As space becomes increasingly cluttered with debris and defunct satellites, the urgency for sustainable orbital solutions has never been greater. Amid this growing concern, a Porto-based startup is making waves across Europe. SPACEO, born from Portugal’s dynamic startup ecosystem and incubated at UPTEC Mar, has emerged as a leader in the race to keep space clean; and is now spearheading a project that could define the future of post-mission satellite management.

In a major milestone for Portugal’s space industry, SPACEO is leading an international consortium that recently secured a €3 million contract from the European Space Agency (ESA). The mission: to develop an innovative system designed to safely deorbit satellites at the end of their life cycle, mitigating the growing issue of space debris.

At the heart of this initiative is SWIFT, “Spacecraft With Inflatable Termination”, a pioneering solution that will be tested in orbit by 2028. The SWIFT system employs a lightweight, inflatable drag sail that, when deployed, slows down defunct satellites and guides them into Earth’s atmosphere, where they safely disintegrate. Designed to be compact and scalable, this technology holds the potential to become standard equipment for future satellite launches.

Space junk is no small problem. With nearly 10,000 obsolete satellites currently circling the Earth, the risk of collisions is real and increasing. SPACEO's work arrives at a crucial time, especially as regulatory bodies begin tightening rules on satellite deorbit timelines. Where the standard lifespan for orbital decay once spanned decades, new regulations aim to shrink that period to just five years. SPACEO’s innovation aligns perfectly with this shift, positioning the company at the forefront of global compliance and safety solutions.

What sets SPACEO apart is not only its technical ingenuity but also its embodiment of Portugal’s thriving startup spirit and marked by agility, collaboration, and a future-focused vision. From its early days at UPTEC Mar to now coordinating an international consortium, SPACEO is a clear example of how Portuguese innovation is scaling up to meet global challenges.

The SWIFT project unites SPACEO with high-caliber partners from across Europe: GomSpace (Luxembourg), SpaceLocker (France), and SolidFlow (Netherlands). Together, they bring diverse expertise to the table, from satellite design to propulsion and orbital dynamics, forming a powerful alliance under Portuguese leadership.

If successful, SWIFT will not only become one of Portugal’s first operational space systems since the historic launch of PoSAT-1 in 1993, but I am sure it could also set a new industry benchmark for end-of-life satellite solutions. And while launch plans point toward collaboration with a major American provider, the heartbeat of this innovation beats firmly in Porto.

In the broader context, SPACEO’s breakthrough underscores a new era for Portugal’s space ambitions. With strong backing from the European Space Agency and a growing national ecosystem that supports deep tech ventures, the country is rapidly becoming a serious player in aerospace innovation.

SPACEO isn’t just solving a global problem; it’s proving that Portugal’s talent and entrepreneurial energy can reach beyond Earth’s orbit. As the world looks for smarter, cleaner, and safer ways to explore space, one of the answers might just be coming from a small, bold startup on the Atlantic coast.

Author

Paulo Lopes is a multi-talent Portuguese citizen who made his Master of Economics in Switzerland and studied law at Lusófona in Lisbon - CEO of Casaiberia in Lisbon and Algarve.

Paulo Lopes