France is investing €717 million in Paris-based satellite operator Eutelsat, a global competitor to Starlink, which is owned by American billionaire Elon Musk. This was announced by Economy Minister Éric Lombard, citing Euractiv.
As Donald Trump’s administration adopts an increasingly dismissive and antagonistic stance toward long-time European allies, efforts to strengthen the EU’s strategic autonomy are accelerating, particularly in Paris.
The French state’s stake reflects a clear intention: to position satellite communications as a strategic tool for advancing digital and industrial sovereignty in France and across Europe, Lombard wrote on X on June 19.
Currently, Eutelsat is co-owned by the French state, which holds 13.6%, and the United Kingdom, which owns 10.9%. Following the announced capital increase, France’s sovereign stake is expected to rise to 30%, while the UK’s share will drop to around 8%.
Recently, the European Commission granted unconditional approval for Luxembourg-based SES to acquire competitor Intelsat for €2.8 billion, aiming to give another European company the opportunity to develop a constellation of telecommunications satellites in low Earth orbit (LEO).
The global race is intense for European firms, as American players such as Viasat, AST SpaceMobile, and Amazon’s subsidiary Kuiper plan to deploy their own LEO satellite constellations. Meanwhile, Chinese state-owned companies like China SatNet and Spacesail also have ambitious development programs.
