European Startup Challenges Satellite Industry Status Quo
Belgian startup Nxgsat has successfully raised €1.2 million ($1.4 million) in seed funding to develop what could become a game-changing virtual 5G modem for satellite communications. The funding round, announced October 21, was led by European investment firms PMV and Imec.istart Future Fund, signaling strong confidence in the startup’s vision to revolutionize how satellite networks operate., according to recent research
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Table of Contents
Breaking Down Proprietary Barriers
Traditional satellite communication systems have long relied on proprietary modems that lock users into single-operator networks. This closed approach has limited flexibility and innovation in an industry increasingly needing to integrate with terrestrial 5G networks. Nxgsat’s solution aims to disrupt this model by creating a hardware-agnostic modem that uses open standards to operate across multiple satellite networks and orbits.
Frederik Simoens, co-CEO and chief business officer at Nxgsat, explained the strategic advantage of their approach: “As a startup, we’re not constrained by legacy products or the innovator’s dilemma that holds back incumbent players who risk cannibalizing their existing products. By building directly on the 5G stack, we can tap into a rich ecosystem of existing technologies and avoid reinventing the wheel.”, according to emerging trends
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Technical Innovation and Market Timing
The company‘s modem will be compliant with 5G New Radio Non-Terrestrial Networks (NR NTN) standards established by 3GPP, the same standards body that governs terrestrial 5G networks. This strategic alignment with mainstream telecommunications standards represents a significant departure from traditional satellite communication approaches.
Alain Rolle, co-CEO and chief technology officer, drew a compelling comparison: “Imagine that your smartphone would only connect to a single mobile network—that’s the current reality of satellite communications. Nxgsat is on a mission to change that.” This vision of seamless connectivity across multiple satellite operators and terrestrial networks addresses a critical pain point in today’s increasingly hybrid network environments.
Commercial Strategy and European Ambitions
Nxgsat plans to use the seed funding to accelerate product development and expand its team ahead of a planned commercial launch in the second quarter of 2026. The timing positions the company to capitalize on the growing demand for integrated satellite-terrestrial networks., as related article
As a European company, Nxgsat is particularly well-positioned to contribute to Europe’s ambitious IRIS² multi-orbit sovereign broadband constellation initiative. This strategic alignment with European space policy could provide significant opportunities for growth and collaboration within the region’s expanding space ecosystem.
Industry Implications and Future Potential
The development of a virtual 5G satellite modem represents more than just another technological innovation—it could fundamentally reshape how satellite networks are deployed and operated. By enabling compatibility across traditionally closed systems, Nxgsat’s approach could:
- Reduce deployment costs for hybrid satellite-terrestrial networks
- Increase flexibility for network operators and end-users
- Accelerate innovation through open standards and interoperability
- Simplify network management across multiple orbital regimes
The company’s leadership brings substantial industry credibility, with both Simoens and Rolle having previously held key positions at ST Engineering iDirect, a major satellite communications equipment manufacturer. Their experience in satellite networking and understanding of industry challenges positions Nxgsat to effectively navigate the complex landscape of satellite communications while driving meaningful change.
As the satellite industry continues to evolve toward more integrated and flexible architectures, Nxgsat’s virtual modem technology could play a crucial role in defining the next generation of global connectivity solutions.
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