I recently found out that Hughes doesn’t actually own the Jupiter-3 satellite, it’s leased from EchoStar, and Hughes pays about $190 million per year for that lease.
I also learned that the SpaceX–EchoStar spectrum deal includes a clause requiring EchoStar/Hughes to refer new customers to Starlink. Essentially, if someone wants satellite internet, EchoStar will direct them to SpaceX’s Starlink service . Bonkers 🤯
@34a now they will probably have all echostar employees install starlink like they had all of us use boost mvno
@33e lmao they are just patting each other's back with nothing to show for. And making up fake stats from the survey. looks like a scene from North Korea .
@2tr, and then they have the nerve to celebrate Echostar's 45th anniversary while Hughes has its largest layoff yet. Satire has become reality.
In the 2023 Dish-EchoStar merger, EchoStar grabbed Hughes' key stuff like satellites and spectrum, then started renting it back to Hughes at steep rates—around $190M yearly. They also pocketed about $2B in cash while dumping the matching debt pile ($1.5B) on Hughes to manage. Smells like a typical Private Equity player tactic: drain the target, force bankruptcy, and bail.
This is exactly why leadership has been saying that chasing new customers isn't yielding any additional profit right now, the reason is they are giving it away whatever is left to starlink.
@wf Hughes said it themselves in a report
Other than referal to Starlink (can you cite any source?) this comment is ridiculous. Echostar owns Hughes.
My guess, they are going to file chapter 11 any day now
@OP
$119 million in cash and a $1.5 billion debt obligation coming due August 2026. Hughes officially says that EchoStar won’t step in to help with the spectrum money received from the agreed on sale. Is there any silver lining here?
Hughes is on its way to bankruptcy. Look it up......They have a going concern on their balance sheets for Hughes Net......They don't have enough liquid cash to last more than 12 months......Some last minute decisions by high ups didn't lead to layoffs last week.....They will happen very soon.....Nobody knows whenn...Echostar is not bailing HNS out