ESA gives its big space rocket company, ArianeGroup, a big subsidy
On November 19, 2024 I noted that in awarding four new rocket startups development contracts worth a total of 44 million euros, the European Space Agency (ESA) had not given any of that grant money to its biggest and most established rocket company, ArianeGroup, which not only owns and builds the Ariane-6 rocket but also has a subsidiary called MaiaSpace that is developing its own smallsat partly reusable rocket, in direct competition with those four small startups.
The exclusion of ArianeGroup in that announcement suggested to me that ESA had decided ArianeGroup’s smalsat rocket subsidary could manage without any additional aid, since its owner is a well-financed big space contractor.
I was wrong. Today the ESA awarded ArianeGroup a much big pile of cash, totaling 230 million Euros, to further finance the development of a reusable demonstration rocket, dubbed Themis, that also uses ArianeGroup’s Prometheus rocket engine. The Themis hopper project has been under development since 2018 initially under the management of Arianespace, has seen many delays in that time, and is now three years behind schedule.
Because of these delays, ESA pulled it from Arianespace in 2022 and gave full control of the project to the builder, ArianeGroup. This new contract award appears to be cementing this new arrangement, and is in addition to previous awards for this project exceeding 224 million euros.
The award also apparently includes funds for ArianeGroup’s MaiaSpace smallsat rocket startup, though the exact amount has not been specified.
The bottom line is that ESA is still dumping lots of cash to its older big space companies. Despite its clear shift to promoting independent rocket startups instead of a single government-controlled commercial entity (Arianespace), it is still favoring the big space contractors like ArianeGroup it has used for decades under that old Soviet-style system.
It will be interesting to see how this unbalanced system plays out in the coming years. Europe might get a competitive rocket industry of many companies, but then it might not, considering its space agency is putting its thumb on the scale to favor the already-established players.
On November 19, 2024 I noted that in awarding four new rocket startups development contracts worth a total of 44 million euros, the European Space Agency (ESA) had not given any of that grant money to its biggest and most established rocket company, ArianeGroup, which not only owns and builds the Ariane-6 rocket but also has a subsidiary called MaiaSpace that is developing its own smallsat partly reusable rocket, in direct competition with those four small startups.
The exclusion of ArianeGroup in that announcement suggested to me that ESA had decided ArianeGroup’s smalsat rocket subsidary could manage without any additional aid, since its owner is a well-financed big space contractor.
I was wrong. Today the ESA awarded ArianeGroup a much big pile of cash, totaling 230 million Euros, to further finance the development of a reusable demonstration rocket, dubbed Themis, that also uses ArianeGroup’s Prometheus rocket engine. The Themis hopper project has been under development since 2018 initially under the management of Arianespace, has seen many delays in that time, and is now three years behind schedule.
Because of these delays, ESA pulled it from Arianespace in 2022 and gave full control of the project to the builder, ArianeGroup. This new contract award appears to be cementing this new arrangement, and is in addition to previous awards for this project exceeding 224 million euros.
The award also apparently includes funds for ArianeGroup’s MaiaSpace smallsat rocket startup, though the exact amount has not been specified.
The bottom line is that ESA is still dumping lots of cash to its older big space companies. Despite its clear shift to promoting independent rocket startups instead of a single government-controlled commercial entity (Arianespace), it is still favoring the big space contractors like ArianeGroup it has used for decades under that old Soviet-style system.
It will be interesting to see how this unbalanced system plays out in the coming years. Europe might get a competitive rocket industry of many companies, but then it might not, considering its space agency is putting its thumb on the scale to favor the already-established players.