Europe's Satellite Sovereignty: Eutelsat's Bold Bid Against Starlink

Eutelsat, a Franco-British satellite operator, seeks European investment to challenge Elon Musk's Starlink. France leads with a €1.5 billion investment, urging other nations to bolster Europe's autonomy in space. Eutelsat's stock benefits from this backing amid Ukrainian reliance on its services, though competition with Starlink is intense.

Eutelsat, a Franco-British satellite operator, is seeking investment from European countries to challenge Elon Musk's Starlink, following a €1.5 billion commitment by France. EU lawmakers highlight the need for regional sovereignty in satellite services, especially amid growing concerns over reliance on U.S. companies.

French member of the European Parliament, Christophe Grudler, stresses the importance of collective European support. Amid talks between France and Germany, Eutelsat's stock has seen a resurgence, driven by discussions on its potential role in Ukraine, as it works to bridge the gap with the more expansive Starlink.

Despite a capital injection aimed at reducing its €2.6 billion debt and expanding its OneWeb constellation, analysts argue Eutelsat needs sustained governmental backing. As European governments rally, Eutelsat's future hinges on increased cash flow and enhanced profitability to remain competitive globally.

(With inputs from agencies.)