New Space

Despite the active involvement of private firms in New Space, the EU should continue to play a key role; indeed, it should define its needs while leaving implementation to industry. This is because private and public actors pursue different goals: Industry bases investments mainly on market potential and return on investment. The EU, however, has its own strategic interests, such as prosperity, connectivity, sustainability and security. New Space opens up opportunities for the EU to benefit from innovative products, services and processes that create added-value in these areas.


Furthermore, public intervention can distort markets: for example, private companies in the United States have been awarded contracts from NASA and DARPA totalling billions of dollars. These contracts are often restricted to US firms, however, which reduces competition and leads to higher revenue than companies would likely have generated in the private sector. That is why Europe must focus on its own interests and carefully monitor conditions to ensure a level playing field for European companies.