European aerospace firms form joint space champion to challenge SpaceX
Airbus, Leonardo and Thales will merge their space activities into a single company headquartered in Toulouse, the firms announced. The new business is intended to bolster Europe's competitiveness in a rapidly changing global space market.
Key details
- Headquarters: Toulouse, France.
- Workforce: about 25,000 employees.
- Annual turnover: approximately €6.5bn (about $7.5bn, £5.6bn).
- Areas covered: space exploration, earth observation, space threat response and satellite navigation.
Purpose and context
The partners say the move is designed to secure long‑term growth as the global space sector expands and competitors, including SpaceX, increase their capabilities. They pointed to growing investment from countries such as the United States and China as a factor accelerating change across the industry.
Airbus described inaction as the greater risk and said the consolidation is intended to preserve and grow European industry jobs and capabilities.
Structure and national safeguarding
To protect national interests where required, the new enterprise will include five nationally focused companies based in the UK, France, Italy, Germany and Spain. The arrangement will follow a structure similar to the defence group MBDA, which combines national operations under a single umbrella while preserving domestic links.
Implications for the UK
Airbus has the largest of the three firms' UK space operations, with around 3,100 staff in its Defence and Space divisions, mainly at Portsmouth and Stevenage. The company says it does not plan to cut UK jobs or close sites and that the initiative is aimed at supporting future growth.
Competition and recent developments
The three firms' chief executives described the creation of the new company as a milestone for Europe's space industry and said it should strengthen the region's ability to compete globally.
