European aerospace groups unveiled a preliminary deal on Thursday to pool their loss-making satellite manufacturing activities, combining forces after months of negotiations to counter the runaway growth of rivals led by Elon Musk's Starlink.
The keenly awaited deal between Airbus, Thales, and Leonardo would create a new venture starting from 2027, subject to approval by European regulators who have resisted such moves in the past.
The combined entity would employ around 25,000 people across Europe, the companies said in a statement. It would have an annual turnover of about 6.5 billion euros ($7.58 billion), based on 2024 figures.
Airbus would hold 35% of the new venture, while Thales and Leonardo would each hold 32.5%, the statement said, adding it would operate under joint control, "with a balanced governance structure among shareholders."
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