On 15^th September 2022, BEIS approved the proposed acquisition of Inmarsat (based in the UK) by its rival Viasat (based in the US) under the National Security and Investment Act 2021 (‘NSIA’).

The acquisition was subject to review under the NSIA as the transaction proposed national security risks that related to:

• Maintaining strategic capabilities; and
• The protection of information.

The acquisition is now subject to economic undertakings in which both parties will guarantee an increase in the number of skilled jobs in key areas, as well as a 30% increase in research and development spending in the UK to help advance the UK’s National Space Strategy.

Additionally, the BEIS has made a final order by which Viasat and Inmarsat will assure:

• They will provide strategic capabilities to the UK government; and
• They will Implement measures which protect information from unauthorised access.

It should be noted the UK Competition and Market Authority (‘CMA’) and the EU Commission are also undertaking their own investigations as to whether the acquisition will lead to a distortion in competition. .

To read more about the BEIS decision, click here.