Eutelsat is to receive $504 million, about €443 million, for giving up a slice of American airwaves. It is the operator’s share of a compensation package designed to clear satellite firms out of the way of the next big wireless auction in the United States.

The payout is tied to the Federal Communications Commission’s order to repurpose upper C-band spectrum for mobile networks. The regulator voted on July 22 to auction 160 MHz of the band, the stretch running from 3.98 to 4.14 GHz, and to hand it to carriers short of mid-band capacity. Combined with spectrum already in commercial use, it creates a 440 MHz “super band” for 5G, and the FCC wants the sale done by July 2027.

For Eutelsat, the money is compensation rather than windfall. The company runs the OneWeb constellation in low-Earth orbit alongside a fleet of geostationary satellites, and it uses C-band to beam television and data to the ground. Vacating part of that band means shifting customers, launching replacement capacity, and swallowing the disruption.

The $504 million is an incentive payment, conditional on Eutelsat meeting two clearing deadlines, with the cash expected to arrive in 2031. The FCC has separately promised to reimburse the “reasonable and necessary” costs of the move. Eutelsat’s own clearing bill has been estimated at roughly $750 million, so the incentive is a top-up on repaid costs rather than the whole of it.