Broadband provider Avanti Communications has been awarded a £1.1 million grant by the UK government.
The UK Space Agency, an executive agency of the Department of Business, Innovation and Skills, will deliver the public funding to the broadband provider.
It has a fund of £6 million to distribute among deserving applicants, reports ISPreview.co.uk.
The agency has provided the money to support research into new space technologies which could improve broadband delivery in the future.
David Williams, Chief Executive Officer of Avanti, said the firm was "delighted" with the £1.1 million grant.
He said the award recognises Avanti's technical expertise and the increasing importance of Ka-band in specialised applications.
Avanti launched its initial HYLAS 1 satellite into orbit in November 2010.