European space companies plan new satellite initiative to compete with Starlink
European space companies are strategizing to create a new satellite initiative aimed at competing with Starlink.
TroibNews 
Airbus, Thales, and Leonardo are considering the establishment of a new joint space company in a bid to compete with Elon Musk's Starlink.
The initiative, dubbed "Project Bromo," draws its name from an Indonesian volcano and aims to create a standalone European satellite entity similar to missile manufacturer MBDA, which is a joint venture among Airbus, Leonardo, and BAE Systems, according to three sources familiar with the discussions.
Previously, top satellite manufacturers in Europe have only suggested a collaboration to enhance scalability in a sector facing significant losses due to the rapid expansion of Musk's Starlink network in low Earth orbit.
The discussions, though still in the early stages, have advanced enough to receive a code name within Airbus and propose a preferred structure that would involve merging satellite assets under a new company, instead of one partner acquiring assets from the others, according to the sources.
Roberto Cingolani, CEO of Leonardo, mentioned in an interview with Reuters that the discussions have included various technical aspects, confirming that the planned structure would indeed be modeled after MBDA.
"That's the one; it is hard that it can be anything else," he stated during an event in Rome.
Both Airbus and Thales opted not to comment on the matter.
It’s worth noting that these merger discussions are distinct from impending job cuts expected to be announced this week and could take years to fully realize. However, together they signify a multi-faceted effort to revitalize Europe's struggling space industry to better compete in the market.
Historically, Europe's leading satellite manufacturers have concentrated on complex spacecraft in geostationary orbit. They have faced challenges due to the influx of inexpensive small satellites in low Earth orbit. Cingolani indicated that satellites are projected to constitute 75 percent of the space economy.
Mark B Thomas for TROIB News
The initiative, dubbed "Project Bromo," draws its name from an Indonesian volcano and aims to create a standalone European satellite entity similar to missile manufacturer MBDA, which is a joint venture among Airbus, Leonardo, and BAE Systems, according to three sources familiar with the discussions.
Previously, top satellite manufacturers in Europe have only suggested a collaboration to enhance scalability in a sector facing significant losses due to the rapid expansion of Musk's Starlink network in low Earth orbit.
The discussions, though still in the early stages, have advanced enough to receive a code name within Airbus and propose a preferred structure that would involve merging satellite assets under a new company, instead of one partner acquiring assets from the others, according to the sources.
Roberto Cingolani, CEO of Leonardo, mentioned in an interview with Reuters that the discussions have included various technical aspects, confirming that the planned structure would indeed be modeled after MBDA.
"That's the one; it is hard that it can be anything else," he stated during an event in Rome.
Both Airbus and Thales opted not to comment on the matter.
It’s worth noting that these merger discussions are distinct from impending job cuts expected to be announced this week and could take years to fully realize. However, together they signify a multi-faceted effort to revitalize Europe's struggling space industry to better compete in the market.
Historically, Europe's leading satellite manufacturers have concentrated on complex spacecraft in geostationary orbit. They have faced challenges due to the influx of inexpensive small satellites in low Earth orbit. Cingolani indicated that satellites are projected to constitute 75 percent of the space economy.
Mark B Thomas for TROIB News
