Europe’s biggest telecom operators are exploring a joint satellite mobile service that could reduce the region’s reliance on foreign connectivity providers, including Elon Musk’s Starlink. The proposal centres on access to the 2 GHz spectrum band, adding a new dimension to an increasingly sensitive debate over who controls satellite communications.
Deutsche Telekom, Orange, Telefónica and Vodafone have reportedly signed a letter of intent to explore a joint bid for radio spectrum that would support direct-to-device satellite services across Europe, according to the Financial Times.
The plan comes as Starlink faces scrutiny over its role in Ukraine and regulatory disputes surrounding its proposed entry into India. It also risks adding to tensions between the United States and Europe over competition, market access and control of critical communications infrastructure.
Why Europe is considering its own satellite mobile service
The European Commission proposed in May that spectrum used for direct smartphone-to-satellite connections should be reserved for European operators. The 2 GHz band is currently used by US companies Viasat and EchoStar, whose licences are due to expire next year.
The four telecom groups are exploring a model that would involve building ground infrastructure, including base stations, to support satellite connectivity. Rather than launching their own satellite constellations, they could work with an existing satellite operator, although no provider has been selected.
That decision could prove complicated. Most major satellite constellations are operated by American or Chinese companies, leaving Europe with limited alternatives if it wants to reduce its dependence on providers outside the bloc.
French satellite operator Eutelsat has developed a large-scale constellation, but it remains far smaller than Starlink’s network, which has more than 11,000 satellites in orbit.
The initiative would therefore involve more than securing spectrum. European operators would also need to identify a suitable satellite partner while building the ground infrastructure required to support the service.
US warns of retaliation over Europe’s spectrum proposal
The proposal has drawn criticism from Washington, adding a trade and diplomatic dimension to Europe’s plans for satellite connectivity.
US ambassador to the European Union Andrew Puzder warned the Financial Times that European companies could face severe consequences if the bloc proceeded without revising its approach. He argued that the proposal discriminated against American companies, including Starlink.
Asked whether European businesses should be concerned about possible retaliation, Puzder said they “should be wary that it could happen and it would be very devastating for those companies”, pointing to the importance of the US market.
SpaceX has also criticised the European initiative, warning that the proposed satellite programme could weaken connectivity in Ukraine. Starlink has played an important role in civilian and military communications since Russia launched its full-scale invasion of the country in February 2022.
The disagreement highlights a difficult balancing act for European policymakers: encouraging domestic control over strategic communications infrastructure without provoking a wider dispute with American technology companies.
Ukraine’s Starlink restrictions raise further questions
Concerns about Starlink’s role in critical communications have also intensified following reports of restrictions affecting its use in Ukraine.
On October 17, Ukrainian President Volodymyr Zelenskyy said speed restrictions on Starshield, the military version of Starlink’s satellite service, remained in place and were affecting Ukraine’s ability to intercept Russian drones.
Speaking in an online group chat with reporters during the European Union summit, Zelenskyy said Ukraine could not use Starlink or Starshield to stop jet-powered Shahed drones. He added that the country would have to rely on aircraft and other air defence systems for those interceptions.
The remarks followed earlier concerns raised by the Ukrainian president about the restrictions. However, a direct connection between the reported connectivity limitations and Europe’s spectrum proposal has not been established.
Elon Musk denied responsibility for the restrictions, saying Starshield systems were owned and controlled by the US government and that decisions concerning speed or usage rested with the US military and ultimately the president.
US President Donald Trump also denied responsibility, saying he did not believe either he or Musk had caused the restrictions.
The episode has drawn attention to the dependence of military and civilian communications on privately operated satellite networks, particularly during an ongoing conflict.
Starlink’s India entry faces a separate regulatory dispute
Starlink is also facing questions over its proposed entry into India, where its launch has been caught up in a public disagreement involving Musk and Reliance Industries chairman Mukesh Ambani.
Earlier in October, Musk criticised delays affecting Starlink’s Indian entry after initially accusing unnamed oligarchs of obstructing the company’s plans. On October 8, he asked on social media, “Is Ambani the real boss of India?” A day later, he referred to Ambani as “Prime Minister Ambani” while questioning whether Starlink would be allowed to compete in the country.
India’s Ministry of Communications rejected allegations of discriminatory treatment. It said Starlink, Bharti-backed Eutelsat OneWeb and Jio Satellite Communications had received licences but were still undergoing security assessments.
According to the ministry, the three companies were at broadly the same regulatory stage. They could seek spectrum assignment after completing the required security checks.
The clarification placed the dispute within India’s regulatory process rather than establishing that Starlink had been singled out for different treatment.
Satellite connectivity becomes a question of strategic control
Europe’s proposal, the developments in Ukraine and Starlink’s regulatory situation in India point to a broader challenge facing satellite communications providers. Governments increasingly have to weigh the benefits of privately operated global networks against questions of national security, regulatory oversight and dependence on foreign companies.
For European telecom operators, a joint satellite service could offer a way to strengthen regional control over connectivity. But the plan remains exploratory, and its success will depend on spectrum access, infrastructure investment and the selection of a satellite partner.
For now, Europe has not announced a final provider for the proposed service. The immediate question is whether the continent’s largest telecom groups can turn their joint interest in satellite connectivity into a workable alternative without deepening the dispute with the United States.
