UK-based communications company OneWeb, has secured a US$50 million investment from US-based Hughes Network Systems to steer it away from bankruptcy.
Hughes will be joining the UK government and Bharti Enterprises in this consortium.
Additionally, Hughes will continue to partner Oneweb in technology and distribution of the Low Earth Orbit (LEO) satellite.
President of Hughes Pradman Kaul said “We are pleased to be part of this winning team, along with the British Government and Bharti, Our continuing and strengthened involvement with OneWeb extends naturally from our position as a leading geostationary satellite operator and ground network innovator, along with a meaningful partnership with Bharti and longstanding relationship with the U.K. through our business operations in both countries.”
Mr. Kaul added that “This global consortium brings the right players together to fulfill the promise of the OneWeb constellation in deploying low-latency services for communities, enterprises, governments, airplanes and ships – complementing geostationary connectivity and ushering in the new era of multi-transport services that will serve growing bandwidth demand around the world. We look forward to doing our part in developing this groundbreaking technology and bringing those services to market.”
Bharti Enterprises chairman Sunil Bharti Mittal thinks Hughes investment is a testament of the financial prospects of the company. He said I a statement “Hughes’ investment underlines OneWeb’s exciting commercial prospects, reflected in ongoing discussions with some of the world’s leading strategic and financial investors.”
The share value Hughes will own in OneWeb after this investment has not been disclosed yet.