Stuck on the launchpad for years, the EU Space Law might finally lift off
Right now, space operators in Europe are juggling up to 13 different national laws, which is about as fun as it sounds. The new plan? One harmonised set of rules across the EU, so launching and operating satellites doesn't feel like navigating a bureaucratic debris field. The law focuses on three main pillars: safety, resilience, and sustainability. That was music to our ears, because it’s what Ecosmic is working on, in a nutshell.
What’s nice is that the regulation is meant to scale - so whether you’re flying one satellite or a mega-constellation, the rules adjust accordingly. EUSPA will take the lead on licensing and keeping everyone in check. While there are some pretty steep fines for breaking the rules (up to 2% of global turnover), there’s also a two-year grace period to ease into it, especially for smaller players. In the end, this isn’t just about better regulation, it’s Europe trying to level up, compete globally, and avoid being left behind in the orbital race.
It’s important to remember that this is still a proposal. The text will now go through negotiations between the European Parliament and the Council, a process that often brings substantial changes. Specific provisions, especially those that may significantly impact certain member states, could be revised or even removed entirely. So while it’s useful to start understanding what’s on the table, we should keep in mind that the final version may look quite different. That said, the way the Commission introduced the law - complete with Star Wars opening crawl typography - was, honestly, a stroke of marketing genius.
What surprised me the most about this proposal are some truly forward-looking requirements, particularly the obligation for space operators to assess the environmental footprint of their activities. Until now, this kind of structured, systemic approach has been led mainly by ESA. Seeing it written into law marks a significant shift in how sustainability is integrated into space operations. Of course, translating this requirement into something meaningful—and not merely another box-ticking exercise—will be challenging. The space sector lacks standardised methodologies for this kind of assessment, so we will need to adapt tools from other industries and ensure they are relevant and applicable to the orbital context. If implemented thoughtfully, this could mark a turning point in sustainable space governance.
Another key provision is the requirement for operators to maintain a continuous point of contact capable of responding to collision alerts within eight hours for low Earth orbit, and within twenty-four hours for medium and geostationary orbits. This formalises a level of operational responsiveness that, until now, has only been encouraged as best practice. It reflects a growing recognition that space traffic management must be treated with urgency and coordination. For many smaller operators, particularly those without 24/7 mission control infrastructure, this will be demanding, but it ultimately raises the standard of collective safety in orbit.
The regulation also mandates that spacecraft with an apogee above 400 kilometres must be designed, built, and operated with manoeuvrability capabilities. This is a particularly impactful requirement that will likely spark debate around definitions: does passive control such as differential drag qualify, or is active propulsion required? This could significantly influence future mission design and technology development, especially for small satellite platforms.
Perhaps the most novel requirement is the limitation on spacecraft brightness, specifying a minimum visual magnitude of seven throughout the mission lifetime. This implies the use of low-reflectivity coatings or shielding as part of the design process. It is rare to see such a specification codified in regulation, and its inclusion signals a welcome acknowledgment of the impact of satellite constellations on astronomical observation. By addressing visual pollution directly, this measure adds a new dimension to the sustainability conversation, one that considers not just orbital congestion, but also the protection of our view of the night sky.
Just in time: Italy’s space law beats Brussels to orbit
Italy has taken a major step forward by passing its first national space economy law. This comprehensive legislation covers funding, liability, and crisis management, and arrives just weeks ahead of the new EU space law. Even better, it came just weeks before the EU dropped its own law, making Italy one of the first movers in Europe (if we politely ignore the fact that the UN suggested this back in 1972 and France beat everyone to it in 2008). Still, we’re not complaining - the timing is perfect, and the momentum is real.
The law appoints the Italian Space Agency (ASI) as the national authority for licensing, regulation, and enforcement. This gives operators a clear point of contact and simplifies a process that has long been fragmented. It also introduces mandatory insurance of up to one hundred million euros for damages on Earth, in flight, and in orbit. Although some flexibility exists, this requirement has raised concerns among smaller operators who fear it may hinder market access without a phased rollout.
On a positive note, the law provides targeted support for emerging players, including thirty-five million euros in funding for 2025 as part of a broader seven point three billion euro package. Procurement incentives and a new national space plan are also included, though the effectiveness of these measures will depend on fast, transparent implementation and coordination with ESA and EU initiatives.
The legislation also allows Italy to use non-European satellite services during emergencies such as cyberattacks or infrastructure failures. This is a smart short-term solution, but it underscores the need for Europe to invest further in sovereign capabilities.
Above all, the new law brings clarity. Licensing, insurance, and operational responsibilities are now more predictable, giving both established companies and startups a clearer framework to operate within. It is a strong step toward a more structured and competitive Italian space sector.
