A New Space Rival to Starlink: Europe’s $7.6B Bet

In a landmark move for Europe’s aerospace industry, Airbus, Thales, and Leonardo have agreed to merge their satellite operations into a single France-based company launching in 2027.

The new venture — projected to generate $7.6 billion in annual revenue and employ 25,000 people — marks Europe’s boldest attempt yet to compete with Elon Musk’s Starlink and other U.S.-led satellite networks dominating low-Earth orbit.

The deal allocates 35% ownership to Airbus and 32.5% each to Thales and Leonardo, with a goal of streamlining operations and boosting competitiveness in the rapidly expanding $400 billion global space market.

French Finance Minister Roland Lescure hailed the initiative as a step toward “European sovereignty in space,” as the continent faces mounting pressure from the U.S. and China.

The venture, informally called “Project Bromo,” builds on the successful multinational model of MBDA, Europe’s missile consortium.

While regulatory and union approvals are still pending, industry analysts see the partnership as a potential game-changer for Europe’s space ambitions — and its most serious challenge yet to Musk’s dominance through SpaceX’s Starlink network.