ESA has signed the first contracts in its European Launcher Challenge. The programme aims to expand Europe's supply of launch services and make access to space more reliable. Three companies received contracts after ESA reviewed their business plans, engineering, resources, schedules, and compliance. Germany's Rocket Factory Augsburg received €186.9 million, Spain's PLD Space received €158.9 million, and Germany's Isar Aerospace received €197.8 million.
The companies do not receive all funding immediately. Each provider can unlock money after meeting agreed milestones. The Challenge also requires providers to achieve an orbital launch before 2028, proving that their services can deliver. Their rockets target different payload capacities and launch sites across Europe and French Guiana. ESA says competition can broaden choices for government and commercial customers. A separate contract with MaiaSpace is still being completed.