Quebec Rethinks Starlink Deal, Eyes Canadian Satellites Instead
- by iPhone in Canada
- Feb 07, 2025
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Back in 2022, Quebec signed a $130 million deal with Starlink to bring high-speed internet to remote areas.
But now, the province is working with Ottawa to create a Canadian satellite alternative, aiming for “connectivity sovereignty,” according to Gilles Bélanger, the official in charge of Quebec’s internet projects, reports the Montreal Gazette.
Quebec’s three-year Starlink contract ends in June, and the government is deciding whether to renew, recover unused funds, or shift to a Canadian-built solution. The province has invested $1 billion into fibre optic expansion, but connecting rural homes can cost up to $100,000 per household, making satellites the only viable option for some regions. Belanger said laying down fibre costs $20,000 per kilometre to remote areas.
Unlike Ontario—where Premier Doug Ford recently cancelled (then backtracked for now) a $100 million Starlink contract in response to Trump’s tariff threats—Quebec is keeping its deal for now. Bélanger said terminating the contract would bring legal issues and the province has already benefited from the agreement.
Both the federal government and Quebec have poured $2.5 billion in loans to Ottawa-based Telesat, which is relying ironically on Musk’s SpaceX to launch its first satellites into space. Service isn’t pegged to go online until 2027, where Telesat will offer its internet to resellers to then sell to consumers, unlike Starlink’s direct to consumer model.
With Telesat and MDA Space leading satellite development, Quebec sees a future where Canada owns its internet infrastructure. Bélanger warned that relying on Musk’s Starlink for too long could create risks, citing exposure of sensitive data, citing Starlink’s direct-to-cell satellite service (Rogers will be the first partner in Canada). You could say the same when using a social network from any big tech company.
While creating satellites is one thing, getting them to space consistently is a problem, admitted Bélanger. Starlink is plug and play and people can get online in minutes.
It’s unclear how the Telesat service will be able to compete with Starlink, which so far has about 6,000 satellites in low-Earth orbit, offering high-speed internet spanning the entire globe.
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