Even Without Orbit, Spectrum Signals a Lift-Off Moment for Europe's Space Startups

Entrepreneur

4 days ago

Each launch attempt, support for new startups, and student inspiration edges Europe closer to building a space ecosystem that's not only competitive but uniquely its own.
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With so much focus on how AI is propelling us into the future, other areas of innovation have been overlooked. The scientific breakthroughs currently unfolding within the space industry are just as—if not more—transformative than AI. This suggests that the next great leap isn't just digital; it's interstellar.
While the United States and China often grab the spotlight in this industry, Europe has recently taken monumental steps forward, servicing this fast-growing market with space-based data and software solutions. Meanwhile, startups and researchers are fueling a sector that goes beyond traditional aerospace as we know it, advancing progress in regular launches and addressing unique space-based challenges such as orbital debris.
This is thanks in part to a range of European government-backed research, funding, and regulations focused on developing homegrown knowledge and capabilities, securing long-term growth and influence in the future of commercial space technology.
Europe's first step toward a bigger role in commercial spaceflight
Last month, Europe made history by launching its first orbital rocket from European soil—the Spectrum. While the German-developed rocket from Isar Aerospace exploded less than a minute after takeoff, it set the tone for what's to come: More European startups looking to build the continent's infrastructure in space. Looking ahead this is expected to include satellites that support everything from communications to defence, agriculture, and more.
The U.S. has dominated commercial rocket launching for almost two decades. In 2024, 55% of orbital launch attempts were made by the U.S. Out of the 145 of those space launches, Elon Musk's SpaceX was responsible for an overwhelming 95% of the country's total missions. Europe accounted for less than 2%.
The European Space Agency is looking to change that through various projects, like its Boost program. "ESA is boosting commercial initiatives that offer transportation services to space, in space, and returning from space," the agency's website reads.
Last year, the ESA awarded €44.22 million in co-funding, backing four startups as part of its push to elevate Europe's commercial launch capabilities. The support helped pave the way for the recent Spectrum launch attempt. ESA-backed Rocket Factory Augsburg and Orbex are also preparing for their own missions in the near future.
Josef Aschbacher, head of the European Space Agency, voiced his support on X following the launch from Andøya Spaceport in the Arctic—one of just two designated sites in Europe set to host more launches.
Aschbacher noted the importance of getting off the ground and the valuable data collected during the brief flight. "I'm confident Isar Aerospace will take a lot away from this. Rocket launches are never easy. The key is to keep pushing forward with even greater determination," he wrote.
Before building up, Europe's looking out—for debris
The ESA is also focused on supporting startups that address pressing issues like space pollution. If Europe wants to build infrastructure through commercial rockets, it needs to ensure there's space—literally, because it's filling up fast.
With more than 2,500 satellites launched in 2023 alone, experts believe we're on track to have more than 100,000 in orbit within the next decade. Right now, there are over 36,000 pieces of space debris large enough to destroy a satellite.
One startup working to address this is SpaceFlux, a UK-based company building a global, independent network for real-time tracking and early warnings. Their open-data model is aimed at improving space safety for everyone.
In less than two years, SpaceFlux has developed one of the most advanced space situational awareness systems in the world. Using ground-based optical sensors and proprietary tracking technology, they monitor both satellites and debris. Their efforts have already earned them contracts with the UK Space Agency and the ESA as they help tackle the growing problem of orbital congestion.
"Europe is well known for its contributions to space activities, particularly around research and exploration. It is therefore little surprise that the continent's commercially-focused space ecosystem is thriving, too", says Dr. Marco Rocchetto, Founder and CEO of SpaceFlux, highlighting how valuable support from the private and public sectors has enabled innovation and startups to thrive in the region.
"Plus, an established supply chain that provides the components and subsystems needed, as well as access to the talent necessary for a young company to commercialise and grow strategically."
Satellites don't just beam back images of our planet—they tell a story that helps shape how nations respond to conflict, manage threats, and make real-time decisions. In today's shifting geopolitical and environmental climate, access to independent space data is a matter of security, diplomacy, and safety, especially when national and regional interests are at stake.
The push to grow space talent
Playing the long-game, Europe is also focusing heavily on its youth to secure its future in the aerospace industry. The continent requires a skilled workforce to design, launch, and manage space technologies which starts with fostering ambition, talent, and homegrown career opportunities.
However, interest in STEM education is trending downward across the continent, meaning this could be the most crucial investment of all.
In Germany, STEM enrollment fell by roughly 3% between 2022 and the 2023/2024 academic year. Spain is facing a similar challenge. The proportion of graduates in STEM fields has dropped by more than six percentage points within the last decade, with slightly fewer than 19% of university graduates in 2022 earning degrees in science or technical subjects.
In hopes of combating this trend, the European Space Education Resource Office (ESERO), launched by the ESA, is focused on promoting STEM education related to space across the continent. The initiative uses space science as a tool to spark curiosity and improve engagement in physics, math, and technology among students of all ages, while also giving educators the resources they need to do so. The goal is simple: use the wonder of space to ignite curiosity and build confidence in core STEM subjects.
There are also startups with the same mission, like AmbaSat, an English startup that creates build-it-yourself satellite kits and learning programs that help students understand how space tech works by actually putting it in their hands. From classroom projects to real satellite launches, AmbaSat is making access to space more affordable and more personal, helping to open doors for students who might not otherwise see a place for themselves in science or engineering.
By highlighting the breakthroughs happening in this field and showing that careers in space are within reach—not just for scientists, but across a range of roles—Europe is helping the next generation believe in their place within it.
Each European launch attempt, support for new startups, and student inspiration edges the continent closer to building a space ecosystem that's not only competitive but uniquely its own. Relying less on the resources and assistance of other countries as we move to a future where space doesn't feel so far away.