Latest news with #Skynet6
Yahoo
6 days ago
- Business
- Yahoo
Thousands of Airbus jobs at risk over MoD contract
One of Europe's biggest defence companies has warned that thousands of jobs in Britain would be put at risk if the Government awards a military satellite deal to an American rival. Airbus has privately told the Ministry of Defence that a failure to secure a contract to build the next generation of Skynet 6 satellites could threaten £10bn worth of potential exports. The company is currently trying to secure work from the Japanese government and various Middle Eastern countries. However, this business relies on Airbus's status as a trusted British partner and executives fear that a snub from London would sink the deals. That would in turn cause serious problems for the company's UK space division, multiple people briefed on the situation said. Without the extra work, the future of the company's flagship satellite facilities in Stevenage and Portsmouth – which employ a combined 3,000 people – would be put at risk. They are seen as the jewels in crown of the UK space industry, with Sir Keir Starmer taking German chancellor Friedrich Merz on a tour of the Stevenage site during a visit on Thursday. But at present, the UK division only has enough work to sustain it until the end of this decade. Ben Bridges, chairman of Airbus Defence and Space UK, has also previously warned that Britain's sovereign ability to design and make satellites is critical to its status as a global 'space power'. On Friday, a spokesman for Airbus declined to comment. The MoD is expected to put the latest Skynet contract out to tender as soon as next week, with Airbus and US defence giant Lockheed Martin the only two companies in the running. Airbus has built all of Britain's Skynet satellites to date. The bus-sized devices orbit the Earth from more than 22,000 miles away and provide vital, secure communications used to keep troops connected with bases back in Britain, coordinate missile strikes or transmit targeting data. Airbus is facing a challenge from Lockheed, which has offered to set up a UK satellite manufacturing base. Ministry of Defence insiders say the American giant is also offering advanced capabilities that are not available from Airbus satellites. The decision is gaining urgency as Airbus lobbies for clarity on its future workload. Made in America? At the same time, a debate is raging across Europe over how much to invest in US-made military equipment in future amid concerns about Donald Trump's commitment to the Continent. President Trump has called on Europe to step up and pay for its own security, a push that led to Nato members recently agreeing to increase defence spending to 5pc of GDP by 2035. On Friday, James Cartlidge, Conservative shadow defence secretary, warned that preserving Britain's ability to design and make satellites was essential because of the growing role space was playing in conflicts. He said: 'We should think of the modern space sector almost in the same way as we think about the nuclear deterrent. 'You need to have a lot more sovereign capability then we'd previously assumed you'd need, because of everything we're learning from Ukraine and elsewhere in the world. 'It's such a critical domain and so we need to not only invest in it as a country but also ensure we have a sovereign, domestic industrial base.' A Ministry of Defence spokesman said: 'We are implementing the Strategic Defence Review's recommendations to invest further in the resilience and capability of our space capabilities. This will improve the lethality and strength of our Armed Forces, defend the security of the UK, and bolster our industrial base while making defence an engine for growth across the country.'The competition for Skynet satellites is ongoing and bids must demonstrate how they will secure sovereign capabilities in the UK.' Broaden your horizons with award-winning British journalism. Try The Telegraph free for 1 month with unlimited access to our award-winning website, exclusive app, money-saving offers and more. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Telegraph
6 days ago
- Business
- Telegraph
Thousands of Airbus jobs at risk over MoD contract
One of Europe's biggest defence companies has warned that thousands of jobs in Britain would be put at risk if the Government awards a military satellite deal to an American rival. Airbus has privately told the Ministry of Defence that a failure to secure a contract to build the next generation of Skynet 6 satellites could threaten £10bn worth of potential exports. The company is currently trying to secure work from the Japanese government and various Middle Eastern countries. However, this business relies on Airbus's status as a trusted British partner and executives fear that a snub from London would sink the deals. That would in turn cause serious problems for the company's UK space division, multiple people briefed on the situation said. Without the extra work, the future of the company's flagship satellite facilities in Stevenage and Portsmouth – which employ a combined 3,000 people – would be put at risk. They are seen as the jewels in crown of the UK space industry, with Sir Keir Starmer taking German