France, Oct. 24 -- Airbus, Leonardo and Thales have unveiled plans for a new European satellite group headquartered in France - a landmark alliance aimed at bolstering Europe's space ambitions and taking on global heavyweights such as Elon Musk's Starlink.

After months of negotiations, the three European aerospace giants signed a preliminary memorandum of understanding on Thursday to create a jointly owned satellite company that could be fully operational by 2027.

The move marks one of the most ambitious industrial mergers yet in Europe's space sector.

French Economy Minister Roland Lescure hailed the announcement as "excellent news", saying the deal would "strengthen our European sovereignty".

Under the agreement, the new venture wil...