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NOT 13 1

SENATE

REGULAR SESSION OF 2019-2020

Recorded at the Presidency of the November 19, 2019

INFORMATION REPORT

MADE

on behalf of the Committee on Economic Affairs (1) and the Committee on Foreign Affairs, Defense and Armed Forces (2) on the policy of the launch vehicles,

By and Mr. Jean-Marie Bockel,

senators

(1) The commission is composed of: Sophie Primas President; Ms. Elizabeth Lamure MM. Daniel Gremillet, , , Franck Montaugé, Mrs Anne-Catherine Loisier, Noelle Rauscent, , Cécile Cukierman, Mr. Jean-Pierre Decool, Vice-Presidents; Messrs. François Calvet, , Mrs , Létard, secretaries; , Anne-Marie Bertrand, Mr. Bouloux Yves Bernard Buis Henry Cabanel, Mrs Anne-Larché Chain, Marie-Christine Chauvin Catherine Conconne Agnes Constant

Messrs. , Pierre Cuypers , , Laurent DUPLOMB Alain Duran, Mrs Dominique Sassone, Françoise Férat, , Annie Guillemot, MM. Iacovelli Xavier, Jean-Marie Janssens Joel Labbé, Marie-Noëlle Lienemann, Mr. Pierre Louault, , Jean-François Mayet, Franck Menonville, Jean-Pierre Moga, Mrs Patricia Morhet-Richaud, Sylviane Christmas, MM. , Michel Raison, Mrs Evelyne Renaud Garabedian, Denise St. Pé, Jean-Claude Tissot.

(2) The commission is composed of: Mr. , President ; Messrs. ALLIZARD Pascal, , Ms. Sylvie Goy-Chavent MM. Jean-Noel Guerini, Joel Guerriau, Pierre Laurent, Cedric Perrin Gilbert Roger, Jean-Marc Todeschini, Vice-Presidents; Olivier Cigolotti, Joëlle Garriaud-Maylam, , Marie-Françoise Perol-Dumont secretaries; Messrs. Jean-Marie Bockel, Gilbert Bouchet, Olivier Cadic Alain Cazabonne Pierre Charon, Ms. Hélène Conway-Mouret, MM. Édouard Courtial René Danesi, Gilbert Luc Devinaz John Paul Émorine, , Jean-Pierre Grand, , Gisèle Jourda, MM. Jean-Louis Lagourgue, , Ronan Le Gleut, Jacques Le Nay, , Francois Patriat, Gerard Poadja, , Mrs Christine Prunaud Isabelle Raimond Pavero MM. Stephane Ravier, Hugues Saury, , Rachid Temal, , André Vallini, Yannick Vaugrenard, Jean-Pierre Vial, .

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SOMMA IRE Pages

BACKGROUND ...... 5

Foreword ...... 7

I. 6 WILL NOT HAVE CONDITIONS FAVORABLE THAN KNOWN ...... 9

A. WITH ARIANE, EUROPE HAS BEEN PIONEER ...... COMMERCIAL SPACE TRANSPORTATION ...... 9 1. Ariane 5: technical and commercial success ...... 9 a) Ariane 5 has provided nearly half of the available commercial market for geostationary over the last ten years ...... 9 b) With and , is to cover the entire spectrum of ...... 13 (1) The average launcher Soyuz ...... 13 (2) The light launcher Vega ...... 14 c) This success is based on the Guiana Space Center ...... 16 2. : A solution of continuity ...... 16

B. BACKGROUND IS NOW MORE ADVERSE ...... 21 1. Uncertain market require flexible solutions tailored to customer needs .... 21 2. competition exerting downward pressure on prices ...... 24 a) The arrival of SpaceX, the first representative of the "New Space" has revolutionized the commercial market ...... 25 b) competition in the open global trading market expected to increase ...... 29 3. ... and enjoying public support ...... 33 4. An evolution based on breakthrough innovation to become the new technological standard: the reuse ...... 36

II. EFFORT MODERNIZATION VITAL TO KEEP OUR SELF ACCESS AREA ...... 40

A. A MINISTERIAL COUNCIL TO ENSURE OUR STRATEGIC AUTONOMY ACCESS TO SPACE ...... 40 1. Additional financing the stakes will be charge for the year ...... 40 2. To ensure the transition between the Ariane 5 and 6 deal with uncertain market prospects ...... 41 3. Build today on the reusable ...... 44 a) Europe is today launching into reusable ...... 44 b) and Themis: the first bricks of a future reusable launch ..... 48 (1) Prometheus: a potentially reusable liquid propulsion motor 48 ...... (2) Callisto and Themis: demonstrators first stage reusable ...... 49 c) Continue to reduce costs ...... 50 (1) Icarus: a floor higher than the reduced constructive index ...... 50 (2) Reduce costs incrementally ...... 51 (3) To modernize the CSG ...... 51 4. Do not create competition within Europe ...... 52 a) Opposing a capacity increase project of Vega C ...... 52 b) Completing the family of European launchers by solutions for small satellites? ...... 54 - 4 -

B. THE NEED FOR REVISION OF INDUSTRIAL POLICY SPACE LAUNCH VEHICLES ...... 57 1. For a European preference ...... 57 a) Increase the potential volume of institutional demand by establishing a principle of European preference ...... 58 b) Increase the actual volume of institutional demand ...... 60 c) Replace support for exploitation by multi-year orders and aggregated at European level ...... 61 2. Soften the principle of geographical return ...... 63 a) Apply the rule of geographic return of more flexible and incentive ..... 63 b) To reduce the dispersion of industrial production ...... 66

C. RESTORE AMBITION EUROPEAN SPACE ...... 68 1. The need for collective leadership pressed ambition ...... 68 2. A necessary fiscal mobilization ...... 70

NOTES ...... 75

I. INSTITUTIONS OF EUROPEAN SPACE ...... 75

II. MARKET COMMERCIAL AND INSTITUTIONAL MARKET: A DISTINCTION FRAGILE ...... 76

III. CLASSIFICATION OF SMALL SATELLITES ...... 77

IV. BET AMERICAN DEVELOPMENT OF COMMERCIAL SPACE TRANSPORTATION OFFER ...... 78

V. TERMS OF CALCULATING THE RULE OF GEOGRAPHICAL BACK: ITEM 4 OF ANNEX V OF THE CONVENTION, 1975 ...... 80

VI. NEW GOVERNANCE INDUSTRIAL DEVELOPMENT AND DEFINED OPERATING IN 2014 ...... 82

VII. THE ALLOCATION OF THE ACTIVITIES OF THE GUIANA SPACE CENTER (CSG) ...... 83

WORK COMMISSION ...... 85 • joint hearing of Messrs. André-Hubert Roussel, Executive Chairman of ArianeGroup, and Jean-Yves Le Gall, president of the National Center for Space Studies (Wednesday, May 22, 2019) ...... 85 • Adoption of the report ( Tuesday, November 19, 2019) ...... 99

LIST OF IMPLIED ...... 107

LIST OF WRITTEN CONTRIBUTIONS ...... 109 - 5 -

CONTEXT

Since launching in 2014, the Ariane 6 program the market conditions have changed. The Council of the , which meets at ministerial level on 27 and 28 November 2019, must make important decisions in order to adapt the program to the context.

The better understanding of the issues that a joint working group with the Committees on Economic Affairs and Foreign Affairs, Defense and of the strengths hosts co-chaired by Sophie Primas

( - ) and Jean-Marie Bockel (Centrist Union - Haut-Rhin) 1 was set up following a joint hearing by the two committees, the president of the National Center for Space Studies (CNES), Jean-Yves Le Gall, chairman and ArianeGroup André-Hubert Roussel on 22 May. The working group's findings were presented to the two committees on 19 November.

1 The list of group members is available on the website of the Senate, to the following address: https://www.senat.fr/commission/groupe_de_travail_sur_lespace.html

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FOREWORD

" We want to open up space for humanity, and in order to Do That, space must be affordable. "/" We want to enable mankind to reach space and, for this, the space must be affordable "- Elon Musk SpaceX

At the end of this year we will celebrate the fortieth anniversary of Ariane takeoff 1. On that date, according to the President of CNES, Jean-Yves Le Gall, 250 Ariane have been launched 1. We must welcome this great European success. In forty years, much progress has been made. The European launcher has been increasing its capacity. It has proven its reliability. Europe has been the pioneer of the commercial space: Europeans were visionaries!

But pride should not lead to blindness. On the other side of the Atlantic, a company originally developed at private expense reused the first floor of his flare for the fourth time and is preparing a that would enable humanity to become a " interplanetary species ". The objective of the US government is to set foot on the moon by 2024, while this year we celebrated the fiftieth anniversary of the first steps on our . China is increasing its capacity and also aims to get to the moon before the end of the decade 2020. India is also pursuing the goal of a lunar mission

Across Europe can give the impression of being outdated because it has neither the technological breakthrough, nor the ambition of manned flight. The European space sometimes seems to embody, better than any other public policy, the famous question given to Henry Kissinger " Europe, which phone number? " 2. For a long time we did better than others with less. What time is it over? Innovation cycles in the space sector are reduced, competition is fiercer than ever. Therefore, we must produce more with less to win the international market and thus secure our independent access to space.

Why seek access to space? This issue is raised by some countries to get out of the European dynamics of Ariane. It must be remembered that evidence: the scientific missions to carry on board the International , exploration of the exoplanets, weather, real-time navigation, communications in case of natural disasters, monitoring of agricultural crops, environmental monitoring and tomorrow Internet in the most remote areas of our territories ... None of this would be possible without space launchers. Today, we use unknowingly, 36 times a day to a satellite 3.

1 Hearing of Jean-Yves Le Gall by the Parliamentary Office for Evaluation of Scientific and Technological Options (OPECST), dated 29

October. 2 Of the institutions of the European space, see Appendix 1.

3 https://seraphimcapital.co.uk/focus - 8 -

The spatial economy is expected to impressive growth in the coming decades. In short, it is both the need for knowledge and exploration that the functioning of our economy and our society every day that depend on access to space.

Why guarantee independent access to space? For our sovereignty depends. Let us remember that in 1974, our American allies refused to launch a satellite Franco-German which was intended to be a commercial operation. Especially, as recalled the Minister of hosts, Florence Parly, during the presentation of the defense space strategy, our ability to access space is " essential to our strategic autonomy "Our armies are able to communicate, observe and navigate through space. Given the current geopolitical context, one can not doubt the need for autonomous access to space.

To guarantee this, we must aspire to remain the best in a trade market more competitive. The European space therefore has no choice but to continue to innovate and reduce costs by leveraging reusable. It should also review its industrial policy by asking a rule "European preference", by developing the principle of geographical return and avoid creating competition within Europe. To preserve its position as second space power in the world, it must finally adopt a long-term goal.

From first actions should be decided at the ministerial meeting of the ESA Council to be held in Seville on 27 and 28 November 2019 1. They fall mainly into a short-term horizon. But they also set the stage for that, from 2022, the European space decides the development of a reusable launch vehicle. We start from scratch. industrial and public authorities will be the stakes. In short, we must reconnect with the Ariane fundamentals.

1 https://www.esa.int/ESA_in_your_country/France/Les_ministres_enterinent_une_vision_pour_l_avenir_de_l_Europe_spatiale - 9 -

I. Ariane 6 WILL NOT HAVE CONDITIONS FAVORABLE THAN KNOWN ARIANE 5

The Ariane is an undeniable pride for Europe in space. But we can not hide that the last born of the family, Ariane 5 has received a very favorable environment, with a growing market and a sluggish competition. It is clear that the context is today no longer the same for Ariane 6, whose commissioning is scheduled for the second half of 2020.

AT. WITH ARIANE, EUROPE HAS BEEN PIONEER COMMERCIAL SPACE TRANSPORTATION

1. Ariane 5: technical and commercial success

The success of the die comprises three main ingredients: a family of launch vehicles, launch a marketing services company and a launch base. It should also be noted that the launcher industry space has been built in during the last sixty years on dual technologies, which also include a military application in the design, manufacturing and operational maintenance of ballistic missiles needed for nuclear deterrence. These civilian and military programs provide industrial activity necessary to maintain the skills and level of excellence of European industry.

at) Ariane 5 has provided nearly half of the commercial market 1 available geostationary satellites over the last ten years

The Ariane program launched in 1973 is among the first three founding projects of the European Space Agency. The inaugural flight of the first version, , was held on 24 December 1979. It was quickly replaced by more powerful versions, and , which made their first flight in 1986, respectively, 1984 and 1988.

1 On the distinction between the institutional market and the commercial market for launch services, see Appendix 2. - 10 -

Developed from 1987 Ariane 5 made its first flight in 1996. The pitcher was particularly designed to cope with the increase in mass of the satellite, which is why he is able to carry double loads launches helpful with a weight from today up to 10.7 tons in geostationary transfer (GTO for

Geosynchronous Transfer Orbit) 1. Ariane 5 ECA, designed for the GTO, is composed of a main cryogenic stage (engine Vulcan), two boosters and an upper floor (HM-7B engine, already used for

Ariane 4) 2.

Source: CNES. The pitcher has established itself as one of the best in the world face the 90 other service. Thus, over the last ten years (2009-2018), with nine commercial satellites, the Ariane 5 was granted nearly half of the available commercial market for geostationary satellites, himself positioning itself as leader this market.

1 are injected into geostationary transfer orbit, which is an elliptical orbit whose apogee is the (or "GEO" for Geosynchronous Equatorial Orbit) 35 786 km, allowing the payload to be in orbit at the same speed as the planet, so that it always appears at the same point in the sky. The GEO orbit is mainly used for telecommunications, broadcasting and connectivity.

2 In the ES version of Ariane 5, designed for low and medium orbits and used between 2008 and

2018, the upper floor, said floor storable propellant (EPS), with a working motor which itself was capable of being turned on. - 11 -

During this period :

- Ariane 5 achieved an average of six flights per year (with a maximum of seven flights in 2009 and 2017);

- on average, five of the six annual flights were dedicated to the geostationary orbit and, in most cases, made of dual launch, representing the equivalent of ten satellites;

- the distribution of these ten geostationary satellites launched annually by Ariane 5 is schematically as follows: nine commercial satellites (including institutional non-European) and institutional satellite European (mainly defense or meteorology);

- European institutional part of the Ariane 5 launch was of the order of 25%

(corresponding to a launch dedicated non-geostationary orbit 1 and a geostationary satellite launched in a dual launch).

average profile of a year of operation of the Ariane 5 between 2009 and 2018

1 satellite inst.

12

10 1 flight not geost. 9 commercial 6 8 satellites 5 flights in 2 4 geostationary

0 Ariane 5 flights commercial or institutional nature the satellite launched

Source: Ministry of Higher Education, Research and Innovation

The reasons for this success are particularly attributable to its intrinsic qualities, in particular :

- her high reliability, in view of the success of the mission and the precision of injection into orbit: he made 100 successful launches of 105 perfectly for only two complete failures in 1996 and 2002, two partial failures and having a trajectory deviation leads an injection abnormality orbiting satellites, which have however been able to reach

1 Non-geostationary flights were systematically European institutional missions: ATV supply ship for the International Space Station (LEO), Galileo satellites launched in "" of four (MEO) and interplanetary probes. - 12 -

subsequently the planned orbit - this reliability resulted from the experience accumulated by Ariane 1 to 4, which had experienced between 1979 and 1996, 137 of 144 successful launches; this element is also an advantage in terms of costs, since the price of insurance paid by the customer is less;

- his constant adaptation to market changes: performance thus rose from 6.1 tons originally almost

10.7 tonnes in GTO orbit today - the Ariane has therefore increased its performance by six in forty years; volume available under the cap has steadily increased;

- her dual launch capability, to reduce launch costs, which has long been a major advantage competitive

- this also has some disadvantages from the customer point of view, which may have to wait for another customer to be found for the launch, since the two payloads must be compatible.

Increase the performance of Ariane launchers in forty years (Number of kilos to be launched into orbit GTO)

000 10700

000 12

000 10

6100

000 8 4800

000 6

2700 2200 1800 2 000 4

0 Ariane 1 Ariane 2 Ariane 3 Ariane 4 Ariane 5 Ariane 5 ECA

Source: manual Ariane 6

This success also comes from choice made by Europe and France to build on the commercial sector by creating Arianespace 1 by 1980 as a tool of conquest of this fledgling market. At a time when the commercial space is the subject of attention in the US, it must be

1 Since 1980, Arianespace markets launch services from European launchers. - 13 -

Remember: France and Europe were pioneers in creating a company dedicated to the commercialization of launch services. Therefore, the quality of service offered by Arianespace launches in the operation, respect for launch dates and experience of marketing the launchers were an important asset for Ariane 5.

It is these qualities which have also allowed the pitcher to get new contracts in recent years.

In front of the two commissions, Jean-Yves Le Gall believed in reason " this commercial success, politics, industry, the world envies us! ", considering that " we do better than others with fewer resources ".

b) With Soyuz and Vega, Arianespace is able to cover all of the orbits of the spectrum

While the vast majority of Arianespace revenues derived from Ariane 5 launcher it belongs, since the 2010s, to a family of launchers sold by the company to launch services. Thus, since the addition of Soyuz and Vega in space transportation solutions portfolio offered by

Arianespace in the early 2010s, the company was able to launch " any mass to any orbit, any time " 1. Both pitchers have indeed primarily intended to serve the low orbits (or "LEO" for Low Orbit 2) and medium (or "MOE" for 3). Thus, Arianespace markets a family of fully complementary launchers.

