Ontario Won’t Reveal the Amount It Needs to Pay Starlink to Cancel Deal
Province says settlement with SpaceX is less than the $100 million contract
WASHINGTON, March 17, 2026 – The Ontario government has reached a confidential settlement with Elon Musk’s SpaceX after canceling a planned $100 million Starlink satellite internet contract, but officials say the payout amount will not be disclosed.
Provincial officials confirmed the province paid a termination fee as part of a negotiated settlement with Starlink parent SpaceX, though they said the payment was “significantly less than the contract value.” The Canadian Press first reported the agreement Friday.
The contract, announced in November 2024, would have used Starlink’s satellite internet service to deliver high-speed connectivity to about 15,000 homes and businesses in rural and northern Ontario. The project, known as ONSAT, short for Ontario Satellite Internet, was designed to prioritize coverage in remote communities, including First Nations areas.
Premier Doug Ford cancelled the agreement in March 2025 amid rising trade and political tensions between Canada and the United States and criticism of Musk’s public comments about Canada.
Ford has defended the decision, saying the province acted to protect Canadian interests.
“I believe that was the right decision, protecting Canadians, not supporting a U.S.-led owner that was pretty aggressive towards Canada,” Ford said on March 10.
Opposition lawmakers have criticized the government for keeping the settlement amount confidential, arguing taxpayers deserve to know how much money was paid to terminate the contract.
The Starlink project had been part of Ontario’s $4 billion initiative to expand broadband access across the province. Officials say they are now seeking an alternative provider to deliver service to the affected communities.
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