EU Telcos Unite to Bid on Satellite Spectrum
Deutsche Telekom, Orange, Telefónica, and Vodafone join forces to expand mobile coverage and counter SpaceX's Starlink, with plans to establish ground network infrastructure and partner with a satellite operator
European telecoms groups, including Deutsche Telekom, Orange, Telefónica, and Vodafone, have signed a letter of intent to explore a joint bid for satellite spectrum to expand mobile coverage. The initiative aims to improve coverage in underserved areas, strengthen the resilience of public networks, protect critical communications, and support the development of a European constellation.
The companies plan to establish ground network infrastructure in Europe, along with systems for coordinating and monitoring operations, without investing directly in a satellite constellation. Instead, they will partner with a satellite operator to provide the necessary technology and deployment expertise.
The EU is considering regulations on how satellite services use the 2 GHz band, with one-third of the spectrum earmarked for local companies and another third for critical communications. Viasat and EchoStar currently hold the licenses for the 2 GHz band, which expire in 2027.
The initiative is also seen as a move to counter competition from SpaceX's Starlink, a satellite constellation providing internet services. The EU has suggested setting aside part of the airwaves for a homegrown operator, which the European telecoms groups are eyeing.
## Why it matters The development of a European constellation and the expansion of mobile coverage in underserved areas are crucial for the EU's goal of strengthening its sovereignty, security, and resilience in critical connectivity infrastructure. The initiative also highlights the growing importance of satellite services in the telecoms industry, with companies like SpaceX's Starlink already making significant inroads.
The outcome of the joint bid and the subsequent development of the European constellation will be closely watched, as it has the potential to impact the telecoms industry and the EU's connectivity landscape. With the licenses for the 2 GHz band set to expire in 2027, the European telecoms groups are positioning themselves to play a major role in the future of satellite services in the region.
## What happens next The European telecoms groups will now work on establishing a partnership with a satellite operator and developing their ground network infrastructure. The EU's regulations on the use of the 2 GHz band will also be closely watched, as they will have a significant impact on the development of the European constellation. As the telecoms industry continues to evolve, the joint bid by the European telecoms groups is a significant step towards expanding mobile coverage and developing a homegrown satellite services industry.
