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Airbus, Leonardo and Thales Sign Deal to Combine Space Businesses Into France-Based Joint Company

Regulatory approval will determine whether Europe gains a scaled satellite champion to counter global rivals.

Overview

  • The companies signed a memorandum of understanding to merge satellite manufacturing and space services under a new entity headquartered in France.
  • Ownership is set at 35% for Airbus and 32.5% each for Thales and Leonardo, with a workforce of about 25,000 based on pro-forma 2024 figures.
  • The venture would unite Airbus Space Systems and Space Digital with Thales Alenia Space, Telespazio and other activities, while explicitly excluding launch vehicles.
  • The partners target operational status by 2027, citing mid–triple‑digit million‑euro annual synergies within five years and roughly €6.5 billion in revenue with a multi‑year backlog.
  • Reuters reports insiders value the tie‑up at about $7 billion and note the move responds to SpaceX’s dominance, China’s emerging constellations and Europe’s sovereignty goals, as smaller rival OHB signals a potential regulatory challenge.