Europe's Big Four Operators Sign Intent for Joint Satellite Spectrum Bid

Deutsche Telekom, Orange, Telefonica and Vodafone Group have signed a letter of intent to explore a joint bid for future Mobile Satellite Services spectrum, aiming to accelerate direct-to-device (D2D) capabilities across Europe.

The four operators said the initiative backs a European Commission ambition to strengthen sovereignty, security and resilience in critical connectivity infrastructure. News of a potential joint bid first emerged last month, when Bloomberg reported the quartet had entered discussions to bid on a third of the total spectrum the EC plans to allocate in the 2GHz band — a range reserved for European companies.

What would a joint bid change?

The operators framed cooperation as the core of their pitch. A joint spectrum bid would give each provider open and non-discriminatory access to offer D2D services, in a model designed to "foster competition, reduce market fragmentation and expand consumer choice across Europe," the companies said in a joint statement.

Their stated goals for satellite connectivity include:

• Connecting underserved areas
• Strengthening public networks
• Protecting critical communications
• Supporting the development of a European constellation

Notably, the operators plan to build key ground infrastructure, critical coordination and monitoring functions without investing directly in a satellite constellation. That structure leaves the door open to a partnership with a satellite operator, which has yet to be selected.

How does this fit existing satellite deals?

The letter of intent does not replace any of the operators' existing satellite partnerships. Vodafone's activity in this area is the most high-profile: the company operates a joint venture with US-based AST SpaceMobile.

Analysts caution that the announcement signals exploration rather than a confirmed launch. Paolo Pescatore, analyst at PP Foresight, said the agreement is more an exploratory step than a done deal.

"The opportunity is to make satellite coverage a seamless extension of mobile connectivity," Pescatore said. "Success will depend on execution, device compatibility and pricing that gives customers a compelling reason to pay, along with reassurance that they can stay connected in more places."

With the EC's 2GHz allocation still ahead, the quartet now faces the practical work of selecting a satellite partner and turning a letter of intent into a formal bid.