Two European Satellite Companies Are Combining in a $3.4 Billion Deal to Rival Elon Musk's SpaceX

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U.K. satellite firm OneWeb has agreed to be taken over by European rival Eutelsat in a $3.4 billion merger deal.

OneWeb wants to distribute 648 low-earth orbit satellites that would help beam broadband to rural areas with limited internet access. It currently has 428 satellites in orbit, which will now be combined with Eutelsat's 36-strong fleet of geostationary orbit satellites.Amazon'sThe company emerged from bankruptcy in 2020 with the help of the U.K. government, having burned through billions of dollars in venture capital.

"This combination accelerates our mission to deliver connectivity that will change lives at scale and create a fast growing, well-funded company which will continue to create significant value for our shareholders," Masterson said. The deal is subject to various regulatory approvals, including a strict national security clearance process in the U.K. It is expected to complete by the first half of 2023.

 

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Eutelsat in talks on possible all-share merger with UK's OneWebFrench satellite company Eutelsat said it was in talks with British rival OneWeb over a possible all-share merger deal, which would help both companies challenge the likes of Elon Musk-owned SpaceX's Starlink and Amazon.com's Project Kuiper.
Source: Reuters - 🏆 2. / 97 Read more »