If you're going to build satellites, you might as well build them like cars. That's the thinking behind U-Space, a French satellite manufacturer that just announced a €24 million ($27.8 million) Series A funding round on November 12. The capital will help the company scale up production and chase opportunities in some of the world's fastest-growing space markets.

The round was led by Blast, the French Ministry of Armed Forces' Definvest fund, and Expansion. Joining them were Primo Capital through its Primo Space investment fund, along with Karot Capital, ARIS, and Vertech Finance. For a company that raised just €7 million in 2022, this represents serious momentum.

U-Space plans to use the fresh capital to boost production capacity and expand its commercial footprint beyond Europe, specifically targeting the Asia-Pacific and Middle Eastern regions where space programs are heating up.

Building Credibility Through French Government and Corporate Contracts

The company currently has three satellites orbiting Earth, with around 10 more units scheduled for production and delivery over the next year. U-Space has landed contracts with heavyweight French organizations including Centre National d'Études Spatiales and Safran, the kind of credentials that matter in an industry where your track record is everything.

"Through its excellence and the quality of its teams, U-Space actively contributes to France's sovereign ambitions in the space sector," said François Charbonnier, Investment Director at Bpifrance. "With its initial successes paving the way for many more to come, it was only natural for Definvest to renew its support."

The backing from France's military investment fund signals confidence in U-Space's strategic importance to European space capabilities, particularly as global competition in satellite manufacturing intensifies.

Car Factory Meets Space Factory: One Satellite Per Week by 2027

Here's where things get interesting. U-Space has borrowed manufacturing techniques from the automotive industry to speed up satellite production. The company operates something called the U-Zine, an 850-square-meter cleanroom facility designed with an ambitious endgame: eventually producing one satellite every single day.

For now, the company is being more realistic. The immediate goal is to hit one satellite per week by 2027, and the new funding will support software development to make that production increase possible. It's a response to a real market problem—demand for satellite constellations is outstripping what manufacturers can actually build.

"Over the past few years, U-Space has demonstrated its ability to build a strong team and implement robust industrial processes," said Alexis Bès de Berc, Investment Manager at Blast. "This new phase marks a strategic turning point."

The automotive-style assembly approach could be a game-changer in an industry that traditionally builds satellites more like custom luxury goods than mass-market products.

Looking East: Middle East and Asia-Pacific Expansion Plans

U-Space isn't just scaling up production for fun. The company has identified serious growth opportunities in regions that are investing heavily in space capabilities. The strategy got validation recently when U-Space landed a contract with the United Arab Emirates' National Space Science and Technology Center.

"These regions demonstrate remarkable technological dynamism and a strong will to develop their space economies," said Fabien Apper, U-Space co-founder and President. "They are strategic markets where we can contribute, both on governmental and commercial programs. This is an opportunity to demonstrate our ability to support global space ambitions, and this funding will allow us to do so."

The company plans to beef up its commercial team to pursue these opportunities. It's a smart move—countries in the Middle East and Asia are pouring money into space programs, and many prefer working with suppliers who aren't subject to U.S. export restrictions.

U-Space offers end-to-end services covering everything from satellite design through operational management at its operations center in Toulouse, France. The company's product lineup includes modular platforms like the 12U and FreeForm designs, all supported by proprietary software that integrates with their manufacturing process.

The ultimate goal? Becoming Europe's leading manufacturer in the global small satellite constellation market. U-Space is targeting both government and commercial customers who need reliable spacecraft delivered faster than traditional aerospace timelines. With this funding round closed, the company has the resources to find out if automotive-style manufacturing can really transform the satellite business.