THE CRUNCH

Deutsche Telekom, Orange, Telefónica and Vodafone have signed a letter of intent to consider a joint bid for spectrum that would support European direct-to-device satellite competition with SpaceX's Starlink. The four carriers say they would build the ground infrastructure in Europe while a separate, still-unselected satellite partner provides the constellation itself.

The operators frame the initiative as a way to meet demand for universal coverage in underserved areas, strengthen the resilience of public networks, protect critical communications and support the development of a European constellation. By handling ground network infrastructure, coordination and monitoring functions in Europe without investing directly in satellites, the partnership would combine European governance and market access with a satellite operator's deployment expertise.

The move follows a similar collaboration announced in the US earlier this year by AT&T, T-Mobile and Verizon, which plan to combine spectrum in rural areas and dead zones to increase capacity and give satellite providers a unified platform to reach more customers. It also lands amid regulatory manoeuvring: in May the EU was reportedly considering reserving part of the 2 GHz band for local satellite services, an idea SpaceX criticised, claiming it would worsen service in Ukraine.

WHAT HAPPENS NEXT

The satellite partner has yet to be selected, and the letter of intent only commits the carriers to considering the bid, so the constellation choice and formal spectrum bid remain open decisions to watch.