SES to strengthen itself with $3.1B Intelsat acquisition
Summary
SES confirmed talks with Intelsat were ongoing in March 2023, after a Bloomberg report said both firms were close to reaching a deal worth over $10 billion, including debt. The deal is also expected to give rise to a stronger and more resilient multi-orbit operator with improved coverage, a larger suite of solutions and more resources to innovate. "Bringing together two legacy giants from Europe and the US, both companies are focused on driving efficiencies and maximizing their investments in both GEO and MEO satellites." "However, based on the operating efficiencies gained, theres potential for deploying low earth orbit (LEO) satellites in the future to meet high-bandwidth and low-latency connectivity demands when required," he also said, adding that "with confidence in the competitiveness of these satellites, when compared to Starlinks LEO constellation, the combined entity will be able to offer wider coverage of the Earths surface at a more affordable cost, albeit at higher latency." With a large number of newcomers entering the satellite segment in recent years, this latest deal is not the first sign of industry consolidation.
