Since 2023, the European space sector has been evolving in a profoundly transformed environment, marked by the accelerated militarisation of space and a gradual shift in priorities, with defence and security considerations now taking
precedence over purely civilian uses. Long perceived as a domain of cooperation and innovation, space is now fully recognised as a strategic arena in its own right, characterised by particularly strong market momentum. At the same
time, it is increasingly exposed to power rivalries, risks of conflict and hybrid threats. This new reality is forcing Europe to rethink its approach — in terms of capabilities, industrial strategy and regulation alike. Europe’s
security now runs through space.
Market dynamics: momentum driven by the rise of satellite constellations and military spending
The global space market is expected to triple over the next decade, reaching around USD 1.8 trillion by 2035, driven by two major dynamics: the rapid multiplication of satellite constellations and the sharp increase in defence spending,
which is pulling space budgets upward.
With regard to the first dynamic, the initial assessment is stark — and almost dizzying. Around 43,000 satellites are expected to be manufactured and launched over the next ten years, representing a market of approximately USD 665
billion1. The vast majority of these satellites will be deployed as part of constellations. Five mega-constellations are currently setting the pace, from Starlink to Kuiper, alongside two major Chinese projects, in an increasingly
intense competitive landscape.
The order of magnitude illustrates the scale of the challenge: roughly eight tonnes of satellites to be deployed every single day.
Behind the sheer volume, however, the value structure highlights the strategic primacy of space. In value terms, nearly two-thirds of the satellites launched over the decade will be operated by governments of the major space powers — led by the
United States and China — followed by Europe, India, Japan and Russia.
The second dynamic confirms that space has become a fully-fledged domain of confrontation. Space capabilities are now a core component of national defence strategies. They rest on three pillars that structure the dual-use nature of space:
- Access to space and protection of space assets,
- Exploitation of data and applications (GNSS, Earth observation, secure telecommunications),
- Space domain awareness (SDA/SSA), in response to the proliferation of objects in low Earth orbit and the growing risk of cascading collisions.
Beyond these dual-use considerations, the shift towards strengthened defence space capabilities is also clearly reflected in the figures:
- Global military space spending rose from USD 33 billion in 2018 to USD 73 billion in 20242,
- Since 2022, military space budgets have exceeded civilian space budgets worldwide,
- Even if the European trajectory remains more nuanced: in 2024, the combined European aggregate (ESA + EU) amounted to just under EUR 10 billion, compared with nearly USD 80 billion in the United States,
- Yet the change in mindset is unmistakable and is most visible in recent announcements. Germany plans to invest EUR 35 billion over five years in defence-related space, alongside parallel accelerations in Central European countries such as Poland,
with a view to broader European resilience initiatives.
Evolution and challenges of the six pillars of Europe’s space sector
Recent developments in the space sector highlight both Europe’s growing capabilities and the structural challenges it faces. In an increasingly contested space environment, Europe is responding by reaffirming its determination to strengthen its
strategic autonomy, resilience and overall competitiveness, structured around six core pillars.
In the field of launchers, the past year marks a decisive turning point, with four successful commercial Ariane 6 launches carrying CSO-3, MetOp, Sentinel-1D and Galileo satellites. These successes signal the effective return of autonomous
access to space for Europe, after several years of dependency. The challenge now goes beyond technical achievement: it is about turning this performance into a sustainable industrial capability, able to increase launch cadence and enhance Europe’s
competitiveness, while supporting the continent’s strategic autonomy in the face of extremely powerful international players.
On launch cadence, Airbus has announced a doubling of Ariane 63 launch rates, while in terms of competitiveness and sovereignty, MaiaSpace — an ArianeGroup subsidiary — has secured a contract with Eutelsat, allowing
it to lock in around 50% of its launches from 2027 to 20294.
In Earth observation, Europe continues to strengthen both its civilian and strategic capabilities through Copernicus, the Sentinel satellites, and the CSO and CO3D constellations. These systems now serve a dual purpose: addressing security
and crisis management needs, while laying the foundations for the future European Space Resilience programme, often referred to as the “Space Shield”.
The integration of national and European programmes reflects a clear ambition to build a true “system of systems”, federating space assets and fostering synergies between defence and civilian uses, in support of Europe’s strategic autonomy
and resilience.
In navigation, the entry into service of Galileo OSNMA significantly enhances the security and reliability of European GNSS signals, a prerequisite for critical civilian and military applications. This milestone also paves the way for
the transition to the second generation of Galileo, with the objective of achieving decimetre-level accuracy and further consolidating Europe’s technological and strategic position in global navigation.
In satellite communications, the signing of the IRIS² concession marks a new phase in the development of sovereign and secure connectivity for Member States and strategic actors. The deployment of this constellation, in coherence
with national initiatives, will enable the construction of a robust space-based digital architecture, promoting interoperability, resource pooling and European competitiveness, while directly contributing to operational resilience and digital sovereignty.
