Shares of Eutelsat, the French satellite operator, have skyrocketed over 500% in a week, sending shockwaves through the aerospace and defense sectors. The reason? Speculation that Eutelsat could replace Elon Musk’s Starlink in Ukraine, amid rising geopolitical tensions and shifting alliances.
If you’re wondering what’s fueling this meteoric rise and whether Eutelsat can truly rival Starlink, here’s the full breakdown.
What Is Eutelsat, and Why Is It Surging?
Eutelsat is a major European satellite company that merged with Britain’s OneWeb in 2023, making it the world’s third-largest satellite operator by revenue. Unlike Starlink, which is a subsidiary of Musk’s SpaceX, Eutelsat operates both geostationary orbit (GEO) satellites and a growing low Earth orbit (LEO) constellation, putting it in direct competition with Starlink’s broadband services.
The stock price exploded due to strong speculation that Eutelsat could step in as a European alternative to Starlink for Ukraine’s military and government communications. Investors are betting big on this potential deal, leading to an unprecedented 500% stock surge.
Why Would Ukraine Ditch Starlink?
For years, Starlink has provided Ukraine with crucial satellite internet, enabling secure military communications even in war zones. However, recent geopolitical developments have cast doubt on its reliability:
Tensions Between Ukraine and the U.S.
- Newly elected President Donald Trump paused military aid to Ukraine in early March 2025.
- This move came after Trump and Ukrainian President Volodymyr Zelenskyy clashed over U.S. policy on Ukraine.
- Reports suggest that U.S. officials have even discussed restricting Ukraine’s access to Starlink if Ukraine doesn’t comply with new U.S. demands.
Elon Musk’s Controversial Stance
- Musk openly criticized further U.S. involvement in Ukraine, leading some European leaders to question Starlink’s reliability.
- Over the weekend, Musk clashed with Poland’s foreign minister, who hinted at finding alternative suppliers if Starlink becomes an “unreliable provider.”
EU Wants Its Own Starlink Alternative
- The European Union has long sought an independent, sovereign satellite internet provider to reduce reliance on Musk’s private network.
- Eutelsat is in active talks with EU leaders about expanding its satellite coverage over Ukraine.
With these tensions escalating, Ukraine may have no choice but to seek an alternative provider—and Eutelsat is in prime position to step in.
Can Eutelsat Really Replace Starlink?
The big question: Does Eutelsat have the capacity to replace Starlink’s extensive network in Ukraine?
✅ Fleet of 35 GEO satellites → Provides wide coverage and stability.
✅ 600+ LEO satellites (OneWeb) → Expanding rapidly to compete with Starlink’s global network.
✅ Military-grade communication capabilities → Already providing secure broadband for European governments.
✅ Backed by the EU → Unlike Starlink, which is privately owned, Eutelsat has European institutional support.
Eutelsat CEO Eva Berneke confirmed in an interview last week:
“We are actively looking at what’s needed to replace Starlink in Ukraine. The demand is clear, and we are assessing solutions at scale.”
However, replacing 40,000+ Starlink terminals in Ukraine won’t happen overnight. Infrastructure challenges and deployment speed will be key factors.
Market Reactions: Eutelsat Stock Hits the Stratosphere
- Shares jumped 77% on Tuesday, 120% on Wednesday, and over 500% in total within a week.
- Monday saw another 22% jump, pushing Eutelsat’s valuation to record highs.
- Goldman Sachs upgraded Eutelsat’s rating from “Sell” to “Neutral”, citing strong government-backed revenue potential.
Clearly, investors see huge growth potential—especially if a deal with Ukraine or the EU is confirmed.
What’s Next for Eutelsat?
- Will Ukraine finalize a switch from Starlink to Eutelsat? Talks are ongoing.
- Will the EU fund Eutelsat as its official Starlink alternative? Strong possibility.
- Will Elon Musk retaliate? Musk has already started calling out EU officials on social media.
Eutelsat’s meteoric rise is far from over. Whether it can cement itself as a true Starlink rival remains to be seen, but one thing’s clear: Europe’s space race just got a whole lot more interesting.
FAQ: Everything You Need to Know
❓ Why is Eutelsat’s stock rising so fast?
📌 Because it may replace Starlink in Ukraine, gaining major military and government contracts.
❓ Is Eutelsat better than Starlink?
📌 Not yet—Starlink has a larger network (5,000+ satellites) vs. Eutelsat (600+). But Eutelsat is expanding fast, and EU backing gives it an edge.
❓ What happens if Ukraine stops using Starlink?
📌 Ukraine would need tens of thousands of new satellite terminals, which Eutelsat is preparing to supply. However, transitioning will take time.
❓ Should I invest in Eutelsat stock?
📌 The stock is highly volatile right now—huge upside, but risks remain. If the EU confirms funding, expect even more growth.
Final Thoughts
Eutelsat’s stock explosion signals a major shift in the satellite industry. With geopolitical tensions reshaping global internet infrastructure, Europe is pushing for independence from Musk’s Starlink—and Eutelsat is leading the charge.
Will it succeed? That depends on how fast it can scale. One thing is certain: This is just the beginning of a new space race between Europe and Musk.
📢 Stay tuned—this story is developing fast!
