Key facts
- European Commission President Ursula von der Leyen publicly backed a proposed €6.5 billion space venture between Airbus, Leonardo, and Thales.
- The proposed venture, named Bromo, aims to compete with Elon Musk's SpaceX Starlink satellite-internet service.
- The deal has not yet been formally notified to the European Commission for a merger review.
- Von der Leyen is a proponent of updated EU merger guidelines that allow for mergers creating 'European champions' to compete globally.
- The venture faces complex antitrust issues and may require divestments to gain approval.
European Commission President Ursula von der Leyen has publicly backed a proposed €6.5 billion space venture between aerospace companies Airbus, Leonardo, and Thales, known as Bromo. This intervention is unusual for a top EU official, as Brussels typically refrains from commenting on ongoing antitrust investigations. The proposed joint venture aims to create a European champion capable of competing on a global scale, particularly against Elon Musk's SpaceX and its Starlink satellite-internet service, which is valued at €2 trillion.
Von der Leyen's support aligns with her push for updated EU merger guidelines that consider the need for European companies to achieve scale to compete internationally. However, her stance has reportedly put her at odds with her deputy, Teresa Ribera, who oversees competition and has cautioned against mergers that could harm consumers. The Bromo venture has not yet been formally notified to the Commission, and it faces complex antitrust issues that may necessitate divestments for approval. Commission competition spokesperson Ricardo Cardoso stated that the transaction has not been formally notified and declined to comment further.