EU SATELLITE VENTURE TESTS NEW MERGER RULES

The three European defense and aerospace giants are combining their satellite operations in a bid to compete with SpaceX and other international players. The merger comes as the EU seeks to strengthen its industrial base through a reformed regulatory approach that balances competition concerns with the need for scale in global markets. The venture's approval process will reveal how strictly the EU's new framework operates. Brussels has signaled intent to enable larger European consolidations while maintaining competition standards—a delicate balance as U.S. and Chinese companies dominate space and satellite sectors. Separately, SpaceX itself faces valuation scrutiny following its record IPO. New Street Research assigned a $165 price target, factoring in growth expectations and what analysts call the "Musk premium" in the company's valuation. The contrast highlights Europe's challenge: building scale while competing against well-capitalized U.S. rivals operating under different regulatory conditions.