Give Europe some space! 3 companies join forces to reach for the stars
Summary
Airbus, Leonardo and Thales have signed a Memorandum of Understanding to combine their space activities into a single company aimed at strengthening Europe’s strategic autonomy in space. Airbus will hold 35% of the proposed entity, while Leonardo and Thales will each hold 32.5%. The combined business would employ around 25,000 people across Europe and have an initial turnover of about €6.5bn (based on 2024 figures).
The new company, if approved by regulators and governments, is expected to be operational by 2027 and will focus on a comprehensive portfolio of space technologies and end-to-end solutions — excluding launchers. The move is framed as a response to concerns about sovereignty and the competitive pressure from large, low-cost satellite constellations such as Starlink.
Key Points
- Airbus, Leonardo and Thales have agreed an MoU to merge their space activities into one company.
- Ownership split: Airbus 35%, Leonardo 32.5%, Thales 32.5%.
- Projected workforce ~25,000 and initial annual turnover ~€6.5bn (2024 figures).
- Target operational date: 2027, subject to regulatory and governmental approvals.
- Scope: end-to-end space infrastructure and services (launchers explicitly excluded).
- Drivers: bolster European strategic autonomy and offer an alternative to US-based space providers and large LEO constellations.
Context and relevance
The consolidation reflects growing European concern about dependence on non‑European space capabilities and the disruptive impact of low-cost satellite constellations. By pooling assets and expertise, the trio aim to create a more competitive and sovereign industrial player able to support national sovereign programmes and commercial services.
However, the new entity will face steep competition from agile, volume-driven providers and must clear regulatory scrutiny across multiple countries — a non-trivial challenge for any cross-border industrial consolidation in Europe.
Author style
Punchy: this is a big, strategic play by three aerospace heavyweights. If you care about European industrial policy, defence procurement, or the future of satellite services, this announcement matters — and you should read the detail to understand the likely industrial and competitive ripple effects.
Why should I read this?
Want the nutshell version without slogging through press releases? This story tells you who’s joining up, why they say they’re doing it, what they plan to cover, and the big hurdles ahead. If Europe keeping its own space capabilities matters to you — commercially or politically — this is worth a skim (and a closer read if you’re involved in the sector).
Source
Source: https://www.theregister.com/2025/10/23/euro_trio_space/