Battle over satellite spectrum: SpaceX against the EU strategy.
Last month the European Commission adopted a proposal for the selection of mobile satellite service providers that will be authorized to use the harmonized 2 GHz frequency band beyond 2027, the expiration date of current licenses. Characterized by a single EU-wide selection procedure, the plan foresees that one third of the 2 GHz band would be dedicated to government use, two thirds would be dedicated to commercial use.
According to Bloomberg, the EU has proposed new rules for satellite access that will allow non-European companies, such as SpaceX’s Starlink, Elon Musk’s aerospace company, to participate in auctions for frequencies, while preserving most of the spectrum licenses for local companies.
The European executive’s decision is driven by concerns over China’s technological rise and the dominance of US tech giants amid transatlantic tensions, notes Reuters, adding that Starlink and Amazon’s low Earth orbit satellite service are the main players in the satellite internet market and, according to analysts, the EU’s latest satellite spectrum plans could disadvantage these US competitors.
As revealed by Bloomberg, Elon Musk’s aerospace company is contesting the plan presented by Brussels, arguing that the new rules risk compromising the development of direct-to-device satellite services and creating operational obstacles for non-European operators like Starlink.
All the details.
SPACEX’S CRITICISMS
In a statement released ahead of the European spectrum management conference held in Brussels, SpaceX argued that the new rules could jeopardize Europe’s access to satellite services capable of connecting directly to mobile devices.
The issue specifically concerns the 2 gigahertz frequency band, considered fundamental for the development of direct-to-device (D2D) services, which allow satellites to communicate directly with smartphones and other terminals without the need for dedicated ground infrastructure, explains Bloomberg.
PRIORITY FOR EUROPEAN OPERATORS IN THE NEW SATELLITE SPECTRUM ALLOCATION
Regarding the commercial portion of the band, the Commission proposes a balanced spectrum division. A quota would be reserved for European operators entering the market, with the goal of “encouraging supplier diversification and incentivizing the entry of EU suppliers into the market.”
The remaining part would instead be open to both European and non-EU operators. According to Brussels, the new model aims to “give more space to technological sovereignty and stimulate competition.”
The proposal will now be examined and negotiated by the European Parliament and Member States in the EU Council. Meanwhile, the Commission may consider extending current licenses to give institutions the necessary time to define and implement the new frequency allocation mechanism.
WHILE STARLINK EXPANDS ALONG WITH DIRECT-TO-DEVICE SERVICES
Bloomberg further explains that these services are becoming more affordable and widely available thanks to the launch of an increasing number of Starlink satellites by SpaceX and the expansion of its so-called “direct-to-device” (D2D) service offerings. US companies like SpaceX and AST Spacemobile have partnered with European telecom operators to provide these services, as they do not yet hold the spectrum rights needed to offer them independently.
ELON MUSK’S AEROSPACE COMPANY IS NOT ON BOARD
However, according to SpaceX, the model outlined by Brussels risks compromising the efficiency of the use of available frequencies. The company argues that the new rules would divide the spectrum into “practically unusable parts.”
Musk’s company stated that the proposal would be inconsistent with previous international regulations and potentially incompatible with “international obligations and Europe’s economic reality.”
Moreover, SpaceX also highlights the risk that a hybrid system, with frequencies reserved for the future European Iris2 constellation, could generate interference with Starlink services currently used in Ukraine. In December 2024 Brussels approved a €10.6 billion project to develop Iris2 – a multi-orbit network of 290 satellites, considered Europe’s response to Musk’s Starlink, expected to be operational by 2030 – with the SpaceRISE consortium. The industrial consortium, led by Eutelsat, SES, and Hispasat, also involves Thales Alenia Space, Airbus Defence and Space, OHB, Telespazio, Deutsche Telekom, and Orange.
SPACEX’S INVESTMENTS IN EUROPE
In its statement, SpaceX emphasized that it has made significant investments on the European continent. The company recalled purchases made from STMicroelectronics and indicated that future orders should reach a total value of about one billion euros, as well as partnerships for fiber optic infrastructure and direct-to-device services established with European network operators, including Deutsche Telekom AG and Orange.
