Tech startup Cloud Constellation’s CEO Cliff Beek said that his firm has managed to get another round of funding amounting to $100 million from Hong Kong based Hughes China Holdings Company Ltd. The firm is designing an ambitious constellation of cloud based data centers across the globe and stated that this new investment boost will help it across series B funding that is likely to cost $200 million. Beek said that the Los Angeles based Cloud Constellation is likely to require another $480 billion to complete its entire satellite system called SpaceBelt. The HCH was a part of Hughes Network System based out of Germantown in Maryland but became an independent entity after it was divested by its parent company.
Before the current round of investments from Hughes the firm had raised $5 million from series A funding when it started business in 2016. Beek stated that the firm will retain a majority of ownership for itself and is not concerned about the fact that HCH is a china based finance group as they have done due diligence on the matter before accepting the funds. The issue about HCH being a Chinese firm has raised concerns among potential investors as earlier a startup called Global IP that was building satellite with Chinese investment collapsed and lost its manufacturing contract with Boeing.
But Beek says his firm is on strong footing as they have resized fleet plans and are now planning to work with eight satellites instead of the original plan of 12 to 16 satellites. Their new constellation of data centers will have 5 satellites for relaying information that will be supported by three memory holding satellites and all eight satellites will be connected to each other on low earth orbit through inter-satellite links. They will communication with ground level users through reflectors that will be pointed towards these geostationary satellites that will be part of Space Belt.