Latest news with #Iris2
Yahoo
30-05-2025
- Business
- Yahoo
France Makes Power Play to Challenge Elon Musk's Starlink in $1.5B Satellite Shake-Up
Eutelsat Communications (EUTLF) is going big. The European satellite player is in talks to raise 1.5 billion in fresh fundingan injection that could push the French government's stake from 13.6% to 30%, according to people familiar with the matter. The potential raise isn't just about growthit's about geopolitics. Eutelsat has been quietly assembling a coalition of backers, including the UK government, shipping heavyweight CMA CGM, and French investment firm Fonds Strategique de Participations. The money could be used to expand its low-Earth orbit satellite network and stake a firmer claim as Europe's answer to Elon Musk's Starlink. Warning! GuruFocus has detected 4 Warning Signs with EUTLF. Momentum has been building for months. Eutelsat shares are up around 45% this year, but investors hit the brakes after the fundraising talks surfacedshares fell as much as 7% on the news. One reason: this isn't a simple growth story. It's also about national security. Earlier tensions between Donald Trump and Ukrainian President Volodymyr Zelenskiy, followed by concerns Musk might restrict Starlink access in conflict zones, have jolted European policymakers. The response? Double down on homegrown infrastructure. Eutelsat could need over 2 billion just to participate in Iris2, the EU's critical satellite project, and its LEO satellites require replacements every five to seven years. That's a lot of capitaland a long game. Leadership is shifting, too. Jean-Francois Fallacher will take the CEO reins from Eva Berneke on June 1. Sources say the move is part of a broader push by the French government to increase strategic control. While no final deals have been signed, the ongoing talks signal that Paris wants a bigger seat at the tableand investors should take note. With government-backed space assets becoming increasingly critical, the Eutelsat story is evolving fastfrom niche telecom to national interest. This article first appeared on GuruFocus. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
04-03-2025
- Business
- Yahoo
Starlink Rival Eutelsat Surges on European Defense Spending Plan
(Bloomberg) -- Shares of Eutelsat Communications SA more than doubled this week, the French satellite provider's biggest ever two-day gain, after European Union politicians pledged to boost defense spending and the US paused aid to Ukraine. Cuts to Section 8 Housing Assistance Loom Amid HUD Uncertainty How Upzoning in Cambridge Broke the YIMBY Mold Remembering the Landscape Architect Who Embraced the City NYC Office Buildings See Resurgence as Investors Pile Into Bonds Hong Kong Joins Global Stadium Race With New $4 Billion Sports Park Eutelsat shares soared as much as 123% on Tuesday to €4.50, and were up 47% at 11:15 a.m. in Paris. The gains followed a 68% increase on Monday. US President Donald Trump on Monday ordered a halt to all pending military assistance to Ukraine until its leaders demonstrate what he called a good-faith commitment to peace. While many of Ukraine's Starlink terminals are funded by Europe and won't be affected by the Trump order, the strained ties between Washington and Kyiv have sparked fears that the service could be disrupted. Starlink owner SpaceX is run by Trump's close ally, billionaire Elon Musk. Christophe Grudler, a French politician who serves as a member of the European Parliament, wrote in a letter last week that the EU should 'take immediate action to assess all possible alternative satellite solutions' for Ukraine instead of Starlink. Eutelsat operates the second-biggest portfolio of low-earth orbit satellites after Starlink. Starlink has become an essential service for the Ukrainian military in its three-year-long war with Russia, after much of Ukraine's infrastructure was destroyed. A spokesperson for Eutelsat didn't immediately comment on the share move. The EU will propose extending €150 billion ($158 billion) in loans to boost defense spending, European Commission President Ursula von der Leyen said on Tuesday, as the bloc seeks to counter decades of underinvestment. Von der Leyen said the package could mobilize nearly €800 billion if governments take full advantage of the new leeway. While OneWeb's satellite network is still less than 1/10th the size of Starlink's portfolio and the company's shares have struggled. Even with this week's jump, the stock is still trading below 2022 levels when Eutelsat and OneWeb agreed to combine. The prospect of more defense spending in Europe could help resolve questions over the commercial viability of OneWeb and the low-earth-orbit component of Iris2, a European effort for a sovereign communications satellite network, New Street Research analyst Ben Rickett wrote in note on Monday. Rich People Are Firing a Cash Cannon at the US Economy—But at What Cost? Snack Makers Are Removing Fake Colors From Processed Foods The US Is Withdrawing From Global Health at a Dangerous Time Trump's SALT Tax Promise Hinges on an Obscure Loophole The Mysterious Billionaire Behind the World's Most Popular Vapes ©2025 Bloomberg L.P.
Yahoo
03-03-2025
- Politics
- Yahoo
Europe vs Starlink: Can the EU secure a footprint in space?
