Schaeffler and Spire Partner to Build Sovereign European Satellites in Germany
May 27, 2026 - 12:14 pm
Image by: Schaeffler Group
Schaeffler AG, a renowned German precision-engineering company known for its bearings in aircraft engines and Ariane rockets, has signed a memorandum of understanding (MoU) with Spire Global, a US-listed satellite firm, to industrialize Spire’s 100-satellite-a-year Munich plant for European defense customers.
Combining Strengths for Sovereign Space Capacity
The partnership aims to cater directly to the growing demand for sovereign space capabilities in Europe, as Brussels and Berlin have been working to establish over the past 18 months. Schaeffler brings its extensive experience in precision bearing manufacturing, established aerospace supply chains with Boeing, Airbus, and Ariane, and significant industrial-scale up capacity.
Spire, on the other hand, offers flight-tested heritage from a decade-long satellite constellation, platform architecture, and an existing manufacturing footprint in Munich that is already set up for sovereign defense work, as evidenced by its involvement in the European Space Agency’s EURIALO in-orbit demonstration program.
Immediate Focus and Long-Term Vision
The immediate priority is to secure and scale supply chains for critical spacecraft subsystems. Simultaneously, the companies are evaluating an industrialized satellite bus platform tailored for sovereign constellation programs.
Schaeffler will lead precision manufacturing scale-up efforts, while Spire contributes platform architecture, flight software, and operational expertise. The target customer base comprises European defense and government buyers seeking satellites built and operated within the bloc rather than sourced from the US or Asia.
A New Archetype in European Satellite Manufacturing?
The strategic significance of this partnership is profound. Traditionally, European satellite manufacturing has been concentrated among a small number of established players like Airbus Defence and Space, Thales Alenia Space, and OHB. These companies operate at capacity due to ongoing projects such as the IRIS2 build, Galileo replacement, and numerous national security commissions.
Newer European entrants, like Univity on the French side, have raised substantial capital but have yet to reach production scale. This partnership represents a new archetype: industrial primes (Schaeffler) combining with flight-proven platform vendors (Spire), manufacturing within Germany, and selling to European sovereign customers.
Spire’s own strategic positioning is noteworthy. Although headquartered in the US and listed on Nasdaq, it has actively built European operating substance over the past three years to qualify for sovereign defense work requiring in-country manufacturing. The Munich facility is a tangible manifestation of this commitment.
As of 2026, Schaeffler and Spire's groundbreaking collaboration represents a pivotal moment in European space manufacturing. By combining Schaeffler's precision engineering prowess with Spire's satellite constellation experience, they aim to fill a critical gap in the market for sovereign space capabilities. This partnership not only addresses growing European demand but also signals a potential paradigm shift in who designs and builds satellites within the bloc. Read the full article