Eutelsat OneWeb (formerly OneWeb) is a satellite communications company aiming to bridge the digital divide by providing high-speed, low-latency broadband internet services globally via a low Earth orbit (LEO) satellite constellation. As a subsidiary of Eutelsat Group, it focuses on delivering connectivity solutions to governments, enterprises, and communities in underserved areas, as well as to the maritime and aviation sectors. Key partners include distribution partners, Airbus (through OneWeb Satellites, a joint venture for satellite manufacturing), and technology providers like Microsoft Azure and AWS for network peering.
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OneWeb launched its first six satellites in February 2018 aboard an Arianespace Soyuz rocket.
Virgin Orbit is suing OneWeb for refusing to pay a termination fee after OneWeb canceled all but the initial four of 39 launches it ordered from Virgin Orbit in 2015 to fill gaps in a planned constellation of at least 648 broadband satellites.
OneWeb agreed in 2015 to pay Virgin Orbit $234 million, or $6,000,000 per launch, to loft its satellites one or two at a time using Virgin Orbit’s air-launched LauncherOne vehicle.
OneWeb sent Virgin Orbit $22,360,000 in July 2018, approximately $1,260,000 more than it owed in past-due payments and late fees at that time.
OneWeb had fallen $19,000,000 behind on payments and incurred $2,100,000 in late-payment fees by the time it canceled the launches in June 2018.
OneWeb sought during spring 2017 to reduce the number of launches, pay less per launch, and spread out launch dates beyond the original contract terms.
OneWeb canceled the 35 remaining firm launches on 2018-06-14 while leaving intact the agreement covering the four initial launches.
Virgin Orbit and OneWeb entered into a launch services agreement on 2015-05-20 that called for four initial firm launches to start in 2017 and 35 remaining firm launches to start in 2018.
OneWeb canceled 35 of a planned 39 launches in June 2018, triggering a $70,000,000 termination fee spelled out in the contract.
After accounting for the July 2018 payment and the prior $26,250,000 paid, OneWeb still owes Virgin Orbit $46.32 million, according to Virgin Orbit’s complaint.
OneWeb had paid $26,250,000 toward the 35 now-terminated launches since signing the contract in 2015.
The 2015 contract included options for an additional 100 launches at $6,000,000 per launch, creating potential Virgin Orbit revenue between $234,000,000 and $834,000,000 under the agreement with OneWeb.
OneWeb, which was granted U.S. market access in 2017, has until 2023 to launch 360 of its approved 720-satellite constellation.
OneWeb partnered with antenna maker Intellian to provide communications terminals for its low Earth orbit broadband constellation.
Airbus built an assembly line on Florida’s Space Coast to manufacture up to 648 satellites for OneWeb.
Airbus is preparing to produce 32 satellites every three weeks for the OneWeb broadband venture.
Christine highlighted that companies like SpaceX, OneWeb, and Amazon are working on megaconstellations in low Earth orbit (LEO) to provide inexpensive broadband services.
OneWeb and Kepler Communications objected mainly to SpaceX's request to use Ku-band ground stations for some lower-orbiting satellites on the grounds that the ground stations could cause interference with their Ku-band satellite networks.
Arianespace signed OneWeb as the customer for the 2020 maiden flight of Ariane 6, which will use the lighter Ariane 62 configuration with two strap-on boosters.
OneWeb founder Greg Wyler asserted that his side project developed an antenna module costing $15 and that user terminals could be priced between $200 and $300.