In today's digital world, losing an internet connection is often a mere inconvenience for individuals - but for nations, it can be a serious security risk. This became evident during Russia's full-scale invasion of Ukraine when mobile networks and internet access came under threat. In response, tech billionaire Elon Musk stepped in, providing high-speed connectivity to Ukrainian authorities through his Starlink satellite system. The European Union has long trailed behind space powerhouses like Musk's company SpaceX and the US space agency NASA, but it's now taking steps to close the gap. In order to catch up, the European Commission has signed a contract for the Infrastructure for Resilience, Interconnectivity and Security by Satellite (Iris2), a satellite network designed to strengthen Europe's technological sovereignty. "In times of crisis, we cannot afford to be too dependent on countries or companies from outside the European Union," EU Commissioner Andrius Kubilius recently said. Foreign policy chief warns of war in space Unlike Starlink, Iris2 is therefore to be controlled by EU states. "Whoever uses Starlink is ultimately dependent on one person," explains Antje Nötzold, researcher and lecturer in international politics at University of Technology Chemnitz. "We saw this in Ukraine when Musk did not activate his network for certain areas," Nötzold says. The space programme will explicitly contribute to the defence needs of EU countries, Kubilius, who is the EU's defence and space commissioner, says. He emphasizes that "IRIS2 will be vital for our security and defence." EU foreign policy chief Kaja Kallas has even warned that conflicts are already being waged in space, citing cyberattacks and satellite disruptions as emerging threats. The first Iris2 launch is set for 2030, with the goal of providing fast internet to both government and civilian users. However, it remains unclear to what extent private individuals will benefit - especially in the early stages. Security take centre stage Will Europe have a more secure internet in five years? "Technically, that would be possible, but the exact specifications are still largely undefined," says Matthias Wachter from the Federation of German Industry (BDI). The space project aims to ensure that Europe has an independent infrastructure in the event of an emergency. However, civilian benefits may take a back seat in the event of a conflict, notes security expert Antje Nötzold. "If there are already established alternatives, Iris2 must first assert itself against other commercial providers and win customers," she notes. According to the European Space Agency (ESA), Iris2 will offer critical security features that commercial providers like Starlink do not. These safeguards are designed to protect against cyberattacks and physical threats - both on the ground and in orbit. "Conceptually, this is a major difference to Starlink," explains Wachter. With a price tag of nearly €11 billion ($11.5 billion), Iris2 represents a major investment in Europe's space industry. The EU is covering the bulk of the cost - about €6 billion - with additional funding from the ESA and private investors. Beyond security, the project is also seen as a way to boost Europe's space economy. Companies worldwide are racing to establish a foothold in orbit, from Musk's Mars ambitions to the rise of space tourism and the booming satellite communications market. While private players dominate the sector, European leaders are determined to ensure the continent gets its share of the future space economy. Is there still room in space? However, the expansion of satellite networks brings new challenges. Space is getting crowded. ESA estimates that over 13,000 satellites currently orbit the Earth - more than 7,000 of them belonging to Starlink alone. Experts warn that as more satellites are launched, the risk of collisions will increase, potentially triggering catastrophic chain reactions. ESA Director General Josef Aschbacher has called for global space traffic regulations to prevent such disasters. Whether international agreements will keep pace with the rapidly evolving space industry remains an open question. For now, the EU is betting big on Iris2 - both to secure its digital future and to stake its claim in the new space race.
Yahoo
09-02-2025
- Business
- Yahoo
Jeff Bezos wins MoD contract amid concern over Musk satellite dominance
Jeff Bezos has won what is thought to be his first military contract in Britain as Amazon seeks to forge closer ties with defence organisations. Amazon's satellite venture Project Kuiper secured a deal worth hundreds of thousands of pounds to undertake a study on advanced space-based communications systems for the Ministry of Defence (MoD), which was later presented to UK Space Command. One industry source said Amazon Kuiper executives had been 'rattling the door' of the British defence establishment as it prepares to launch a network of thousands of communications satellites in the coming years. Amazon Kuiper is intended to compete with Mr Musk's Starlink, which already has 7,000 satellites in low-orbit above the Earth providing internet connectivity to millions of people. The £670,000 consultancy deal with the MoD involved Kuiper exploring the use of 'translator' satellites for British military officials. The US Defence Advanced Research Projects Agency, or Darpa, has been working on similar technology. The idea is to develop a new communications layer between military, government and private satellites – or a nation's allies. Currently, satellites are mostly limited to sending signals to spacecraft in the same network. The e-commerce giant has also been courting defence officials in the US for billions of dollars in contracts for its satellite business. The Telegraph previously revealed that Amazon Kuiper executives met with Air Marshal Paul Godfrey, the former head of UK Space Command, last year. He also met with executives from Blue Origin, Mr Bezos's rocket business that is hoping to compete with SpaceX. Amazon has already won billions of pounds in UK government contracts for its Amazon Web Services internet data and storage division, making it a critical government IT supplier. Last week, Ofcom, the UK's telecoms regulator, approved a licence for Amazon to offer satellite-based broadband services in Britain. Starlink, Mr Musk's service, has around 87,000 customers. Amazon's efforts to court British officials come as Western governments look for alternatives to Starlink. The mercurial Mr Musk is effectively a fixture of the US government through his Department of Government Efficiency. The EU has approved funding for a massive satellite constellation, called Iris2, which is supposed to offer a sovereign space network for the bloc. The UK also has a stake in Eutelsat OneWeb, the satellite business, although the Government has used Starlink's satellite dishes to trial connecting rural not-spots under a government-backed programme. Taiwan, for instance, has held talks with Amazon over using its planned Kuiper network amid concerns over Mr Musk's business links in China. In Canada, meanwhile, the government in Ontario has threatened to rip up a Starlink contract in a row with the US over tariffs. Britain is planning the development of its next generation of military satellites. This includes the £5bn Skynet 6 programme, which features Airbus and Lockheed Martin as final bidders. It is also exploring a £1bn intelligence-gathering satellite network. Amazon has declined to comment. Broaden your horizons with award-winning British journalism. Try The Telegraph free for 1 month with unlimited access to our award-winning website, exclusive app, money-saving offers and more.