(1) The average pitcher Soyuz

Between 2003 and 2015, under an inter-governmental agreement between France and Russia, Arianespace has enjoyed a commercial operating exclusively on the Russian launcher Soyuz, it could launch from the Guiana Space Center (CSG) spaceport in Europe. This agreement was within the framework of Euro-Russian cooperation launched in 1996 with the creation of Starsem Russian-European joint venture that provides the commercial exploitation of Soyuz Baikonur.

1 Arianespace Mission to success, sales brochure, 2017.

2 This is an orbit in less than 2 000 km, mainly used to supply the International Space Station, Earth observation and connectivity. The orbit (SSO Sun Synchronous Orbit at 820 km altitude) is mainly used for observation and meteorology.

3 This is an orbit between 2000 and 35 786 km altitude, mainly used for navigation. - 14 -

Consequently, a European Space Agency program 1 was conducted for the construction of the Soyuz the CSG and the adaptation of the launcher for exploitation by Arianespace on this site. It also included the development activities of an advanced version of

Soyuz (Soyuz 2-1b) offering greater payload capacity. Equipment specifically dedicated to Soyuz are supplied and installed by Russian industry, for a contract between Arianespace Roskosmos, resulting in the presence of more than 100 Russian engineers in Guyana.

Soyuz was launched for the first time since the CSG October 21, 2011, putting into orbit the first two satellites of the Galileo constellation. This additional medium launcher Ariane 5 allows the orbiting small telecommunications and institutional missions of satellites, satellites are now too small to be launched by Ariane 5. The latest promotional brochure Arianespace Soyuz can perform missions consisting in take payloads of 3.25 tonnes in GTO orbit from 4.4 tonnes in low orbit and 1.6 tons in medium orbit.

The 2003 agreement was not renewed and he is fallen December 31, 2015. Therefore, Russia told Glavkosmos the marketing launch services Soyuz from Baikonur and Vostochny, competing with Arianespace.

(2) The light launcher Vega

The Vega launcher was developed by the Italian industrialist Avio on behalf of the European Space Agency in 2002. He did his first flight in 2012. The latest brochure published by Arianespace, it can take a payload of 1.5 tonnes into polar orbit (700 km altitude).

Vega consists of three solid propulsion stages and an upper stage storable whose engine Russian-Ukrainian is restartable (AVUM). The synergies between the Ariane 5 and Vega reduce costs: as noticed Bruno Sido and Catherine Procaccia in 2012 " the first stage of Vega () has the same diameter as the solid stages (EAP) Ariane 5 and its total length is similar to that of one of the longer segments of the EAP, thus is used for loading propellant and transport of P80, the same facilities and industrial equipment than for Ariane 5 Guyana " 2.

1 According to the report of Bruno Sido and Catherine Procaccia published in 2012 ( "The challenges and prospects of the European Space Policy, report on behalf of the Parliamentary Office for Evaluation of Scientific and Technological), this program represented a budget investment of € 470 million for the European Space Agency, of which 121 made by Arianespace, which also supported further work to 50 million euros.

2 Catherine Procaccia, Bruno Sido, Challenges and Prospects of the European Space Policy, report on behalf of the Parliamentary Office for Evaluation of Scientific and Technological Options, November 2012. - 15 -

Vega was sized for European institutional needs, especially for small scientific missions of the European Space Agency and the missions of the European Commission in Earth observation (Copernicus). The target rate of the launcher - 3-4 year - corresponds to institutional prospects of Europe, consolidated sales opportunities. Vega is therefore a relatively protected market uncertainties pitcher.

In addition, it operates in a market segment that is growing (Earth observation, lightweight satellites in low orbit). In fact, according Avio 14 success on the rocket, half of launches took place in response to a European institutional needs, the rest coming from institutional clients outside Europe and commercial customers.

Vega also happened at the right time, since there is not much reliable supply in this segment of the market: small American launchers ( and Pegasus of Systems Innovation ( NGIS)) proven can not serve the commercial market (using ICBMs converted, they can launch payloads non-US); India production PSLV is sized exclusively for domestic institutional needs; Japan halted production of small launcher MV and the price of his successor ( ) remains high; China faces export control issues (see below it); Russia has no launcher available (the sector ICBM was interrupted for technical and political reasons, the replacement launcher is not ready).

This has enabled it to occupy a position the company estimates between 20 and 25% of the open market in low orbit for its carrying capacity. The recipe for success is the development of simple technological solutions with a carbon fiber made by the Italian industrial and solid propulsion benefiting from the experience accumulated by European manufacturers for Ariane launchers. Despite its initial failure on July 11, Vega has had 14 consecutive successful.

In the future, however, competition in this market is expected to increase, particularly through the following:

- the announced privatization the expected increase in Production of the Indian launcher PSLV, the average price already competitive and capitalizing on twenty-five years of success;

- the arrival on the market Rocketlab and its launcher Electron, and possibly other US pitchers not based on missile technology; - 16 -

- systematic offer flight opportunities on several launchers, as part of deals called " Rideshare

" 1 or as auxiliary payloads, with a carrying capacity approaching that of Vega makes a tendency to decrease the mass of the primary payload;

- the development of payloads based on platforms without US components, and can therefore resort to Chinese launch services.

c) This success is based on the Guiana Space Center

The spaceport Europe is a strategic infrastructure whose location is envied us all over the world because of its proximity to the equator, which allows to place in orbit payloads using less fuel due to the speed of rotation of the earth and, safe from hurricanes and earthquakes. As noted a report by Henri Revol 2 it also has " a wide opening to the Atlantic Ocean (which) allows any inclination of the orbit with launches as well to the east (to the geostationary orbit) than to the north (for the polar orbit), and minimum risk for goods and people ".

Like any space launch base, it allows integrating launchers, manage power propellant launcher and placing payloads in pitchers. Operational since 1968, it is now equipped with three launch sites for all three operated launchers (ELA 3 for Ariane 5, Vega and ELV for LIVE Soyuz) 3 giving it a total capacity of launching the order of 10 to 12 per year, which can sometimes be a handicap - and Arianespace have foreseen the use of Baikonur launch to honor the contract signed with OneWeb in 2016.

It is operated by CNES on behalf of ESA, owner of launch infrastructure. The Agency shall finance two thirds of fixed costs and contributes to the financing of the shooting. This Ariane 6, says "ELA4", is currently under construction.

2. Ariane 6: A solution of continuity

In order to modernize the European heavy launcher with the emergence of new competitors, the Luxembourg Ministerial meeting of the Board of the European Space Agency in December 2014 has officially recorded, fifteen years after the development of Ariane 5, the creation of Ariane 6 and a transition program between Ariane 5 and Ariane 6. This decision is the result of discussions that lasted several years and have highlighted the contrasts between industry members

1 On this concept, see infra.

2 The French space policy: achievements and prospects, report on behalf of the Parliamentary Office for Evaluation of Scientific and

Technological, May 2001. 3 The basic facilities are described on the website http://www.cnes-csg.fr . - 17 -

European space, between States and within States, at a time when skepticism was put on the company Elon Musk in itself and in its ability to take advantage of a reuse pattern which she had at the time, not yet demonstrated the relevance.

In simplified terms, two solutions were proposed 1:

- developing a new launcher called "PPH" (powder-powder-hydrogen), dominated by propelling powder of a carrying capacity of six tons without modularity and without dual launch capability, but to reduce costs 2 and increase rates, which was favored by the French Space Agency and Italy;

- industry and defending evolution of Ariane, Ariane 5 called "ME" (for Midlife Evolution) which was to increase the performance of Ariane 5, but the decrease in the cost proposed was not sufficient.

Between 2012 and 2014, these two solutions were studied in parallel with one common factor: the upper floor common.

This is finally a third way was chosen: a new launcher following an architecture of the Ariane 5 - called "PHH" ( boosters powered solid floors and central and upper liquid propulsion) with:

- a central stage similar to that of Ariane 5 and having the same engine improved version (Vulcan 2.1);

- greater flexibility of orbit through motor reignitable fluid propulsion on the upper stage;

- greater modularity, the launcher is available in two versions - medium and heavy.

In the context of 2014, it was a cheaper launcher, adapted to European missions and that happens as soon as possible on the market. During his hearing by the working group, Stéphane Israel cited the words of

1 For a more detailed description of the alternative view, firstly, the report of Catherine Procaccia and Bruno Sido for Opecst entitled Challenges and prospects for the European Space Policy, November 2012, on the other hand, communication Joaquim Pueyo and Bernard Deflesselles on the European Space policy to the European Affairs Committee of the national Assembly, in November 2014.

2 Liquid propulsion is more complicated to implement than solid propulsion: it requires larger tanks, liquefaction cryogenic most of the time and an injection at the last moment. It is more expensive and more risky. Conversely, solid propulsion can be produced and stored at room temperature and upstream, in a smaller volume. However, liquid propulsion to adjust the thrust and reignition flight by adjusting the volume injected, and the yield is more important - that is why the upper floors are all liquid propulsion. For a technical comparison of different types of engines and propellant, see footnote on page 13 by the note of Opecst on reusable launch vehicles and PP. 11 to 15 of the annual report for 2018 of the Federal Administration of Aviation. - 18 -

the former Director General of ESA, Jean-Jacques Dordain, according to which "There was no better choice "!

The cost of this program was then estimated at 4 billion euros, to which were added 431 million decided at the ministerial meeting in Lucerne in 2016 and 376 million officially recorded by the Board of the Agency in June 2018, a total of 4.8 billion euros 1.

The first objective of the new launcher is cost reduction 40 to 50% compared to the cost per kilo into orbit by Ariane 5 on this date 2. This requires several vectors, such as assembly of the launcher horizontally rather than vertically, automation of production, but above the propellant powder used on 62 Ariane Ariane 64 and Vega C ( the P120C) and developed jointly by Italian and ArianeGroup Avio via Europropulsion their joint venture. In addition to economies of scale, this joint propellant allow increased production rates 3. Moreover, ArianeGroup is being reduce its payroll

eliminating 2300 jobs over four years, mainly by not replacing retirements, resignations or for short contracts.

Vega C

Vega C is essentially a shift from the top of Vega with a greater payload capacity (by weight - transition from 1500 kg to 2300 kg - and volume) than Vega for a price equivalent (of the order of 30 million), which will allow the small launcher to increase its market share, as institutional sales. However, the launch campaign of Vega C is relatively long, the company can not imagine a number of launches than six per year. The main innovation is to use first floor the engine P120C (with the " solid rocket motor ") To be used both for boosters future Ariane 62 and 64 and for the first stage of the Italian rocket Vega C. It is derived from the current P80 which team Vega rocket. Thirty of these devices could be produced per year (mainly in Italy). The first two test shots, in July 2018 and January 2019, were used to qualify the Vega C, whose inaugural flight was originally scheduled end of 2019.

According to the CNES, the 2020s, we can expect three to four orders per year for institutional Vega C.

1 Source: Court of Auditors annual public report, 2019.

2 The annual project performance of the mission "Research and higher education" of the Finance Bill for 2016, the cost was, in 2014, 21 300 euros a kilo (it was in 2018, according to the bill of Finance for 2020, 18 900 euros). The same document evoked a target of lower cost 15 000 euros per kilo for Ariane 6 ... which is the target cost reduction established in the early 2000s: the aforementioned Henri Revol report estimated indeed necessary to reduce industrial production costs for the launcher " achieve in the next three years a lower cost of launch to 15,000 dollars per kilo ".

3 Between the start of production and the launch in , it should no longer happen two years for Ariane 6, against three years for Ariane 5. - 19 -

The second objective is to respond to changes in an uncertain market 1. This translates to the modularity and flexibility of the launcher.

Ariane 6 revives the concept of modular launcher already used in Europe with Ariane 4. It will be available in two versions:

- Ariane 62, with two solid rocket boosters, primarily for institutional launches but will also address the non-geostationary particular market segment of future market constellations, with a payload capacity of 7 tons in sun-synchronous orbit and 5 tonnes in GTO;

- and Ariane 64, with four solid propellant, primarily intended for dual launches in geostationary orbit, with a payload capacity in GTO up to 11.5 tons.

Source: manual Ariane 6

This modularity will also have the advantage of consolidate sovereignty over European launchers Ariane 62 having intended to replace Soyuz. Exploiting Soyuz Guyana should stop once Ariane 6 fully qualified for the tasks performed today

Soyuz. To date, the end of this operation launcher in French Guiana is scheduled by Arianespace in 2023. The final decision, however, belong to the company, which will be determined depending on the market situation

1 On this, see below. - 20 -

Commercial and operating financial conditions of the launcher. If Arianespace decided to stop operating Soyuz, Member States of the European Space Agency who participated in the construction of dedicated launch facilities shall decide on the future of the Launch Set Soyuz ( ELS) CSG. No decision on this point is not expected before 2022.

The pitcher is also flexible, thanks to the ability to relight the engine of the upper stage (the Vinci engine, developed since 2008 and was intended to Ariane 5 ME), guaranteeing more flexibility and greater precision in the injection orbit (which covers the possibility reach different orbits in a single launch or direct access to the geostationary orbit). As recalled by André-Hubert Roussel during his hearing on 22 May, the auxiliary power unit ( Auxiliary Power Unit) charged to increase the upper floor of the thrust will also enhance the ability to place constellations successively on different orbital planes. These innovations enable Ariane 6 to make Ariane 5 mission can not do today, including the launch of satellites belonging to the constellations.

With additional developments decided in 2016, the pitcher is ready to respond to the growth of small satellite operators by offering their positions auxiliary passenger ( see below).

In addition, the pitcher's performance will be improved, in the order of one to two additional tons in geostationary transfer orbit; the quickly launch campaigns will be increased: it will be fixed at maximum 15 days against 20 days today.

Finally, environmental performance the launcher will be improved through the systematic deorbit the upper floor. As recalled by the Parliamentary Office for Evaluation of Scientific and Technological (Opecst) in a recent note on reusable launchers " Ariane 5, the trajectories are forced to release the orbit accessory elements launches in less than 25 years. With Ariane 6, a further step will be taken with a systematic re-entry of the top floor after launch, at the cost of loss of performance ". This is done at the cost of loss of performance, but it is a welcome choice and served by Europe to reduce space debris. - 21 -

B. THE CONTEXT IS NOW MORE ADVERSE

1. Uncertain market require flexible solutions tailored to customer needs

Prospects spatial economics are subject to a generally shared optimism: it is expected to multiplication by a factor of between three and seven in the next thirty years 1. The big investment banks see it as the "last frontier" of investment, suitable for long-term investors.

The year 2018 was one of a number of novel since launch 1990 112 successful orbital launches, an increase of 27% year on year, a trend that could continue in the coming years. However, the market for commercial launch services is the subject of a wait.

The commercial market in orbit GTO Historical target heart Ariane representing most of the commercial space launch market value has grown in recent years, " a collapse " 2 such that no actor had anticipated:

- according to the European Space Agency, while there were still 17 launch contracts in geostationary orbit open to competition in 2017 (against 12 in 2016 and 24 in 2015), only 7 contracts in geostationary orbit launch has been a call for competition in 2018, is a division by nearly 3.5 market in four years;

- according Cnes between 7 and 9 orders satellites for the geostationary orbit were spent per year between 2017 and 2019, against 20 to 25 orders per year over the previous decade, a division between 3.5 and 2.2 of the market - these satellites will be launched from 2020 in a staggered manner;

- according Cnes, the number of launch commercial satellites in geostationary orbit happened about twenty per year to between 6 and 8 in recent years, either a division by more than two.

Moreover, the three leading satellite operators in orbit geostationary that are , and SES, experiencing sluggish sales business or decreasing in recent years.

1 It would increase from 383 billion in 2017 ( The Space Report 2018 Colorado Springs: The Space Foundation) in between 1100 billion in 2040 ( Morgan Stanley, Investing in the final frontier, 2017) and 2 700 billion dollars in 2045 ( Bank of America Merrill Lynch, To infinity and beyond, Global space prevail, 2017).

2 Term used by Arianespace. - 22 -

Sales of the three leading satellite operators over the last three years ( $ millions)

000

000 7

000 6 2069 2035 2010

000 5 ITS

Eutelsat 000 4 1647 1609 1506 Intelsat 000 3

1 000 2 2188 2148 2161

0 2016 2017 2018

Source: Company annual reports. NB: Eutelsat closing its accounts in June each year, the figures relate to 2016-2017 fiscal years, 2017-2018 and 2018-2019.

The year 2019 shows a rebound begins, but if CNES and Arianespace does not expect a return to previous levels: Current forecasts show 15 satellites for the orbit ordered geostationary each year on average between 2020 and 2025. Thus, while Ariane 5 has benefited from a growing market with the development of space telecommunications (telephone, direct TV), Ariane 6 will face a less dynamic market in orbit GTO.

