Italy's love affair with Elon Musk's space empire faces an unexpected eclipse. The government squirms at the thought of closing a €1.5 billion deal with Starlink. The culprit? Donald Trump's recent shoulder shrug at European security has Rome reaching for the escape pod.
Enter Eutelsat Communications SA, Europe's homegrown satellite champion. The French company has quietly positioned itself as Starlink's less dramatic, more predictable alternative. Think of it as choosing a reliable Fiat over a flashy Tesla – in space.
Prime Minister Giorgia Meloni's team can't ignore the elephant in the room: Musk's cozy relationship with Trump. The billionaire's unpredictable tweets and political zigzags make Italian officials nervous. Some wonder if entrusting national security to a man who named his son X Æ A-12 is the wisest move.
The timing couldn't be worse for Musk. Trump just pulled the rug from under Ukraine's military support and restricted intelligence sharing with Kyiv. These moves sent shockwaves through European capitals faster than a SpaceX rocket launch.
President Sergio Mattarella leads the charge for a European solution. He's joined by ministers who'd rather not depend on an American tech mogul's mood swings for their satellite communications. The message? Sometimes it's better to phone home using your own equipment.
Eutelsat's investors caught the scent of opportunity. The company's shares rocketed up 120% to €7.85 – their highest orbit since 2022. Nothing says "we trust you" quite like a stock market surge.
Meanwhile, Meloni walks a diplomatic tightrope. She's tried to play bridge-builder between Europe and the US, even attending Trump's inauguration. But with America's commitment to European security looking shakier than a satellite in re-entry, she might need to pick sides.
The stakes stretch beyond Italy's borders. Ukraine's military relies heavily on Starlink after Russian attacks knocked out traditional communications. The thought of that service facing disruption because of political whims keeps European defense ministers up at night.
Why this matters:
- Europe's space ambitions just got a Trump-sized reality check: depending on American tech giants comes with political strings attached
- The potential deal collapse proves that in the space race, sometimes the tortoise (Eutelsat) beats the hare (Starlink) – especially when the hare keeps tweeting about politics
Read on, my dear:
Bloomberg: Italy Is Getting Cold Feet Over Deal to Use Musk’s Starlink
