The landmark deal, announced Thursday after months of negotiations, will create a new jointly controlled entity employing about 25,000 people across Europe, with annual revenues estimated at €6.5 billion ($7.58 billion) based on 2024 figures.

Under the agreement, Airbus will hold a 35% stake, while Thales and Leonardo will each own 32.5%. The partnership aims to streamline Europe’s fragmented satellite industry and generate hundreds of millions of euros in annual synergies within five years.

Code-named “Project Bromo,” the initiative draws inspiration from MBDA, the European missile maker jointly owned by Airbus, Leonardo, and BAE Systems.

European regulators, who have historically resisted such mergers, will still need to approve the new venture, which is set to begin operations in 2027.

The move is seen as Europe’s strongest response yet to the growing dominance of U.S.-based Starlink, which has launched thousands of low-orbit satellites providing broadband internet around the world.

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