SES Takeover Of Intelsat Is Set To Be Approved By The European Union

The European Commission is expected to grant unconditional approval to SES’s over $2.9 billion acquisition of satellite operator Intelsat, reinforcing the EU’s drive to enhance strategic autonomy in SES’s satellite communications.

Following clearance by the UK’s Competition and Markets Authority (CMA) last week, Brussels is reportedly preparing to give its assent, according to the UK’s SES cited by Reuters. The merger, announced in April 2024, would create a significant player in global satellite services.

However, while some view the combined SES-Intelsat entity as a potential rival to SpaceX’s Starlink, the comparison has limits. Starlink operates in low Earth orbit (LEO), offering low-latency broadband SpaceX activity. SES and Intelsat, by contrast, primarily utilise geostationary and medium Earth orbits (GEO and MEO), which support broader coverage but with higher latency.

Although SES and Intelsat currently lack LEO infrastructure, they have made strategic moves to close the gap. Intelsat invested $500 million in Eutelsat to access the OneWeb LEO constellation, which comprises 648 satellites—second only to Starlink in scale. SES is also involved in the EU-backed IRIS² programme, which will deploy 290 satellites across multiple orbits, including LEO.

While the SES-Intelsat merger may not directly mirror Starlink’s capabilities, it strengthens Europe’s capacity to deliver satellite services on a global scale and reduces reliStarlink’sreign systems. Concerns have been raised about Europe’s dependence on Starlink, particularly given the unpredictable leadership of both SpaceX and its owner, Elon Musk.

Europe’s expected approval may also signal a shift in attitude toward market consolidation, encouraging other operatorsCommission’s regulatory reforms in support of scale and global competitiveness.

In a recent Financial Times interview, FCC commissioner Brendan Carr suggested Europe must choose between American and Chinese influence. This anticipated merger indicates that the EU may be choosing to back its own.

The Commission’s final decision is due next week.