Telefonica aims to use the KA-SAT capacity to offer European carriers solutions that are as reliable and as competitive in prices as terrestrial broadband services. The company also aims to deliver this fast Internet service to carriers throughout Europe, particularly in areas that are out of reach of terrestrial broadband networks like rural areas or urban belts and offer areas that do have terrestrial access with fully diversified backup solutions.

“The bid for Eutelsat Ka-band is the logical step for the evolution of the business of data communications via satellite in Europe, where land-based infrastructures have increasing capillarity,” Telefonica Director of the Satellite Services Business Unit José Antonio Guerra said in a statement. “KA-SAT will allow us to offer high quality services at competitive prices, allowing us to update our catalogue of services for operators and corporations. It also allows us to complement the overall strategy of the Telefonica Group providing another access technology for services such as M2M or iHealth.”