ESA awards startup a record €760M space cargo contract

The European Space Agency on Thursday awarded The Exploration Company a contract worth up to €760 million to develop and demonstrate autonomous cargo return capabilities using the startup's Nyx capsule, marking the largest capsule transportation service contract ESA has ever given to a European commercial space company.

A New Chapter for European Space Access

The contract, signed at the International Space Summit in Paris, launches Phase 2 of the ALADDIN (Autonomous LEO Accelerated Demo Docking to ISS Node) initiative, ESA's commercial cargo return program formerly known as the LEO Cargo Return Service. Under the agreement, €310 million is allocated for an initial demonstration mission to the International Space Station, with €450 million in options covering two additional service missions to the ISS or a future commercial space station, to be confirmed at a later date.europeanspaceflight+1

The Nyx demonstration mission will launch aboard an Ariane 6 rocket and is expected to dock with the ISS no later than the second quarter of 2029, the final window available to ESA before the station's planned retirement. ESA introduced an additional incentive worth up to €50 million for companies that use European launch vehicles.europeanspaceflight

"Europe is taking a big step towards greater autonomy in space," ESA Director General Josef Aschbacher said. "Today's agreement with The Exploration Company shows how ESA can act as an anchor customer — strengthening Europe's commercial space sector and turning ambition into reality."esa

From Startup to Strategic Partner

Founded in 2021, The Exploration Company secured 40% of the financing for the Nyx demonstration from private investors, with ESA covering the remaining 60%. The contract announcement comes days after the company closed a $450 million Series C funding round — described as the largest ever by a European space company — co-led by Bessemer Venture Partners, Atomico, and the Scaleup Europe Fund managed by EQT. Total funding since the company's founding now stands at roughly $680 million.vestbee+2

"We started the development of Nyx with private funding only, and we are now at a technical maturity level where ESA and Member States' public funding can support us massively, as anchor clients," CEO Hélène Huby said.esa+1

Competition Continues

While The Exploration Company has secured the first Phase 2 award, ESA said it remains committed to maintaining competition in the emerging European commercial cargo market and is continuing a second-stage tendering process with Thales Alenia Space. Both companies received €25 million Phase 1 contracts in May 2024.europeanspaceflight+1

"This contract officially launches the Phase 2 of ALADDIN, getting Europe one step closer to developing a key capability which only a handful of nations have mastered," said Daniel Neuenschwander, ESA's Director for Human and Robotic Exploration.europeanspaceflight+1