Negotiations between the Italian government and Elon Musk’s satellite internet provider Starlink have reportedly stalled, casting uncertainty over a potential €1.5 billion deal to secure encrypted communications for Italy’s defence and diplomatic operations.
Italy’s Defence Minister Guido Crosetto confirmed over the weekend that the talks, which had once focused on technical and operational matters, have been derailed.
“It seems to me that everything has come to a standstill,” Crosetto told La Repubblica, noting that the discussion had shifted away from substance to “statements by and about Musk,” without elaborating further.
The proposed agreement, which would span five years, aimed to leverage Starlink’s global satellite network—currently consisting of approximately 7,000 active low-Earth orbit satellites—to provide secure communications for government and military use in high-risk zones. Starlink has operated commercially in Italy since 2021.
However, political unease is growing around the idea of entrusting a sensitive national security contract to a foreign private enterprise helmed by Musk, who is not only an influential U.S. businessman but also a known ally of former President Donald Trump.
Critics in Italy’s opposition have voiced concern that such a move could compromise national autonomy, especially as Starlink is closely tied to Musk’s other ventures, including SpaceX, and his increasingly polarising public persona.
Prime Minister Giorgia Meloni has made closer ties with the United States a cornerstone of her foreign policy strategy. However, Trump’s strained relationships with several European leaders have left Meloni walking a diplomatic tightrope—torn between maintaining EU solidarity and appeasing allies of Trump at home.
Domestic pressure is also mounting. The far-right League, Meloni’s coalition partner, continues to champion both Musk and Trump. League leader and Deputy Prime Minister Matteo Salvini announced he had spoken directly with U.S. Vice President JD Vance, praising “the remarkable American capabilities in key areas such as satellite communications.”
While the deal remains on the table, the growing intersection of technology, diplomacy, and politics has complicated its path forward—highlighting the rising influence of tech magnates in global security decisions and the geopolitical balancing act faced by leaders like Meloni.
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