PARIS: French satellite operator Eutelsat said on Monday it was in talks with British counterpart OneWeb for a tie-up to create a “global champion” in broadband internet, rivalling US operators such as Elon Musk’s Starlink.

Satellite broadband promises to bring coverage to the most remote areas of the planet and supply connectivity on aeroplanes and to products like connected cars.

Starlink heads the market with more than 2,000 tiny satellites in lower-earth orbit (LEO), just a few hundred kilometres above the Earth.

Eutelsat already provides some internet services through a deal with telecoms firm Orange, using its network of 35 larger satellites that operate thousands of kilometres from Earth in geostationary orbit (GEO) that are more commonly used for TV and other communications.

But Eutelsat said its tie-up with OneWeb, if it goes through, would be the first of its kind allying GEO and LEO satellites — OneWeb has 428 in orbit. The French firm said it would be “uniquely positioned” to exploit a market that it expected to be worth $16 billion by 2030.

The “potential all-share combination” would “create a global leader in connectivity”, Eutelsat said in a statement. However, the European firms face stiff competition.

Published in Dawn, July 26th, 2022