In 1998, GE sold Spacenet's North American operations to VSAT terminal manufacturer Gilat Satellite Networks, and spun the satellite assets off into GE Americom (which later became part of SES). In March 2005, Spacenet acquired its former sister company, StarBand, the first two-way consumer satellite ISP in the United States.
Spacenet's primary business is providing VSAT and hybrid/terrestrial data network services to government and enterprise customers under the Connexstar brand. Spacenet's enterprise/government VSAT services are used for a wide range of applications such as primary broadband or narrowband networks, disaster recovery/backup networks and multicast file delivery. Beginning in 2006, it partnered with Cisco Systems as the service provider for the Cisco IP VSAT Satellite Network WAN Module in the United States. It holds around 25% market share in the enterprise VSAT marketplace, according to the Comsys 2005 industry study. As of 2007, Spacenet equipment and services were in use at about 100,000 enterprise, government, residential and small office sites.