European telecoms plan joint satellite venture

Orange, Deutsche Telekom, Telefónica, and Vodafone have signed a letter of intent to explore a joint application for the reallocation of satellite mobile services (SSM) frequencies by the European Union in 2027. These frequencies enable direct communication between smartphones and satellites, even in areas without traditional network coverage, without requiring an antenna.

Current ownership of SSM frequencies

Since 2008, the SSM frequencies have been controlled by two American operators, Viasat and Echostar. SpaceX, which operates the Starlink satellite internet service, acquired part of the spectrum previously used by Echostar, increasing its presence in this domain.

EU proposal for frequency reallocation

In May, the European Commission proposed a new division of the SSM frequencies. The plan reserves one-third for government use, such as critical communications, security, and military operations, to be managed by a European operator. This aligns with the future European network of secure telecommunications satellites, IRIS², with its first launches expected in 2029.

European operators' goals

The four European operators aim to enhance Europe's sovereignty, security, and resilience in critical connectivity infrastructure. They also plan to allow all European mobile operators to access the necessary tools to offer Direct-to-Device (D2D) services, promoting competition and consumer choice in products and pricing.

Need for satellite constellation partner

While the four companies are committed to building the necessary ground infrastructure, they still need a European partner to provide a "satellite constellation" to remain within their goal of maintaining technological independence and control over their services.