The source of the problem is a malfunctioning geostationary communications satellites launched by Telesat Canada called Anik F2.
Northwestel, the primary telecommunications provider of the North, also reports that all communities across Nunavut, N.W.T. and Yukon that receive their long distance calling and data service via the Anik F2 satellite are also affected by the outage. The CBC reports people in Iqaluit are without cell phone service and long-distance calling, bank machines and debit-card machines.
Telesat media officials say the satellite is pointing in the wrong direction, away from Earth. The problem, which occurred in the midst of a large solar flare, is not likely to be fixed until later today or tomorrow.
At 5,900 kilograms, Anik F is one of the largest, most powerful communications satellites ever built and is used for delivering Shaw Direct telvision signals as well wireless broadband Internet connections, telemedicine, teleteaching, teleworking and e-commerce in the most remote regions of Canada.
Discuss the outage in Digital Home's Shaw Direct discussion forum.
Update: Telesat released this statement to the press this afternoon.