian phones will be able to connect to the service.
How does the Equatys platform differ from a standard satellite provider?
Equatys acts as a neutral host, similar to a tower company, allowing multiple satellite operators to link their networks and share infrastructure rather than operating as a single, vertically integrated provider.
Does this partnership mean Terrestar will stop using foreign satellite services?
The partnership is designed to provide an alternative, not necessarily an immediate replacement for all existing services. It allows Terrestar to maintain its own sovereign network while participating in a global ecosystem.
