EIB Supports Eutelsat
for the Procurement and Launch of the KONNECT
VHTS Satellite
January 13, 2021
The European Investment
Bank (EIB), and Eutelsat announced a €200
million financing agreement at the European
Space Conference today. This eight-year loan
will back investments related to the procurement
and launch of the KONNECT VHTS satellite for the
provision of advanced broadband services in
Europe and neighbouring areas.
KONNECT VHTS is an advanced
satellite providing unprecedented upload and
download speed capacity for both fixed and
mobile broadband services. With a weight of 6.3
tonnes and a Ka-band capacity of 500 Gbps, this
next generation satellite will carry the most
powerful on-board digital processor ever put
into orbit, offering capacity, allocation
flexibility, optimal spectrum use, and
progressive ground network deployment. It will
deliver cost-effective, competitive broadband
connectivity allowing notably the provision of
ubiquitous and affordable very high-speed fixed
broadband access to European households,
businesses and public administrations in remote
areas that remain beyond the reach of
terrestrial infrastructure.
Commenting on the
agreement, Rodolphe Belmer, CEO of Eutelsat,
said: “This long-term financing with the EIB
ensures that major players in the space sector
like Eutelsat have access to diversified and
compelling sources of funding. It is very
positive that the European Union has an agenda
in support of the space sector that places space
connectivity at the centre of its priorities.
This commitment also underlines the EU’s belief
in geostationary satellites as an indispensable
complement to the provision of connectivity to
unserved or poorly served regions significantly
more quickly and cheaply than deploying
terrestrial infrastructure in remote areas.”
“I am very pleased about
this agreement with Eutelsat. It is an important
step in the launch of a new generation satellite
able to deliver accessible, cost-effective and
competitive connectivity to all,” said EIB
Vice-President Ambroise Fayolle. “Space is an
important driver of innovation in Europe. This
investment illustrates how the EU can support
researchers, innovators and entrepreneurs in
catalysing the development of advanced
technologies to the benefit of end-users,
customers, service providers and public
authorities.”
The transaction follows the
EU and EIB's commitment to strengthen their
support for European space companies. It is in
line with the Gigabit Society targets of the
European Commission stating that all households
in Europe will have access to at least 100 Mbps
internet connectivity by 2025.