Airbus, Leonardo and Thales plan joint European space firm

Airbus, Leonardo and Thales have signed a memorandum of understanding to combine their space activities into a single European company, the three firms announced.

The proposed venture would unite satellite and space systems manufacturing and services from all three groups, creating what they describe as a “leading European space player” with around 25,000 employees and an estimated annual turnover of €6.5 billion.

The company is expected to be operational in 2027, pending regulatory approvals and consultation with employee representatives.

According to the firms, the new entity aims to strengthen Europe’s strategic autonomy in space while improving its competitiveness against major global rivals. It will pool technologies, research and development, and infrastructure to deliver end-to-end space solutions for telecommunications, navigation, Earth observation, and national security.

Ownership would be shared between Airbus, Leonardo and Thales, holding 35, 32.5 and 32.5 percent stakes respectively, under a joint governance structure. The partners say the merger could generate mid triple-digit millions of euros in annual synergies within five years and unlock additional revenues through a broader portfolio of space products and services.

Airbus will contribute its Space Systems and Space Digital divisions, Leonardo will add its Space Division and stakes in Telespazio and Thales Alenia Space, while Thales will contribute its holdings in Thales Alenia Space, Telespazio, and Thales SESO.

In a joint statement, Guillaume Faury of Airbus, Roberto Cingolani of Leonardo, and Patrice Caine of Thales said the plan “marks a pivotal milestone for Europe’s space industry” and aims to “build a stronger and more competitive European presence in an increasingly dynamic global space market.”