Space42 signs AED 18.7b contract with the UAE Government

Space42, an AI-powered SpaceTech company based in the UAE, signed a contract worth AED 18.7 billion ($5.1 billion) with the Emirati government to provide critical, secure communication services until 2043.

Space42 will provide secure and reliable satellite capacity and related managed services with the existing Al Yah 1 and Al Yah 2 satellites in orbit. This will be supplemented by two new advanced satellites, Al Yah 4 and Al Yah 5, expected to launch in 2027 and 2028, respectively.

The contract will replace two current agreements, the Capacity Services Agreement and the Managed Services Mandate, which end in November and December 2026, respectively.

The new contract combines related operations, maintenance, and technology management services of ground segment satellite systems and terminals currently provided under a separate agreement.   

Space42 will receive AED 3.7 billion (USD 1 billion) in advanced payments to construct the Al Yah 4 and Al Yah 5 satellites.

The new satellites will provide secure governmental communications across the Middle East, Africa, Europe, and Asia.

The CEO of Yahsat Space Services at Space42, Ali Al Hashemi, said: “The Al Yah 4 and Al Yah 5 satellites will offer new capabilities to advance our technology and service offerings, enabling us to continue providing our innovative SpaceTech solutions that meet the UAE Government’s evolving requirements more efficiently, securely and reliably.”

Space42 recently contracted Airbus to construct the satellites and has selected SpaceX to launch them into orbit using the reliable Falcon 9 rocket launch vehicle.

The satellites are based on the Airbus Eurostar Neo platform, which can deploy flexible multi-band payloads in orbit. The cost of the Al Yah 4 and Al Yah 5 development program, including spacecraft, ground segment infrastructure, launch, and insurance, will be approximately AED 3.9 billion (USD 1.1 billion).