Possible problems
The deal still has its own set of potential problems. Eutelsat enjoys massive support from the French state, while its fourth largest shareholder is China Investment Corp, which is also a major distributor for Russian TV channels.
Eutelsat and OneWeb have conflicting relationships with Russia. OneWeb said in March that it would rely on SpaceX to launch satellites following Russia blocked planned deployments with French rocket maker Arianespace SA.
Read more: Storm destroys dozens of Elon Musk satellites
Eutelsat continued to provide select satellite services to Russia, even in the wake of pressure from European regulators. Up to 50% of homes are located in Russia and the surrounding region, according to its website.
OneWeb’s future strategic decisions will also be the subject of additional scrutiny. In December, a major client of Arianespace said it would spend $3 billion moving manufacturing operations from the US to the UK, local newspapers reported. OneWeb currently owns a joint venture withAirbuswhich is partly owned by France and Germany, to manufacture satellites in Florida.
