Eutelsat’s Multi-Billion Euro Bet on Next-Generation Satellite Constellation

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The Franco-British satellite operator Eutelsat has made a decisive, multi-billion euro commitment to secure the future of its OneWeb low-Earth orbit (LEO) network. In a strategic one-two punch, the company has placed a massive satellite order with Airbus and secured a new launch partnership. Despite the scale of these investments, the company's shares continue to trade at depressed levels, recently hovering around €2.23.

Complementing its satellite manufacturing deal, Eutelsat announced a multi-launch agreement with French aerospace newcomer MaiaSpace just four days later. Founded in 2022, MaiaSpace is developing Europe’s first reusable mini-launcher, designed to carry payloads of up to four tons. This partnership, set to begin in 2027, is intended to transport LEO satellites for Eutelsat’s constellation.

Arlen Kassighian, Eutelsat’s Chief Engineering Officer, highlighted the strategic rationale behind the move. The agreement aims to reduce dependency on any single launch provider and enhance the resilience of the company’s access to space.

A Massive Satellite Order with Airbus

On January 12, Eutelsat finalized an order for an additional 340 LEO satellites with Airbus Defence and Space. This follows a prior order for 100 units placed in December, bringing the total new commitment to 440 satellites at an estimated cost of €2.2 billion. Production will be initiated at Airbus’s facilities in Toulouse, with the first deliveries scheduled for the end of 2026.

This new generation of spacecraft is destined to replace the initial OneWeb fleet, which is expected to reach the end of its operational life between 2027 and 2028. The current constellation consists of over 600 satellites orbiting at an altitude of 1,200 kilometers. Key upgrades for the new models will include:
* Advanced digital channelizers for improved on-board processing capabilities.
* Hosted payloads to enable potential new revenue streams and services.
* Integration with Ramon.Space technology to ensure better compatibility with Eutelsat’s existing geostationary satellite fleet.

Funding the Ambition Through Capital Raises

To finance these substantial investments, Eutelsat has undertaken significant capital measures. In November 2025, the company secured €828 million from major shareholders, including the French and British governments, Bharti, and CMA CGM. This was followed by a further capital increase in December, which raised an additional €670 million.

Beyond the OneWeb program, Eutelsat is also involved in funding the European IRIS² satellite constellation, with planned investments totaling approximately €2 billion. The operational deployment of this project is anticipated to commence towards the end of the current decade.

Share Price Performance Lags Strategic Moves

The market has so far shown a muted reaction to these pivotal strategic decisions. Eutelsat's share price remains under pressure, currently quoted at €2.23—a stark contrast to its 52-week high of €9.30. The company’s market capitalization stands at roughly €1.06 billion.

Analysts present a mixed outlook, with an average price target of €2.69 per share. However, their estimates reveal a wide dispersion, ranging from a low of €1.40 to a high of €5.22. Investors are now looking ahead to the quarterly results scheduled for February 13. Until then, the stock is likely to remain caught between the weight of near-term heavy investments and the promise of long-term growth opportunities.