Deutsche Telekom, Orange, Telefonica and Vodafone explore joint bid for European satellite spectrum
Key Facts
Deutsche Telekom, Orange, Telefonica and Vodafone have signed a letter of intent to explore a potential joint bid for the allocation of mobile satellite services spectrum in Europe, according to a joint statement published on 19 October. The initiative aims to make direct-to-device connectivity services available to all mobile network operators, allowing them to offer these services to their customers. The announced proposal calls for open, non-discriminatory access for operators. The letter of intent frames cooperation among the signatories around exploring a potential bid for European spectrum allocation. The satellite partner that will provide the constellation needed for the initiative has yet to be selected, according to the joint statement.
According to the statement, the operators plan to build the initiative's ground infrastructure in Europe and locate coordination and monitoring functions there as well. The proposal defines the scope of work the telecommunications companies intend to undertake, from ground infrastructure to functions related to service coordination and monitoring. Direct investment in a satellite constellation, however, is outside the plan the operators announced for this collaboration. The companies said the initiative would be implemented "without investing directly in a satellite constellation", describing the proposed participation structure. They also confirmed that the letter of intent "does not replace existing satellite partnerships", keeping operators' current relationships within their satellite arrangements.
Among these relationships is Satellite Connect Europe, a Luxembourg-based joint venture between Vodafone and AST SpaceMobile, according to Vodafone. The venture announced investment in deploying 5 ground stations in Europe as part of its launch plan announced in February 2026. This investment concerns the ground infrastructure of the existing joint venture through which the two companies operate in satellite connectivity. On the operational side, Vodafone and AST SpaceMobile announced the selection of Germany as the location for their main satellite operations centre. Vodafone said the choice of location supports the operation of European services, alongside the joint venture's arrangements and its headquarters in Luxembourg.
The commercial relationship between Vodafone and AST SpaceMobile is based on a long-term agreement signed on 9 December 2024, according to the satellite company's annual report filed with the U.S. Securities and Exchange Commission. AST LLC entered into the agreement with Vodafone, according to the filing identifying the contracting party. The agreement's stated term runs until 2034, subject to certain termination rights under the terms set out in the annual report. On the technology side, AST SpaceMobile is developing a satellite-based cellular broadband network, according to Vodafone's description of the company's business. The network allows direct access using standard smartphones, the area of connectivity covered by the two companies' collaboration.
In Ireland, Vodafone Ireland and the Office of the Government Chief Information Officer carried out a successful live connectivity trial on Clare Island, according to a Vodafone announcement. The trial used satellite technology to support emergency communications and public services, as part of cooperation between the operator and the government office. The company described it as a "successful live test call on Clare Island", specifying the nature of the test and its location. The trial connected to AST SpaceMobile's satellite constellation, according to details of the announcement on the Irish collaboration. The constellation was used in partnership with Satellite Connect Europe, putting the joint venture's cooperation with the satellite company into practice for emergency communications and public services.
In the next announced trial step, Orange plans to hold a demonstration in Romania during the second half of 2026, according to an official company statement. The demonstration covers voice, text messaging and data services, as part of Orange's collaboration with AST SpaceMobile and Satellite Connect Europe. The announced scope of the trial combines voice calls, messaging and data use through direct-to-device connectivity. Orange designated Romania as the location for the demonstration under the partnership it announced with the satellite company and the European joint venture. It said in its statement that "a demonstration in Romania covering voice, text messaging and data will take place during the second half of 2026".