Satellite in space. Source: Shutterstock The three European aerospace and defense industry giants, Airbus, Leonardo, and Thales, have signed a memorandum of understanding to establish a joint company that will unite their activities in satellite systems production, space technologies, and space-based services.
The new move is intended to create a central and unified European player in the field, which will be able to compete in the global market and enhance Europe's strategic independence in the field of space. In recent years, the United States' power in the field has increased thanks to Elon Musk's SpaceX.
SpaceX. Photo: ShutterstockThe new company, expected to begin operations in 2027 following all regulatory approvals, will bring together the knowledge, development, and production functions of the three groups and employ approximately 25,000 people across the continent.
Ownership will be divided between the three partners: Airbus will hold 35%, and Leonardo and Thales will each hold 32.5%. The company will operate under joint control and a balanced management structure.
Aircraft manufacturer Airbus will contribute its share through its space and digital space systems, from Airbus Defence and Space. Leonardo will contribute through its space division, including its shares in Telespazio and Thales Alenia Space. Thales will contribute mainly through its shares in Thales Alenia Space, Telespazio, and Thales SESO.
The venture is designed to accelerate the development of new space technologies, combine research and development capabilities, and create synergies that will enable greater competitiveness against international players. According to the companies, synergies of hundreds of millions of euros per year are expected to be created, approximately five years after the completion of the deal, along with increased revenue and increased operational efficiency.
Airbus. Photo: Shutterstock
In addition, the new company is expected to lead national and European projects in the fields of communications, navigation, Earth observation and security, and provide end-to-end solutions - from space infrastructure to operational services.
The joint statement from the companies reads: "The new company marks a major milestone for the European space industry. It embodies our shared vision to build a stronger and more competitive European presence in a dynamic global space market. By combining our talents, resources, expertise, and research and development capabilities, we aim to generate growth, accelerate innovation, and deliver greater value to our customers. This partnership is in line with the aspirations of European governments to strengthen their industrial and technological assets, while ensuring Europe's autonomy in the strategic space sector and its many applications."