Page 48 - SAMENA Trends - September 2023

SATELLITE UPDATES SAMENA TRENDS

Tabuk is part of the joint venture’s ongoing and provide insights into the initiatives DCO member populations. The network
efforts to extend its ground network. the DCO is undertaking across member built by OneWeb will also be used to
The announcement follows OneWeb’s nations, including Saudi Arabia, Bahrain, support a variety of applications, such as
appointment as Observer Member by the Jordan, Morocco and Pakistan, as well telemedicine, education and agriculture.
Digital Cooperation Organization (DCO). as the broader digital world to accelerate
The role will allow the company to gain the growth of the digital economy across

Yahsat Wins US$5.1 billion UAE Satellite Capacity, Services Deal

The UAE government has given the go- to serve the government with new cutting- the UAE Government. The AED 18.7 billion
ahead to Al Yah Satellite Communications edge solutions that are not currently mandate positions Yahsat for sustainable
Company (Yahsat), the emirate’s flagship possible. The performance of the new future growth, alongside other ambitious
satellite solutions provider, to provide satellites is expected to significantly projects in the pipeline. “Our financial
satellite capacity and managed services surpass current industry capabilities position has never been stronger and we
for 17 years. Yahsat’s government services including capacity, coverage and flexibility now enjoy a contracted revenue backlog of
arm, Yahsat Government Solutions (YGS), allowing us to offer a wide range of next AED 25.7 billion [USD 7.0 billion] or over 16
has been awarded the AED 18.7 billion ($5.1 generation applications to our end user. times annual revenues based on backlog
billion), mandate that combines related We are excited by this new journey and figures at the end of the second quarter.
operations, maintenance and technology look forward to serving our customer Representing one of the largest backlog
management services of ground segment with true operational excellence.” Ali Al multiples and strongest balance sheets in
satellite systems and terminals currently Hashemi, Group Chief Executive Officer the industry, we remain optimistic about
provided under a separate contract. at Yahsat, said: “This is a new chapter in providing a broader, more diverse and
The mandate will replace two current Yahsat’s momentous journey serving the cutting-edge solutions portfolio to both the
agreements, the Capacity Services satellite communications requirements for government and our customers.”
Agreement (CSA) and the Managed
Services Mandate (MSM), which come to
an end in November and December 2026,
respectively. Under the new mandate,
Yahsat will provide the government with
secure and reliable satellite capacity and
related managed services using the Al Yah
1 and Al Yah 2 satellites, currently in orbit,
and supplement this by two new satellites,
Al Yah 4 (“AY4”) and Al Yah 5 (“AY5”)
which are expected to be launched in
2027 and 2028, respectively. The mandate
significantly increases Yahsat’s contracted
future revenues to AED 25.7 billion ($7
billion), over 16 times its 2022 annual
revenues, extending backlog well beyond
2040 and providing security and visibility
over its future cash flows. Commenting
on this key milestone, Musabbeh Al Kaabi,
Chairman of Yahsat, said: “We are honored
to secure the continued trust of the UAE
Government to provide critical, secure
communication services for a further
17 years beyond 2026. This award is a
testament to our long-standing relationship
with the Government and the quality of
service that we provide as we continue
to strive to consistently exceed customer
expectations. “By complementing our
existing fleet with Al Yah 4 and Al Yah 5
next generation satellites, we will be able

48 SEPTEMBER 2023