At the same time, the non-geostationary market confirms its upward trend, but at a pace that remains lower than expected. Historically, non-geostationary market was even more closed than the market GTO. As a result, space for commercial launches was limited.

Today, according to the Italian industrialist Avio the market for low-orbit satellites and a mass less than 500 kg is expected to grow 10% per year over the next decade. This results from two developments, the fundamentals of which are still fragile:

- satellite constellations projects in low orbit, which multiply. However, the economic viability of these projects is uncertain, including those more advanced - as was demonstrated this summer impairment of assets operated by Softbank its participation in the constellation OneWeb. - 23 -

- the launch of small satellites, which in recent years experienced a strong increase in demand, especially in the payload category under 10 kilograms due to the miniaturization of technology and the strong development of space applications. However, it is not a market of great importance, according to Arianespace, out constellations, satellites of the market from 0 to 200 kilos represents a market of about 140 million per year 1. It is primarily intended to support the access to the space of institutional actors who could afford (university, countries that start in space) and small innovative players that will be later major customers for services more remunerative launch.

Ariane and Vega 6 C: an appropriate response to the launch of small satellites 2 carriage of small satellite systems are being developed for Ariane and Vega 6 C under the LLL initiative endorsed at the ESA Council meeting at Ministerial level held in Lucerne in December 2016. This initiative covers the following activities: - definition of standardized European launch services (same user interfaces and constraints service shared facilities, harmonize production processes and integration procedures and conduct missions) for light satellites and drafting of specifications applicable to the elements of the launch services, with perfect coordination between Ariane and Vega 6 C; - specific validation flights MLS concepts ( Multi-Launch

Service) Ariane 6 3 and SSMS ( Small Spacecraft Mission Service consisting of a modular dispenser carbon fiber) to Vega 4 Vega then C, intended to demonstrate and validate standard innovative services to the European institutional missions;

- implementation of an economically viable service at the end of concept validation flights.

But these forecasts are relatively uncertain. However, it is certain that the payloads are evolving 5: the mass of the satellites launched tends to close (GTO orbit, passage 6 to 3 tons), as well as their volume; they can be reconfigurable and agile grace, in particular, to the electrical propulsion. Their use also changes: while commercial satellites launched into geostationary orbit targeted yesterday, mainly to enable reception of television projects in

1 It is recalled that, in 2018, the economy of space launches generated 6.2 billion dollars ( " 2019 State of the Satellite Industry Report "Satellite Industry Association and Bryce Space Technology, May 2019).

2 On the classification of small satellites, see Appendix 3.

3 His first mission itself GO-1 was announced on August 8, 2019. This will allow small electric satellites concerned to win 6 months mailing. 4 His first mission "SSMS PoC" (for " Proof of concept ") Should be held in 2020.

5 See, for a description of developments in this sector, the recent note from Jean-Luc Fuguit on behalf of the OPECST entitled " Satellites and their applications "(October 2019). - 24 -

development aim today to improve connectivity through the internet. In the long term, some states and businesses also rely on the operating outlook of space resources.

Number of satellites launched Distribution of the mass of the 2018 depending on the mass satellites launched in 2018

0.25% 0.55%

<10kg <10kg 18.24% 16.00%

48.42% 10-100kg 10-100kg

23.20% 100-1000kg 100-1000kg 83.20% > 1000kg > 1000kg 10.14%

Source: ONERA (ONERA).

Reading note: if nanosats now represent more than half of the satellites launched in a year, they represent only 0.25% of the total mass into space (less than one tonne).

Accuracy: in the case of satellites weighing more than a ton, 40% are sent into geostationary orbit, 27% to the International Space Station, and 11% in low orbit.

This uncertainty makes necessary to offer flexible services (Greater variety of sizes of payload injection parameters) and adapted client needs (direct injection, put into orbit "personalized" ...).

2. Strong competition exerting downward pressure on prices ...

Ariane 5 has received, as noted Henri Revol in 2001 1 " an extremely favorable situation "That is to say a low competition: US launchers capable of launching into orbit GTO (eg. V launcher (ULA)) were not particularly present in the commercial market, favoring a more lucrative domestic market; Japanese pitcher was too expensive; Chinese launchers were automatically excluded under US law to export control (ITAR), which shall launch any satellite that embeds US patents; and Indian launchers possessed an insufficient carrying capacity.

1 The French space policy: achievements and prospects, report on behalf of the Parliamentary Office for Evaluation of Scientific and

Technological, May 2001. - 25 -

Only Russian launchers were located in the market, so that for nearly a decade, the market was a duopoly held by Ariane 5 and its Russian competitors. With bankruptcy Sea Launch in 2009, which marketed the launcher -3SL, and recurring quality problems marketed by (ILS for International Launch Services, US company majority owned by the manufacturer of the launcher, Khrunichev State Research and Production Space Center) Ariane 5 has found the only reliable launcher able to respond in time, the demand for launches into geostationary orbit. Those days are gone.

at) The arrival of SpaceX, first representative of " New Space "Revolutionized the commercial market

The company SpaceX 1 was created in 2002 by Elon Musk, co-founder of PayPal and founder of You're here. She had a meteoric rise, where other private companies launchers have failed (eg.: ) or have faced significant challenges (eg.: ). She rose from a few people in 2002 to 6,000 employees today, thanks to its main launcher: the .

The success of the company gave credibility to what is called " New Space " these young players in the space that developed in part on private funding 2. As highlighted Onera " this " Revolution in Outer Space Affairs "Sometimes called New Space has been largely ignored or at least underestimated by European players in the field " 3. It must indeed recognize performance and sense of risk-taking of these entrepreneurs, who take to minimize development time and implement the most advanced technologies as they become available 4.

The business model SpaceX based on the mass production at the same site, with a vertical integration to the extreme (The company manufactures and markets) and little or no subcontractors, allowing SpaceX to control the entire design chain and manufacturing launcher, an approach which is deliberately " low cost "And, in many ways, inspired by the aviation world.

After the developments of ( first successful flight in 2008), the rocket Falcon 9 managed its first flight in 2010, eight years after the establishment of the company. The Falcon 9 has two floors instead of four for Ariane 5/6 and a single engine type, against three for Ariane. It's here first time that a two-stage rocket capable of placing payloads

1 For " Space Exploration Technologies ".

2 See, the concept of " New Space "The ratio of deputies Olivier and Stéphane Becht Trompille the defense space sector, in June 2019.

3 Onera, scientific and technological roadmap, in 2019.

4 On this last point, the example of SpaceX which conducts tests over the launches is particularly significant. - 26 -

GTO orbit. Even without reuse, Falcon 9 in its consumable design is already a formidable competitor with its Ariane simplicity ( use of a single engine "Merlin" for the entire launcher - it is mounted "in clusters" on the main floor) and its ability to complete various missions with a single configuration launcher, as shown in board below.

Source: CNES (countdown on the 2010-2018 period)

In six years, the launcher's performance was multiplied by 2.4. Including the , which assembles three main stages Falcon 9 and was commissioned in 2018, SpaceX has increased carrying capacity in the geostationary transfer orbit from its launch vehicle by a factor of eight in almost eight years 1.

1 The Falcon Heavy can theoretically carry up to 26.7 tonnes in GTO. - 27 -

Changes in the performance of Falcon 9 in six years (Number of kilos to be launched into orbit GTO)

9000 8300

8000

7000

6000

4800 5000

4000 3400

3000

2000

1000

0 2010 (v.1.0) 2013 (v.1.1) 2016 (v.finale)

The Falcon 9 was first pressed the very large US institutional market. He has started his career in 2010 with version 1.0, modest 1 and used only by the NASA (NASA) for the launch of the capsule Dragon 2 responsible for resupply the International Space Station. Three demonstration flights were made between 2010 and 2012. The first contract of 12 launches performed between 2012 and 2017 was signed with the Nasa in 2008 and a new contract for 14 additional launches to achieve between 2017 and 2024, with an improved version of the capsule Dragon for sending humans into orbit ( Dragon 2 or Crew Dragon) and thus to end the dependence of the US on the matter against Russians ( Roscosmos and pitcher Soyuz) since the failure of the and its judgment in 2011. Some unit assignments were won by SpaceX ( program

National Launch System (NLS) of the Nasa and National Security Space Launch (NSSL) of DoD) from 2015, representing between one and two flights a year. SpaceX therefore profoundly reorganized the US institutional market for heavy launchers, which was occupied since 2005 by United Launch Alliance, the joint venture formed by the two main historical contractors Pentagon Boeing and Lockheed Martin.

1 Performance 3.4 tonnes in GTO.

2 also developed capsule SpaceX on behalf of the Nasa. - 28 -

From end 2013, SpaceX entered the commercial market with a more powerful version 1.1 1 and compatible with half of the satellites of the time. Some operators of commercial satellites, SES, quickly tried it.

These commercial flights accompanied a ramp-up: 3 in 2013, 6 in 2014, 7 in 2015. From 2016, the arrival of version 1.2 "full thrust" has allowed to significantly increase the performance and introduce reuse 2. The rate then increased sharply: 9

2016, 18 in 2017, 21 in 2018. In six years, the launch rate has been multiplied sevenfold. since 2018 SpaceX holds the largest number of launches record ever made by an operator in a year. The company would have achieved on its own 19% of global launches 3.

This commercial success is mainly due to an aggressive pricing policy: SpaceX split the cost of a launch by three, offering launches between 50 and 60 million 4. If competition with Arianespace, the company did not hesitate to lower its prices to historical records: it would thus have recently proposed a launch at less than $ 50 million to fund a heavy satellite in orbit GTO ... Yet according to figures published in the press, a launch of Ariane 5 ECA was generally billed 150 million.

Even by double launch, the price paid remain nearly twice 5.

1 Performance 4.8 tonnes into GTO.

2 Performance of nearly 7 tonnes in GTO orbit without recovery of the , compatible with all market satellites, and 5.5 tonnes with recovery. 3 According launches dashboard in 2018 directed by Air et Cosmos.

4 According to Federal Aviation Administration in 2018, prices for commercial launch in geostationary orbit were 62 to 178 million ( FAA The Annual Compendium of Commercial Space Transportation: 2018).

5 However, the payload capacity of Ariane 5 is greater than two tons to that of Falcon 9. - 29 -

orbital launch Comparison prices charged by GTO SpaceX with his Falcon 9 and Arianespace Ariane 5 ( $ millions)

160 150

140

120

÷ 3 100

80

60 50

40

20

0 Ariane 5 Falcon 9

Sources: articles

With the rise of SpaceX and its launcher Falcon 9, the situation of near monopoly of Arianespace has thus gradually transformed into duopoly. However, Ariane 5 resists the offensive:

- 2018, SpaceX launched as geostationary satellites (single launch) Ariane 5 (double start) 1;

- according to data provided to reporters by the European Space Agency, Arianespace remains leader on the open market to place satellites in geostationary orbit in 2018: on 7 launch contracts for geostationary orbit open to competition in the commercial market in 2018, Arianespace won five, the other two having been awarded respectively SpaceX and United Launch Alliance.

b) Competition in the open world trading market expected to increase

Beyond SpaceX, it is expected a proliferation of actors and increased competition the commercial market. This is due to several factors.

1 The company also conducts numerous launches in other orbits. These launches are not necessarily accessible to Ariane 5 because of its lack of flexibility: in 2018, SpaceX conducted 13 launches, mainly commercial, on the other orbits 2 against institutional launch for Ariane 5. - 30 -

First, as pointed out by CNES " all major space powers are in line to renew their launchers fleets to ensure their own needs and at the same time to enter the commercial market ". This is the case:

- Japan, which attempts to reduce launch costs from its launcher H2 developing the rocket non proved successful for the moment in the absence of contracts in the commercial market;

- Russia: If quality problems have ruled this market player in the recent period, driven by reorganization Glavkosmos suggests a more active role, through the systematic offer unused capacity (shared launch with a Russian major institutional passenger), including Soyuz and a resumption of the commercial activity after the transition between Proton and Angara; a Soyuz 5 is also planned;

- India, with the rise of GSLV, even if he has not the power and pace to run all Indian satellites - which leads the Indian space agency, the ISRO Arianespace to call rather than use its subsidiary to launch services

Antrix.

If US regulations ITAR 1 still a barrier to penetration of China and its family of launchers "Long March" - which covers the entire spectrum of the orbits - a large part of the commercial market, that actor must however be closely followed: Chinese managed to become a premier space power by launching more than the for the first time in 2018 (39 launches in China against 34 for the United States 2) and they have proven their technological capabilities, micro-launcher manned through military space capabilities and exploration, all in full cash.

Then, increasing the number of competitors in each of the institutional captive markets. While relying on a solid driving public orders, the players on the institutional market, now in competition with other national players are forced to position itself also in the commercial market, which was not the case in recent decades.

This is particularly If the United States: more than four competitors are vying under the tender issued under the NSSL program to select two suppliers of heavy launch services. The high level of public funding has indeed supported the development of four heavy launchers ( Falcon of SpaceX, Vulcan of

ULA, of (New Glenn) and Omega, of Northrop Grumman Innovation Systems) a number greater than the needs of the US domestic market. It is likely that SpaceX fails to increase its share

1 On these rules, see the report of Catherine Procaccia and Bruno Sido above.

2 The US remains first in terms of mass into orbit. - 31 -

on the US domestic market (estimated between 15 and 20 missions per year), the Nasa and the DoD preferring to maintain several launches providers. The pressure SpaceX carries on the commercial market has every reason to remain strong.

The New Glenn of Blue Origin could become a serious competitor

In 2000, , founder of Amazon, created Blue Origin. The company first developed the reusable launch vehicle for the suborbital tourism 1. In late September, the company announced yet having to make two test launches before the first commercial launch.

In 2021, Blue Origin commercialize the reusable heavy launcher New Glenn. Contrary to SpaceX, the company fully develops the BE-BE-3 engines and 4. If it seems to experience delays, the fact remains that its founder invests more than $ 1 billion per year and that if the bet is successful, its launchers will also be very serious competitors for Arianespace 2. Besides, she practices already, even before the launch vehicle is developed, very aggressive call prices in obtaining its first commercial contracts. The main selling put forward to the rocket New Glenn is its volume under cover, which allows the initial deployment of mégaconstellations - especially the project Amazon constellation in called " Kuiper "Endowed with 3,236 satellites to provide high-speed internet everywhere 3 - and multiple launch large payloads in geostationary orbit. This launcher could however be oversized payloads to more "traditional".

1 That is to say, according to the most common design, in line Karman (100 km altitude) without being able to remain in orbit around the

Earth. 2 Yes Blue Origin is selected within the NSSL, we can expect that it opts for an opportunistic presence in the commercial market. Otherwise, she could return to a more aggressive marketing policy, despite a potentially limited clientele.

3 On July 5, Amazon filed a formal request with the Federal Commission for the US Communications (FCC). - 32 -

Upcoming service throwers

long Falcon 9 Falcon March H3 GSLV New Heavy Glenn Vulcan Omega Angara 5 5

8.3 26.7 13 13.3 10.1 4 13 6.5 6

in in 2021 2021 2021 2020 2020 2022 in Service Service Service

Public sources. Reading note: the launcher Falcon 9 has a payload capacity into geostationary transfer orbit from 8.3 tonnes and is already in service.

Added to this competition on two heavy launchers other elements:

- decreasing the size of some satellites already mentioned subjects the great pitchers of

competition from smaller launch vehicles, including through offers of " rideshare " 1.

- partnerships that may arise between small launchers and new space tugs, allowing new players to access more easily at the market launches into orbit geostationary.

1 On this concept, see infra. - 33 -

Consequently, downward trend already observed prices could strengthen supply increases while demand decreases. Moreover, beyond the occasional aggressive commercial practices, it is now a trend: access to space should be cheaper to become a standardized service, " commodity "In the economic sense, and allow the growth of the space economy. according to Bank of America - Merrill Lynch in the long run, the cost of launching a kilo in low orbit has increased from 10 000 in 1967 V to 2600 dollars in 2016 with the Falcon 9 v.1.2.

Source: Bank of America - Merrill Lynch, To infinity and beyond, Global space prevail, October 2017

He does not delude ourselves: to date, this trend will not only reflects a trend "natural" market.

3. ... and enjoying public support

The entrepreneurs' New Space "Have a substantial financial support from their government, across the Nasa and the Ministry of Defense ( DoD for Department of Defense). It follows a form of the US administration bet in the years 2000-2010 to entrust part of the institutional missions to new space companies to reduce costs and to review the division of roles between the public and private 1.

1 See, on this point, Annex 4. - 34 -

This public support takes different forms:

- the provision of capacities developed by public research: the pitcher Falcon 9 was developed by SpaceX including the Merlin engine from the work of the NASA;

- of development contracts such as, for example, CCiCap

(for Commercial Crew Integrated Capability) in 2012 to 440 million granted by the same agency 1;

- of Public orders placed launch even as the Falcon 9 did not exist - it is for example the case of contract CRS

(for Commercial resupply services) passed in 2008 and about 12 launches for $ 1.6 billion 2 - and on several years, allowing the company to invest in new capacity technology. Some contracts also involve control of launch and development capabilities, for example, the contract CctCap ( for Commercial Crew Transportation Capability) 2014 for $ 2.6 billion, which also included the funds for the development of the capsule Crew Dragon 3;

- the pricing of launch services to institutional customers at prices two times higher than those in the commercial market: the invoice price increases from 50 to 60 million to 90 to 100 million - this gap is however partly due to additional demands from institutional and, where applicable, the cost of the payload also developed by SpaceX, in the case the capsule Dragon. But it also constitutes a subsidy.

