France and Germany back rival to Elon Musk’s SpaceX

French rocket company Arianespace has been forced to delay the launch of its new Ariane 6 rocket and European companies such as OneWeb, which is partly owned by the British state, have been forced to turn to SpaceX for launches.

TEC, founded in 2021 by former Airbus and Arianespace executives, will also rely on SpaceX rockets for its initial launch but says it will be able to launch from any large rocket.

It says missions using its capsules, which will return from earth by splashing down in the ocean, will be up to half the price of those using rival capsules such as SpaceX’s Dragon.

The funding round has been led by London-based venture capital firms Balderton and Plural. Other investors include French Tech Souveraineté, a fund run by the French government, and Germany’s DeepTech and Climate Fonds (DTCF).

Khaled Helioui, an investor at Plural, wrote on X: “The lack of European situational awareness in space is costing us. Policymakers and industry leaders know we need our own space capabilities.

“To defend our critical orbital assets, we need to be able to launch our own tech to monitor and protect our systems, rather than relying on other countries.”

Hélène Huby, TEC’s chief executive, said: “This significant raise is a reflection of not only the talent and commitment of the team at TEC but also that building global companies with European roots can only be done through fostering trust and cooperation between European countries.”