• 2 min read
Sateliot seeks €150M for smartphone 5G satellites
Sateliot is raising up to €150 million to deploy 5G satellites that connect directly to ordinary smartphones by early 2028.
Image: TNW
Sateliot is seeking up to €150 million ($172 million) to expand its low-Earth orbit satellite network and deliver 5G data, voice, and video directly to ordinary smartphones by early 2028. The Barcelona-based startup’s target is 50% higher than the €100 million funding round it announced in April.
The company plans to use the money to deploy 16 additional satellites over the next year. Sateliot was founded in 2018 to connect IoT devices—including shipping trackers and utility sensors—through satellite networks. Its move into smartphone connectivity marks a major expansion of that business.
“A new opportunity has emerged: integrating 5G within a satellite.”
Sateliot’s direct-to-device strategy
Sateliot is developing direct-to-device technology with Telefonica and has agreements with other network operators to extend coverage in remote areas. The approach is designed to work with existing smartphones and carrier networks rather than requiring dedicated satellite hardware.
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The funding effort comes as Europe increases investment in satellite infrastructure and seeks to reduce its reliance on Elon Musk’s Starlink. The European Space Agency is deploying €22 billion over three years, while the European Commission has proposed reserving airwaves suitable for direct-to-device satellite communications for European companies.
Sateliot is still looking for a lead investor. It said the additional €50 million could be raised as debt and expects up to 50% public co-financing.
Competition for Europe’s satellite spectrum
The market is becoming more crowded. Amazon’s Project Kuiper is scaling toward competition with Starlink, while Vodafone and AST SpaceMobile are pursuing a similar direct-to-phone service through their Satellite Connect Europe joint venture. However, it is unclear whether that venture would qualify for the reserved European spectrum because the US company owns 50% of it.
Europe’s IRIS² constellation, led by Eutelsat, SES, and Hispasat, will initially focus on broadband rather than direct-to-device services. Sateliot is targeting that opening as Starlink raises prices and operators look for alternatives to a Musk-controlled network.
Enterprise Editor
Marcus follows the money. He covers enterprise software, cloud architecture, and the tectonic shifts in Big Tech strategy. He translates dense earnings calls and complex M&A activity into actionable insights about where the industry is actually heading. If a tech giant makes a silent pivot, Marcus is usually the first to notice.
via TNW