In all, according to calculations of the rapporteurs from the available public resources SpaceX have received, in thirteen years (2006-2019), the equivalent of 9.5 billion dollars Development of its capsule and launchers, and associated launch services, the equivalent of the French contribution to the European Space Agency on the last 10 years or financing nearly two Ariane 6. According to Arianespace over the past five years, the share of institutional orders worth is between 60 and 73% of its order book.

Finally, Anchor tenancy Law obliges the Government of the United States to provide sufficient public orders with suppliers to ensure national space needs, while making viable commercial operation of these services. The Nasa is the reference for the customer

Falcon 9 ( " Anchor customer ") And has been since 2008. The latter also

1 https://www.nasa.gov/content/commercial-crew-program-the-essentials

2 https://www.nasa.gov/home/hqnews/2008/dec/HQ_C08-069_ISS_Resupply.html

3 https://spacenews.com/41891nasa-selects-boeing-and-spacex-for-commercial-crew-contracts/ . In parallel, Boeing received 4.2 billion to develop and launch the capsule Starliner. - 35 -

amended its public procurement rules in 2011 ( Federal Acquisition Regulation) to clarify its role as " Anchor customer " for Falcon 9. This is what has allowed the Nasa sign the contract CRS 12 launches.

However, we must not minimize the successes of SpaceX believing that they would result from public funding, for at least three reasons. First, the financing of the company also relies

- This is what characterizes this " New Space "- on private funds, attracted by the profitability prospects, as shown in the graph below.

Distribution of funding sources SpaceX

Public support (contracts for development and launch) Income from commercial 21% contracts

57% 22%

investment funds (private equity)

Source: Labor Force estimates from public sources.

SpaceX benefited from the personal fortune of its founder Elon Musk (who had initially invested $ 100 million) and favorable conditions of financing innovation in the United States. Thus, between 2002 and 2012 the company conducted two fundraisers to investment funds, 300 and 145 million. In particular, it could rely on the investment fund Founders Fund created by Peter Thiel, a co-founder of PayPal. The largest fundraiser was conducted in 2015, for a billion dollars, with Google and investment funds

Fidelity for major investors. Since 2018, the company also made several fundraisers to finance its constellation Starlink and super-heavy launch system " Starship "To the tune of over a billion dollars. It relies on corporate financing GigaFund, created by Lukasz Nosek, another co-founder

PayPal who left the Founders Fund to this date. Last June, the company has even received funding of a pension fund ( Ontario Teacher's Pension Plan) up to 314 million. - 36 -

Then, from the institutional market in the turnover of the company decreases, as can be seen in the graph below:

revenue estimate SpaceX (Billions of dollars generated by Falcon and Dragon)

Source: CNES.

Finally, public funding granted by the Nasa do not seem entirely comparable to support the operation, most of funds collected by the company is mainly used for its research and development activities, to the extent that the price charged to customers remains most of the time greater than the cost of the launch service. Cnes has estimated in 2015 that the cost of launching a

Falcon 9 consumable was of the order of 44 million.

4. An evolution based on breakthrough innovation to become the new standard technology: reuse

Yes SpaceX enjoys the full support of the US government, the company also has sat on its business model the only successful technological breakthrough in the field of launchers since launching in 1957 the reuse of the first stage. As highlighted by the CNES " the ability to reduce costs through the reuse of all or part of the launcher is an idea as old as pitchers, but to be fair to SpaceX the merit of having shown that it was technically and economically feasible, provided in stages ".

The reuse of the first floor has two advantages:

- the reducing the cost of launch, the first floor representing about 60% of the cost of launching;

- increasing the rate launch if needed without major investment. - 37 -

The methods of reuse theoretically developed by three Japanese authors in 1998, the method of " toss back "Used by SpaceX is to bring the first stage of the launcher in a vertical position before repair it to fly. It capitalizes on research conducted in the 1990s between the DoD the Nasa and now

McDonnell Douglas in the project context Clipper exprimental.

As highlighted in a study by the Institut Montaigne 1 it requires to master five key technologies " rallumables of engines and flight whose thrust is adjustable; technical and a retracted technology for preserving the floor elevated temperatures related to the deceleration during the high speed transition in the dense strata of the atmosphere; control devices of the glide path elements to bring; an onboard autonomous system for real time calculation of the glide path (there is no human control); and finally reclamation methods flying fast and relatively inexpensive ". This same concept will be used by the New Glenn.

This method is not the only one to have been studied. The method " toss back "Is indeed greedy propellant: the recovery of a floor reduces the payload can be placed in an orbit given in relation to a consumable launcher since it is essential to maintain the propellants sufficient to return after the floor has accomplished its mission. Thus, the reusable version

Falcon 9 can send large satellite in orbit GTO. SpaceX gets around this problem by using the Falcon Heavy, with a payload in orbit GTO eight tons in case of recovery of three boosters ( against 27 tons without recovery). In low orbit, the Falcon Heavy has a capacity of 63 tons in consumable release, 57 tonnes in case of recovery of the two boosters but not on the first floor, and drops to 42 tons in case of recovery of two engines and first floor - either a differential of 21 tonnes and therefore a reduction in the performance of a third party.

This is particularly to reduce the performance gap between the consumer and the reusable launcher pitcher for ramming a payload in an orbit that more economic solutions propellants are investigated. Thus, for the development of its heavy launcher Vulcan ULA would build on the concept of bay reusable propellant: recovery for reuse concerns only the lower part of the first floor, which contains the motor and the organs necessary for their operation and avionics. This concept is called " SMART recovery " through ULA ( for Sensitive Modular Autonomous Return Technology).

1 Arthur Sauzay, Institut Montaigne Area: Europe against attack, in December 2017. - 38 -

Illustration of the concept of reusable propulsion bay

Source: Onera

Thus, after its separation from the rest of the first stage, the lower part begins a descent protected by an inflatable thermal shield and a parachute deploys; Finally, the lower part is recovered by a helicopter flight. Developments are also planned to make the recovery easier propellant bay without using parachutes and helicopters - is the strategy

AERR (Autonomous Engine Recovery and Reuse) also developed by the company.

According to estimates published by ULA, this concept SMART by reusing the "Bay propellant" first floor brings back 25% of the mass but more than 65% of the cost of the floor. It is indeed in this bay that would be located the most technological components and therefore more expensive, especially the two BE-4 engines developed for ULA through Blue Origin ( BE-4 is in effect developed by Blue Origin in partnership with ULA).

This is not the analysis of CNES, who believes that this technique of reuse is less interesting than the " toss back "Because the recovered value (Bay propulsion) is lower than the first stage and the highest recovery cost. As has been highlighted in a report of the Institut Montaigne, it is a concept relative who had also been considered by in 2010 as part of the project " " (for " advanced expendable launcher engine with innovative economy "), But in different ways: the bay was equipped with wings and propellers allow it to land on an airstrip. - 39 -

The society which markets the microwave launcher Eletron, should also use a recovery from the first floor by helicopter to meet increased orders 1.

Onera has also stressed that the DLR is currently pursuing a project that would carry them both in regard to the second floor: christened Refex ( Reusability Flight Experiment) proposes to develop the technologies needed to develop a second stationary reusable winged floor, which would conduct a flight back hovering. Finally, SpaceX attempts to extend the scope of the recovery beyond the first floor, especially the launcher fairing 2 - successful operation for half of the cap of a Falcon Heavy in June. With the development of the super-heavy launch vehicle Starship, it's a Total reuse that is referred.

Source: Arthur Sauzay, Institut Montaigne Area: Europe against attack, in December 2017; Onera.

The learning curve SpaceX for reuse is impressive. After several more or less successful demonstrations (demonstrator " Grasshopper "Developed between 2012 and 2014), a first booster has been successfully recovered late 2015 and an Reuse first took place in March 2017. The return of experience boosters recovered pushed

SpaceX to continue to evolve its launcher 3 dramatically improving the reliability of recovery (less than 70% in mid-2018 to nearly 95% today, with the exception of Falcon Heavy) theft restoration time (which is to date five weeks) and the cost of restoration (of the order of a million dollars). Available from May 2018 in an ultimate definition (v. 9.2.5) the booster is supposed to fly again a dozen times with no heavy maintenance rehabilitation in 24 hours and up to 100 times in total with specific operations 4. On 11 November, the company reused for the fourth time the same booster. In 2018, more than half of the 21 flights used a booster second hand. With this success on the reuse of the first floor, the company hopes that in the medium term, operation launcher is based exclusively on material rehabilitated to focus on the production of the rocket

Starship 5.

1 See, for example, the article " Rocket Lab recover the main stage of the launcher Electron helicopter "Futura Sciences, August 8, 2019. 2 Beyond the launcher itself, the capsule Dragon is also reusable.

3 Version 1.2 Block 1 to Block Release 5 in less than two years.

4 Blue Origin also intends to use this technique: the firm plans to 25 reuses the first floor in the first version of the launcher New Glenn. 5 SpaceX pushes so now every customer, commercial or institutional, to use versions have already stolen ( " flight proven ") To greatly reduce the production rate boosters (Almost fifteen in 2017, 9 2018, some units in 2019) after the introduction of the final configuration of Falcon 9 SpaceX announced that it will produce between 30 and 40 core areas for approximately 300 missions in five years. - 40 -

The rocket Starship is the new betting SpaceX: achieve full reuse, which would be a revolution in access to space. The pitcher is primarily designed for manned missions to Mars and not inhabited, but it could also ensure the launching of satellites serve

Moon and make suborbital flights intercontinental; interplanetary configuration, its carrying capacity is 100 tons to Mars 1 through a low-orbit refueling. The timetable set by SpaceX is: launching satellites since 2021, a manned trip to the moon in 2023 and a city on Mars by 2050.

SpaceX is currently developing its own satellite constellation designated " Starlink " 2. Gwynne Shotwell, executive director of SpaceX, announced at the last World Satellite Business Week that the company would conduct two launches a month for this constellation

2020. All the spatial ecosystem wonders how to respond to an actor who comes compete throughout the value chain.

II. AN EFFORT TO KEEP VITAL MODERNIZATION OUR SELF ACCESS TO SPACE

The consensus of European states to finance an autonomous access to space makes it necessary to preserve commercial market share of Ariadne. However, we can not exclude that the market developments call into question. This is why the Ministerial Council of the European Space Agency which will take place in late November is absolutely strategic. Concomitantly, the European space must modernize its industrial policy and regain the breath of ambition.

AT. A MINISTERIAL COUNCIL TO ENSURE OUR STRATEGIC AUTONOMY OF ACCESS TO SPACE

1. Additional funding for the stakes will be charge for the year

According to information gathered by the rapporteurs, the European Space Agency proposed a envelope of 2.662 billion euros for the 2020-2022 triennial budget as regards space transport. France plans to contribute up to 2.5 billion euros over the budget

Search for all programs Agency

1 For the record, to explore Mars, SpaceX also announced a transport capacity in Martian orbit of 4.02 tonnes Falcon 9 and 16.8 tonnes Falcon

Heavy. 2 In April 2018, the Federal Communications Commission (FCC) granted SpaceX a license to launch the 4425 satellite constellation her on a low orbit at 1100 km. Two satellite prototypes were launched February 22, 2018, and the first batch of satellites was launched in May 2019. - 41 -

(Program 193 Interministerial Mission "research and higher education"). Of this amount, 1.058 billion would be allocated to the CSG and launchers. Could be added to this European funding a national funding of € 60 million under the future investment program to fund ArianeWorks.

These additional funds are needed to preserve our autonomy access to space and our excellence in the industry in the short and medium term matter. This envelope is in particular to make the transition between the end of the exploitation of Ariane 5 and the beginning of Ariane 6, build technological building blocks for a future launch vehicle and to fund the renovation of the CSG between 2020 and 2024.

Note also the indirect impact on the economy of this public money: as recalled by the Opecst " these expenses have a significant leverage effect on economic activity. The European Space Agency has calculated that, for 100 euros spent for the development of Ariane 5, 320 are generated added value in the economy; 50 billion turnover of euros have been generated between 2000 and 2012 in the European space industry and non-spatial ".

However, as noted by the Court of Auditors in its aforementioned report, the envelope financed by France should not lead to foreclosure effects on the other space areas (science, exploration, Earth observation, navigation and telecommunications). Indeed, the key technologies in the field of satellites could recently be significantly supported by the French public funds (investment program for the future) and European (2020), especially in the development of electric propulsion . This same warning had pronounced Riadh Cammoun, vice president in charge of institutional relations of Thales Alenia Space, before during his hearing by the Committee on Economic Affairs November 7, 2018 " In preparation for the next ministerial of the European Space Agency, which will take place in April 2019, the support of France to the French satellite industry, and especially that of our communications satellites, is vital to stay in this race world where competition is exacerbated ".

2. The transition between the Ariane 5 and 6 deal with uncertain market outlook

Ariane 6 is ready to go in the operating phase. The Council of the European Space Agency defined in a resolution of 17 April 2019, a development scheme that allowed the production launch of the first 14 Ariane 6 launch between 2021 and 2023 1. As highlighted

1 The scenario is: the exploitation of Ariane 6 will flow mainly during the transition from institutional orders, but if commercial opportunities appear, they will support the pace and will benefit the overall system costs . - 42 -

André-Hubert Roussel " Ariane 6, which is what customers demand " 1: eight missions are already in backlog, including four four commercial and institutional. Most of these missions would not have been achieved by Ariane 5. In other words, the absence of Ariane 6 would result in increased use, at worst foreign launchers and at best, for a few missions at most, Vega. Thus today no one today calls into doubt the fact that it is necessary to succeed Ariane 6.

Moreover, even if this had not been the case, the state Fore Ariane 6, the large sums already invested by the participating countries and industry and much higher risks in case of sudden change of strategy would be many arguments for not stopping the program, while customers launch services will still have interest in maintaining two sources of supply. Finally, Ariane 6 having been decided at the initiative of France, it would be a very bad signal to our partners, that could not keep our country forward, thereby jeopardizing the whole French sector.

But we can not ignore that market conditions - uncertainty demand, supply explosion - are no longer those envisaged in 2014 to size the scope of the

Ariane program 6 2.

Firstly, the price per kilogram in orbit has decreased since 2014. If no official communication on the marketing price was performed by Arianespace, the press reported the following orders of magnitude: 130 million for Ariane 64 and 80 million for Ariane against 62, we have seen , a Falcon 9 charged less than $ 50 million on the commercial market 3. Worse, this price difference is justified by a difference in production cost: the source, the cost targets were € 90.6 million for Ariane and 64

73.6 million for Ariane 62 4 against, as already mentioned, a cost of 44 million dollars for a launch Falcon 9 consumable.

1 Hearing before the Opecst dated October 29, 2019.

2 In November 2017, the Minister of Economy and Finance, Bruno Le Maire, had publicly stated its concern about the price competitiveness of Ariane 6, considering that the price asked to be practiced from 2020 corresponded to those already charged by SpaceX at the time. 3 Note, however, that the price differential in case of dual launch on Ariane 64 would be reduced. Moreover, carriage of the capabilities of both pitchers are not the same: Ariane 64 should be able to carry up to 11.5 tonnes in GTO when a Falcon 9 has a capacity of

8.3 tons (without re-use cases, as mentioned above, will become increasingly rare). Moreover, the price is not the only criterion for choosing a client of a launch service: reliability and availability are key criteria. But as notaient year ago MPs Aude Bono Vandorme and Bernard Deflesselles (in the report on European space policy already mentioned, published in November 2018), " the argument of reliability (Ariane) should not blind us ".

4 The real numbers competitiveness of Ariane 6, Stefan Barensky, Aerospatium, November 28, 2017. - 43 -

Then, the minimum rate of 11 launches per year, with at least five institutional shooting 1 will be very difficult to achieve. According to CNES, the analysis of missions planned for the next decade revealed an average of four to five European institutional missions 2 per year from 2020 to 2030 for Ariane 6. In the commercial market, we can consider a range of 20 to 50% market share 3 accounting for a market of eight to twelve satellites (out constellations), a range of one to three commercial dual launches per year. In other words, CNES anticipates a number of launches ranging between five and eight per year, a rate slightly higher than that of Ariane 5 on the last years (four to seven launches between 2013 and 2018), but less with forecasts made in 2014. These forecasts remain relatively uncertain in that they depend both on the price that will actually be charged by Arianespace and the evolution of competitors launchers - Falcon, New Glenn, H3 ...

The balance of European space launcher programs is guaranteed by a strong presence in the commercial market: this is what allows France and Europe to ensure the maintenance of an industrial chain ranked first, with highly skilled jobs, offering independent access to space at competitive conditions. It is also and above all allowing all European countries currently participating in the launcher programs of the European Space Agency to accept the public cost of autonomous access to space.

