Amazon's Project Kuiper and Starlink reshape the satellite industry's competitive landscape

The satellite industry is facing fresh competition as new low Earth orbit (LEO) constellations prepare to enter service. With Amazon's Project Kuiper and other networks like Starlink expanding, established operators such as SES and Eutelsat are adapting their strategies. Meanwhile, regulatory moves and market growth are reshaping the sector's future. Amazon is pushing ahead with Project Kuiper, planning to deploy 3,236 satellites in low Earth orbit. The first commercial operations are set to begin in 2026, following FCC approval of the constellation. This follows Starlink's expansion and China's GuoWang initiative, adding pressure on traditional geostationary operators.

SES has strengthened its position by acquiring Intelsat, broadening its global reach. The company now generates over 60% of its revenue from Networks, with more than 25% coming from government contracts. An upcoming FCC C-band auction, scheduled no later than July 2027, could also provide SES with additional financial flexibility.

Eutelsat, meanwhile, has backed OneWeb, targeting telecom providers, commercial enterprises, and government or military users. Around 17% of Eutelsat's revenue comes from government contracts, while SES relies on them for about 23%. Eutelsat recently raised capital to improve its balance sheet and fund investments in LEO growth.

Analysts at BNP Paribas have started covering both SES and Eutelsat, assessing their challenges amid rising competition. The space economy itself is projected to grow at a mid-single digit rate annually by 2033, driven by expanding satellite networks and new commercial applications. The arrival of new LEO constellations is intensifying competition for European operators. SES and Eutelsat are responding with acquisitions, capital raises, and strategic investments. As the sector evolves, regulatory decisions and market expansion will play a key role in shaping their next steps.