The European Commission authorized Thursday, May 25 the proposed acquisition of the British satellite telecommunications operator Inmarsat by its American competitor Viasat, judging that the operation did not pose any problem of competition in Europe. Brussels had opened an investigation on February 13 fearing a possible impact on the market for in-flight connectivity services (Satellifacts, February 14).
At the end of the procedure, Brussels estimated that the market position of the two companies would ultimately remain "moderate", according to a press release. "Several significant competitors will likely be able to exert sufficient competitive pressure" on the new group, the Commission said.
As a reminder, Viasat announced at the end of 2021 that it was going to spend 4 billion dollars to buy Inmarsat and become a heavyweight in the satellite telecommunications market. The proposed transaction was notified to the Commission on 9 January. The two companies currently compete to provide airlines with high-speed in-flight connectivity (IFC) services. Between them, they own and operate 19 satellites in geostationary orbit (four for Viasat and 15 for Inmarsat). Britain's competition authority, the CMA, (Competition and Markets Authority) also gave the green light to the merger in early March.