French space technology startup ArcSpace has raised more than €2 million to accelerate the development of its in-orbit satellite servicing and manufacturing technology. The round was led by Czech venture capital firm DEPO Ventures, with participation from Germany-based SCE Freiraum Ventures, French investor IRDI Capital Investissement, and a French business angels network. The financing will support ArcSpace as it prepares to demonstrate its proprietary electron beam technology in orbit and advance toward commercial deployment.
Building Infrastructure for Satellite Repair
Founded to develop manufacturing tools and processes for use in space, ArcSpace is targeting a growing challenge facing satellite operators: spacecraft that cannot easily be repaired, modified, or refueled after launch. Conventional satellites are generally designed around a limited operational life, meaning equipment failures or depleted fuel can leave expensive assets unusable and contribute to orbital debris. ArcSpace aims to introduce an alternative by enabling spacecraft to be serviced directly in orbit without requiring them to have been designed around standardized servicing interfaces.
The startup has developed a compact system based on high-energy electron beam technology that can cut, join, and weld materials in vacuum conditions. According to ArcSpace, the equipment can be installed aboard spacecraft or lunar rovers and operates without producing contamination or debris during the process. The company says this capability could enable operators to capture and repair satellites that were not originally built for servicing, expanding the range of spacecraft that could benefit from life-extension missions.
Preparing for an In-Orbit Demonstration
ArcSpace said its technology has already completed demanding environmental testing, including high-vacuum and mechanical vibration tests designed to reproduce conditions associated with space operations. The company is now working toward an in-space demonstration planned for 2027, during which it intends to perform more than 100 seconds of fully autonomous welding aboard a spacecraft. CEO and co-founder Guillaume Mohara said the new financing will help accelerate that validation program and support ArcSpace's broader objective of making orbital infrastructure more sustainable and resilient.
The capital will also be used to expand ArcSpace's team, qualify flight-ready hardware, and prepare the startup's first demonstration mission. Its roadmap calls for the first commercial applications of its servicing technology from 2028, including spacecraft life extension, deorbiting, and dual-use missions. Over the longer term, ArcSpace plans to apply the same underlying technology to the assembly of large structures in orbit and on the Moon, as well as broader in-space manufacturing activities.
European Investors Back Strategic Space Technology
DEPO Ventures led the round through its DEPO Ventures One fund and the group's angel investment syndicate, while SCE Freiraum Ventures and IRDI Capital also participated. DEPO Ventures partner Petr Šíma said ArcSpace's technology addresses the resilience of critical infrastructure while fitting the investor's focus on strategic technologies with global applications. The investment also reflects growing European interest in technologies designed to strengthen regional capabilities in space, defense, and other strategically important industries.
ArcSpace says it has attracted interest from more than a dozen commercial companies and has established collaborations with organizations including the French space agency CNES, the European Space Agency, and the European Defence Fund. The company also points to growing European policy attention around in-orbit servicing and operations, which are increasingly viewed as an important component of the continent's future space infrastructure. DEPO Ventures Space Tech Venture Partner Justyna Redelkiewicz said ArcSpace is developing capabilities aligned with Europe's plans to advance in-orbit servicing technologies toward operational missions.
The funding gives ArcSpace additional resources to move its electron beam technology from environmental testing toward a planned orbital demonstration and eventual commercialization. By focusing on repairing and modifying spacecraft that were not originally designed for servicing, the startup is addressing both the economic cost of replacing satellites and Europe's wider interest in resilient space infrastructure. If its 2027 demonstration succeeds, ArcSpace will move closer to introducing its first commercial servicing applications from 2028 while laying the groundwork for more ambitious manufacturing and assembly operations in space.