If market share were to decline dramatically, the risk is great that some of our European partners to consider that the term independent access to space is not worth the price paid. As was able to recall the director of research of ASD EUROSPACE Pierre Lionnet, in a recent interview, the loss of some customers may question the economic balance of the launcher " lost two customers, this means 150 million lost to Arianespace " 4 ... This is what led the President of CNES to estimate, before the two committees that, considering the fact that " the model of the last thirty years is changing " European autonomy of access to space must be organized.

1 Les Echos, Arianespace careful watch in a difficult economic climate, January 10, 2019.

2 Galileo, Copernicus, Govsatcom, scientific satellites of ESA, national defense satellites.

3 The European Space Agency said about it that it does not seem unreasonable to expect a average market share of approximately 30 to 40%. 4 Interview in Air and Cosmos, July 12, 2019. - 44 -

This is why the Council of the European Space Agency will first have to decide to grant the funding to meet short-term challenges, to know :

- the end of the exploitation of Ariane 5: according to Arianespace, there remains twelve Ariane 5 to launch in 2019 and an eleven between 2020 and 2022 - almost all positions were sold for these launches and industry have agreed to significantly reduce the size of the last batch of Ariane 5;

- the end of development of Ariane 6 and the transition between Ariane Ariane 5 and 6, on the first 14 launchers, and Vega Vega C, to elapse between 2020 and 2023. The joint operation of several reduced rate launchers will cost more. It will also be done with great caution since the new launch vehicles incorporate innovations and, by construction, the zero risk does not exist in this area.

That is, in the words of André-Hubert Roussel, such funding should enable European " stay the course " 1. These efforts mobilize much of the financial envelope of the Ministerial as regards launchers. In other words, the budget proposed by the European Space Agency reflects a priority given to conservation in the short term the autonomy of access to space for Europe in a transition period. But it is also important to prepare for the future by focusing on reusable.

3. Building today to the reusable

at) Europe needs today to get into the reusable

As highlighted Onera in its latest scientific and technological roadmap, the life of Ariane 6 as designed since 2014 will probably be shorter than that of Ariane 5.

In the aforementioned report, the Court of Auditors noted that " Europeans have made the wise choice of the use of technologies mastered compared to the technological breakthrough of reusable, to which the European players did not believe in 2014 "Stressing the existence of a" significant risk that the pitcher is not sustainable competitive with SpaceX " 2. The Europeans have somehow caught by pride by not taking fully advanced SpaceX seriously. In response to this report, Stéphane Israel said in an interview: " We always said Ariane 6 is a launcher that will evolve. Ariane 6 is the beginning of a story, and this launcher, which will fly in 2020, was thought to evolve during its operation. We reflect and to "Ariane 6 Evolution" with our parent company, ArianeGroup, 2025. " 3

1 Hearing before the Opecst on 29 October.

2 This question had also been issued by Senator Daniel Dubois, in his budget opinion on credit research in November 2017 and, in different terms, by deputies Aude Bono Vandorme and Bernard Desflesselles on European space policy already mentioned, published in November 2018.

3 LePoint.fr, Ariane 6: Arianespace boss responds to attacks from the Court of Auditors, February 14, 2019. - 45 -

The current situation is reminiscent, seven years later, that the sector has experienced between 2012 and 2014, when it came to consider the alternative of an evolution of Ariane 5 and the development of a new launcher.

Indeed, Two scenarios can be envisaged by the 2022 Ministerial:

- be one evolution of Ariane 6 ( "Ariane 6 Evolution") 2025 (with a performance gain of around two tonnes in GTO and 20% cost savings on the price per kilogram in orbit) and the development, futures , a new launcher ( "Ariane Next");

- is the crossing over Quick to a new launcher

( "Ariane Next"), simple (two-stage launcher instead of four today, one engine against three today 1), less expensive (with a cost reduction target again set at 50%) and reusable. Ariane 6 can not upgrade to a reusable launch vehicle given its configuration (Staging, motorization solid propellant so that only the liquid propulsion allows reignition, the pyrotechnic safety and modulation of necessary thrust for the realization of such a launcher). But to take full advantage of reuse, must be designed from the start the launcher to make it reusable, which would be the subject of an Ariane Next.

One solution could be fragile since the relevance of dual launch could be challenged in a market restricted geostationary orbit. But the second option would also be risky in that it would require to move quickly to develop a completely new launcher.

Should we start from 2022 in the reusable? After the inaugural flight of Ariane 6, and before deciding on this issue, it should assess the situation, including analyzing the risks arising for the public sector, the transition phase of the launch rate, the situation on the world market and the European institutional demand.

But the rapporteurs consider likely reuse, minima the first floor will become the new technological standard, as because of the economic gains of environmental requirements that should apply to the industry in the future. They would therefore, like Catherine Procaccia and Bruno Sido in 2015 " that Europe does not miss the turn of reusable launch vehicles " 2.

1 This weakness against the costs had been stressed, depressed by the report of Catherine Procaccia and Bruno Sido for Opecst 2012 cited above. 2 Catherine Procaccia, Bruno Sido, The European Space Policy, report on behalf of the Parliamentary Office for Evaluation of Scientific and Technological, 2015. - 46 -

The debate on the reuse of the first floor

The track of the development of reuse is still debated in Europe. Several players interviewed by the rapporteurs - as Arianespace Avio or the Directorate General Armament Department of the Armies - emphasize the economic viability of reuse for European launchers is not demonstrated because the government launches granted to SpaceX are at a much higher price than the market price and volume also much higher than that devoted to European launchers. André-Hubert Roussel summarized the position of the industry in these terms: " we will work to reuse if the launch rate rendered it economically viable ". This position is also supported by the recent election by the company Rocket Lab make reusable his small launcher Electron not to lower the price (about $ 6.5 million per mission) but to increase the rate of production to meet orders surge. Stéphane Israel was also questioned before the rapporteurs on the question of whether the lack of reusable profitability is not the problem SpaceX tries to compensate by making itself its business volume through its constellation. General of Armaments goes further by stressing that " reusable launcher is not a solution but 2030 of 2018. The aim should be step by because, in 2030, SpaceX or his successors will likely be moved on ". Onera has stressed that the behavior of Europe adopted today is - as in the field of innovation in general - primarily that of a follower, lamenting that pitchers are the subject of very little financing long-term research. This is not the analysis of the CNES, which believes it is now demonstrated that reusing the first floor provides an economic gain of about 30 to 50% on the cost of a launch, and probably more for multiple re-use, provided that the launcher is designed from the start for reuse 1. The National Center for Space Studies recognizes that the gain can be lower if the launch rate decrease. But overall, the value of reuse is not dependent on the pace of the first order 2: the level of savings depends primarily on the value of the recovered items, which must maximize and reuse costs (recovery, rehabilitation, rate of change, défiabilisation) should be minimized, which depend primarily all design choices. To date, and knowledge of the rapporteurs, SpaceX has made a public statement on its estimate of the cost reductions from reuse of the first floor: it would be about 30% 3.

1 The first floor of a new Falcon 9 costs about 18 million, representing approximately 40% of the total cost of a launch. With a cost of restoration of the order of a million dollars and ten reuses, the average cost of a first stage would be used ten times would

2.8 million, at a cost of launching $ 29 million and therefore a 34% saving. This calculation can give an order of magnitude. Account should be taken of other parameters, such as the impact of the production rate of decline in the price of a new floor. But if the second stage uses the same technologies and teams as the first (which is the case for the launcher Falcon 9) this effect is very small.

2 A review of the literature was conducted end of 2017 by the report of the Montaigne Institute cited.

3 SpaceNews, reusable SpaceX says Could internship cut prices 30 percent, plan early November Falcon Heavy, March 10, 2016. - 47 -

Today, the CNES and ArianeGroup agree to develop the technological building blocks required to develop a reusable launch vehicle, insofar as they could also allow an evolution of Ariane 6 reducing costs and improving performance without integrating reuse. This is probably the European Space Agency that best sums up the position by consensus: it considers " capital that Europe acquires capabilities to consider a one-time reuse of certain elements of the launcher, including thrusters " and " the operational implementation of this reuse will then depend on the economic equation, which must consider both the recurring costs of launch rate " 1.

We must therefore today prepare for the transition, ultimately, to the reusable. This is primarily to be attentive to its effects employment. According to the CNES, it is certain that the passage of a consumable launcher architecture in a reusable architecture will affect the industrial organization of production and operation of launch vehicles, it is wrong to say that the arrival of reusable launch vehicles lead to close all factories. The launcher can be designed to maintain essential production activities to maintain competence, since the second stage of the launcher which itself would be consumable, should use the same engines and equipment that the first stage in order to benefit low production costs. CNES estimates that " for Europe, the choice will not be between expendable launch vehicle or reusable launch vehicle, but between reusable launcher or disappearance of this activity ". Moreover, the objective being to significantly reduce the cost of access to space, jobs that could be lost on the launcher sector could end up downstream of the space sector, since more satellites could be launched to increase the space applications for the benefit of society.

Otherwise, the transition to a liquid propellant propulsion, essential for reuse will not be trivial in terms of synergies with nuclear deterrence. As shown yet Ariane 6, the architecture of Ariane exploits synergies with ballistic missiles, resting on a solid propellant propulsion ( "Powder"). As had been pointed out in the note of the aforementioned OPECST, abandonment of solid propulsion for civil reduce civilian-military synergies to implement system control skills, flight schedules and steering. In front of the two commissions, André-Hubert Roussel had also considered that further synergies would operate. Consequently, Onera has stressed the importance of preparing now maintaining skills and abilities

1 The European Space Agency has stressed that the space Rider will be the first European reusable space transportation system. It is intended to provide Europe with operational capabilities reentry and landing thanks to its versatile autonomous unmanned platform. - 48 -

Industrial for the development and production of solid propellants for the purposes of deterrence.

Last but not least, we must develop the technological capabilities needed to master reuse. As Onera raises in its abovementioned roadmap " the United States have had for 30 years - from 1981 to 2011 - an almost completely reusable space system: Space Shuttle ". We start today with a clean sheet. Space and especially launcher sector remains a particularly dangerous sector despite the progress made: as Vega recent failure could prove there is no zero risk in terms of launch, and delays in developments are always to be feared, as evidenced by the delays of the program COTS (Commercial Orbital Transportation Services program) which aimed to send humans to the International Space Station in 2014 ... But we have the skills to meet the challenge.

The Council of 27 and 28 November 2019 will initiate live. It should decide to finance the development of two bricks to reduce costs Ariane 6 and / or allow development of a future reusable launch: a main stage engine to potentially reusable liquid propulsion and a first floor reusable demonstrator. The total funding for the development of

the future preparation programs is estimated between 350 and 400 million for the three-year 2020-2022. The rapporteurs therefore call on the Government to endorse these programs and convince their counterparts to do the same, otherwise reuse will be considered by Europe.

This effort will be complemented in the future in case of development of a reusable launch vehicle: according to the aforementioned note of the Opecst, the cost of such a European program would be one to three billion euros.

b) Prometheus and Themis: the first bricks of a future reusable launch vehicle

(1) Prometheus: a motor potentially liquid propulsion reusable

Since 2015, CNES and ArianeGroup develop the engine " low cost " and to potentially reusable variable thrust Prometheus.

Operating at oxygen and liquid methane 1 it is equipped with a 100 ton thrust. It would allow a Division of costs by ten ( production cost of one million euros) compared to the current hydrogen engine Vulcan 2.1, for a production rate of 50 per year. The challenge is all the more important that the engine of the first stage of Ariane 6 is an evolution of the engine Ariane 5, whose developments began ... in the late 1980s!

1 BE-4 engine developed by New Glenn also made the choice of and methane. - 49 -

Supported by the European Space Agency since 2016 ( "liquid propulsion of the future" program) with the support of Germany, Belgium, Switzerland, Sweden and Spain, the detailed definition has been validated in December 2018. the production launch of the components of the first engine was spread in the first half 2019 and should be subject to initial testing end of 2020. it is now industrialize this engine that could fly on Themis demonstrator in 2022 to set a fastest service possible.

In parallel, innovative processes Prometheus could also be diverted to an evolution of Vinci and Vulcan. This could become a real "Prometheus Hydrogen", with a cost reduction target of 50% by 2025, consistent with the inaugural launch of an Ariane 6 Evolution Version. This engine therefore will reduce costs whatever the configuration adopted for the future - and reusable launcher or not reuse " toss back " or not.

The Europeans have two other projects to control reuse. These two successive demonstrators to prepare a future European launcher reusable.

(2) Callisto and Themis: first floor reusable demonstrators Project Callisto is an experimental vehicle a very small scale (1/10) to develop the software needed for the return phase of a reusable first stage (the flight program and landing in one ). It is developed since 2016 by

CNES 1 the DLR

(Germany) and Jaxa ( Japan), but without the European Space Agency or ArianeGroup. According to information gathered by the rapporteurs, " other contributions from European partners are expected ". The rapporteurs consider that such a development would be legitimate, since the project clearly intended to prepare the future of European launchers.

CNES is in charge of vehicle architecture, system design, operational concept and the ground segment. It is also responsible for the flight software, the board computer and the backup system, development, integration and testing of the equipment bay. This demonstrator will be powered by a motor supplied by Japan. It will be launched from the Guiana Space Center. For demonstration flights in 2022, landing will be done on a at sea. The trilateral agreement between CNES, the DLR and Jaxa for phase B was extended until March 2020.

1 CNES is also developing since 2017 the project "Frog" small demonstrator 2.5 meters high to test algorithms flight of a reusable first stage. The findings of this project will be used for Callisto and Themis (source: A laboratory frog to the European reusable, Air et Cosmos, October 11, 2019). - 50 -

The project Themis is a demonstration scale 1/2 of a reusable floor powered by Prometheus to control atmospheric reentry and return to Earth of the main stage by minimizing the need for rehabilitation before return to flight. It is indeed a demonstrator, close to a working prototype, and successor of Callisto experimental vehicle. The preset has been underway since 2019 under ArianeWorks joint initiative between CNES and ArianeGroup - recently joined by Onera - whose mission is to significantly accelerate the conduct of the project. Themis could then be adapted as booster liquid Ariane Next. Depending on the funds mobilized, a first test flight could take place before 2025.

The development of Themis demonstrator should require a public investment of around 200 million euros. France is considering additional funding to those made in the framework of the European Space Agency, the vehicle could be the third investment program for the future or the fund for industry and innovation (as part of " great challenges "identified by the Council of Innovation).

c) Continue to reduce costs

Three programs will be presented at the Ministerial in order to continue reducing costs through new technology solutions.

(1) Icarus: a floor higher than the index reduces the constructive Icarus Project ( Innovative carbon Ariane upper stage) is a upper floor maximum use of composite technologies ( while the upper Ariane stages are generally made of aluminum) for improve payload carrying capacity by reducing costs (+ 2 tons of performance - 10% recurring costs for Ariane 6). This is indeed the easing of floors allowed SpaceX to carry out a two-stage launcher able to send heavy satellites into GTO. To date, the index constructive 1 the second stage of Ariane 6 will in Cnes, 19% against 10% for the Falcon 9, 11% for Ariane 4 and 21% for Ariane 5. On May 14, the European Space Agency signed two contracts with industrial technology maturation ArianeGroup and MT Aerospace to prepare this future upper floor 2.

To the extent that there is a cost reduction lever and a large brick necessary for development of a future launcher two-stage reusable rapporteurs however deplore that only technological preparation work is offered for subscription at the Ministerial, the decision on the development of the stage being postponed to 2022.

1 The constructive index is calculated by dividing the mass of the floor on the mass of propellant.

2 Air and Cosmos A new "black" stage for Ariane 6, May 20, 2019. - 51 -

(2) Reduce costs incrementally The continuous improvement program ( CIP) proposed to the next Ministerial Council is a set of steps to implement between 2023 and 2025 to lower recurring costs and / or increase the performance and flexibility of the launcher. They will be selected on their ability to first, generating a return on investment short (5 to 6 years maximum) and secondly, also be valued on the next Ariane.

Should also proposed a program for a limited amount on the system studies. They are necessary to clarify the evolution of the Ariane launcher concepts and allow the CNES and ArianeGroup identify new design rules in order to get closer to the US performance. According to CNES, Europe must especially work on the following topics:

- the overall architecture of the launcher to optimize the volume and in particular the diameter of the upper floor;

- mastering extremely efficient technologies such as thermal insulation to optimize the upper floor of Architecture and in particular those tanks;

- the structural design rules associated with an increased ability to check their behavior to ensure the required reliability;

- materials and technology production of the components by adding material that optimizes the amount of material and manufacturing operations, so the mass and cost of implementation.

(3) Modernizing the CSG

A cost reduction policy is already at work at the Guiana Space Center. The cost of operational maintenance center have dropped by 6% between 2009 and 2016 while activity increased at the same time (3 no shooting, with between 7 and 12 launches per year). By 2023, further cost reductions are planned. In total, in fifteen years, these costs would decrease by 20%, from 148 million in 2009 to 118 million in 2023.

