Amsterdam, Rome, Paris – 23 October 2025 – Airbus, Leonardo and Thales have signed a Memorandum of Understanding (MoU) to combine their respective space activities into a new European company. The move aims to strengthen Europe’s strategic autonomy in space and create a globally competitive player in satellite and space systems manufacturing and services.

The new entity, expected to be operational by 2027 (subject to regulatory approval), will pool complementary technologies and end-to-end solutions excluding space launchers covering telecommunications, global navigation, earth observation, science, exploration and national security. It is projected to employ around 25,000 people across Europe, with an annual turnover of about €6.5 billion and an order backlog of more than three years of projected sales.

Airbus will contribute its Space Systems and Space Digital businesses from Airbus Defence and Space. Leonardo will contribute its Space Division including shares in Telespazio and Thales Alenia Space. Thales will contribute shares in Thales Alenia Space, Telespazio and Thales SESO. Ownership will be Airbus 35%, Leonardo 32.5%, Thales 32.5%, with joint control and balanced governance.

The collaboration is expected to deliver mid triple-digit million euros in annual operating synergies within five years, unlock incremental revenues, foster innovation and strengthen Europe’s industrial space ecosystem. Operational efficiencies are anticipated in engineering, manufacturing and project management, driving long-term value creation.

The strategic objectives of the new company are to accelerate innovation and technological leadership in space missions and services, enhance competitiveness against global players and secure Europe’s role in the international space market, deliver integrated solutions for national sovereign and military programmes, strengthen stability and predictability across the European space industrial landscape and provide employees with broader technical opportunities and career growth.

Guillaume Faury (Airbus), Roberto Cingolani (Leonardo) and Patrice Caine (Thales) said: “This proposed new company marks a pivotal milestone for Europe’s space industry. By pooling our talent, resources, expertise and R&D capabilities we aim to generate growth, accelerate innovation and deliver greater value to our customers and stakeholders. It aligns with the ambitions of European governments to strengthen industrial and technological assets, ensuring Europe’s autonomy across the strategic space domain.”

The next steps include completing regulatory approvals and satisfying other closing conditions before formally launching the company.