The UK Space Agency has awarded £16 million to two projects that strengthen Britain’s position in satellite communications. This funding will support the development of technologies designed to improve the efficiency, interoperability and capability of satellite constellations.
The investment is part of the UK Space Agency’s Connectivity in Low Earth Orbit (C-LEO) programme, which plans to invest up to £160 million over the next four years to build British expertise in satellite communications and related systems.
Satellite constellations are reshaping global connectivity by delivering high-speed internet to remote and underserved regions, helping to close the digital divide where traditional infrastructure is limited or absent. These networks are also improving communications for specialised markets such as maritime and aviation, enabling more reliable coverage and new services.
Telecoms Minister Sir Chris Bryant said the UK has the skills and technology to lead the next wave of satellite communications innovation. He noted that government-backed projects like these will advance mobile communications and help connect communities in hard-to-reach areas.
Two companies received funding in this round:
- EnSilica, based in Oxfordshire, will receive £10 million to develop advanced silicon chips and supporting software for a user terminal. These innovations are intended to enable compatibility with regional constellations, including UK-based networks and other European initiatives.
- Excelerate Technology, headquartered in Cardiff, will receive £6 million to develop the Mobility and Autonomy Market User Terminal (MAMUT). This compact and flexible user terminal is being designed to let operators switch seamlessly between satellite providers and orbits via a simple application, reducing costs and improving adaptability for global operations.
The UK’s space industry has a long history in satellite design, manufacturing and operations, positioning it well to benefit from the rapid growth of the global satellite market. This latest investment is intended to preserve and extend the country’s competitive advantage in satellite technologies and services.
In 2023 the sector reached a milestone with over 2,900 satellites deployed into orbit, many forming parts of commercial mega-constellations. Forecasts indicate that up to 18,000 additional satellites could be launched between 2021 and 2031, with mega-constellations expected to represent a significant share of that growth. These constellations are seen as critical infrastructure for widespread global connectivity.
For the UK, these trends represent an opportunity to capture contracts across the global supply chains that support constellation deployments. Supporting innovation in chips, terminals, software and system integration increases the country’s prospects for securing valuable roles in this expanding ecosystem.
The funding also highlights the UK’s commitment to international cooperation in space. As a founding member of the European Space Agency (ESA), the UK hosts the European Centre for Space Applications and Telecommunications (ECSAT) at the Harwell Space Cluster, reinforcing close ties with European partners and collaborative programmes.
Support under the C-LEO programme is delivered through two routes: direct grants managed by the UK Space Agency, such as the awards announced here, and additional contracts awarded in collaboration with ESA. Further funding announcements coordinated with ESA are expected in the coming months, increasing the scope of UK investment in satellite communications.
The grant announcement coincides with the Ignite Space Conference, hosted by the UK Space Agency at Leicester’s National Space Centre. The event focuses on opportunities for small and medium-sized enterprises to connect with potential customers, collaborators and investors across the UK space sector and its supply chains.
By encouraging collaboration between smaller innovators and larger industry stakeholders, the UK aims to maximise the domestic sector’s potential while strengthening its international standing in satellite communications and related technologies.
(Photo credit: Max McKinnon)
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