Europe’s dependence on America in space is hard to escape
This month Ukrainian drones’ Starlink links cut out above 160kph and Russian missiles hit Kyiv without the usual American spy-satellite warnings. After Ukraine said Starlink restrictions had been imposed, Eutelsat shares jumped 23%, the EU moved to speed approval of merging three big aerospace firms’ satellite businesses, and on 19 October four large European telecoms firms said they want to partner with a satellite company to rival Starlink. The article identifies three dependencies on America: satellite internet, space-based intelligence/surveillance and early warning, and launch. OneWeb (Eutelsat, part-owned by France and Britain) has about 600 satellites against Starlink’s 10,000+, and its cheapest terminals cost about $9,000, roughly 45 times a basic Starlink one; Kaja Kallas says Europe can’t replace Starlink in the short term. The EU’s €15bn IRIS2 (348 satellites) launches its first only in 2029, and Germany plans 100 military satellites for about €10bn, raising duplication concerns. Surveillance is more encouraging: Finland’s Iceye has 80 radar satellites in orbit and plans to double production to 100 next year, and Sweden launched its first spy satellite this year. Caveats: a Russian satellite manoeuvred close to an Iceye satellite in mid-October, French and German missile-warning satellites arrive only in the early 2030s, and many Iceye and OneWeb satellites flew on SpaceX, with a capacity squeeze looming as Falcon 9 is retired; ESA has a €900m launcher challenge. Eurospace’s Olivier Lemaitre says steady demand is needed for scale. A companion leader (“Europe must escape its reliance on American satellites”) argues the policy case—fixed-price launch contracts, three rocket startups awarded ESA contracts, pooled demand and Iceye’s “federated model”—and is not counted separately.
Why it matters
European space and defence tech is one of Dealroom’s fastest-moving deep-tech segments: Iceye, the rocket startups in ESA’s launcher challenge, Eutelsat/OneWeb and the proposed satellite-maker merger all sit in it. Sovereign demand (IRIS2, Germany’s €10bn programme, telecoms consortia) is a funding tailwind; fragmentation and duplication are the risk.