Eutelsat to replace Starlink in Ukraine as US pulls out

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Eutelsat to replace Starlink in Ukraine as US pulls out

According to Bloomberg, French satellite operator Eutelsat is in talks with the European Union over a potential replacement for the Starlink system in Ukraine. This is happening against the backdrop of reduced aid from the United States.

Is Starlink replacement possible Eutelsat

CEO Eva Berneke confirmed that the company is considering deploying 40,000 terminals in Ukraine. This is in line with the number of Starlink terminals currently in use in the country, mostly in the war zone.

The OneWeb network, owned by Eutelsat, consists of 600 satellites, which are in a higher orbit than Starlink’s satellites. While Starlink provides better connection speeds, OneWeb can offer more stable connections, especially in war.

“Currently, there is only one option. This is the OneWeb corporation and satellite broadband provider,” said military expert Serhiy Flesh (Beskrestnov). However, in his opinion, this project is still very young, as satellite launches began in 2019. And now there are only 400 satellites in orbit out of more than 600 planned.

Price of equipment and access

Price of equipment and access

Among the advantages is the Internet speed, which is comparable to Starlink or even higher. According to the expert, the subscription fee is not yet clearly defined, as dealers offer different tariffs depending on the speed and traffic limits. But the prices are much higher than Starlink’s tariffs for individuals.

“What else is problematic? The price threshold for entry. The cost of the terminal is ten times higher than the price of Starlink. Why is it so expensive? Because this project was originally designed for corporate clients, not individuals. SpaceX’s prices for business are not small either,” notes Flesch.

Therefore, a way out of the situation could be found if the EU subsidized and supported the OneWeb project on the terms of assistance to Ukraine. This would benefit both the army and the European equivalent of Starlink. Eutelsat could offer a special tariff and subsidies for terminals to ensure a full-fledged launch.

 

OneWeb terminals

Geopolitical context

The gap between the United States and Europe in support of Ukraine has widened, especially after the events surrounding Donald Trump. The US has already suspended military aid and limited intelligence sharing with Ukraine. Against this backdrop, the EU is stepping up its efforts to fund defense initiatives.

At the same time, Starlink is losing contracts because of Elon Musk’s ties to Donald Trump.  The Canadian government has rejected Starlink’s services, and Italy is questioning the signing of a €1.5 billion deal. As a result, Eutelsat is already negotiating with Italy for secure satellite communications.

In the midst of these events, Eutelsat's shares fluctuated, rising and then falling.

In the midst of these events, Eutelsat’s shares fluctuated, rising and then falling.

The company says it needs additional financial and logistical support to quickly deploy terminals in Ukraine. These developments are indicative of the changing geopolitical situation and Europe’s desire for greater independence in strategic communications.

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