EU Looking to Set Aside Most of 2 GHz Band for European Operators

WASHINGTON, May 28, 2026 – European regulators are planning to set aside most of a direct-to-device spectrum band for European operators. That’s not ideal for SpaceX, which is buying global rights to that band in its bid to offer high-speed mobile service with a new satellite constellation.

The European Commission’s proposal, put forward Wednesday, would allocate a third of the 2 GigaHertz (GHz) band for government operations, and another third for European satellite companies.

That leaves up to a third, 20 megahertz, that SpaceX could use, which they might have to split with other non-European firms. The company reached a deal last year to buy 30 megahertz in the band from EchoStar for $17 billion.

“Even if SpaceX is granted 20MHz now, their service could end up being structurally inferior as the proposal enables a single European satellite operator to end up with the remaining 40MHz,” BNP Paribas analyst Sam McHugh wrote in an investor note.

The proposal would extend current licenses in the band by two years, into 2029, and prevent them from being transferred in that time.

“We assume this means that the license would immediately expire if it is transferred from EchoStar to SpaceX,” McHugh wrote.

The proposal would have to be agreed upon by EU governments and legislators before becoming law. 

Henna Virkkunen, head of technology at the European Commission, said at a press conference Wednesday that the agency wanted to “boost Europe's competitiveness” and “strengthen Europe’s security.” 

FCC Chairman Brendan Carr has spoken negatively about an EU bill that would impose extra restrictions on operators of large satellite constellations. The U.S. saw the bill as targeting American companies, chiefly SpaceX. 

He did not appear pleased about the Wednesday proposal in an X post, but didn’t criticize the document directly.

“For decades, reciprocity and nondiscrimination have been at the heart of the FCC's approach to the many European satellite operators that do business in America,” he wrote. “Reciprocity will continue to be the touchstone. And the FCC has a proceeding open aimed at ensuring fair treatment for American businesses.”

Satellite companies and trade groups, including American firms, have told the agency as part of that rulemaking that it should be slow to seriously retaliate against companies for their governments’ actions.

Of the FCC proceeding, McHugh wrote that “while we wouldn’t expect this to have any meaningful impact on any operator, we do think it creates a small tail risk that any foreign-owned entity with business before the FCC will be indirectly punished, which could include [T-Mobile], as well as SES and Eutelsat, who are hoping to be paid handsomely in order to clear the upper C-Band for wireless services.”

SpaceX is asking the FCC for clearance to launch 15,000 new satellites to provide direct-to-cell service using the spectrum it’s buying from EchoStar. Other American firms are aiming to acquire their own spectrum and compete in the nascent market, with Amazon spending $11.6 billion to acquire Globalstar, which can operate Big LEO band spectrum in many countries, and AST SpaceMobile looking to use Ligado’s L-band licenses in the U.S.