First impressions and some thoughts
As a space startup founder, hearing about the EU and Italy dedicating significant funding to help companies navigate new rules feels like gearing up for an exciting mission - challenging, yes, but with a strong support system ready to back us up.
While the path may seem a bit complex at times, with unclear maps and plenty of steps to take, the commitment to supporting SMEs is full of potential. Navigating the new regulations can be tricky, and staying fully informed isn’t always straightforward, but with dedicated organisations like ASI stepping up as official interfaces, and the many generous experts we’ve met along the way, we’re finding our footing.
We’re passionate about innovating in this evolving landscape, and I’m hopeful that these new laws, backed by substantial funding, will truly level the playing field, cutting through bureaucracy, sparking genuine collaboration, and driving real progress for startups like ours.
I found the debate around the “emergency provision” in the Italian law pretty interesting. This provision states that, in times of crisis like cyberattacks or infrastructure failures, Italy can rely on non-European satellite services. Honestly, if there’s only one provider offering a crucial service and they happen to be outside Europe, it just makes sense to buy from them for now. If the provision had said we must buy from Europe, we’d be stuck in a situation similar to what ESA faces with its EU launcher requirements, constantly making exceptions because the options just don’t exist yet. What the law actually says is that we can buy from abroad, not that we’re forced to. This means Italy will naturally turn back to EU providers once they’re competitive enough and that might as well be an opportunity to benchmark them not just on price, but also on sustainability and resilience of the infrastructure they build. It’s a pragmatic approach that leaves room for growth without locking us into unrealistic mandates.
A focus on space safety and sustainability
The recent introduction of new space legislation is transforming the industry landscape, with significant implications for both safety and sustainability. One of the most promising developments is the mandatory adoption of collision avoidance systems and the establishment of the EU Space Surveillance and Tracking (EUSST) framework1. These measures aim to standardise responsible practices across all space operators, helping to mitigate the growing risks associated with space debris and orbital congestion. The move towards EUSST is particularly timely, given the increasing uncertainty surrounding the future of TraCSS and the long-standing SpaceTrack database. Centralising tracking and coordination within Europe offers clear advantages for sovereignty and operational coherence.
However, EUSST remains heavily reliant on US infrastructure and capabilities, raising questions about how autonomous Europe’s space surveillance truly is. Achieving strategic independence will require substantial investment, not only in hardware and sensors but also in governance and interoperability frameworks. While TraCSS was relatively transparent about how third-party solutions could integrate into its ecosystem, EUSST has yet to clarify how service providers can actively contribute or connect.
This represents a missed opportunity. If service provision were genuinely open to competition, innovative companies could bring agility and novel capabilities to the sector. Unfortunately, the reality of European procurement processes makes it particularly challenging for younger companies to participate, regardless of the quality of their results. We are confident in the added value we offer, especially in enhancing what EUSST currently provides. But unlike SpaceTrack, which has granted commercial access for decades through SSA agreements, EUSST’s restricted data policies create a significant barrier for those seeking to build services around it. For Europe to foster a thriving space ecosystem, it must not only enforce sustainability regulations but also ensure that innovation is welcomed through transparency, openness and fair access to critical infrastructure.
How can Ecosmic help you
We develop software solutions for space domain awareness, specialising in enhancing the safety and sustainability of space operations. Our expertise spans collision avoidance, precise orbit determination, manoeuvre detection, and fragmentation event identification, enabling operators to maintain better situational awareness and make informed decisions in an increasingly crowded orbital environment.
Our flagship product, SAFE, is a ground-based software designed to streamline the collision avoidance process. Using advanced algorithms, it calculates collision probabilities with high accuracy, reducing false positives and unnecessary maneuvers. When a risk is detected, it provides optimised avoidance strategies tailored to the operator’s needs.
With the growing challenge of space debris and increasing collision alerts, our technology ensures precise, data-driven decision-making, helping operators maintain safer and more reliable satellite operations.
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- 13 August, SDA Tap Lab Demo Day @ Colorado Springs, Colorado, US
- 27 September - 4 October, IAC @ Sydney, Australia
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At Ecosmic, we are dedicated to shaping the future of software in the space industry.
Our mission is to drive advancements in space software by fostering collaboration, conducting cutting-edge research, and influencing industry standards. Through this newsletter, we aim to provide insights, frameworks, and solutions that empower space agencies, startups, and operators to navigate the evolving landscape of space software.
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1 referred to as simply as “the CA space services provided by the collision avoidance space services provider in charge of the Space Surveillance and Tracking (SST) sub-component referred to in Article 58(2) of Regulation (EU) 2021/696 (‘Union CA space services provider’)”