The Information Technology and Innovation Foundation (ITIF) submits comments on the proposed EU Space Act (EUSA), arguing that it exhibits anti-American bias and imposes arbitrary costs and burdens on U.S. space operations. The EUSA's key issues include:
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Giga-Constellation Category: The EUSA introduces a "giga-constellation" category, creating additional regulatory burdens specifically for American satellite companies, which currently operate or propose to operate such constellations. This arbitrary requirement, based on propellant capacity rather than the number of satellites, disadvantages U.S. companies without offering any specialized benefit to space use as a whole.
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Prescriptive Reflectivity Rules: The EUSA imposes reflectivity rules on satellites below the capabilities of current low-Earth orbit (LEO) technologies, targeting U.S. satellite constellations that operate at lower altitudes and are more reflective. This could harm consumer service quality by outlawing state-of-the-art technology. A better approach would be cost-benefit analysis alongside collaborative efforts with astronomers.
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Complex Market Access Procedures: Non-EU satellite operators face a cumbersome "Compliance Board" review process to access the European market, unlike EU operators who can obtain authorization in their home countries. This adds red tape and potential conflicts of interest, disproportionately affecting U.S. companies.
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Timing and Asymmetric Burdens: The EUSA rules will take effect in 2030, by which time advanced U.S. satellite companies will have far progressed in developing new satellites. The new regulations could force these developments back to the drawing board, incurring compliance costs for U.S. companies, which are ahead in satellite development compared to many European counterparts.
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Launch Derogation Regime: The EUSA explicitly prefers EU launch providers over U.S. launch services, requiring EU operators to use non-EU launchers only if no "readily available substitute" exists in the EU and the foreign launch "promotes technological capabilities of strategic importance." This undermines U.S. launch competitiveness and harms both U.S. providers and European customers.
ITIF highlights the EU's track record of targeting U.S. tech companies through regulations like the Digital Markets Act (DMA) and Digital Services Act (DSA), noting the DMA has inspired similar discriminatory regulations globally. The foundation advocates for evidence-based and even-handed regulatory frameworks for space safety, opposing the EUSA to prevent the spread of such discriminatory practices. The U.S. should resist the EU's regulatory efforts to hinder American innovation leadership.
