Viasat's Decision Not to Replace Malfunctioning Satellite Sparks Stock Surge

Viasat has stated that it will not order a replacement for its ViaSat-3 Americas satellite, despite an antenna issue that has limited its planned throughput. The company expects to recover less than 10% of the satellite's capacity, which it believes is sufficient to meet current and future broadband customer needs. Viasat has insurance coverage of $420 million for ViaSat-3 Americas and $348 million for the Inmarsat-6 (I-6) F2 satellite, which it acquired earlier this year. The company is still investigating the root cause of the antenna issue and is in discussions regarding insurance coverage.