Canada's Telesat eyes secure Italian satellite connectivity contract, sources say

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Canada’s Telesat held preliminary talks with Italy to provide satellite services ​to ensure encrypted communications for the government, diplomats ‌and defence officials operating in high-risk areas, three sources close to the matter said on Tuesday.

Satellite connectivity has become a highly ​sensitive issue in Italy after talks between the ​government and Elon Musk’s Starlink to provide secure systems ⁠stalled last year, reflecting growing tension between Europe and ​the United States.

Telesat, which according to its website operates 11 ​geostationary satellites, plans to launch 150 to 200 low-Earth-orbit (LEO) satellites from this year for commercial and military use.

The sources, who declined to ​be named, said Telesat representatives held initial discussions with ​the Italian government, but no financial details were addressed at this stage.

One ‌of ⁠the sources said the latest talks took place this month. Another added the government had not yet given any feedback on the Telesat proposal.

A spokesperson for Telesat ​said the group ​was unable ⁠to provide any comment on the matter for now.

Sources told Reuters last year that ​Rome had considered a five-year, €1.5 billion ($1.6 billion) deal ​with ⁠SpaceX’s Starlink, the dominant operator in the sector with around 7,000 active LEO satellites.

LEO satellites operate 36 times closer ⁠to ​Earth than traditional ones so they ​take less time to send and receive information, leading to better and ​faster broadband service even in remote areas.