Conservative MP Michael Barrett questioned the federal government’s $2.14 billion investment in Telesat, asking SpaceX CEO Elon Musk on social media, “How much would it cost to provide Starlink to every Canadian household without high-speed internet?” Musk replied, “Less than half that amount.”
Following Barrett’s comments, Liberals have defended the investment. François-Philippe Champagne, Minister of Innovation, Science, and Industry, stated, “Receiving interest and stock for a repayable loan is much cheaper than paying for ‘less than half’ of anything… We won’t outsource our national security & we’ll have the network to protect Canada and the Arctic. Now, that’s common sense.”
Champagne had previously criticized Conservative leader Pierre Poilievre, saying, “They’d prefer giving money to foreign billionaires instead of supporting our industry and workers. This loan will help build a world-class Canadian-made satellite network and supports thousands of jobs in Quebec.”
This investment is not the first for Telesat, a former Crown corporation privatized in the 1990s and publicly listed in 2021. That year, Prime Minister Justin Trudeau’s government provided Telesat with $1.4 billion, including a $790 million repayable loan and $650 million as a preferred share equity investment.
Starlink, which began launching satellites in 2018, currently operates over 6,000 low-orbit satellites. Telesat has yet to debut any of its new Lightspeed satellites. The service will not be sold directly to Canadians, but through service providers, unlike Starlink’s direct-to-consumer model.
SpaceX’s Starlink currently serves over 400,000 active Canadian customers as of June.
When the first Telesat Lightspeed satellites are launched in 2026—they’ll be sent up into orbit by SpaceX, ironically.
Telesat, headquartered in Ottawa, is majority-owned by U.S.-based investors, including GAMCO Asset Management and Gabelli & Company Investment Advisers, prompting further debate on just how Canadian the company really is.
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Never underestimate this government’s ability to spend vastly more money than needed. They have absolutely no concept of value for money. Unless that money is going to friends of the party or to buy votes.
Is it a good idea to encourage Musk?
I don't see why not, Musk is a moderate and he has been objectively fair, regardless of what people say.
You’re assuming people these days can themselves be objectively fair.
When people become deranged in the hatred, objectivity, fairness and reason go out the window.
This is the “freedumb” is dangerous crowd.
The Tesla fanboys are doing a good job at that already. No need for anyone else to do so unless they enjoy being lied to repeatedly.
If the gov is making multi-billion dollar decisions that will have possibly decades long impact on service, whether it’s Musk or not shouldn’t factor into it. Decisions should be based on fiscal responsibility, quality and speed of delivery and good for Canadians, and not some petty, juvenile personal/party grudge against some personality.
So the right is no to immigration but yes to foreign dependence. The US military is questioning their dependence on starlink already.
Not sure where you’re going.
Most people on the right that I know are pro-immigration but controlled, legal, beneficial immigration. Also, not relevant to the discussion.
How is this related to foreign dependence? This company is almost entirely foreign owned.
Decisions should be based on fiscal responsibility, quality and speed of delivery and good for Canadians, and not some petty, juvenile personal/party grudge against some personality.
And making a deal with musk would result in….what, exactly. Certainly nothing benefitial for Canadians.
Faster delivery of superior service for less cost.
I guess if the reasoning doesn’t involve any of those things, sure, this makes sense.
Seems pretty obvious it was a decision based on some pathological disdain for Musk. When the haters are being honest, they usually just admit it.
Completely delusional. This is why Canadians want you guys out. You guys will lie about everything. Starlink has proven itself globally. Ask Viasat. But again, let's listen to a bunch of incompetent morons who destroyed this country. loll Delusional
Ignoring the fact that the $2.1b is a repayable loan and that the two companies have different business models… Sure it could less than half for Starlink, but then you're stuck with an unhinged CEO and no return on your investment.
Drinking the Liberal Kool-Aid?
Here is a fact….the US military is already dependent on starlink and are looking for a backup and how to nationalized it if war breaks out. Letting your national security to foreign private companies is a recipe for disaster. The only koolaid getting drank here is by you. Some basic research shows this. But you drink that conservative Kool aid. I can't wait for the crying to start when you find your boy is just another grifter
Nobody wants you guys in office anymore for a reason. The national security line is another excuse to justify this loan, that will likely result in a bankruptcy down the line. Nobody believes anything you guys say, keep drinking the koolaid
None of which is even a little relevant to the discussion at hand. Telesat is foreign owned, so if that’s your red line you’re already crossing it.
The whole jug
Nobody believes anything you guys say anymore. Unhinged this or that. Look at their approval rating. Gtfo
Go back to suckling on Musk's teet, fanboy.
Keep shilling for a government that can’t tell that this company will go bankrupt. When it happens, ofc you’ll be nowhere to be found.
You forget the 400million Quebec sank into this "enterprise". Free money never stimulates innovation and performance.
BTW…where are the 2 subscribers?
Cost is something has to be justified and monitored – every agency – government or not – seems incapable of fulfilling contracts on budget, but to rely entirely on a 3rd Party foreign entity to supply Canadians with critical communication infrastructure just seems rife with security and privacy concerns. Forget about China, the US has the ability to access and troll through what is passing through – and fed to – their electronic borders as well.
Then there's the whole issue of who owns and controls the communication service – and perhaps no real surprise that a Conservative gets moist at the thought of Mr Loopy being in charge of it all.
Starlink is the most cost effective offer. The loan being repaid is wishful thinking.
Starlink and Telesat have completely different business models. Starlink is direct to consumer, whereas Telesat essentially sells wholesale access to their LEO network to providers (like Xplornet) and other businesses/enterprises. You can't go out and get Telesat internet in your home, so I'm not sure what you're basing this "most cost effective offer" comment on.
Launch costs you idiot.
Nobody here mentioned anything about launch costs, you idiot.
Launch costs get factored into the cost. Regardless of their business model, you need a vast constellation to maintain bandwidth. So for Telesat, wholesale access isn’t going to be cheaper than licensing out to someone who can lease you a satellite and deploy through space x (like Amazon’s Project Kuiper). The business model will die as Space X costs get cheaper, which is the target. That’s why nothing you’re saying makes sense. You’re an idiot to justify this.
Not sure we can believe a guy that can't deliver on any of his promises.
"Any?" Lol. You'll say anything. Kick rocks
It's Musk. Regardless of cost he's proven time and time again he is incompitent, off his rocker and absoolutely never follows through with promisses.
Of course the cons support him. He supports the orange thing in the US. Not that this government is good – they need to be out of office yesterday – but I'm tired of government, any government, tossing my taxpayer dollars into the void. The cons will be no different despite what they claim, but at least we'll get someone who can actually talk sense. Removing the nonsense carbon tax will be a huge start.
Canadians are fed up with liberals and NDP for a reason. We aren't listening to a bunch of losers give their opinions, when they destroyed this country. Kick rocks