chancellor Friedrich Merz on a tour of the Stevenage site during a visit on Thursday. But at present, the UK division only has enough work to sustain it until the end of this decade. Ben Bridges, chairman of Airbus Defence and Space UK, has also previously warned that Britain's sovereign ability to design and make satellites is critical to its status as a global 'space power'. On Friday, a spokesman for Airbus declined to comment. The MoD is expected to put the latest Skynet contract out to tender as soon as next week, with Airbus and US defence giant Lockheed Martin the only two companies in the running. Airbus has built all of Britain's Skynet satellites to date. The bus-sized devices orbit the Earth from more than 22,000 miles away and provide vital, secure communications used to keep troops connected with bases back in Britain, coordinate missile strikes or transmit targeting data. Airbus is facing a challenge from Lockheed, which has offered to set up a UK satellite manufacturing base. Ministry of Defence insiders say the American giant is also offering advanced capabilities that are not available from Airbus satellites. The decision is gaining urgency as Airbus lobbies for clarity on its future workload. Made in America? At the same time, a debate is raging across Europe over how much to invest in US-made military equipment in future amid concerns about Donald Trump's commitment to the Continent. President Trump has called on Europe to step up and pay for its own security, a push that led to Nato members recently agreeing to increase defence spending to 5pc of GDP by 2035. On Friday, James Cartlidge, Conservative shadow defence secretary, warned that preserving Britain's ability to design and make satellites was essential because of the growing role space was playing in conflicts.
Yahoo
09-02-2025
- Business
- Yahoo
Jeff Bezos wins MoD contract amid concern over Musk satellite dominance
Jeff Bezos has won what is thought to be his first military contract in Britain as Amazon seeks to forge closer ties with defence organisations. Amazon's satellite venture Project Kuiper secured a deal worth hundreds of thousands of pounds to undertake a study on advanced space-based communications systems for the Ministry of Defence (MoD), which was later presented to UK Space Command. One industry source said Amazon Kuiper executives had been 'rattling the door' of the British defence establishment as it prepares to launch a network of thousands of communications satellites in the coming years. Amazon Kuiper is intended to compete with Mr Musk's Starlink, which already has 7,000 satellites in low-orbit above the Earth providing internet connectivity to millions of people. The £670,000 consultancy deal with the MoD involved Kuiper exploring the use of 'translator' satellites for British military officials. The US Defence Advanced Research Projects Agency, or Darpa, has been working on similar technology. The idea is to develop a new communications layer between military, government and private satellites – or a nation's allies. Currently, satellites are mostly limited to sending signals to spacecraft in the same network. The e-commerce giant has also been courting defence officials in the US for billions of dollars in contracts for its satellite business. The Telegraph previously revealed that Amazon Kuiper executives met with Air Marshal Paul Godfrey, the former head of UK Space Command, last year. He also met with executives from Blue Origin, Mr Bezos's rocket business that is hoping to compete with SpaceX. Amazon has already won billions of pounds in UK government contracts for its Amazon Web Services internet data and storage division, making it a critical government IT supplier. Last week, Ofcom, the UK's telecoms regulator, approved a licence for Amazon to offer satellite-based broadband services in Britain. Starlink, Mr Musk's service, has around 87,000 customers. Amazon's efforts to court British officials come as Western governments look for alternatives to Starlink. The mercurial Mr Musk is effectively a fixture of the US government through his Department of Government Efficiency. The EU has approved funding for a massive satellite constellation, called Iris2, which is supposed to offer a sovereign space network for the bloc. The UK also has a stake in Eutelsat OneWeb, the satellite business, although the Government has used Starlink's satellite dishes to trial connecting rural not-spots under a government-backed programme. Taiwan, for instance, has held talks with Amazon over using its planned Kuiper network amid concerns over Mr Musk's business links in China. In Canada, meanwhile, the government in Ontario has threatened to rip up a Starlink contract in a row with the US over tariffs. Britain is planning the development of its next generation of military satellites. This includes the £5bn Skynet 6 programme, which features Airbus and Lockheed Martin as final bidders. It is also exploring a £1bn intelligence-gathering satellite network. Amazon has declined to comment. Broaden your horizons with award-winning British journalism. Try The Telegraph free for 1 month with unlimited access to our award-winning website, exclusive app, money-saving offers and more.