However, some infrastructure are today aging ( water, energy, air, roads). Some of them date back nearly fifty years. They need to be modernized to reduce costs, ensure their strength and improve their environmental impact. Two other actions are also needed to reduce costs and improve quality, reliability and availability of the service launch the construction of the new center of operations, which will integrate all of the previously existing operations centers, and optimization of all business processes in order to achieve a real reduction in the duration of the campaign launch and gain flexibility to meet the arrival of Ariane 6 Vega and C, as well as - 52 -

new customer needs (multi-mission, new types of payloads ...).

The executive of the European Space Agency has included in its 2020-2024 budget planning project an investment program which represents an amount of EUR 143 million from 2020 to 2024. The modernization plan is in addition to activities operational maintenance, operation and conventional operation, the budgeted amount of 616 million euros over the same period. The Member States of the Agency are invited to increase significantly

their contribution to CSG funding.

The rapporteurs invite the Government to endorse this modernization program and advocate in that from the Member States of the Agency. This commitment will take the form of a resolution in the compulsory program of the European Space Agency, due to the collective nature of this investment.

The rapporteurs also urge the Government to be vigilant on reflection ongoing projects involving small launch bases on European soil, as in Scotland, under the aegis of the UK Space

Agency 1.

4. Do not create competition within Europe

The depth of the European institutional market is insufficient to allow its players to compete, unlike the situation in the United States, where the principle of industrial space policy is the one to keep at least two different pitchers in a logical redundant infrastructure for military needs. The solutions developed in Europe should be complementary to offer a complete range of launch services.

at) Oppose a proposed increase in the carrying capacity of Vega C

The press has echoed the tensions between the Italian Avio ArianeGroup and, on the potential competition which could be ultimately Vega and Ariane 6. The Court of Auditors also found that " in a context of strong competition present and future at international level, competition within Europe between the low end of Ariane 6 and upper C Vega spectrum should be limited as much as possible ".

On paper and in their design, both pitchers are both part of the family of launch vehicles as the European Space Agency has developed to give Europe access to space: so have a complementary role and not competing .

1 Futura Sciences, British Prime spaceport will be built in Scotland, July 24, 2018. - 53 -

Fact, the overlap between the performance area of ​​Ariane 6 and that of Vega C should be very limited. It arises when the same payload may be in orbit either through a single launch by Vega C, either as part of a multiple launch by Ariane 62. However, the two launch services are not comparable for the customer in terms of timing and availability. Consequently, in most cases, there will be only one pitcher customized needs 1. We can also consider the fact that Arianespace launch could propose two solutions in these cases of extraordinary face reinforces the attractiveness and competitiveness of the in the world market.

Moreover, and ArianeGroup Avio have no incentive to compete since they are largely dependent on one another: currently, Avio provides the main components of rocket boosters of Ariane 5, while qu'ArianeGroup provides essential elements of Vega. The propellant powder common to Ariane and Vega 6 C accentuates this interdependence.

To avoid unhealthy and unsustainable competition for European public finances, an MoU was signed by the European Space Agency, CNES, Arianespace and ArianeGroup Avio. It highlights the mutually beneficial and complementary to the exploitation of Ariane and Vega launchers. Through a resolution adopted in April 2019, the Council of the European Space Agency has set the principles to be applied by Arianespace for its own missions and ensure a fair and transparent policy distribution payloads between Ariane and Vega 6 C depending on the target orbit and mass-away 2.

On the other hand, this balance would be undermined by increased Vega's performance with the new version of E Vega 3 whose development was initiated in 2016 and which the prosecution would be proposed at the next ministerial conference in 2023 horizon. Nine institutional missions could then switch to 62 Ariane E. Vega In particular, the satellites of the Galileo constellation could be launched by Vega E. The European Space Agency even consider convert the shooting Soyuz Vega launcher for the E ...

1 Take the example of business constellations in low orbit Ariane and Vega 62 C will both be available to meet the requirements of different missions. LEO in the performance of both pitchers are very different, Ariane 62 could be proposed to launch multiple loads useful, while Vega could be reserved for special cases of replacement of some satellites.

2 Principle of a unique offer Arianespace for satellites under 200 kg individually initiated (that is to say a price and starting on the next pitcher with an available, whether Vega / Vega C ( system SSMS) or Ariane 6 (MLS)), of Vega launcher rated between 200 kg to 2.35 tonnes in low orbit, Ariane 6 and beyond.

3 The performance objective would be 3 000 kg in orbit SSO via the development of a new upper stage liquid oxygen and methane. - 54 -

The rapporteurs consider that it is the responsibility of the European Space Agency and its Member States to maintain the coherence and complementarity of the family of European launchers as it was decided in 2014. Onera Avio " generates more than 51% of its turnover through Vega while a few years ago most of its revenue came from not only manufacturing boosters Ariane for which he had benefited from technology transfer from France. It's a competition that we helped create ". The rapporteurs therefore recommend extreme caution regarding the subscription Vega development program E: if there is an increase in performance Vega C, and not, for example, to reduce costs, it should oppose it.

b) Complete family of European launchers by solutions for small satellites?

To meet the demand of launching small satellites, more than 100 small launchers development projects have been announced in the world, about half in the United States, China coming in second. If the large number of American projects is explained by the fact that the US has built over the past five years, nearly 70% of the mass of satellites under 100 kg, the appearance of development projects emanating 'Chinese private enterprises seems to be a sign that the industry players foresee the existence of a potential demand available to the commercial market. According to the firm Northern Sky Research 1 the launcher market for small satellites will be dominated, in 2028, by the US (49%) and China (44%). Europe is lagging (7%).

Two new types of launchers for light payloads: micro-launchers and launchers airborne

Regarding micro-launchers, the leader the area is now home New Zealand Rocket Lab with her pitcher Electron, capable of more than 200 kg in low orbit for about 5 million and developed with the help of Nasa. In Europe, the two most advanced European projects to date are those of the German company Rocket Factory Augsburg ( subsidiary MT Aerospace, itself a subsidiary of OHB) and the Spanish company PLD Space. Avio said he was ready to make a mini-pitcher in under two years if a need arises. According Arianespace, to date, " it is very clear that no solution can be developed and operated long-term without a strong institutional demand ". Indeed it appears that Rocket Lab launches to almost 50% for institutional clients in the United States. They plan also to build a second shot not in the United States. But the sector remains risky: US Vector has, for example, ceased its activities in August.

1 Smallsat Launch Vehicle Markets, 2nd Edition. - 55 -

Regarding the airborne launch, this solution is not new: the Americans have, since the 1990s, tested the system Pegasus wherein a pitcher was first dropped from a B-52 then a Lockheed Tristar. Forty launches took place with the ability to put a load of 450 kg into low orbit. It was only a relative success - two shots per year on average for twenty years - partly because of the costs associated with implementation of carrier aviation. Today, , subsidiary of soon publicly traded and owned by the British billionaire Richard Branson, is developing the airborne launcher LauncherOne launched from a Boeing 747, which could place in low orbit a payload of about 500 kg and to be marketed by another subsidiary of the group 1. The company was selected by the UK Ministry of Defense to deploy small satellites "" capable of providing high resolution imaging. This choice was motivated by the possibility of triggering launches short notice - less than a week - from an airport.

The solution of the airborne launcher however, is not without risk, as evidenced failures XCOR Aerospace ( 1999-2017), and this year, stopping the project Stratolaunch which was in development since 2011 under the aegis of Paul Allen, cofounder of Microsoft. In Europe, the Altair Project ( Air space launch transportatoin using an automated aircraft and an innovative rocket) led by Onera since 2015, which has just completed its demonstration flights in , a different approach by addressing specifically the costs of the wearer. This is a drone dropping an expendable launch vehicle for a bet on low orbit a payload of 150 kilograms to afford to offer missions at low cost, of around 5 million euros, close to what offers today Rocket Lab. The advantage of such a solution, apart from its limited cost, is the responsiveness of the launch service. The return of Dassault Aviation in space also suggests that the prospect of an airborne launcher seems credible to him again (eg. MLA project airborne micro-launcher with a Rafale), after a first attempt there thirty years. The Altair project is funded with 3.5 million Euros by the European Commission as part of Horizon 2020.

However, the most economical solution to launch small satellites remains, to date, the auxiliary passenger position on launchers. For CNES, only an Ariane launch on 6 solution and Vega C auxiliary passenger achieves economic goals introductory price of a small satellite, 10 000 euros per kilo and thus one million euros to 100 kg into orbit. Moreover, we found that over 80% of small satellites and launched in rideshare 2.

1 These two subsidiaries are distinct from Virgin Galactic first space company founded by Richard Branson in 2004 to commercialize suborbital flights for tourists. Built on the acquisition of SpaceShipOne, developed by Paul Allen and development

SpaceShipTwo become Virgin Spaceship (VSS) Unity. 2 The term " rideshare "Can refer to two cases: it can be shared between multiple launch payloads similar mass or launching a payload as an auxiliary passenger requiring an adapter. - 56 -

SpaceX Arianespace retains the same strategy in this segment: the company has recently reported on a new pricing its offers " rideshare "(1 million to 200 kg + 5000 dollars per kilo). The offer of SpaceX also has the advantage of providing flexibility in terms of timing and to apply reduced costs in case of need rebooking ( any postponement of the launch date, in case of delay of the payload is charged 10%). This offer concerns a launch a month from March 2020 - the business model is based in fact on the space available within the flight for his own constellation, Starlink.

The main advantage of micro-launchers solution therefore lies, to date, their high reactivity.

But do not mean closing the door to the development of micro-launchers that could usefully complement the offer of European launch. Indeed, the development of a micro-launcher, it was successful or not, can be an opportunity then to test new technologies applicable on

the launchers heavy. In Should the France would not intervene in its production, it would also be an opportunity to strengthen the country's interest to develop this micro-launcher for the CSG, which would aim to accommodate. Finally, it could prove to be a useful point solution to launch military missions using nano satellites.

Therefore, in view of the meeting of the Ministerial Council of the Agency and following the green light given by the Board in April 2019, ESA proposes to set up a flexible program framework through which European economic operators will promote private projects transport services development

spatial commercially viable resting including micro-launchers.

CNES proposes to actively support the most promising projects, in particular by allowing them a presence in Guyana in favorable conditions (provision of a dedicated website and royalty holiday during the first years of operation).

The rapporteurs support these orientations, and also highlight the interest that can have a private Airborne solution in terms of responsiveness. It should ensure the complementarity of the developed solutions and minimize public investment. - 57 -

B. A NECESSARY REVIEW OF INDUSTRIAL POLICY SPACE LAUNCH VEHICLES

Currency risk is an insurmountable handicap for our pitchers: production costs are denominated in euros and the commercial revenue on the world market are in dollars. Conversely, US launchers, which produce and sell in dollars, are not exposed.

But our pitchers can also be hampered by inadequate industrial policy with regard to international standards, so it should determine a principle of European preference and ease the principle of geographical return.

1. For a European preference

The European market is small compared to other major markets space launch. In 2018 as in 2017, Europe is located at the fourth place worldwide in terms of launches, behind China, the US and Russia. It occupies the same place in terms of mass of the satellite into orbit, with 47 tonnes,

12% of the total mass 1.

Launches performed by world region in 2018

3%

6% 5% US Europe Russia China 27% Japan India New Zealand

34% 15%

10%

Source: Federal Administration of Aviation (annual compendium, 2018).

1 Source: ASD EUROSPACE, included in Air and Cosmos, July 12, 2019. - 58 -

This is especially the narrowness of the European institutional market which explains this site: institutional orders represent approximately 34% of demand in Europe, against 73% for the United States. This results, as we have seen, generate a dependence of European launch vehicles from the commercial market, which stands for Ariane 5 to 75%. However, this dependence does not appear optimal when market conditions are particularly uncertain. It is therefore necessary to examine ways of increasing institutional demand, as potential than real.

at) Increase the potential volume of institutional demand by establishing a principle of European preference

The European market is characterized by the absence of

"European preference "While the US institutional market 1 and Chinese are captive. Europe is thus a single case where a satellite developed by public funds can be cast on a non-European launcher even as European launchers have been developed with public funds 2. As recalled before the two committees André-Hubert Roussel " US and Chinese markets are inaccessible to European launchers, or they account for two-thirds of the global market. "

It's a major handicap for our industry. In fact, European countries have already used SpaceX for institutional launches, as recalled in a recent note to Opecst on reusable launchers " 2018, Falcon 9 of SpaceX has (...) orbited the Luxembourg satellite Govsat-1, dedicated to dual ultrasécurisées communications (...), and the Spanish military satellite Paz Observing the Earth. Following a contract signed in 2013 with SpaceX, it is the same Falcon 9 which is expected to launch this year and next year the three satellites Sarah radar recognition used by the German army, replacing the constellation of five SAR-Lupe satellites " 3. This is also the case for the Vega launcher, which for example saw the German satellite Biros escape to the benefit of PSLV Indian. The Armed Forces Minister, Florence Parly, recently summarized the danger of such a situation in the context of aggressive prices offered by established service providers on the other side of the Atlantic: "Let's not be complicit in this game, not very loyal, which is actually to make us lose our independent access to space" 4.

1 For an overview of the rules in the United States in this area, see the footnote No. 21 of the Circular of Opecst, based on an article Center for space policy and strategy of July 2018. 2 This incongruity was already raised in Henri Revol report in 2001. The launch service procurement policy for the European Space Agency missions was adopted at the Board of the Agency meeting at ministerial level in Berlin 5 and 6 December 2005 without retaining the principle of such a preference. In March 2006, France had decided at national level, to apply it to French institutional missions. The Franco-Italian summit of 30 November 2007 also adopted a French-Italian Declaration on European preference in access to space.

3 Jean-Luc Fuguit, reusable launch vehicles, notes the Opecst, 2019.

4 Les Echos, Arianespace ended the year on an optimistic note, December 21, 2018. - 59 -

Although this scenario is relatively marginal, the rapporteurs consider necessary that all outsourcers - States, European Space Agency 1 and EU - agree to launch European.

To the Directorate General of Armament " only such measures will ensure the sustainability of our industry in the area and therefore maintaining our access to space, which is of great strategic importance ". It's the rest of the position expressed by the Senate in its resolution of 9 August 2019 on space policy of the 2.

Progress has recently been made in this field. On April 26 2018, a framework contract between Arianespace and the agency says the full commitment of the

European Space Agency's European launchers for its programs 3.

At the European Union, this principle inspire certain provisions of new Regulation on European space programs for the 2021-2027 period, still being examined by the Council and the

European Parliament 4. If the European institutions were unable to agree on the inclusion in the regulation of such a clear principle, it nevertheless provides in its current article 5 in which the principle of access autonomous access to space is confirmed, which, as recalled André-Hubert Roussel before the two committees' opens the way to a European preference ".

therefore remains to ensure that each Member State undertakes in this direction. An important step was taken October 25, 2018, when several European countries represented by their space agency (France, Italy, Germany, Switzerland, Spain) and the European Space Agency, signed in Madrid, a Joint Declaration on the institutional operations

1 The founding act of the European Space Agency presents a common sense principle that a fair balance between public support required and cost control by manufacturers: Article 8 of the 1975 Convention states as well as the Agency ' give preference to their utilization for appropriate payloads if this use, compared to the use of other launch vehicles or means of transport available at the envisaged time, an unreasonable disadvantage in terms of cost, reliability and mission suitability ".

2 The resolution, adopted on the initiative of the senators André Gattolin and Jean-François Rapin " calls on the EU to be proactive in its support to space launchers of European manufacturing by setting up a European preference for the benefit of European businesses operating in this sector ".

3 Air et Cosmos, Arianespace, ESA-stop, 4 May 2018.

4 Proposal for a Regulation of the and of the Council establishing the space program of the Union and the Agency of the European Union for the space program and repealing Council Regulation (EU) No 912/2010, (EU) No 1285 / 2013 (EU) No 377/2014 and decision No 541/2014 / EU, COM (2018) 447 final. This regulation was the subject of a European Senate resolution last August, already cited. It will only be applicable for the next multiannual financial framework, that is to say in January 2021. It provides, among others, the transformation of the European GNSS Agency in agency of the European Union for the space program. The declination at the operational level of the main principles of the regulation is far from done. - 60 -

Ariane and Vega 6 C 1 affirming their willingness to use first European launchers for their institutional satellites. The commitment to that of France and Germany was confirmed at the highest political level October 16, 2019, This is great news 2.

b) Increase the actual volume of the institutional demand

The large volume of US institutional orders appears out of reach for Europeans. In the US, the budget allocated to space transportation would total more than $ 7.5 billion per year. Over the past five years, the pace of space launches was spread between 20 and 31 per year, against a dozen in Europe. Overall, the US space budget of around 50 billion against $ 10 billion in Europe.

In a constrained budgetary environment, so that Member States do not all converge on the extent of the amounts to be allocated to space policy, no miracle is possible, but there is room for improvement. The CEO of Arianespace has pleaded before the rapporteurs' make pitchers resilient to market fluctuations ", which could " through exploratory missions, the suites of the space station, return projects to the moon, or a constellation for connectivity in public-private partnership. "According to him, if the manned" is not the program for now "" Ariane 6 could accomplish a lunar mission by

2025 under the aegis of the European Space Agency " 3. These positions are also defended by Avio.

