OTTAWA — A Canadian telecommunications firm has signed a deal worth $2.3 billion with the federal government to provide satellite communications for the Canadian Armed Forces in the Arctic.

The federal Defence Investment Agency and Telesat LEO announced the deal today.

It’s the largest contract ever for the Ottawa-based company, which has been in operation for about 60 years.

The federal government has said the Canadian military currently has limited options for satellite communications in the Arctic.

Ottawa signed a strategic partnership late last year with Telesat and Canadian satellite manufacturer MDA Space.

The military is expected to gain access to communications through Telesat’s low-Earth orbit network in early 2028.

This report by The Canadian Press was first published Aug. 4, 2026.

Canadian Press Staff, The Canadian Press