ESA announces competitive program to encourage new European rocket startups
The European Space Agency (ESA) yesterday announced a new competitive award program, dubbed the European Launcher Challenge, designed to give contracts to new European rocket startups to help them develop their own rockets.
Proposals are due no later than May 5, 2025. The program will award up to $183 million to each company, depending on its application. The program has two components, one for rockets that will serve government contracts and will launch beginning in 2026, and the second for rockets that are upgraded by 2028. In both cases a company must complete a demonstration launch by 2027 to qualify for any award. More details here.
Essentially, ESA is structuring this program to provide free subsidies to those companies it decides it likes, with anywhere from two to three getting awards. In January six rocket startups — HyImpulse, Latitude, MaiaSpace, Orbex, Rocket Factory Augsburg and The Exploration Company — submitted a joint letter to ESA endorsing the program and outlining how they think the program should be structured.
Interestingly, the two rocket startups did not sign that letter, Isar Aerospace from Germany and PLD from Spain. Of all these companies, these two are actually closest to launch, with Isar about to attempt its first launch and PLD having already completed a suborbital test flight and building its launch sites in French Guiana and Duqm, Oman.
Officials at PLD are quoted here as apparently opposed to this ESA award program.
“We need to let the market select a winner,” Raúl Verdú, co-founder and chief business development officer of the company, said at the January conference. “Today, to be very honest, it is super-hard to select who will be the winner.”
It will be interesting to see this government program play out. Right now it appears designed to play favorites, a typical European approach. There is a good chance however that it will not do this, and will instead succeed in jumpstarting an independent, competitive European rocket industry. The program’s main structure remains sound, truly capitalistic, whereby the government owns nothing and simply acts as a customer, buying rockets from competing companies on the open market.
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The European Space Agency (ESA) yesterday announced a new competitive award program, dubbed the European Launcher Challenge, designed to give contracts to new European rocket startups to help them develop their own rockets.
Proposals are due no later than May 5, 2025. The program will award up to $183 million to each company, depending on its application. The program has two components, one for rockets that will serve government contracts and will launch beginning in 2026, and the second for rockets that are upgraded by 2028. In both cases a company must complete a demonstration launch by 2027 to qualify for any award. More details here.
Essentially, ESA is structuring this program to provide free subsidies to those companies it decides it likes, with anywhere from two to three getting awards. In January six rocket startups — HyImpulse, Latitude, MaiaSpace, Orbex, Rocket Factory Augsburg and The Exploration Company — submitted a joint letter to ESA endorsing the program and outlining how they think the program should be structured.
Interestingly, the two rocket startups did not sign that letter, Isar Aerospace from Germany and PLD from Spain. Of all these companies, these two are actually closest to launch, with Isar about to attempt its first launch and PLD having already completed a suborbital test flight and building its launch sites in French Guiana and Duqm, Oman.
Officials at PLD are quoted here as apparently opposed to this ESA award program.
“We need to let the market select a winner,” Raúl Verdú, co-founder and chief business development officer of the company, said at the January conference. “Today, to be very honest, it is super-hard to select who will be the winner.”
It will be interesting to see this government program play out. Right now it appears designed to play favorites, a typical European approach. There is a good chance however that it will not do this, and will instead succeed in jumpstarting an independent, competitive European rocket industry. The program’s main structure remains sound, truly capitalistic, whereby the government owns nothing and simply acts as a customer, buying rockets from competing companies on the open market.
Readers!
My annual February birthday fund-raising drive for Behind the Black is now over. Thank you to everyone who donated or subscribed. While not a record-setter, the donations were more than sufficient and slightly above average.
As I have said many times before, I can’t express what it means to me to get such support, especially as no one is required to pay anything to read my work. Thank you all again!
For those readers who like my work here at Behind the Black and haven't contributed so far, please consider donating or subscribing. My analysis of space, politics, and culture, taken from the perspective of an historian, is almost always on the money and ahead of the game. For example, in 2020 I correctly predicted that the COVID panic was unnecessary, that the virus was apparently simply a variation of the flu, that masks were not simply pointless but if worn incorrectly were a health threat, that the lockdowns were a disaster and did nothing to stop the spread of COVID. Every one of those 2020 conclusions has turned out right.
Your help allows me to do this kind of intelligent analysis. I take no advertising or sponsors, so my reporting isn't influenced by donations by established space or drug companies. Instead, I rely entirely on donations and subscriptions from my readers, which gives me the freedom to write what I think, unencumbered by outside influences.
You can support me either by giving a one-time contribution or a regular subscription. There are four ways of doing so:
1. Zelle: This is the only internet method that charges no fees. All you have to do is use the Zelle link at your internet bank and give my name and email address (zimmerman at nasw dot org). What you donate is what I get.
2. Patreon: Go to my website there and pick one of five monthly subscription amounts, or by making a one-time donation.
3. A Paypal Donation or subscription:
4. Donate by check, payable to Robert Zimmerman and mailed to
Behind The Black
c/o Robert Zimmerman
P.O.Box 1262
Cortaro, AZ 85652
You can also support me by buying one of my books, as noted in the boxes interspersed throughout the webpage or shown in the menu above.
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