France is the effort under the current military planning law, which mobilizes 3.6 billion to ensure the complete renewal of our satellite capacity (remark with Ceres, telecommunications with Syracuse IV observation with Musis). On 25 July 2019, the defense space strategy boosted the momentum by announcing the development of military capabilities in space that will result in an additional fiscal effort of 700 million euros.

The significant increase in the EU budget for the space, as proposed by the European Commission, is also likely to enable a increased institutional orders. The Commission indeed proposes to include 16 billion euros in the next multiannual financial framework 2021-2027 of the Union, up to a third

1 https://www.esa.int/Our_Activities/Space_Transportation/European_institutions_sign_Joint_Statem ent_on_European_Institutional_Exploitation_of_Ariane_6_and_Vega-C 2 The Toulouse Franco-German Declaration of 16 October 2019 states that " France and Germany are acting a "European preference" for satellite launches (Ariane 6) to ensure our autonomous access to space ". https://www.elysee.fr/admin/upload/default/0001/06/b6d6d489f677358036fcc00c43d51f7a4213b233.pdf 3 LePoint.fr, Ariane 6: Arianespace boss responds to attacks from the Court of Auditors, February 14, 2019. - 61 -

from the previous multiannual financial framework (12 billion euros) and 220% compared to its predecessor (EUR 5 billion).

Moreover, it should also be support the use of European launchers from our partners. The moon base project Lunar Orbital Platform Gateway ( LOP-G), presented in 2017 by the Nasa and which is associated with the European Space Agency is, for example, the occasion. As the successor to the International Space Station, the space station will start to inhabited more distant missions to Mars, for example, and facilitate the exploitation of the Moon. Construction is expected to start in early 2020. The Nasa plans to use its future launcher, the ( SLS) 1 to route the base assembly elements and vessel for passengers. According to the CEO of Arianespace " if Europeans contribute to this program, Ariane 6 could also do the job " 2. He also suggested to go " by designing a capsule for manned flights based on the expertise gained with ATV cargo 3 "That would be launched here too, the European rocket.

c) Replace support for exploitation by multi-year orders and aggregated at European level

Another weakness of European industrial policy is the plurality of outsourcers - States, the European Space Agency, Eumetsat and the European Union - which makes Europe a fragmented institutional market where the United States know only two government contractors: the Ministry of Defense and the Nasa.

It would be easier and safer for industrial, a fortiori assuming a European preference would be devoted, aggregating institutional demand.

This seems shared today, but determining the suitable instance - European Space Agency? European Commission ? both ? - remains complex. In the joint statement of 25 October 2018 mentioned above, the five Member States recognize, under the aegis of the European Space Agency, the advantage to consolidate their institutional demand for launch services in order to guarantee Europe access to the independent space, cost effective, affordable and reliable. At the same time, the draft regulation establishing the space program of the Union and the Agency of the European Union for the space program also includes a sentence that " the Commission should (...) have the ability to bundle services

1 Which combines delays and additional costs, as the ratio of Government Accountability Office published last June demonstrated ( " NASA space exploration, Persistent delays and cost growth Reinforce Concerns over management of programs "). 2 Space: Europe faces the challenge of human , Le Monde, September 10, 2018.

3 The ATV (for " Automated transfer vehicle ") Was the supply capsule of the International Space Station developed under the aegis of the European Space Agency. It was used between 2008 and 2014. - 62 -

Launch at European level, both for its own needs and for those, upon request, other entities, including Member States ".

The rapporteurs consider it necessary that the two entities agree on how best to structure the European institutional market. The European Space Agency has said that they both entities " engage as such a joint feasibility study to examine the possibility of a consolidated procurement mechanism of European institutional launch services ".

Moreover, such aggregation made on a multi-year horizon would give visibility to manufacturers.

The bulk order for a multi-year horizon could even be a new way of supporting European industry. As the Court of Auditors was able to observe in its aforementioned report, public support for the exploitation of Ariane 5 was based on two levers: the exploitation of balancing subsidies paid to Ariane 5 Arianespace and funded by European Space Agency; recapitalizations of Arianespace in 2004 and 2010 subscribed by CNES. It recommended to support the Ariane 6 "by other means"

in this case, commands Multi-year aggregated.

Such support modality and break with the practice adopted for Ariane 5 would have the advantage of being consistent with the division of responsibilities established in 2014 the

Council at ministerial level of the European Space Agency 1 aimed at more responsible industry. This distribution can be summarized as follows:

- Private assumes the entire risk of exploitation (end operating grant);

- The public, in turn, guarantees a minimum number of launches over several years.

The European Space Agency confirms that it is a scheme proposed for Ariane 6 at the end of the transition period. However, she believes that " considering the overall equation between the accessible market volume and the overall cost of access to space, it seems unlikely that a complete shutdown of operations support allows to offer launch services at an affordable price, especially as the space port of Europe and the engine test facilities are publicly funded. "

Two factors favor the passage of a support to the sector in the form of contracts rather than as an operating support. First, the increase in institutional orders mentioned above. Then, a payment of more expensive institutional launches that commercial launches, as do the Americans, from the time when traders are able to charge a margin

1 See, on this point, Annex 6. - 63 -

the commercial market. This would have the virtue of being an incentive for investment, by reducing the uncertainty in the commercial market. It would also have the virtue to remove the legal risk from the challenge by SpaceX the current terms of support to the sector - the press has echoed what the company, considering that " grants from the European Union and the French government artificially reduce the price of Arianespace's launch services on the international market and allow their rockets to be unfairly competitive "Asked his Government to achieve" an agreement that guarantees that Arianespace will not receive preferential treatment and that the EU members do not discriminate against non-European suppliers " 1 ...

2. Easing the principle of geographical return

at) Apply geographical return rule more flexible and incentive-way

The geographical return is one of the founding principles of the industrial policy of the European Space Agency, 85% of the budget is donated to the industry. This is one key to success of intergovernmental cooperation projects. According to Article 7 paragraph 1 c) of the Convention of 30 May 1975 establishing the Agency, its industrial policy must be designed in particular to " ensure that all Member States participate equally, given their financial contribution to the implementation of the European space program and the associated development of space technology ". This provision is supplemented by Article 4 of Annex V of the 1975 agreement, which determines the method of calculation of a return coefficient geographical 2.

However, this rule results in a bursting of the production line of the Ariane 6 program as shown in the diagram below. This necessarily leads detrimental extra costs to the competitiveness of the launcher. Moreover, as pointed Branch armaments " the rules in force at the European Space Agency drive to push our major industrial domain, because of the rules, working with foreign SMEs rather than our own domestic SMEs ".

1 Les Echos Exclusive: SpaceX Arianespace accused of unfair competition, February 21, 2019.

2 See Annex 5. - 64 -

Source: European Space Agency

This rule is therefore a major obstacle to the rationalization of the manufacturing process. Conversely, we have seen, SpaceX focuses almost all of its production on the same site. Onera believes that it is " a rule already uneconomic (at the cost of the item) when cooperating to some, that becomes a real handicap in Europe ".

Faced with increasing competition in the market for space launches, a measured application requires. This is what offer French manufacturers for several years. This is also one of the elements that cause them to argue for a greater role for the EU compared to the European Space Agency, since the controls of the European Union based on a principle of competition within the common market.

According to the European Space Agency, an easing is already underway in practice via two levers:

- flexibility across programs, business areas and the Agency as a whole;

- through management of its industrial policy as a proactive approach of anticipating opportunities and enter into contracts wisely, in close collaboration with industrial prime contractors, so as to ensure the effectiveness of activities . - 65 -

However, it recognizes that " the increase button efforts flexibility and efficiency gain is to continue, especially considering the maturity of the European space industry to date. "

The rapporteurs believe that more flexible methods of calculation of this rule for the sectors subject to strong international competition. It is in this sense that the Minister Frédérique Vidal spoke at the conference "spatial perspectives" April 2019 " we must revise the principle of geographical return for competitive programs because the golden rule that must now prevail all others is the project coherence, unity, and above all, competitiveness. The principle of a fair return is unifying because it allows States wishing to participate in the space adventure. But applied too literally, it generates excessive complexity and reflects a collective vision of where everything is simply reduced to the sum of the parts. "In front of the two commissions, the President of CNES estimated that" geographical return rule in the functioning of the European Space Agency: we must give him flexibility. "Similarly, several recent parliamentary reports have called for such variation 1.

The aforementioned report of the Court of Auditors defended such flexibility in these terms: " if it is legitimate that states contributing to the development of launchers have a geographical return on investment, return these rules should be at least eased. They should in particular be multi-year managed and comprehensive manner at all European space programs 'Proposal supported by the Minister of the Action and the Public Accounts in its response to the report. In its response to the same report, the Minister of the Armed felt even " probably need to go beyond easing, even question the very principle of geographical return, since it induces strong industrial désoptimisations, resulting from the addition of contract management layers, on one hand, and duplication of skills Europe, 'somewhere else ". The Directorate General of Armaments believes it must devise mechanisms that maintain the interest of States to finance the pitcher without receiving all the industrial return to the territory, as offsets from programs of the European Space Agency or haircuts .

The Italian industrial Avio proposes to insert into development contracts a clause that if the industry does not reach the targets in terms of cost of production of a product, the benefit of

1 Space policy 2021-2027: Europe on the firing line, information report on behalf of the European Affairs Committee, Information Report on space policy of the European Union, and Jean André Gattolin? François Rapin, on behalf of the European Affairs Committee of the Senate on July 4, 2019; notes Jean-Luc Fugit for Opecst, January 2019; Aude information report Bono Vandorme and Bernard Deflesselles, tabled by the Committee on European Affairs of the National Assembly on the European Space Policy, in November 2018. These reports are also unanimous on the question of European preference. - 66 -

geographical return would be challenged. Similarly, CNES believes that " when the program results in a production phase, and this is the only case of launchers, a competitive review should be possible ". This ties the idea, supported by the deputy Jean-Luc Fuguit in the above note on reusable launch vehicles, " smart georeturn "Based on comparative industrial competitiveness.

CNES notes that, for the development of Ariane 6, Member States had agreed to allow ArianeGroup deliver competitive subcontractors (companies called "level 2 and 3") in certain circumstances, provided that revenues generated by the first part of the production reached the setting of the initial country funds in question and if the industrial concerned refused to reduce its prices comparable to ArianeGroup. The aim was to avoid situations where annuity industrial chosen for the development of a launcher equipment is responsible for the production of the equipment for the duration of production. However, although included in the high-level requirements ( " High level requirements "Or HLR) decided by the European Space Agency for the development of Ariane 6, this provision had not been formally approved by the participating States to Ariane 6 and is now strongly challenged by those States.

The idea of ​​a " smart georeturn "Therefore deserves to be dug in that it would encourage manufacturers to further reduce costs, both in the production phase than in the operating phase.

b) Reduce the spread of industrial production

In connection with the relaxation of the principle of geographical return, it appears necessary to continue the industrial rationalization to reduce production costs.

Several people interviewed by the Working Group highlighted the efforts made by the industry to complete the Ariane 6 project in record time and on cost reduction objectives. The launcher sector has indeed been a deep industrial reorganization at the program launch. Airbus and groups combined their assets in the field of launchers ArianeGroup create in 2016, thereby substituting for contractual relations direct relations within the same company Franco-German composed of 9 000 employees. ArianeGroup - for a time called Airbus Safran Launchers (ASL) - also became prime contractor for the development of the new Ariane 6 launcher 1. Moreover, since the purchase of shares held by

CNES, is ArianeGroup the majority shareholder

1 As André-Hubert Roussel recalled on May 22, it should also be noted that " is a dual company, whose business is divided between weapons systems of oceanic force of French deterrence and commercial space launchers ". - 67 -

Arianespace, ensuring full alignment of interests between the producer of the launcher and the company that sells 1.

The general opinion of those interviewed by the Working Group, creating ArianeGroup is undoubtedly a success resulting in better overall efficiency in development and exploitation. At his hearing, Geneviève Fioraso praised the performance of the industry will be able to develop a new pitcher in six years with a totally changed industrial organization.

This streamlining has also resulted in some pressure on subcontractors, who also had to make an effort to cut costs, like the Clemessy business.

Industrial rationalization has also drafted between Avio and ArianeGroup with the production of the P120C.

If it is to be welcomed this progress, several speakers also stressed the need to go further, arguing that there is still room for maneuver to reduce dispersing the European industrial tool. The Directorate General of Armaments believes that " outside companies to the ecosystem ArianeGroup have no incentive to reduce costs, and (that) this reduction is essentially driven by ArianeGroup ". CNES believes for instance that the fact that two major industrial (ArianeGroup GmbH and MT Aerospace) share activities on five industrial sites left to presage a significant potential for increased competitiveness. Such consolidation in Germany should be sought within the framework of an integrated European company and not from the perspective of creating "national champions", which would go down in the history of European space cooperation.

The rapporteurs share this analysis and, therefore, encourage industry and States to reflect on ways and means of further rationalization of production facilities. According to the responses provided to the working group by the European Space Agency, the Board of the Agency demanded the implementation of a binding cost reduction plan for each participating State, which would pass by industrial restructuring, internal consolidation of Arianespace and ArianeGroup, efficiencies and lower costs of outsourcing.

The rapporteurs himself welcome the the statement

France and Germany of October 16, 2019 abounds in this sense 2.

1 This is also the case for Vega, since Avio is also a shareholder of Arianespace.

2 " The French and German governments call on industry players to develop consolidation measures to improve cost efficiency and international competitiveness, and to strengthen the European industry of space launch ". - 68 -

C. RESTORING THE AMBITION EUROPEAN SPACE

Europe must be supported by a competitive industry and mastering reuse to maintain its market share. Meanwhile, European governments must mobilize to recognize the autonomy of access to space as a condition of the European strategic autonomy and growth for our spatial economy. This mobilization involves a political track, which will require a budget commitment of the entire European space.

1. The need for leadership collective pressing ambition

Space policy seems to embody, better than any other public policy, the famous question given to Henry Kissinger " Europe, which phone number? ". The existence of various structures, in part to spare insurmountable balances between States makes the decision process

complex, slow, indeed rigid. As the highlighted André-Hubert Roussel on May 22. " Europe unfortunately the launchers, like the political Europe is torn by questions, tensions or centrifugal forces with a temptation to renationalise this or that element of space policy. "The institutional current movement, which seems to lead to the rise of the European Union, should be an opportunity to improve decision making and cooperation.

To remedy, the main spatial States - on launchers, minima France, Germany and Italy 1 - must take a leadership collective, to breathe in the European space, whatever the institutional forms. Should they agree among themselves on a medium-term strategy.

The rapporteurs identified several prerequisites for such coordination. First, France needs to create a genuine "France team" who shares the same goals. The hearing of May 22 the Senate was able to show the alignment of CNES and ArianeGroup. It would also be the CNES and ONERA strengthen ties. The government-industry consultative committee on space (Cospace) is the best place to bring out common positions. It should further involve Parliament in its work.

With Italy, it should be to overhaul the latent conflict between Avio and Arianespace, which translates into a share of the Italian group against the decision of the European Commission authorizing the transfer to the CNES ArianeGroup stake in Arianespace, which made the manufacturer of Ariane

1 The UK is no longer involved launcher development programs from Ariane 5. - 69 -

the majority shareholder of Arianespace 1. Avio claims a greater responsibility in the management of launch operations: the company believes that " it is necessary to provide, as " prime contractor " all operational management tools profit and loss, including site management responsibility and launch infrastructure and technical responsibility launchers "So that Arianespace" focuses on its primary role is to say, the sale of launch services to the end customer, satellite preparation for the launch and execution of the launch ". A favorable outcome to this dispute might be due to greater involvement of the Italian industrial company in the European marketing launch services.

With Germany, the transition to liquid propulsion and greater budgetary rigor to the European Space Agency will probably hire a convergence process. The Franco-German Declaration of 16 October constitutes a decisive step in this direction.

But such leadership collective should also be embodied in a goal. As explained by the employees ArianeGroup 2 teams can not only engage with a cost reduction target. Reflecting Gattolin

Andre and Jean-François Rapin who feel European space " political narrative of failure " 3 Europe launchers seem out of breath.

Today, it is clear that it is the US space sector that thrills crowds with horizon the development of manned flight. Elon Musk reaches its advanced stage in the manner of an epic that would have the ultimate goal of colonization of Mars. In 2020 should be held in the first manned capsules

SpaceX and of Boeing, first missions of this type entrusted to private companies. While in 2017, only

560 people went into space 4 SpaceX aims with its launcher Starship enable suborbital flights to move from point A to point B in the world in the manner of an airliner, but in much reduced times and allow the colonization of other planets 5. Jeff Bezos, though more discreet, also placed on the manned flight, with the return to the Moon for the first goal, but also the development of artificial space colonies. Beyond these personal adventures, the US government returns to power logic, embodied in the US National Space Strategy March 2018 and the new goal of a return of US astronauts on the Moon as early as 2024, embodied in the plan " Artemis " of the Nasa.

1 Avio against European Commission, case T-139/18 recorded February 21, 2018, concerning the Decision C (2016) 4621 of 20 July

2016. 2 Air et Cosmos, October 11, 2019.

