Italy is in advanced negotiations with Elon Musk's SpaceX for a €1.5 billion ($1.55 billion) deal to provide secure telecommunications services to the government, according to a report from Bloomberg News on Sunday. While discussions are still ongoing and a final five-year contract has yet to be signed, the project has already received approval from Italy's Intelligence Services and Defence Ministry, the report said, citing anonymous sources.
Neither SpaceX nor Italy's Defence Ministry immediately responded to Reuters’ requests for comment outside of regular business hours.
The proposed agreement reportedly includes SpaceX providing Italy with comprehensive encryption for telephone and internet services used by the government. It also covers communications support for Italy’s military in the Mediterranean region, as well as deploying satellite services in Italy to assist during emergencies, such as terrorist attacks or natural disasters.
This news follows Italian Prime Minister Giorgia Meloni’s announcement on Sunday that she is prepared to work closely with Donald Trump. Meloni made a surprise visit to Trump’s Mar-a-Lago residence in Florida to meet the president-elect ahead of his Jan. 20 inauguration.
Meloni has also developed a strong rapport with Elon Musk, a prominent Trump ally and tech billionaire. Reuters reported last month that Italy plans to begin testing Starlink’s satellite-based connectivity as early as January to evaluate its potential for accelerating the rollout of high-speed internet across the country.
