Doug Ford to end Ontario’s Starlink contract over Elon Musk ties

Doug Ford says his provincial party will terminate Ontario’s contract with Starlink due to its connection to Elon Musk, saying his government won’t do business with people “hellbent on destroying our economy.”

Ford issued a statement regarding Ontario’s move to ban American companies from provincial contracts, including the $100 million Starlink deal.

“Every year, the Ontario government and its agencies spend $30 billion on procurement, alongside our $200 billion plan to build Ontario. U.S.-based businesses will now lose out on tens of billions of dollars in new revenues. They only have President [Donald] Trump to blame,” Ford said.

“We’re going one step further. We’ll be ripping up the province’s contract with Starlink. Ontario won’t do business with people hellbent on destroying our economy.”

Ford added, “Canada didn’t start this fight with the U.S., but you better believe we’re ready to win it.”

The declaration from Ford comes after U.S. President Trump announced sweeping 25 per cent tariffs on Canada and Mexico. Trump claimed that Canada has been abusive to the U.S. for years and described the two countries’ trade relationship as a “one-way street.”

Prime Minister Justin Trudeau said he would impose matching 25 per cent tariffs on up to $155 billion in U.S. imports. Trudeau spoke with Trump over the phone on Monday as Canada prepares for a trade war with the U.S.

Mexico’s president, Claudia Sheinbaum, says after a call with Trump that tariffs are paused for one month, and Mexico is to put 10,000 troops at the border.

What is Starlink?

Ford, meanwhile, appeared on Fox and Friends on Monday morning, reiterating in the interview that a tariff war started by the U.S. and Trump “will only hurt workers and raise costs for hard-working families on both sides of the border.”

When asked if Ford still backed Trump during his presidency, he responded, “Absolutely not. I’ll never support that guy again.”

In November 2024, Ford’s government signed a $100-million deal with Musk’s SpaceX to deliver high-speed internet to remote residents in rural and northern Ontario.

The new program, ONSAT (Ontario Satellite Internet), was slated to bring Starlink’s satellite internet system to 15,000 premises. The move at the time was part of the province’s $4-billion plan to deliver high-speed projects to every corner of Ontario.

Starlink uses a constellation of low Earth orbit (LEO) satellites, enabling global coverage. This significantly reduces latency, making the connection faster and more responsive than traditional satellite internet. Concerns range from high costs to regulatory and political issues.

Musk contributed roughly $200 million USD to America PAC, a super political action committee that worked to organize Trump support last fall. Among the projects Trump has assigned Musk is to work with former Republican presidential candidate Vivek Ramaswamy on an effort known as the Department of Government Efficiency (DOGE).

Since the election, Musk has regularly visited Trump’s resort in Palm Beach, Fla., and has been part of calls and meetings with prospects for Cabinet positions and world leaders.

With files from The Associated Press