On October 19, 2026, four major European telecom operators—Telefónica, Deutsche Telekom, Orange, and Vodafone—announced that they have signed a letter of intent to jointly bid for the European Union’s mobile satellite service spectrum.
The primary goal of this partnership is to counter Elon Musk’s Starlink—the SpaceX satellite network rapidly expanding its market influence—by enabling Direct-to-Device (D2D) services that connect texts and calls directly to satellite networks.
This preliminary agreement aims to prepare for the upcoming 2GHz spectrum auction. The contested frequencies will directly serve ordinary smartphone users without requiring device modifications or additional ground antennas. Currently, this spectrum is controlled by US companies Viasat and EchoStar, with licenses expiring in 2027. The European Commission is also planning to reallocate these frequencies to protect local operators’ usage rights.
Additionally, Deutsche Telekom has an existing commercial partnership with Starlink, while Vodafone partners with AST SpaceMobile, introducing potential challenges to their participation in the new alliance. Under EU regulations, companies participating in this spectrum auction must accept corresponding equity structure conditions to comply with regulatory requirements. The alliance plans to outsource its ground infrastructure construction to partners and does not intend to directly invest in building its own satellites, which could make AST SpaceMobile a preferred satellite capability provider.
This cooperative project has also drawn external attention, particularly from US regulators who have raised objections to European spectrum allocation policies, arguing they create barriers to commercial access. Whether the new technological cooperation can break existing market structures and how to ensure stable collaboration among members remain focal points for the future.
