Iridium secures $85.8 million contract from U.S. Space Force

MCLEAN, Va. - Iridium Communications Inc. (NASDAQ:IRDM) has been awarded a 5-year indefinite delivery/indefinite quantity (IDIQ) contract from the United States Space Force’s Space Systems Command Commercial Space Office with a potential value of up to $85.8 million, according to a press release issued Tuesday. This contract represents a significant opportunity for the satellite communications provider, which currently has a market capitalization of $1.72 billion and is trading near its 52-week low of $15.64, according to InvestingPro data.

The System Infrastructure Transformation and Hybridization (SITH) contract will support technological refreshes, lifecycle upgrades, and security enhancements to the Enhanced Mobile Satellite Services (EMSS) Service Center, Technical Support Center, and Defense Ground Station.

This agreement serves as a follow-on to the Gateway Evolution Contract awarded to Iridium in 2019 and represents the latest of three core EMSS contracts between the satellite communications provider and the U.S. Space Force.

"Through this contract, Iridium and the U.S. Space Force will continue to innovate and deliver resilient, secure and highly reliable mission-critical communications," said Scott Scheimreif, executive vice president at Iridium, in the statement.

The company operates a low-Earth orbit satellite network that provides global voice and data solutions for military forces. Earlier this year, in April 2024, Iridium was awarded the Capabilities and Security Sustainment Services Contract (ECS3) to maintain peak performance of the EMSS Service Center and Defense Ground Station.

Iridium is also working to establish the ground Operations and Integration segment for Tranche 1 of the Proliferated Warfighter Space Architecture.

In other recent news, Iridium Communications Inc. reported its third-quarter 2025 earnings, surpassing analyst expectations. The company achieved an earnings per share of $0.35, exceeding the projected $0.26, resulting in a 34.62% earnings surprise. Despite the strong financial performance, the stock experienced a decline due to broader sector concerns. Additionally, Iridium announced the development of a new chip designed to protect GPS and navigation systems from jamming and spoofing. The 8mm by 8mm Iridium PNT ASIC aims to provide authenticated positioning, navigation, and timing data as an alternative to traditional systems. These developments highlight Iridium’s ongoing efforts to innovate and strengthen its technological offerings. Investors and analysts will likely continue to monitor Iridium’s progress in these areas closely.

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