French satellite operator Eutelsat Communications SA said talks with the European Union to replace Elon Musk’s Starlink in Ukraine are intensifying as the US pulls back from its commitments there.

Eutelsat is in talks with the European Union to supply additional internet access to Ukraine, it said on Tuesday, amid a two-day surge in its shares on the prospect that OneWeb satellites could replace Elon Musk's Starlink there.

Italian politicians are split on choosing Starlink or Eutelsat for satellite communications. Elon Musk is at the core of the divide.

Suggestions that Ukraine could lose access to Elon Musk's Starlink satellite internet system, which has been vital in maintaining its military communications as it fights Russia's invasion, have focused investor interest on Starlink's smaller European rival Eutelsat.

(Reuters) -Shares in Eutelsat surged more than 60% on Tuesday, extending their gains after rising 68% a day before, as recent geopolitical developments raised the prospect of OneWeb satellites replacing Elon Musk's Starlink in Ukraine.

Eutelsat said it was in talks with European governments about providing additional satellite connectivity in Ukraine, as investors bet the French satellite operator could replace Elon Musk’s Starlink in the country.

Elon Musk wrote on the X platform on Sunday, "my Starlink system is the backbone of the Ukrainian army. Their entire front line would collapse if I turned it of." The head of the Department of Government Efficiency (DOGE) in the administration of U.

The use of Starlink has been adopted by at least one additional federal agency since President Donald Trump began his second term, and it’s being considered by more.

Domestic political opposition to $1.5bn deal for secure communications has mounted amid transatlantic diplomatic tensions

Poland, which funds Ukraine's Starlink internet, might seek alternatives if Elon Musk's company falters. The service is vital for Ukraine's connectivity. Musk warned of the consequences of cutting Starlink access,

Eutelsat's shares surged amid fears that Ukraine's Starlink access could soon face disruption, though it's unclear if that will happen.