Europe's Aerospace Giants Forge New Space Venture to Rival Starlink

Airbus, Thales, and Leonardo are teaming up to form a new satellite-making enterprise to challenge Elon Musk's Starlink. Despite minor delays in announcement, the partnership aims to restructure Europe's fragmented satellite industry, creating the largest commercial geostationary satellite manufacturer.

Europe's aerospace titans are preparing a major announcement about a new satellite-focused joint venture, aiming to challenge industry leader Elon Musk's Starlink. Lawyers and advisers are currently finalizing details, but sources assure that the strategic merging plans, initially expected on Wednesday, remain unchanged despite slight delays.

Airbus, Thales, and Leonardo have joined forces, marking an ambitious attempt to consolidate Europe's divided satellite industry. The new entity plans to pool satellite-making resources into a holding company, where each will hold an approximate one-third stake. This move is projected to take up to two years as it awaits regulatory approvals.

The initiative, known as Projet Bromo, comes as the geostationary satellite market, historically led by European firms, faces challenges from small satellites in low Earth orbit. Despite this shift, the involved companies are committed to cooperation, motivated by market share loss and financial pressures.

(With inputs from agencies.)