Investors Eye the Next Generation of European Spacetech Startups: High Risks, Higher Stakes

As 2025 unfolds, so does the story of the European spacetech scene. It’s been a year of numerous rocket launches, some hits and misses, plenty of learnings, and above all, persistent determination. A German small rocket developer, Isar Aerospace, launched its first rocket, which unfortunately didn’t reach the orbit but acquired crucial data. Franco-German startup, The Exploration Company averted a mishap after losing contact with its space capsule post-launch. Despite these initial stumbles, the investor community remains resolute in its conviction about the pivotal role spacetech will play in shaping Europe’s commercial and military security.

As an arena of high risks and potentially excessive payoffs, the spacetech domain is chock-full of opportunities. The urgent need to balance SpaceX’s monopoly with diverse, secure and well-teched space solutions has spurred a race towards innovation and advancement. And while there have been some missteps, the resilience and innovative drive of these startups paint a future of potential and promise, placing Europe firmly on the global spacetech map.