Eutelsat shares jump as Ukraine flags curbs on Starlink military-grade service

Shares in ​European satellite operator Eutelsat ​rose sharply ‌on Wednesday ​after Ukraine said SpaceX's Starlink had introduced restrictions on its ‌military-grade service, fuelling investor bets that European providers could benefit from growing strains between Washington and ‌Kyiv. Eutelsat shares were up 11.6% by 1034 ‌GMT, while Luxembourg-based rival SES, which also provides satellite connectivity services, gained 2.7%.

Analysts said the move reflected ⁠investor ​expectations that European ⁠governments and customers could seek alternatives to US-owned space ⁠assets if access to American services becomes less ​certain. "I think this is related to the ⁠US administration's favourable Russia/unfavourable Ukraine stance that has ⁠developed in ​recent days, meaning no or limited access to U.S.-owned satellite services and intelligence ⁠sharing, putting European providers back in the spotlight as ⁠potential ⁠alternatives," Bernstein analyst Aleksander Peterc said.