European Telecom Giants Explore Joint Satellite Bid to Challenge Starlink

Four of Europe’s largest telecom operators are exploring a joint bid for satellite spectrum, seeking to counter Elon Musk’s Starlink.

Deutsche Telekom, Orange, Telefónica and Vodafone said Monday they had signed a letter of intent to assess a joint bid for frequencies that would support satellite connections directly to mobile devices across Europe.

Their initiative would combine ground infrastructure with an existing satellite network. The operators have yet to select a partner and would not build a constellation of their own.

Spectrum Dispute

The proposed bid comes as the European Commission seeks to reserve satellite-ready frequencies for European businesses, drawing threats of retaliation from Washington.

Under a proposal announced in May, European players would receive access to the 2 GHz band used for direct smartphone-to-satellite connections.

Two U.S. companies, Viasat and EchoStar, currently use the spectrum under licenses that expire next year.

The U.S. ambassador to the EU told the Financial Times last week that European companies could face “devastating” retaliation unless Brussels revised the proposal, which Washington considers discriminatory against American businesses such as Starlink.

SpaceX, Starlink’s operator, has also attacked the plan, warning it could weaken connectivity in Ukraine.

The service has supported Ukrainian civilian and military communications since Russia’s full-scale invasion.

Disruptions to Starlink in Ukraine this month have added to the controversy, against a backdrop of worsening tensions between U.S. President Donald Trump and Ukrainian President Volodymyr Zelenskyy.

Search for a Satellite Partner

EU officials have privately welcomed the telecom initiative, according to people involved in the discussions cited by the FT.

The bloc wants to reduce its dependence on digital infrastructure supplied from outside Europe.

Securing a satellite partner could prove difficult. Most constellations are operated by American or Chinese companies, limiting the available European options.

France’s Eutelsat has built a large constellation but still lags far behind Starlink, which has more than 11,000 satellites in orbit.

The European operators would establish the base stations needed to support their proposed services, adding satellite coverage alongside their terrestrial networks.

Goldman Sachs analyst Andrew Lee described the announcement as a “reassuring reminder to investors that European operators see satellite as a companion technology to their domestic networks and that European authorities wish to carve out satellite-ready spectrum for European players.”