In this context, by the end of the year Brussels will bring GovSatCom into service — a programme designed to provide secure communications from European geostationary satellites to all 27 EU Member States, free of charge5.
Space exploration remains a strong marker of Europe’s ambition, as illustrated by the development and construction of the transport module for the future Argonaut lunar lander, entrusted by the European Space Agency to a consortium
led by Thales Alenia Space Italy6.
In a context of constrained budgets and intense international competition, Europe must continue to prepare key technologies and structure international partnerships for future lunar and Martian missions. By building on existing industrial and scientific
capabilities, these strategic choices allow Europe to remain a credible partner and a major player in human and robotic exploration, while strengthening its scientific and technological sovereignty.
Finally, space surveillance and space situational awareness (SSA) have emerged as a central pillar of Europe’s space strategy. The expansion of EU-SST services and the proposed EU Space Act reflect Europe’s determination to
establish common operational standards, ensuring the sustainability of space activities, the protection of orbital assets and a coherent regulatory framework for industry.
The EU Space Act goes beyond the sole scope of SSA. It represents the foundation of a comprehensive European regulatory approach, capable of addressing emerging geopolitical, security and environmental challenges, and of preserving Europe’s credibility
in the international governance of space.
Forward-looking vision
These observations underline the urgency for Europe to equip itself with a truly integrated vision of space, capable of combining industrial autonomy, regulatory coherence, environmental sustainability, security resilience and global
competitiveness. In this respect, 2026 is shaping up to be a pivotal moment, with the gradual implementation of new structuring instruments — whether the European Space Shield, the future European Space Act, or a renewed model of industrial
governance. These initiatives extend the ambitions already expressed in 2025 and now generate strong expectations, as their credibility will depend on the delivery of concrete and operational measures.
This evolution reflects a deeper paradigm shift. At the inauguration of the French Space Command in November 2025, the President of the Republic stated: “Today’s war is already being fought in space, and tomorrow’s war will begin in space.” This assessment places French and European space industrial players before an increased responsibility. The challenge is no longer solely to innovate, but to durably strengthen operational capabilities, accelerate access to critical assets —
notably in acquisition and surveillance — and better federate industrial and institutional forces within trusted circles and structured cooperation frameworks.
Space is no longer a permissive environment. It is now contested, competitive and potentially conflictual. In this context, the European response cannot be purely defensive. Beyond security imperatives, Europe must also ensure it does
not miss the major scientific and technological turning points ahead, particularly in the field of space exploration. Programmes returning to the Moon, such as Artemis, remind us that mastery of space technologies remains a marker of power, innovation
and long-term strategic projection.
In the short term, over the 2026–2030 horizon, the expected developments point to a gradual but structuring ramp-up of major European programmes. Launch rates for Ariane and Vega are expected to increase, supported by the entry
into service of the first reusable technology building blocks, with the dual objective of strengthening sovereign access to space and enhancing industrial competitiveness. At the same time, the launch of the European Space Resilience programme —
combining ESA’s ERS (European Resilience from Space) initiative and the European Commission’s EOGS (Earth Observation Governmental Services) programme — marks a key step in integrating Earth observation, navigation and telecommunications
capabilities. It also reflects a renewed ambition to create closer synergies between national and European programmes, civilian and defence, within a coherent strategic framework.
Over the same period, the effective deployment of IRIS² will represent a cornerstone of European sovereignty in satellite communications, with a clear resilience and defence dimension. This momentum is accompanied by the strengthening of space surveillance
and security capabilities, through the expansion of EU-SST services and the establishment of a common regulatory framework, notably via the future European Space Act. In parallel, space exploration is entering a phase of partnership diversification,
with an intensification of international cooperation beyond the traditional transatlantic framework.
The finalisation of the Multiannual Financial Framework will play a decisive role in this phase. It will provide the necessary visibility on European priorities in defence and space, a prerequisite for industry players to secure investments, structure
value chains and sustain research and development efforts that will shape tomorrow’s technologies.
In the medium term, looking towards 2040, the challenge will be to bring these initiatives into full operational maturity. Europe must then be able to capitalise on these programmes to assert a lasting presence on the Moon and engage the first steps towards
Martian missions. More broadly, what is at stake is the emergence of a more robust, more integrated and more credible European space ecosystem on the international stage, capable of combining strategic power, technological innovation and responsible
use of space.
The evolution of the European space ecosystem primarily reflects a redefinition of the balance between national sovereignty and collective ambition. The challenge lies in finding the right equilibrium between Member States’ individual priorities
and the construction of shared European objectives, within a genuinely pan-European approach. This approach relies on leveraging the complementarity between national programmes, flexible intergovernmental mechanisms and the EU space programme. It
fosters the emergence of a true “system of systems”, based on synergy, capacity federation and resource sharing, notably through structured multilateral agreements.
