The four European telecom giants have signed a letter of intent to assess a joint bid in the radio spectrum auction for Mobile Satellite Services (MSS) to be enabled by the European Union. The goal is to control key frequencies to bring satellite mobile services directly to phones (Direct-to-Device or D2D technology) without relying exclusively on third-party infrastructure.
The initiative aligns with the European Commission’s plans to guarantee technological sovereignty, security, and resilience in communications. In the face of US dominance (Starlink, AST SpaceMobile), the operators seek to ensure European governance over critical communications, coverage in rural or hard-to-access areas, and emergency situations.
Complying with Brussels’ regulatory requirements, the agreement contemplates that the satellite connectivity developed under this consortium will be marketed through open and non-discriminatory access. This will allow other smaller and regional mobile operators to use the satellite network for their users.
The operators plan to deploy the necessary earth stations and coordination nodes on European soil, partnering with satellite operators and space technology providers to seamlessly integrate the satellite network with their existing 5G mobile networks.
This alliance seeks to optimize capital allocation by avoiding cost duplication and margin dilution in infrastructure. The financial strategy is divided into:
- Terrestrial infrastructure: Joint financing of ground nodes and coordination functions.
- Space assets (Capex efficiency): Direct investment in satellites is ruled out; the constellation will be provided by an external satellite partner, reducing balance sheet risk.
The project, aligned with the European Commission (EC), aims to capture unsatisfied demand for universal coverage and strengthen network security. This diversifies revenue streams in a mature market and consolidates the continent’s technological sovereignty.
