Nokia and ICEYE to Build Ukraine a Sovereign LEO Satellite Network

Nokia and ICEYE have signed a letter of intent with Ukraine's Ministry of Defence to build the country a sovereign low-Earth-orbit satellite communications capability — weeks after Starlink throttled the connections Ukrainian forces use to fly drones.

The LOI, revealed during Finnish prime minister Petteri Orpo's visit to Ukraine on Thursday, commits the two companies to exploring systems Ukraine would own outright: satellites, ground segment and terminals. No contract value, timeline or constellation size appeared in the announcement. An LOI is a handshake on paper, not a purchase order.

Why does Ukraine want its own satellites?

The immediate trigger is Starlink. Last week, reports emerged that the operator had been throttling connection speeds for Ukrainian armed forces using Starshield, its military-grade service, to operate drones. Reuters reported the order came from inside the White House. Starlink CEO Elon Musk and US president Donald Trump have since blamed each other for the decision.

The broader problem outlives the spat. A government that runs critical drone operations over infrastructure owned by a foreign company — one whose owner has close ties to a hostile power — holds a lease on its own battlefield connectivity. Russia's invasion, ongoing since 2022, has made that arrangement look less like convenience and more like exposure.

The political backdrop adds texture. Trump has in recent weeks lifted sanctions on Russian diesel exports and waived new sanctions against Russian officials, oligarchs, banks and state enterprises. He has also pressed Ukrainian president Volodymyr Zelensky to stop drone attacks on Russian energy infrastructure and data centres. Both Musk and Trump have documented ties to Russian president Vladimir Putin. Kyiv has reasons to diversify.

What are Nokia and ICEYE actually offering?

The pair formed their partnership several weeks ago to develop secure, sovereign, high-performance broadband LEO satellite communications for governments. The stated use cases run from defence and border security to emergency services and disaster response.

The design principle is ownership. Nations get control of the satellites, the ground segment and the terminals — a contrast with leasing capacity from a constellation whose throttle sits in someone else's hands.

ICEYE CEO and co-founder Rafal Modrzewski framed the pitch in a statement: "Ukraine needs secure, sovereign and high-performance satellite communications systems that it controls. We have a proven track record of delivering sovereign missions at speed to help build that capability. ICEYE has proudly supported Ukraine since 2022, and we remain committed to continuing that support today."

Mikko Hautala, chief geopolitical and government relations officer and chairman of Nokia Defense, added: "Satellite networks extend and protect connectivity when networks on the ground are disrupted. This makes them a key part of any secure communications system. Through this Letter of Intent, together with Ukraine and ICEYE, we will explore how trusted, sovereign satellite communications can strengthen Ukraine's resilience and give it control over the connectivity it depends on."

Note the verbs. Nokia says "explore", ICEYE says "help build". Neither company announced funding, launch dates or satellite counts. Sovereign constellations cost billions; nobody has yet said who pays.

Is Starshield back to full speed?

Depends which statement you load first. Trump said on Friday, according to the BBC, that full connectivity had been restored to Ukraine's military. The Kyiv Independent, quoting a Ukrainian official shortly after, reported that speed restrictions remain in force. Both claims cannot be true simultaneously. In satellite communications, as in war, the ground truth tends to arrive last.

For Ukraine, the Nokia-ICEYE track offers a longer hedge than waiting on Washington's mood. Whether it matures from letter to launchpad will show in the contracts, not the communiqués, over the coming months.