France invests $825 million in Eutelsat to counter SpaceX's Starlink satellite internet service.

SpaceX and Blue Origin face a new rival in the space race after France invests $825 million in Eutelsat, increasing its stake to 30%. The move aims to eliminate the need for SpaceX's Starlink satellite internet service in Europe. President Emmanuel Macron said the investment is necessary to ensure France and Europe don't depend on other powers in the future.

Paris, June 19, 2025 — France has significantly bolstered its investment in Eutelsat, increasing its stake in the European satellite operator to nearly 30%. This €825 million capital raise, led by the French state, aims to reduce Europe's reliance on US-based satellite internet services such as SpaceX's Starlink.

The French government's investment, which includes acquiring Bpifrance's shareholding, will raise its total holding to 29.99% [1]. This move comes as part of a broader strategy to ensure European autonomy in space-based infrastructure, particularly in the face of growing geopolitical tensions.

The capital injection will support Eutelsat's expansion of its OneWeb satellite constellation, which currently operates over 600 Low Earth Orbit (LEO) satellites [1]. The company aims to challenge Starlink's dominance in the LEO satellite communications market, which currently operates over 7,000 satellites globally.

France's investment is seen as a foundation for bridging the funding gap needed to accelerate the deployment of Eutelsat's second-generation LEO satellites. This expansion is expected to require €2.2 billion in total financing [1].

The French government's move to nearly triple its stake in Eutelsat marks a decisive step towards securing Europe's position in the space communications race. While significant funding challenges remain, the state-led capital increase provides Eutelsat with the financial means to compete more effectively with its American and Chinese counterparts.

Eutelsat's strategic merger with UK-based OneWeb in 2023 repositioned it as a key European player in low-Earth orbit (LEO) satellite communications. However, the UK government's position in the share sale remains uncertain, with ongoing discussions regarding its participation [2].

The French government's investment is part of broader European initiatives, including the EU's IRIS² programme, which aims to create a secure and autonomous satellite communications network for public and governmental use [1]. The French-led reinforcement of Eutelsat could position the firm as a key operator within this framework.

The capital raise is expected to support Eutelsat's long-term plan for growing the OneWeb network, aligning with broader European objectives for digital independence and resilient communications infrastructure [1]. Whether other European stakeholders, particularly the UK, choose to participate at the same scale will have a lasting impact on the project's trajectory and on Europe's ability to develop independent LEO communications capacity.

References:

[1] https://eutoday.net/france-deepens-investment-in-eutelsat/
[2] https://www.defensenews.com/global/europe/2025/06/20/eying-a-starlink-alternative-france-to-boost-eutelsat-stake/