Europe's launch dilemma: are there too many players?
This week: new funding rounds and Europe is about to launch it's first private rocket...
Welcome to Aerospace Insider 🚀
In this week’s issue, we’re diving into the latest and greatest from Europe’s booming space sector. Big things are happening!
Today’s summary:
🚀 Aerospace News: Funding as usual, Europe’s getting ready to launch? The end of Boeing & Airbus?
💼 Top Space Jobs: The space industry is hiring so be sure not to miss it!
🔍 Deep Dive: European launch startups team up: a wake up call for ESA?
Aerospace Weekly Roundup
Catch the latest European space industry highlights you can't afford to miss!
📡 AST SpaceMobile secures $400M to scale smartphone satellite plans
AST SpaceMobile raised $400M through convertible debt to accelerate the production of its direct-to-smartphone satellite constellation. The company plans to launch up to 45 BlueBird satellites in the next two years, with the next spacecraft set to launch from India as early as March. This funding will also support expanding its network to keep US customers connected beyond cell tower coverage; directly competing with SpaceX’s Starlink.
🛰️ Spaceium raises $6.3M seed round for in-space refuelling
Spaceium (Y Combinator alumni) closed a $6.3M seed round to develop in-space refuelling stations. The company aims to revolutionise space operations by extending spacecraft lifespans, enabling heavier payloads and reducing launch costs. A demonstration mission is planned as the company works toward creating a “space superhighway” 👀
🚀 Isar Aerospace gears up for first Spectrum rocket launch
Isar Aerospace is preparing for the maiden flight of its two-stage Spectrum rocket, anticipated in the coming months. The rocket's components arrived at Norway's Andøya Spaceport in late 2024, with static fire tests for both stages reportedly underway. Despite pauses in testing late last year, Isar remains on track for its inaugural mission. This marks a significant milestone for European private access to space.
📉 Boeing faces $400M in Starliner losses
Boeing expects a $400M charge on its Starliner program as part of $1.7B in total losses projected for its Defense, Space, and Security unit in Q4 2024. This comes after $250M in Starliner charges last quarter. Starliner’s future remains unclear following the issue with its propulsion system during its crewed flight test. With increasing costs across major programs, Boeing’s challenges in space and defence seem far from over.
🤯 Space Capital predicts Boeing and Airbus will exit space by 2025
Venture firm Space Capital anticipates Boeing and Airbus will divest their space divisions this year, reshaping the industry. Struggling to compete with fast-moving private companies, these aerospace giants could signal a shift in the balance of power across the space economy. Space Capital calls 2025 a potentially "transformative" year, driven by changing competitive dynamics.
🪐 ESA seeks slight budget increase for future missions
ESA’s science director is requesting a 1% budget boost (of ESA’s total budget) to support future missions like a potential to Saturn’s moon Enceladus. While efficiencies have helped extend current missions additional funding is essential to develop long-term plans outlined in ESA’s Vision 2050 strategy.
Space Jobs Spotlight 🔍
Curated roles to accelerate your career in Europe’s thriving space sector.
🚀 Internships & Graduates
Avionics Intern — Arkadia Space
Technical Innovation Working Student — OroraTech
Graduate Programme — Alén Space
💼 Space Jobs
Junior Business Analyst — SPiN
Embedded Software Engineer — Orbital Paradigm
AIT Engineer — Magdrive
Program Manager (and other roles) — Space Inventor
Software Engineer — HyImpulse
Software Engineer — Astrolight
Systems Engineer — Hydra Space Systems
Systems Engineer — OHB
Electrical Power Engineer — Magdrive
Payload Architect — Absolut Sensing
Project Manager — Viasat
Space Economy Consultant — UNOOSA
Principal Hardware Engineer — Ramon.Space
Do you like these jobs or think something is missing? Hit ‘reply’ and let me know!
This week, I’ve taken a different approach: I’ve left out the city to inspire you to explore the role without focusing on the location. Who knows? Your dream job could be waiting for you in a place you hadn’t considered yet.
European launch startups team up: a wake up call for ESA?
Last week, six prominent European launch startups (RFA, The Exploration Company, HyImpulse, Latitude, Orbex and MaiaSpace) sent an open letter to ESA. Interesting approach, to begin with. The letter outlines critical priorities for implementing the European Launcher Challenge (ELC): you can read it here: but this is the (very short) summary:
Pushing for bigger funding commitments (suggesting €150 million per awardee)
Asking for access to launch facilities in Kourou
Proposing a fundamental shift in how progress is measured: focussing on actual achievements rather than paperwork ← will this happen?
This letter undoubtedly reveals a growing impatience in Europe’s space sector. Or perhaps not impatience but uneasiness… These companies are basically saying what many of us have thought for quite some time now: you can’t compete with peanuts. Or, to put it perhaps better: Europe’s current methodical (?) approach to space is not competitive anymore. And, surprise, surprise… they are right.
On the topic of the methodical approach, they stress a key point: a need for speed. “To compete globally, Europe must embrace a cultural shift towards speed and innovation.” Couldn’t agree more. But wait because this point is even better: “every regulation should be scrutinized to ensure it enables Europe to catch up with global leaders like the US and China.” Let’s do it, please.
On top of this, the timing is particularly critical. With SpaceX's Starship making progress and Blue Origin's New Glenn finally taking flight, the global launch market is becoming increasingly more competitive. European startups aren't just competing against each other but are also racing against giants who are already well ahead. And there’s not room for all.
And… this is where we face a harsh reality: Europe currently has over 12 companies1 developing launch vehicles (not including rocket engines). While having a diverse ecosystem can drive innovation, is the market large enough to sustain all of them? I don’t think so but the companies signing the letter seem to agree with me when they advocate for "limiting the number of awardees" in the ELC program.
Of course, there’s a balance because a diverse ecosystem fosters and promotes innovation and is key to Europe. Having said this, in this industry and given the fierce competition, large amounts of funding are required to compete with the US and China.
So another question comes to mind: does Europe have too many launcher companies for its market size? If the ELC starts concentrating resources and funding on the most promising companies, will we see a significant reduction of Europe’s launch sector? This perhaps might mean that many of these startups will have to either pivot, merge or shut down.
This consolidation might actually be necessary for Europe's space industry to become globally competitive. Having fewer, but better-funded and more capable companies might be preferable to maintaining a fragmented landscape where no single player can achieve the scale needed to compete internationally. What do you think?
The real question is whether this letter will change anything soon…
As a friend of mine told me:
The strategy proposed in the letter is sound but its implementation will require both courage from ESA and the acceptance from the European space community that not everyone will make it to the finish line.
Get ready for some action.
As a personal homework: I suggest you review again this infographic and place Europe in the global space industry ranking. It’s, of course, not the complete picture of the space industry, but it does summarise pretty well Europe’s current state.
Something must change. And it’s not just a informal opinion but an open letter signed by some of the most relevant space startups in Europe. It will be interesting to see what comes out of this. 2025 is only becoming more and more interesting… and January isn’t over yet.
Thanks for reading Aerospace Insider.
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Until next week!
Jaime
As per my own analysis. ✌️