Eutelsat Strengthens MENA Reach, Faces Starlink Challenge
Eutelsat, a leading satellite operator, has strengthened its position in the Middle East and North Africa (MENA) region. It now reaches 95% of satellite households, thanks to a strategic partnership with MBC Group. However, the company faces significant challenges from competitors like Starlink (SpaceX).
Eutelsat's core video business revenue dropped by 10.5% to €133.6 million in the first quarter of 2025/26. This decline comes as Starlink rapidly expands its low Earth orbit (LEO) broadband services, threatening Eutelsat's established business in satellite internet and connectivity.
Despite this, Eutelsat's LEO services revenue grew by 70.7% in the same period. Revenue from fixed connectivity and government services also increased by 16% and 18.5% respectively. These growth areas now account for 53% of Eutelsat's total revenue, indicating a shift in its business model.
The European 'Bromo' consortium, supported by major aerospace companies, has entered the scene, further intensifying competition. Starlink's aggressive expansion into key markets like India is another significant challenge for Eutelsat.
Eutelsat's strategic partnership with MBC Group has solidified its presence in the MENA region. However, the company must navigate a challenging landscape, with competitors like Starlink and the 'Bromo' consortium posing threats to its future growth and established services. Eutelsat's focus on LEO services, fixed connectivity, and government contracts suggests a strategic pivot to adapt to these pressures.
