Friend or foe? Satellite companies pitch ISPs on partnerships, while Starlink and Amazon loom

MARKHAM—As Starlink’s satellite offerings become increasingly popular in the country’s rural regions, low earth orbit (LEO) wholesalers are proposing a ‘made in Canada’ approach to eliminate the digital divide. During a panel discussion at the annual CanWISP (Canadian Association of Wireless Internet Service Providers) conference in Markham, Ont., representatives from the Canadian firm Telesat Corp. and the European-based Eutelsat Group, which operates OneWeb LEO, pitched local carriers on partnerships to bring service to unconnected areas. “Our philosophy has always been how we can work with existing players and enable them, rather than coming in and taking some of their customers,” said Serge Mushinzimana, a senior account executive for Telesat, which has historically operated geostationary satellites. “The question is not what are we taking and what are we leaving, but about how we work together in a way that makes sense for every player in a win-win model.” Unlike Starlink, operated by Space Exploration Technologies Inc. (SpaceX) or the forthcoming Amazon.com Inc. LEO offering, Telesat and Eutelsat do not provide direct-to-user service in Canada. “We work as wholesalers, so we don’t compete with the local providers,” explained Mushinzimana. “We simply come in, understand your needs, and connect you to satellites.” Telesat’s LEO service, known as Lightspeed, is projected to become operational by the end of 2027, though Mushinzimana said things are moving “at the speed of light.” “We have everything,” he said. “The funding has been secured… by the end of this year, we’ll have two satellites in orbit to undertake all the different testing that is needed.” “We are in deep discussions with all telcos, starting with the big ones…, to understand your needs and ensure that, by the time we are fully operational, we are able to serve you as fast as possible.” LEO satellites operate closer to the earth’s surface (between 160 and 1,600 kilometers away) than geostationary infrastructure. Across the globe, LEO has been used to bring connectivity to areas where, for geographic or economic reasons, it may be difficult to provide service. According to David Van Dyke, general manager for Canada at Eutelsat, partnering with wireless distributors allows LEO companies to “enable carriers and ISPs” to invest in distribution and ensures “the revenues are kept in Canada.” “I’ve seen companies like Starlink come in and basically eat up the entire residential market for… Northwestel Inc. and other smaller players,” Van Dyke told attendees on April 1. “Whereas we come to the market… to play with local players and enable local communities.” “Starlink comes in and sells direct-to-consumers with no local presence and no local enablement of local providers to compete with them. Van Dyke said he finds this pattern “very sad,” calling it a regulatory “failure.” Starlink, which is available across the Canadian north, counts more than 500,000 users across the country, many of whom live in remote locales. Meanwhile, Amazon continues to send up new satellites for its future LEO service, expected to launch in Canada later this year. Moderator Peter Leaton, CEO of Sichuun, explained that officials from both Starlink and Amazon were invited to CanWISP, but neither “were able to attend.” Panellists suggested LEO-ISP partnerships could help bring down costs associated with current satellite offerings. “We’ve seen that the longer it takes to solve the rural and remote issue, the more we’re seeing LEOs play a role,” said Susan Church, executive director of Blue Sky Net, a non-profit based in northern Ontario. “Sure, that's working, but at what cost?” “There’s Starlink and soon be Amazon… and with no other choice, citizens are using this option, but it’s certainly not affordable for them.” For Van Dyke, people living in remote communities often struggle to balance the need for connectivity with what he said were exorbitant costs. “In areas like rural Ontario or the Arctic, the average incomes are very low,” he said. “If you’re talking about $140 per month for Starlink service or some other LEO service, that’s very expensive for a lot of these people.” “So we look to see how we can partner with government entities that are in these local communities… share this connectivity with a local ISP who could distribute that connectivity to the community.” dlegree@thewirereport.ca

Friend or foe? Satellite companies pitch ISPs on partnerships, while Starlink and Amazon loom

Telecom |
By Davis Legree
|April 2, 2026

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Friend or foe? Satellite companies pitch ISPs on partnerships, while Starlink and Amazon loom

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