Investing.com -- The European Union unveiled new regulations on Wednesday for satellite spectrum access that would permit non-European companies, including Elon Musk's Starlink, to compete for airwaves while reserving most licenses for local operators.

The regulations will govern satellite technology capable of working directly with mobile devices, delivering text, data and calls without additional equipment. The European Commission proposed dividing the 2 GHz frequency band into three parts: one third for government use, one third for new EU-based entrants and one third for established US and EU operators, according to a Wednesday statement.

The proposal, which requires debate by the European Parliament and approval, seeks to balance demand for advanced technology with protecting local operators and critical infrastructure from US firm encroachment. Current licenses expire in 2027, and the commission proposed extending access for incumbents Viasat Inc. and EchoStar Corp. by two years.

The EU has invested in its own satellite constellation, IRIS², through a consortium led by French firms Eutelsat Communications SACA and SES SA, and Spain's Hispasat SA. The system will not be ready until 2029 and focuses on broadband connectivity rather than direct-to-device communications.

Deutsche Telekom AG announced a partnership with Starlink for direct-to-device services earlier this year. Vodafone Group Plc is working with Amazon.com Inc.'s LEO constellation and Texas-based AST. AST also collaborates with Orange SA and Telefónica SA.