Space42, Viasat and Terrestar sign deal to link CaStar with Equatys

Space42, Viasat and Terrestar Solutions signed a memorandum of understanding on Wednesday, Oct. 28, 2026, to develop an open, standards-based interoperability framework linking Terrestar’s planned Canadian low Earth orbit constellation, CaStar, with Equatys. Low Earth orbit means altitudes close to Earth. The memorandum calls for a shared system that lets different networks work together while preserving each company’s control over its own assets.

The companies plan to build a common interoperability layer using published vendor-neutral interfaces. The layer will align with 3GPP NTN specifications and GSMA roaming and interconnection frameworks. Terrestar, Space42 and Viasat intend the design to avoid proprietary lock-in while letting each operator keep control of its own assets, authorizations and customer relationships. Systems would share resources such as power, beams and gateway access through agreed interfaces, and the framework accepts participants over time.

Equatys was co-founded by Space42 and Viasat under a binding agreement signed in September 2026. The arrangement is backed by up to USD 1 billion in combined equity commitments.

The full Equatys system will comprise 2,800 satellites. It will begin with fewer than 200 satellites that provide continuous coverage before scaling with demand. Service targets the end of 2029.

Viasat Chairman and CEO Mark Dankberg discussed the rollout during World Space Business Week. Viasat is intended to serve as prime contractor for the Equatys satellites. Equatys combines 100 MHz of MSS spectrum from Space42 and Viasat. MSS is a satellite-based communications service for mobile users.

A Canadian satellite constellation would spend about 2% of its time over Canada. Terrestar says that coverage profile makes building the network independently uneconomic.

Terrestar Vice President of Commercial Solutions Jason Trembley used an apartment-rental analogy on a Silicon Valley Space Week panel to explain the issue. “It’s like renting out an apartment and it only being available 2% of the time. The economics just don’t work, right?” Trembley said Terrestar remains committed to building its own constellation but needs an ecosystem of partners because of the coverage math.

Terrestar holds 40 MHz of S-band mobile-satellite spectrum and owns and operates the Canadian side of the EchoStar T1 geostationary satellite. A geostationary satellite remains fixed over one point on Earth. The company connects Canadians through its Strigo Mobile Satellite Service using the EchoStar T1 satellite, ground network and spectrum.

Terrestar says CaStar will support a cellular-like experience across Canada’s entire landmass. Trembley said the constellation is designed to cover Canada’s far north.

Terrestar also holds a license to 20 MHz of MSS spectrum in Canada for national MSS and national cellular service. The licensed frequencies run from 2000 to 2020 MHz and 2180–2200 MHz. Terrestar has held the license since 2014.

Terrestar has not announced a prime contractor for the planned CaStar constellation. That omission appeared in the same reporting that covered its spectrum license, satellite ownership and the Equatys agreement.

Terrestar’s spectrum sits on the Canadian side of the same band that SpaceX bought from EchoStar. That overlap makes cross-border coordination unavoidable for proper use, according to Trembley. Joining Equatys initially does not stop Terrestar from partnering with anyone else. Terrestar views the arrangement as an open network that would work in harmony with other networks.

Each operator retains full ownership and control of its own space and ground assets while CaStar operates as a sovereign Canadian system. Canadian gateways will keep domestic data within Canadian jurisdiction. Sovereign shell is a structure that preserves national control while connecting to a global network.

The Terrestar-Equatys collaboration is the first example of Equatys’ sovereign shell approach, which pairs a global commercial system with constellations optimized for specific countries or regions. In that model, country- or region-specific constellations run on dedicated ground segments under common standards so they remain fully interoperable.

Terrestar President and CEO Jacques Leduc said the future of mobile satellite connectivity will not be built by countries or constellations acting alone. Leduc described CaStar as Canada’s contribution to a global network that is Canadian-controlled and globally connected. “national sovereignty with global reach,” Leduc said.

“Canadian-controlled, globally connected, and built to work with other mid-power countries like Canada,” Leduc said. Karim Michel Sabbagh, Managing Director of Space42, said national capabilities and international collaboration reinforce rather than compete with one another.

Trembley presented the partnership logic on the Orchestrating the D2D Network of Networks panel at Silicon Valley Space Week’s Satellite Innovation track. The session was moderated by Aashu Virmani of Cambridge Consultants.

Trembley said Terrestar remains committed to building its own constellation but needs like-minded partners because of the coverage math. He also represents the Mobile Satellite Services Association, which Terrestar co-founded, and Viasat was a presentation sponsor of the event.

Iridium Chief Technology Officer Greg Pelton said competing at scale requires launch, satellite manufacturing, spectrum and a high-value service. Pelton assessed that Equatys has spectrum, service-provider capability and satellites in orbit but does not necessarily have launch yet.

Pelton spoke on the same Silicon Valley Space Week stage as Terrestar. Equatys has more satellites planned beyond those already in orbit.

Silicon UK reported that Equatys aims to compete with SpaceX’s Starlink. An earlier October 2026 incident in which SpaceX throttled critical Starlink and military Starshield services used by Ukraine intensified countries’ efforts to find Starlink alternatives.