Canadian MDA Space (MDA.TO) said on Monday that it has expanded its contract with Globalstar (GSAT.A) to develop the next generation of low Earth orbit satellites, bringing the total contract value to about C$1.1 billion ($767.19 million).
MDA Space will manufacture more than 50 advanced digital satellites for Globalstar, which competes with larger players such as SpaceX's Starlink, amid a global race to capture market share in providing satellite-based services.
The Canadian space technology company will add approximately C$750 million to its backlog in the first quarter of fiscal 2025. This is in addition to the C$350 million that was already added when the deal was first announced in late 2023.
Covington, Louisiana-based Globalstar - which is owned in part by Apple AAPL.O - controls and operates low Earth orbit satellites for phone and data transmission, as well as observation services for various clients.
"With the full contract now in place, we are moving full speed ahead on the program," said MDA Space CEO Mike Greenley.
($1 = 1.4337 Canadian dollars)
