European space companies launch satellite initiative to compete with Starlink

Airbus, Thales, and Leonardo are exploring plans to establish a European joint venture in the satellite sector, aiming to challenge Elon Musk’s Starlink network. Dubbed ‘Project Bromo’ after an Indonesian volcano, the initiative seeks to create a standalone European satellite company modelled after missile maker MBDA, jointly owned by Airbus, Leonardo, and BAE Systems.

The plan is still in the early stages, but discussions have advanced enough to outline a preferred structure. Instead of one partner acquiring the others’ assets, the proposal envisions pooling satellite resources into a new entity. Leonardo CEO Roberto Cingolani confirmed the MBDA-inspired approach, calling it the most viable model for such collaboration.

This initiative comes as Europe’s satellite industry struggles to compete with Starlink’s rapid growth in low Earth orbit. While the merger talks are separate from Airbus’s impending job cuts, they signal a broader effort to revitalise Europe’s space capabilities in the face of intensifying competition.