Europe’s push to strengthen its defense capabilities is extending beyond traditional military systems and into space. As governments seek greater control over satellite infrastructure, data and intelligence, Earth observation is becoming an increasingly important part of the region’s strategic priorities.
The global space economy could grow from $630 billion in 2023 to $1.8 trillion by 2035, according to McKinsey and the World Economic Forum. At the same time, European Union defense spending reached €418 billion in 2025, a 20% increase from the previous year, according to the European Defence Agency.
Against this backdrop, satellite company Hydrosat has announced Nyktòs, a high-resolution mid-wave infrared (MWIR) imaging program designed for tactical intelligence, surveillance and reconnaissance (ISR) missions. The initiative also includes an expanded technology and manufacturing footprint in Europe.
Combining wide-area monitoring with detailed observation
Nyktòs is designed to complement Hydrosat’s existing Osiris system, which uses long-wave infrared (LWIR) technology to monitor broad geographic areas. While Osiris identifies unusual thermal activity across a wide area, Nyktòs will provide higher-resolution observations of specific locations, both day and night.
The two systems are intended to work together through a tipping-and-cueing approach: Osiris can detect activity that warrants further investigation and direct Nyktòs to collect more detailed imagery. This combination could support defense and security missions, critical infrastructure monitoring and crisis response.
“Finding and understanding activity on the ground requires both monitoring of wider areas and the ability to examine specific locations in detail,” said Scott Soenen, Hydrosat’s co-founder and chief technology officer.
The company’s European expansion is intended to support sovereign space capabilities for NATO and allied customers, including access to technology, manufacturing and supply chains within the region. Customers will be able to configure the balance between national and commercial capabilities according to their mission requirements, including tasking, control, security and data access.
“Europe’s investment in space is an investment in its ability to protect its interests and make independent decisions. We are committed to helping turn that ambition into capability,” said Pieter Fossel, Hydrosat’s co-founder and CEO.
The announcement comes as demand for Earth observation continues to expand. The EU Agency for the Space Programme projects that global Earth observation revenues could increase from €3.5 billion in 2024 to €7.9 billion by 2034.
For Hydrosat, Nyktòs represents an expansion from broad thermal monitoring toward more detailed, taskable intelligence capabilities, while positioning its technology closer to European defense and security customers.
