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SES pivots to LEO manufacturing to build European D2D satellite supply chain

The satellite operator is partnering with Elveo Mobile and Apex Technology to mass-produce spacecraft for mobile and IoT connectivity.

TechNewsReel Newsroom · September 15, 2026

Luxembourg-based satellite operator SES is entering the hardware production space to establish a European manufacturing hub for Low-Earth Orbit (LEO) satellites. The initiative aims to secure a regional supply chain for Direct-to-Device (D2D) technology, which allows satellites to function as cellular towers for consumer and industrial hardware.

SES is partnering with Elveo Mobile, a D2D enterprise led by CEO and former SES board member Ramu Potarazu, to execute the plan. To achieve the scale required for LEO constellations, production will utilize a specialized satellite assembly-line process developed by Los Angeles-based Apex Technology. These mass-produced spacecraft are designed to provide seamless connectivity for mobile phones, autonomous vehicles, and Internet of Things (IoT) devices. SES CEO Adel Al-Saleh stated that European commercial, government, and consumer users deserve "resilient, secure, multi-orbit connectivity," and that the company is preparing to deliver this layer of communications via Elveo’s services.

A Strategic Shift in Orbit

Historically, SES focused its operations on Geostationary (GEO) and Medium Earth Orbit (MEO) satellites. While the company previously avoided the capital-intensive path of building its own LEO constellation, its recent acquisition of Intelsat has accelerated a strategic shift toward multi-orbit connectivity. This move into LEO manufacturing marks a transition for SES from a pure-play satellite operator to an active participant in the aerospace manufacturing chain.

Industry Implications

By establishing a European-based supply chain, SES is reducing its reliance on external LEO network operators and positioning itself as a primary provider of secure, sovereign connectivity within the region. The move comes as the D2D market expands, with satellite-to-phone capabilities becoming a critical requirement for global telecommunications. This vertical integration allows SES to control more of the lifecycle of its connectivity offerings, from the factory floor to the end-user device.

Expanding European Footprint

This LEO initiative complements SES's broader commitment to European infrastructure. The company recently secured a contract valued at nearly €1 billion with OHB to construct 18 MEO satellite platforms for the European Union's IRIS² network. As SES integrates these MEO capabilities with its new LEO manufacturing plans, the company is building a comprehensive multi-orbit architecture. While the specific location of the new LEO production facilities remains unconfirmed, the move signals a long-term bet on European industrial autonomy in the satellite sector.

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