At the same time, strengthening the industrial supply chain has become a strategic imperative, with digital technologies at the heart of this transformation. Capacity massification and cost pooling are essential levers to enhance performance, reduce lead
times and control risks — or, in some cases, to accept higher levels of risk in order to accelerate innovation. This dynamic is also driven by increased convergence between space and other industrial sectors, enabling technology transfers and
the emergence of hybrid solutions capable of profoundly transforming design, production and operational models.
Finally, this transformation requires the deployment of open digital architectures, based on common interoperability standards and the use of open-source technologies, to enable effective federation across the supply chain. The objective is twofold: to
avoid technological lock-in, while promoting shared development, cost reduction, transparency and trust between partners. Within this framework, the European space ecosystem must strike the right balance between vertical integration and decentralisation
— a necessary condition to ensure interoperability, regulatory compliance and operational robustness.
Sopra Steria Group: at the heart of space
Sopra Steria Group positions itself at the heart of European space as a leading digital player serving strategic challenges. The Group fully embraces this ambition: to represent the digital backbone of space, able to protect, connect and accelerate,
in response to the dual civilian and defence-driven challenges that now structure the sector. In an environment shaped by contestation and conflict, digital technologies are no longer a mere support function; they become a force multiplier, transforming
every data point into a decision and every satellite into a service.
This positioning is built on a clear and differentiating foundation. With more than forty years of experience, Sopra Steria Group has developed deep expertise in space digital professions across the entire value chain — from operations to massive
data processing, including advanced optimisation and decision-support algorithms. This expertise is reinforced by the integration of state-of-the-art digital technologies — cloud, artificial intelligence, cybersecurity and automation —
already proven in other critical and strategic sectors and transferred to space through a deliberate cross-fertilisation approach.
The Group also stands out through a distinctive strategy based on open source and the use of off-the-shelf European and sovereign solutions, designed for rapid integration into existing systems and interoperability with other solutions. This approach
enables Sopra Steria Group to combine massification, decentralisation and transformation, in order to sustainably federate actors and capabilities within complex ecosystems.
This strategy translates into concrete structuring choices. In December 2025, Sopra Steria Group announced the planned acquisition of Starion and Nexova, with the ambition of creating a leading European industrial player in sovereign and secure digital
services for space and cybersecurity. This transaction would bring the space perimeter to nearly 1,600 employees, €200 million in revenue and a presence in eleven countries. It forms part of the broader Defence, Security and Space (DS²) vertical,
representing around €1 billion at European level and acting as a key lever to support Europe’s strategic priorities, particularly in the context of rearmament and resilience reinforcement.
Decentralisation is another major axis of this strategy. It is first driven by an active policy of promoting and integrating open source, aimed at federating communities, reducing technological dependencies and freeing the ecosystem from excessive intellectual
property constraints. It also relies on targeted partnerships with complementary players, such as AIKO for onboard artificial intelligence or space surveillance sensor providers like Aldoria and Hemeria, to strengthen European capabilities in SSA.
Transformation, finally, is driven by digital technologies — all the more powerful as they leverage advances from other industrial sectors. In this respect, Sopra Steria Group plays a key role in federating European capabilities. Its solutions are
built on recognised standards — extending beyond the space domain alone — and on architectures that are both state-of-the-art and proven, drawing on decades of operational experience.
This approach is embodied in pioneering federation projects such as the “Virtual Constellation” programme. This initiative generalises multi-sensor “tip and cue” surveillance methods across multiple operators and observation constellations,
by standardising tasking and data access before fusing information to maximise the value of existing sensors. This methodology is fully aligned with the spirit of the Space Pact proposed by the French DGA, based on standardisation and the deployment
of modular and scalable architectures.
The objective is clear: to do more, faster, and together — by combining the best of European players, programmes and national initiatives — to build a more integrated, more resilient and fully sovereign European space.
Acting with power
At a time when geopolitical balances are rapidly being reshaped — including in the space domain — Europe can no longer afford strategic ambiguity. The hardening of power relations, the acceleration of an increasingly explicit transatlantic
decoupling, and the rise of new competitors impose a clear assumption of responsibility. In this context, space emerges as both a mirror and a lever of sovereignty, resilience and international credibility.
Faced with these transformations, the challenge is no longer merely to catch up, but to choose a clear European trajectory, grounded in technological autonomy, controlled cooperation and responsible innovation. It is in this spirit that Sopra Steria Group
positions itself, faithful to its historical role as a committed partner alongside European institutions and industrial players, supporting major strategic transitions.
In space as elsewhere, Europe must now think, decide and act with power — and do so without delay.
1Novaspace Projects $665B in Satellite Build and Launch Activity - Novaspace
2Governement Space Programs, 2025, Novaspace.
3ArianeGroup annonce un doublement des cadences de tir d'Ariane 6 | Les Echos
4En décrochant un méga-contrat avec Eutelsat, MaiaSpace a-t-il déjà plié le match dans la course aux petits lanceurs européens ?
5Satellites télécoms : GovSatcom, l'arme européenne anti-Starlink sur le point d'être mise en service
6L’Europe vise la Lune avec l’Argonaut