# Ontario Cancels Starlink Broadband Deal

Ontario canceled its late-2024, $100 million Starlink broadband agreement with SpaceX in 2025 and later reached a confidential settlement; the province says the payment was significantly below the original contract value but has not disclosed the amount. The agreement was intended to provide satellite service to 15,000 customers, primarily in remote First Nations and rural communities. Ontario says it is seeking domestic, sovereign low-Earth-orbit satellite technology, but no solicitation or award details for a replacement procurement have been reported.

- The cancellation and undisclosed settlement highlight the financial and accountability implications of termination clauses, settlement terms, and disclosure provisions in public-sector contracts.
- Canadian satellite and telecommunications suppliers may see a potential opening, although there is no announced solicitation to pursue yet.
- Contractors pursuing similar agreements should evaluate how termination rights, cancellation costs, and confidentiality terms are addressed in their bids and contract negotiations.

**Jurisdictions:** international
**Industries:** Information Technology
**Topics:** Digital Infrastructure
**Published:** September 30, 2026

### Government Entities
- Government of Ontario
- Treasury Board of Ontario
- Ontario Ministry of Infrastructure
- Legislative Assembly of Ontario

### Vendors
- SpaceX (awardee)

### Key Quotes
> There are many values assigned to different parts of the contract. Government does not disclose those parts. We don’t disclose them because if we were to advertise to the world and to the market how much we’re willing to pay, we would lose our competitive advantage, and we would not be able to negotiate in the best interest of the taxpayer and get the best price, the best product, and the best service.
> — Kinga Surma, President of the Treasury Board

> Taxpayers deserve to know how their money is being spent, if they’re getting value for money for this and just how much the government is paying SpaceX to not do work.
> — Noah Jarvis, Ontario director of the Canadian Taxpayers Federation

### Sources
- [Ontario ministers defend secret payout to Elon Musk's SpaceX over nixed Starlink deal](https://toronto.citynews.ca/2026/09/30/ontario-ministers-defend-secret-payout-to-elon-musks-spacex-over-nixed-starlink-deal) - CityNews Toronto