A Kennedy Space Center merch mug depicting complex math calculations says it all: “This is rocket science.” But how to harness the power of the space industry?
Betting on niche capabilities is one way to go, as it can help places like Hungary solidify their position. A close partnership with the European Space Agency could further catapult the local ecosystem to unprecedented heights.
If you thought space was a playground reserved just for the great powers, think again. The United States is, indeed, setting the pace with NASA’s Artemis lunar missions and a putative crewed Mars expedition, while China has also grown to become a mighty player. But smaller European countries like Hungary could also benefit thanks to targeted expertise and partnerships, particularly within the framework of the ESA.
The ESA’s consistent presence at flagship Hungarian events such as InnoElectro and the Space Summit underscores the country’s ever stronger relevance in the European space ecosystem. These gatherings have become key platforms for assessing progress, showcasing capabilities, and strengthening ties between Hungarian stakeholders and international partners. In fact, it was the Space Summit held earlier in February where the country’s national strategy, developed in cooperation with ESA, was presented (see box for more).
“Hungary is in a good position to keep growing in the space domain,” ESA notes in response to questions from the Budapest Business Journal. According to the agency, Hungary’s space industry includes a mix of SMEs, mid-sized firms, and research organizations that “cooperate closely.” This collaborative structure is a key strength, enabling innovation across multiple segments, from satellite technologies to data applications.
Hungary’s commitment to ESA has increased significantly in recent years. Indeed, it has quintupled its contribution over six years, reaching EUR 32 million in 2025, while total subscriptions to ESA programs have risen from EUR 90 mln in 2022 to EUR 205 mln in 2025. And the 2022 contribution alone is expected to generate approximately EUR 120 mln in GDP contribution. This includes direct, indirect, and induced effects across the supply chain.
In addition, the investment is expected to yield EUR 26 mln in tax revenues and create around 3,100 job-years, equivalent to roughly 390 jobs annually during the implementation period.
“These figures do not include the additional economic impacts from the use of the space assets developed,” ESA adds.
Significant Development
One of the most significant developments in Hungary’s space ambitions is the planned completion of the RemTech Space Technologies center in 2026. The joint venture between 4iG and Remred is expected to mark Hungary’s entry into satellite manufacturing, a major step up the value chain.
The ESA views such initiatives as strategically important. “The RemTech Space Technologies center can represent a valuable asset for the entire European space sector,” the agency says, noting that it could act as a regional hub capable of attracting additional players and strengthening the local ecosystem.
The space agency has actively supported the development of national capabilities through targeted programs and industrial policy tools since Hungary joined ESA in 2015. These efforts aim to integrate Hungarian companies into broader European supply chains, foster partnerships, and promote innovation.
Key domestic players, including Remred, C3S, Admatis, Hun-Ren, and 4iG, are expected to complement each other in building a more robust and competitive ecosystem.
Hungary’s strengths are not limited to industrial capacity. The country has also developed internationally recognized expertise in specific scientific fields. ESA highlighted the role of Hungarian researchers in advancing crew health and performance, which are critical areas for future human space exploration.
“This is a field of research that is highly relevant for our future missions,” the agency says.
Hungarian institutions are already contributing to ESA programs, including efforts to develop in-situ diagnostic solutions for long-duration missions. Radiation research is another area of excellence, with Hungarian teams leading the development of components for the Lunar Gateway, a potential space station orbiting the Moon.
Global Relevance
These niche capabilities illustrate Hungary’s strategic approach: rather than competing broadly with larger nations, the country is focusing on areas where it can achieve global relevance.
The ESA Business Incubation Center in Hungary has played a pivotal role in nurturing the next generation of space-tech companies. Over the past six to seven years, the program has supported more than 25 startups, with more than 90% still active, a strong indicator of sustainability.
The most successful ventures are concentrated in downstream applications such as Earth observation, satellite navigation, and space-enabled services. However, scaling these startups remains a challenge.
“Startups usually encounter difficulties in entering the wider space market, mainly due to the lack of strong links with other European industrial players,” ESA notes. Even so, it remains hopeful it will results “in the coming years” from recently implemented dedicated ESA initiatives to address this issue.
Technology transfer is another area where Hungary has true potential. ESA highlights the example of 27G, a company that developed a radiation-sensing device for space missions and successfully adapted it for medical applications, including radiotherapy and radiation monitoring.
Meanwhile, Admatis has emerged as a flagship success story, evolving into a key supplier of thermal hardware with components used in more than 10 ESA and EU missions.
At the same time, the sector faces structural challenges, including talent shortages and the need for greater international visibility. Addressing these issues will be critical as Hungary seeks to position itself more prominently on the global stage. But, as ESA puts it, the combination of European support and national initiatives is “a step in the right direction.”
National Space Strategy: Turning Researchers Into Startuppers
Hungary’s emerging space strategy marks a shift toward a mission-driven model that integrates research, industry, and national priorities, aligning with the János Neumann Program and focusing on areas like digitalization, health, sustainability, and security. Its core goal is to turn scientific excellence into marketable solutions while strengthening Hungary’s position in global value chains.
A key element is the “researcher startup” concept that helps scientists bring innovations to market through mentoring, funding, and technology transfer. As Balázs Gulyás, CEO of the Hun-Ren Hungarian Research Network, notes, “the space strategy is not a predefined set of projects, but a concept based on ‘mapping capacities’.”
The BBJ is grateful for editorial assistance from members in the commercialization industry and competitiveness directorate of ESA, including contributions from Emilio Ves, head of the industrial policy section; Stephanie Willekens, socio-economic impact assessment analyst; Michele Iapaolo, commercialization officer; and Olivier Ingold, coordination officer for the human and robotic exploration department.
This article was first published in the Budapest Business Journal print issue of April 24, 2026.
