What's Happening?
OQ Technology, a Luxembourg-based satellite operator, has secured €25 million in venture debt financing from the European Investment Bank (EIB). The funding will support the development and launch of over 20 satellites in the next two years, enhancing
the company's direct-to-device (D2D) satellite capabilities. This financing follows previous support from the European Innovation Council, which provided a €2.5 million grant and up to €15 million in equity financing. OQ Technology plans to double its workforce and expand its satellite constellation to 30 by the end of the year, with a long-term goal of operating 100 D2D payloads.
Why It's Important?
The financing from EIB underscores the strategic importance of having a European player in the D2D satellite market. This investment is expected to bolster OQ Technology's growth, enabling it to enhance its satellite infrastructure and expand its market reach. The development of D2D technology is crucial for providing reliable connectivity, particularly in remote areas. The support from major European institutions also signals confidence in OQ Technology's business model and its potential to drive innovation in the satellite communications sector.
What's Next?
With the new funding, OQ Technology plans to accelerate its satellite deployment and expand its workforce. The company aims to offer D2D text applications by 2026 and full voice connectivity by 2027. This expansion will support various applications across Europe, including sovereign connectivity needs and consumer-grade connections. As OQ Technology continues to grow, it may attract further investment and partnerships, potentially leading to advancements in satellite technology and increased competition in the market.
