OneWeb and Eutelsat to merge and create 'global player' in satellite communications

Date:
Wed, 27 Jul 2022 11:45:18 +0000

Description:
OneWeb and Eutelsat sign initial merger agreement.

FULL STORY ======================================================================

Rival satellite firms OneWeb and Eutelsat have announced plans to merge, hoping their combined resources will allow them to better compete with rivals like Elon Musks SpaceX and Amazons Project Kuiper.

OneWeb, which is part-owned by the UK government, is building a constellation of 650 Low Earth Orbit (LEO) to deliver connectivity to some of the most remote parts of the world, transforming consumer services, in-flight Wi-Fi, and industrial applications.

Meanwhile, France-based Eutelsat operates 30 Geostationary Orbit (GEO) satellites used to power services like television. Satellite connectivity

The combined entity believes that by pooling its financial and technological resources, it can create hybrid LEO/GEO services, invest in new
opportunities, and generate significant cost savings.

Our initial investment in OneWeb was underpinned by our strong belief that
the future growth in connectivity will be driven by both GEO and LEO
capacity, said Eva Berneke, Eutelsat CEO. We are now moving to the next
level, with a full combination that will ensure the potential of the GEO/LEO integration is fully realized, supported by compelling financial, strategic, and industrial logic. Read More

BT and OneWeb sign first satellite test deal

These are the best business broadband deals

SpaceX proved itself just in time to spare NASA a huge headache

This ground-breaking combination will create a powerful global player with
the financial strength and technical expertise to accelerate both OneWebs commercial deployment, and Eutelsats pivot to connectivity.

OneWeb faced bankruptcy in 2020 before it was rescued through a takeover by Indian telco Bharti Airtel and the Department for Business, Energy, and Industrial Strategy. The government now owns a third of the company after investing 400 million. Since then, it has received additional investment from South Korean firm Hanwha, bringing its funding total to $2.7 billion since
its inception.

Just 20 months ago, OneWeb resumed its mission to connect the unconnected and remove the barriers to connectivity that hold back many of the worlds underserved economies and communities, said Neil Masterson, OneWeb CEO.

Since then, we have turned this vision into reality and become the second largest low Earth orbit satellite operator in the world. Todays announcement is another bold step in OneWebs remarkable journey.

The proposed merger would create a complex cast of shareholders to the table, with both the French and Chinese governments holding stakes in Eutelsat. Any deal is subject to shareholder approval and national security clearances, but the UK government says the merger is positive news especially since OneWebs headquartes would remain in Britain.

The UK government will now have a significant stake in what will become a single, powerful, global space company, working on the sound financial
footing needed to make the most of the technological advantages it has to compete in the highly-competitive global satellite industry, against
companies around the world, it said in a statement.

The UK government will retain the special share and its exclusive rights over OneWeb securing the companys future at the centre of the combined groups global LEO business, national security controls over the network, and first-preference rights over domestic industrial opportunities. Here are the best mobile phone deals



======================================================================
Link to news story: https://www.techradar.com/news/oneweb-and-eutelsat-to-merge-and-create-global- player-in-satellite-communications/


--- Mystic BBS v1.12 A47 (Linux/64)
* Origin: tqwNet Technology News (1337:1/100)