European telecom giants plan joint satellite network to rival Starlink

Deutsche Telekom, Orange, Telefónica and Vodafone sign letter of intent for direct-to-device spectrum bid

By LineZotpaper

Published20 October 2026

Read Time2 min

Four of Europe's largest mobile carriers have signaled plans to launch a direct-to-device satellite program to compete with SpaceX's Starlink, signing a letter of intent to jointly bid for dedicated spectrum. The companies would handle ground infrastructure while a yet-to-be-announced satellite operator provides the space segment.

Deutsche Telekom, Orange, Telefónica and Vodafone have signed a letter of intent to explore a joint bid for spectrum that would support a direct-to-device satellite service, according to a report from The Verge. The initiative is intended to offer a European alternative to Starlink, SpaceX's rapidly expanding satellite network that already offers direct-to-phone connectivity.

The four telecom firms said they would manage the ground infrastructure for the project, while a separate, unannounced satellite partner would supply the satellite constellation. The carriers stated that the goal is to meet customer demand for universal coverage in underserved areas, strengthen the resilience of public networks, protect critical communications, and support the development of new services.

The announcement comes as Starlink continues to expand its direct-to-cell service globally, prompting European operators to seek homegrown solutions to maintain competitiveness and digital sovereignty. The letter of intent signals the carriers' willingness to coordinate rather than compete on satellite infrastructure, though no firm timeline or financial details have been disclosed.

Analysis

Why This Matters

The initiative could reduce European reliance on US-based satellite infrastructure, addressing concerns about strategic autonomy and security.
Direct-to-device satellite services promise to eliminate mobile dead zones, benefiting rural and remote communities across Europe.
If successful, the joint program could lower costs for consumers by fostering competition in the emerging satellite-to-phone market.

Background

Starlink, operated by SpaceX, has been deploying satellites capable of connecting directly to standard smartphones without requiring specialized hardware. This has prompted mobile carriers worldwide to explore partnerships or build their own systems to avoid losing market share. European regulators have also encouraged domestic alternatives to ensure network resilience and data sovereignty. The four carriers involved collectively serve hundreds of millions of subscribers across Europe, giving them significant influence over the region's telecom landscape.

Key Perspectives

European carriers (Deutsche Telekom, Orange, Telefónica, Vodafone): They see a joint venture as a cost-effective way to extend coverage to underserved areas while strengthening network resilience and competing against Starlink's growing presence. By handling ground infrastructure themselves, they retain control over customer relationships and data. SpaceX / Starlink: As the current leader in direct-to-device satellite connectivity, Starlink has a head start in technology and deployment. A European consortium would face challenges in matching Starlink's pace and scale, but could offer regulatory advantages within the EU. European regulators: Officials may welcome a homegrown alternative that aligns with digital sovereignty goals. They could also facilitate spectrum allocation and provide funding through programs such as the European Space Agency's connectivity initiatives.

What to Watch

The selection of a satellite partner, which will determine the technical feasibility and timeline of the project.
Spectrum auction or allocation processes in EU member states that could enable the joint bid.
Starlink's continued expansion in Europe and any regulatory pushback that might advantage the European consortium.

Sources

Major European mobile carriers are teaming up for a ‘direct’ satellite program without Starlink · The Verge

Checked

11 claims in this story checked against 1 source: 5 supported.

Show each claim

Partly supportedEuropean telecom giants plan joint satellite network to rival StarlinkThe Verge: “Major European mobile carriers are teaming up for a ‘direct’ satellite program without Starlink. Deutsche Telekom, Orange, Telefónica, and Vodafone signed a letter of intent saying they're considering a joint bid for spectrum...”
SupportedDeutsche Telekom, Orange, Telefónica and Vodafone sign letter of intent for direct-to-device spectrum bidThe Verge: “Deutsche Telekom, Orange, Telefónica, and Vodafone signed a letter of intent saying they're considering a joint bid for spectrum that would support European direct-to-device satellite competition for SpaceX's Starlink.”
Partly supportedFour of Europe's largest mobile carriers have signaled plans to launch a direct-to-device satellite program to compete with SpaceX's StarlinkThe Verge: “Major European mobile carriers are teaming up for a ‘direct’ satellite program without Starlink.”
SupportedThe companies would handle ground infrastructure while a yet-to-be-announced satellite operator provides the space segmentThe Verge: “The four telecom companies say they would handle the ground infrastructure while a separate, unannounced satellite partner provides the satellite constellation”
SupportedThe initiative is intended to offer a European alternative to StarlinkThe Verge: “a joint bid for spectrum that would support European direct-to-device satellite competition for SpaceX's Starlink.”
SupportedAccording to a report from The VergeThe Verge: “Major European mobile carriers are teaming up for a ‘direct’ satellite program without Starlink.”
SupportedThe carriers stated that the goal is to meet customer demand for universal coverage in underserved areas, strengthen the resilience of public networks, protect critical communications, and support the development of new servicesThe Verge: “The joint initiative by Deutsche Telekom, Orange, Telefónica and Vodafone has a clear ambition: to meet customer demand for universal coverage in underserved areas, strengthen the resilience of public networks, protect critical communications, and support the develop …”
Not in the sourcesSpaceX's rapidly expanding satellite network that already offers direct-to-phone connectivityThe Verge
Not in the sourcesThe announcement comes as Starlink continues to expand its direct-to-cell service globally, prompting European operators to seek homegrown solutions to maintain competitiveness and digital sovereigntyThe Verge
Not in the sourcesNo firm timeline or financial details have been disclosedThe Verge
Partly supportedThe letter of intent signals the carriers' willingness to coordinate rather than compete on satellite infrastructureThe Verge: “Major European mobile carriers are teaming up ... signed a letter of intent saying they're considering a joint bid...”