Rocket Lab to acquire Iridium Communications for eight billion dollars

Rocket Lab announced on Monday that it will buy satellite communications company Iridium for around $8 billion. The deal will turn Rocket Lab, which currently builds and launches rockets and satellites, into a much larger business that also runs its own satellite network.

Iridium provides global communications services to roughly 2.55 million customers, including shipping companies, airlines, government agencies, and journalists working in remote areas. Its satellites orbit close to Earth, which helps deliver reliable signals worldwide.

Together, the two companies will handle everything from designing spacecraft to launching them and operating the network. The global space launch industry is currently worth over $20 billion and is expected to reach $70 billion per year by 2035. The combined company will compete directly with SpaceX's Starlink service.