IRIS²: the future of European satellite communications – legal, technological and strategic implications for defence suppliers and telecommunications operators

IRIS² is the third largest European space programme after Copernicus for Earth observation and Galileo for navigation, positioning and timing.

The acronym stands for Infrastructure for Resilience, Interconnectivity and Security by Satellite. It refers to the EU project to build a sovereign multi-orbit satellite constellation. The system will deliver resilient and secure communications, including in crisis scenarios such as natural disasters, conflict and major infrastructure disruption.

On 16 December 2024, the EU signed a 12-year concession contract with the SpaceRISE consortium, with a total value of €10.6 billion. This includes €6 billion in EU funding, €500 million from ESA and more than €4 billion from the private sector. The launch of Eagle-1 in 2026 will mark the start of testing under the 2026–2030 roadmap. Launches will rely on European launch vehicles, which supports EU industrial capacity. The control centres will be located in Toulouse, Fucino and Bettembourg.

At full capacity, IRIS² is expected to include 290 satellites, with 264 in low Earth orbit and 18 in medium Earth orbit. The system will operate in the Ka and Ku bands and will integrate with 5G and 6G networks.

IRIS² will serve both public and commercial uses. It will support secure communications for governments and critical infrastructure, including defence, crisis management and surveillance. It will also deliver high-speed broadband services for businesses and citizens, including in remote areas, and reduce the digital divide.

Frequency allocation is central to interoperability between public and commercial users.

• Military and governmental use
  The programme reserves spectrum in the X and military Ka bands. These frequencies offer high resistance to jamming and are dedicated to defence, border surveillance and crisis management. The system routes sensitive data through secure European infrastructure.
• Civil and commercial use
  Telecommunications operators will access capacity in the Ka and Ku bands. Integration with 5G and 6G enables resilient backhaul and extends connectivity to underserved areas. Operators must implement quantum-resistant security protocols to manage future risks.

For defence suppliers, IRIS² creates a subcontracting market led by major European players such as Thales Alenia Space, Airbus and Telespazio. Demand will focus on EU-certified technologies and reduced reliance on non-European supply chains, including ITAR-controlled components.

For telecommunications operators, IRIS² reshapes the value chain by combining satellite and terrestrial networks. This reduces reliance on purely terrestrial infrastructure but creates new hybrid business models. It also increases competition from space operators and public-private consortia such as SpaceRISE.

IRIS² forms the basis of an open commercial ecosystem. Private operators may offer services over the network but must meet strict security, sovereignty and compliance requirements. This may require alignment with the NIS2 Directive, the Cybersecurity Regulation and the European Electronic Communications Code, as well as adaptation to evolving spectrum rules.

Regulation (EU) 2023/588 introduces the principle of Open Strategic Autonomy and sets strict eligibility criteria.

Key restrictions include:

• Control and establishment
  Companies must be established in the EU and must not be controlled by third countries.
• Supply chain restrictions
  Key technologies, such as encryption systems and satellite platforms, must be developed in the EU. This reduces exposure to foreign export controls such as ITAR.
• Data processing and infrastructure
  Mission control centres and security operations centres must be located in the EU. Use of non-EU cloud providers that may be subject to foreign disclosure laws is restricted.
• Limited derogations
  Non-EU suppliers are allowed only where equivalent EU technology is unavailable. In such cases, suppliers must provide binding guarantees approved by the European Commission.

These rules strengthen the European supply chain but require robust due diligence on subcontractors.

ESA, acting as contracting authority, has launched procurement procedures under the Secure Connectivity programme.

Key opportunities include:

• development of mission control centres and ground infrastructure
• innovation in low-cost LEO satellite technologies, including support for SMEs
• tenders for inter-satellite laser communication systems for secure data transmission

IRIS² positions satellite connectivity as a core element of European security and resilience.

For suppliers and operators, the project creates opportunities but also introduces stricter requirements on security, supply chains and regulatory compliance. Companies must align with sovereignty rules and adapt to a hybrid satellite–terrestrial ecosystem.

From a legal perspective, the main challenge is to balance technological sovereignty with competition and innovation. European institutions and national regulators will play a key role in shaping this framework and supporting long-term market development.