Major European mobile carriers are teaming up for a ‘direct’ satellite program without Starlink

European mobile operators will provide ubiquitous coverage and network resilience without requiring satellite hardware in devices.

Four major European mobile carriers – Deutsche Telekom, Orange, Telefónica, and Vodafone – have signed a letter of intent to explore a joint venture for a direct-to-device satellite program. This initiative aims to compete with SpaceX's Starlink by leveraging a yet-to-be-announced satellite partner for the constellation, while the carriers will manage ground infrastructure. The collaboration seeks to address customer demand for universal coverage, enhance public network resilience, protect critical communications, and foster a European satellite constellation. The European Union is also considering reserving spectrum in the 2 GHz band for local companies to offer satellite services, a move that SpaceX has opposed. This follows a similar partnership announced earlier this year in the US between AT&T, T-Mobile, and Verizon.

This strategic alliance among European mobile network operators (MNOs) signifies a coordinated effort to build out a terrestrial and satellite-based communication ecosystem independent of U.S. dominance. By focusing on ground infrastructure and seeking a separate satellite partner, these companies are attempting to retain control over customer relationships and network management while offloading the capital-intensive satellite construction and launch. This model could become a blueprint for other regions looking to establish sovereign direct-to-device satellite services.

The move is a direct response to the growing demand for seamless connectivity and the potential threat of being outmaneuvered by satellite-first providers like Starlink. It also aligns with potential EU regulatory moves to support local players, potentially creating a bifurcated market where regional operators offer integrated terrestrial-satellite solutions. Watch for the selection of the satellite partner, which will be critical to the technical feasibility and competitive posture of this European initiative.