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In this paper, a new dual mode blind equalization method using neighborhood symbol‐based decision and decision‐directed (NSBD‐DD) algorithm is proposed to equalize the satellite communication signals. The proposed algorithm adopts the combined cost function to employ the advantages of symbol decision algorithm and the decision‐directed algorithm, which can further improve the universality of the proposed algorithm. Compared with the conventional blind equalization algorithm, the compensation ability of intersymbol interference and convergence speed of the proposed algorithm can be improved simultaneously. To verify the performance of the proposed algorithm, the computer simulation is performed, and the simulation results show that the residual intersymbol interference of the 64QAM signals can be decreased to −50 dB under the satellite channel, which has 30 dB lower than multi‐modulus algorithm (MMA), 26 dB lower than NSBD algorithm, and 10 dB lower than SBD algorithm. And compared with SBD algorithm, the number of iterations required for the NSBD‐DD algorithm can be decreased from 8000 iterations to 6000 iterations, which convergence speed is increased by 25%. © 2023 Institute of Electrical Engineers of Japan. Published by Wiley Periodicals LLC. [ABSTRACT FROM AUTHOR]