3 André Gattolin, Jean-François Rapin, supra report.

4 source: Bank of America - Merrill Lynch aforementioned report.

5 It is likely that this project will only be achieved if the security conditions are met, 18 deaths already being regrettable since the early days of space exploration. - 70 -

This movement goes beyond the United States. Taking the place of the former Soviet rival, China is developing an independent space station and aims to achieve lunar missions inhabited by 2030. In India, the Prime Minister announced the ambition of a successful manned space mission by 2022. India would become the fourth member of an elite club bringing together the US, Russia and China. We observe a trend towards the return of manned flight.

Unlike Ariane 6, Ariane 5 was based on a truly ambitious European project in the late

1980s, Europe intends to participate in the epic manned flight to the Hermès shuttle 1. Today we can legitimately ask the question of what Europe on human spaceflight. To date, not much. Executives consider ArianeGroup Ariane 6 could be adapted to human spaceflight. The European Space Agency is developing a concept modestly lunar village. Last January, ArianeGroup signed a one year contract with the European Space Agency to study the possibility of going to the moon by 2025 and start work there in order to exploit the regolith, a mineral which it is possible extracting water and oxygen, thus allowing to consider an autonomous human presence on the moon and produce fuel for more distant exploration missions.

Europe should above all question its aims, leading to renewed ambition shared by our fellow citizens. At a time when the European project is the subject of wrangling, the European space can become the new locomotive of Europe.

2. A necessary fiscal mobilization

France is the largest contributor of Ariane launchers since the 1970s. According to the

Court of Auditors on the program Ariane 6, France finance half of 4 billion initially decided 2 58% of the EUR 431 million decided at the ministerial meeting in Lucerne in 2016 and 69% of the € 376 million charge for the year by the Board of the Agency in June 2018. Taking into account the totality of the space sector, France is the 2 e public investor in the world after the US in terms of GDP (0.1%) and dollars per capita ($ 41) 3.

1 As notaient Catherine Procaccia and Bruno Sido in 2012, cited in their report " architecture Ariane 5 retains traces of this initial desire to make a space launcher (redundant systems, ignition and operation verification engine of the main stage 6 seconds before take off ...) ".

2 In detail, according to the CNES, France contributes 52% to the Ariane 6 and 35.8% in the P120C program, tied with Italy. By comparison, Germany contributes about 23.55% to 20.45% and Ariane 6 to P120C. Vega C, France contributes 12%, against 50% for Italy and only 6.98% for Italy.

3 source: ESPI, Space policies, Issues and trends in 2017-2018, October 2018. - 71 -

This financial effort could be shared more with our European partners: The independent access to space is a good that benefits all European states, it is time that everyone become aware!

In 2020, France has ended its practice of under-budgeting of its allocation to the European Space Agency, which puts it more in a weak position when it comes to advocating for increased investment by its partners.

The Court of Auditors has suggested the interesting idea, although at this stage rather difficult to implement given the differences between the various Member States on the role of launchers, try to integrate the funding of programs for launchers in mandatory programs the

European Space Agency, now limited to scientific research programs 1.

It also recommended that our European partners, either through the Agency or through the European Union, invest more in the Guiana Space Center. It considers that France continues to bear 84% of the costs of the launch base (the Guiana Space Center) 2. CNES stressed to reporters that the Court had also raised the idea of involving the Member States of the European Space Agency to expenses related to external security provided by the police and military and directly supported by the French State 3. Although it seems difficult, since these expenses are of a character perfectly "sovereign" it could indeed be considered to open negotiations on the extent of the perimeter of the fixed costs borne by the Agency, including, in this case, the outdoor security provided by the police and the military. This can only be achieved by a comprehensive renegotiation of the agreement between France and the European Space Agency as of 2008, that will not be to the agenda before the next Ministerial Council in 2022.

1 Contributions to the budget of the Agency distinguish two types of programs: mandatory programs - mainly concerning the scientific programs - to which all members are forced to participate based on the gross national product, and optional programs - such as

the programs concerning the launchers or satellites telecommunications - which the contribution is optional and voluntary. 2 Of the CSG funding arrangements, see Appendix 7.

3 Units 3 e REI and 9 e RIMA for terrestrial device; Maritime device provided by light patrol vessels of the Navy and the stars of the coastguard; air device directed through Puma helicopters and Fennec, and a battery artillery sol-air Mistral Army; reinforcement of gendarmes to the external protection of vital nine points (VIP), sites, between sites and access routes CSG. It is still to be noted that ESA participates already 2/3 of expenditure on staff of the Brigade of Fire Brigade (BSPP), made available to the GSA by the police prefecture of Paris, to ensure the protection of persons and property, as well as supervising activities at risk. The cost of this service is of € 7 million per year. - 72 -

In general, the agreement of other Member States of the Agency for the release of additional funds for the CSG is often difficult to obtain due to the nature of the activity of the CSG, which is primarily the realization infrastructure and industrial maintenance. This therefore creates a less technical and industrial interest of Member States,

compared to other space programs (Scientists, satellites and launchers). The proposed additional demand at the next Ministerial Council seems to be a maximum difficult to overcome in the short term.

Beyond the contribution of the European Space Agency, the main channel of distribution of costs would be growing involvement of the European Union, in line with its ambitions embodied in its space strategy for Europe in 2016 and in its sectoral proposal for a Regulation establishing the space program of the EU and, finally, the budget increase as the Commission proposes for the next Framework multiannual financial. These credits could then be used to fund the CSG. According to the CNES, if in the short-medium term,

the European Commission has no plans to special contribution to the maintenance and operation of the center, it could finance new infrastructure dedicated to its Galileo and Copernicus programs (preparation halls, storage equipment, for example), as part of the launch service contracts. However, these investments do not fundamentally change the main budget balances. Greater involvement of the European Union will not happen in the longer term, after a long process of appropriation by the Commission on policy issues related to CSG. The rapporteurs invite the Government to use it.

Finally, Onera has attracted the attention of the Working Group on need to increase European research budgets and development upstream to the space sector: " it is clear that all sources of funding (national with CNES, European with the European Space Agency and the Commission) merged, the funds devoted to R & D in Europe in the space sector, especially pitchers, are extraordinarily low . The main wish that Onera can make is that they greatly increase in the future, and leave more space for proposals' bottom up "If one does not want to let win ". This is why the rapporteurs wish to recall the terms of a resolution passed by the Senate last August that it should be " deepen the effort of research and innovation in the space sector and demand, therefore, an envelope of 4 billion euros of the future framework program Horizon Europe are being affected ". These additional funds could indeed finance some future preparedness. It should ensure the complementarity of these projects with - 73 -

activities conducted by the European Space Agency and Member States 1.

Place the private sector also deserve to be strengthened. We probably will not Elon Musk or Jeff Bezos. But, again, Europe has room for improvement here. Even if the Private investments in space are four to eight times lower in Europe than in the US, a trend on the rise in Europe over the last two years:

Private investments in space in Europe

Source: European space policy institute, Space Venture Europe 2018, February 2019

These investments are mostly concentrated on a few large transactions (five transactions represent almost 2/3 of the amounts) and mainly the fact of venture capital funds (83%). The UK, Finland and Ireland recorded the largest private investments. The development of venture capital in France should allow our countries to mobilize more private funding in the space sector.

1 For example, the project Retalt ( Retro Engine Assisted Landing Technology) DLR funded by the European Union through 2020 and that could participate in the development of reusable technologies is in any previous project and should therefore remain at the stage of the study.

- 75 -

NOTES

I. THE INSTITUTIONS OF THE EUROPEAN SPACE

From an institutional point of view, the European space is composed of three main players:

- the Member States, and in particular their space agencies (eg CNES in France, Center for Aeronautics and Astronautics (DLR) in Germany.)

- the European Space Agency, who is an organization formally established intergovernmental international in 1975 with a mission to develop and implement space exclusively civilian programs at European level, whose operation is based on the principle of unanimity and that the geographic scope does not overlap with that of the European Union (one finds there, among the 22 Member States, 20 Member States of the European Union plus Norway and Switzerland). There are two types of programs: mandatory programs funded by financial contributions from all Member States and calculated based on the gross national product (these are mainly scientific programs, such as , and BepiColombo) and optional programs for which each country determines whether it wishes to participate and how high (in the case of Ariane and Vega 6 C);

- the European Union ( EU), which is a sponsor of the Galileo program 1 EGNOS

(navigation) and Copernicus 2 ( Earth observation). The space is a shared competence between the EU and the Member States since the Treaty of Lisbon. It has an agency of the overall system of European satellite navigation responsible for optimizing the return on investment in the European satellite navigation systems.

It also adds the EUMETSAT (EUMETSAT), international intergovernmental organization created in 1986 and uniting 30 European Member States for the establishment, maintenance and operation of European systems weather satellites.

1 The service runs from 15 December 2016, but still has not reached its full operational capability. It gives an accuracy of half a meter, against a dozen meters to the American GPS. The latest generation of smartphones are all compatible with Galileo and, according

JY Le Gall, Galileo has 100 million more users every month. 2 Copernicus is a monitoring program of the single Earth world. Many commercial applications can be drawn. Its open data policy has however been the subject of controversy, since the Court of Auditors noted in 2016 that the main users were the US digital giant. - 76 -

II. MARKET COMMERCIAL AND INSTITUTIONAL MARKET: A DISTINCTION FRAGILE

If it is 6.2 billion today on an estimated spatial economy 360 billion dollars, 1.7% of the space economy 1 the launch services market is nevertheless essential since it determines the presence of a state on all of the space industry.

There are generally the commercial market of satellite launches into space in the institutional market. It is generally estimated that the commercial market represents between a quarter and a third the total number of satellite launches worldwide. However, no standard definition exists internationally. The idea of ​​this distinction is in fact separate launches "reserved" to national operators and those who are not, according to various criteria such as the use of competitive bidding or private contract agreement, the existence or not of a national preference rule and the type of financing of the payload (public, private, public / private).

The absence of a generally accepted definition thus makes it difficult to interpret the figures for market shares of the various operators and launchers on the commercial market.

The launch of satellites does not include all of the space transportation market must be added sending probes for space exploration, supply the International Space Station and the manned flight to the same station or, in the coming years, .

1 Figures for the year 2018 presented in the " 2019 State of the Satellite Industry Report "

Satellite Industry Association and Bryce Space Technology, May 2019. - 77 -

III. CLASSIFICATION OF SMALL SATELLITES

According to the ONERA (ONERA), satellites from one can break up to 500 kilograms as follows:

- Femtosatellite: weight <100 g;

- Picosatellite: mass <1 kg;

- Nanosat (or CubeSat): mass <10 kg;

- Microsatellite: mass <100-150 kg (the Nasa believes this to satellites weighing less than 100 kg);

- Minisatellite: mass <500 kg (the Nasa believes this to satellites weighing less than 180 kg). - 78 -

IV. BETTING OFFER AMERICAN DEVELOPMENT COMMERCIAL SPACE TRANSPORTATION

The Commercial Space Launch Act adopted in 1984 and revised in 2004 laid the foundation of the development of new entrants to the commercial space market. The Federal Aviation Administration created a commercial space transportation office to regulate the sector. In 2006, the Nasa launched the program to support new entrants to build rockets and space capsules that could be used to resupply the international space station, knowing that the space shuttle would soon be arrested: the COTS program ( Commercial Orbital Transportation Services program) which has marked the start of the US turning to the " New Space " 1. It is in this program that SpaceX received its first substantial financial support of 278 million.

The goal was to achieve a new distribution of roles between the Nasa and companies marketing launch services, in a "win-win": "commercial" actors would be responsible, at first, the low orbit, and would receive a minimum flow of activity also require entry the commercial market, while Nasa could reduce its investment in this sector to focus on the exploration 2.

It also aimed to reduce costs for Nasa. This type of support program is indeed generally described as economically efficient: it consists in the definition of regular stages to arrive at a definitive point the companies are paid only if they reach the key points, cost being determined advance, contrary to the approach " cost-plus "Traditionally used for US contracts, based on development costs and adds a margin to the company to profit. A study of Nasa has estimated that this method allows to divide the cost by three 3.

1 On this "turning the US space policy", see the report of Catherine Procaccia and Bruno Sido cited above, in 2012, and the deputies Aude Bono Vandorme and Bernard Desflesselles on European space policy already mentioned, published in November 2018.

2 The COTS program was launched in parallel with a heavier program called " Constellation "Which was to allow the human return to the Moon in 2020, through the development, under the aegis of the NASA new launcher (Ares) and a manned capsule ( Orion) Co-developed with the European Space Agency and Airbus. In 2010, the Obama administration has decided to stop the program " Constellation "Become too expensive, retaining only the SLS and the capsule Orion and leave more space for young space companies relying on them to low orbit - that is to say by purchasing the launch service and not the launcher, whereas innovation in the field of launchers had been insufficient (it appears from President Obama's speech delivered on 15 April 2010, at ).

3 Edgar Zapata, An Assessment of Cost Improvements in the NASA COTS / CRS Program and Implications for Future NASA Missions. - 79 -

This privately load transmission strategy is also pushing at the space ports: in 2012, NASA published a document explaining its goal of making Kennedy Space Center a launching platform that could use multiple users rather than an infrastructure dedicated to programs 1.

Today, on the launch complex spatial databases government ( Kennedy Space Center, Vandenberg Air Force Base, Air Force Station ...) are operated by private operators under agreements assigning responsibilities in each case, but the general idea is that the Government remains responsible for maintenance of shared infrastructure 2. SpaceX have invested "hundreds of millions of dollars" to improve no shooting that the company operates on the basis of Cape Canaveral and Vandenberg.

1 NASA Kennedy Space Center future development concept, a new way of doing business for a new generation of explorers, 2012.

2 On this point the report of Government Accountability Office of May 2019 entitled " Commercial space transportation, FAA's workforce Improvements to schedule needed to prepare for the industry's growth Anticipated ". - 80 -

V. TERMS OF CALCULATING THE RULE OF RETURN GEOGRAPHIC: ITEM 4 OF ANNEX V TO CONVENTION 1975

The geographical distribution of all the contracts of the Agency is governed by the following rules:

1. The overall return coefficient of a Member State is defined as the ratio between the percentage of contracts it has received, calculated on the total amount of contracts awarded in all Member States and its total percentage contributions. However, in the calculation of this overall return coefficient, it is not based on past contracts or contributions made by Member States as part of a program undertaken:

(at) under Art. VIII of the Convention establishing a European Space Research Organization, provided that the relevant Arrangement contains provisions to this effect or that all participating States subsequently give their unanimous agreement;

(B) under Art. V, 1 (b) of this Convention, provided that all original participating States give their consent unanimously.

2. In calculating return coefficients, the amount of each contract is weighted based on its technological interest. The weights are set by the Board. Several weighting factors can be applied to one contract where the amount is significant.

3. The distribution of contracts placed by the Agency should strive towards an ideal situation in which all global return coefficients are equal to 1.

4. back coefficients are calculated quarterly and cumulative for formal examinations provided in paragraph 5.

5. Formal reviews of the geographical distribution of contracts are held every five years and an interim review before the end of the third year.

6. For each Member State, the geographical distribution of contracts between formal reviews of the situation should be such that, at each formal review, the cumulative overall return coefficient does not deviate significantly from the ideal value. At each formal review, the Council may revise the lower limit for the cumulative return ratio for the following period, provided that it should never drop to below 0.8. - 81 -

7. Separate evaluations of return coefficients are made and communicated to the Council for categories of contracts to be defined by it, especially the contract research and advanced development and contracts for project-related technology. The CEO discusses these assessments with the Council, at regular intervals to define, especially in the intermediate examination, to determine the necessary steps to correct any imbalances. - 82 -

VI. NEW GOVERNANCE INDUSTRIAL SURE THE DEVELOPMENT AND DEFINED OPERATIONS IN 2014

The new governance model defined in 2014 by the European Space Agency focused on both the development of launchers on their farms, industrial being entrusted with greater responsibilities in these two stages. As noted by the deputies Aude Bono Vandorme and Bernard Deflesselles " a profound change in governance was indeed essential to compete. The previous system of risk spreading nonreactive basically made the industry to market developments, with three players acting separately: CNES in charge of the design of the launcher industry in charge of its development and its Production Arianespace responsible for its sale. The autonomy of commercial and industrial entities entailed asymmetries of information. " 1

However, this does not mean total freedom on the industrial development:

- development activities are conducted in accordance with a set of "high-level requirements" ( High Level Requirements or HQR);

- prime contractors pitcher systems are invested in the "Design Authority" that covers the responsibility to make design choices and technical arbitrage and guarantee the design and the product over a period corresponding to that of development and operation; this "design authority" is accompanied by a specific obligation to be accountable to the European Space Agency.

Regarding the governance of exploitation, the Board of the Agency meeting at ministerial level in 2014 adopted a resolution in which he stressed that the industrial prime bear in all the risks related to the commercial market during operations without support from Member States, given that it will control the commercial launch services and that a number of contracts will be concluded each year for launches by various European institutional actors.

Source: European Space Agency

1 Aude Vandorme Bono, Bernard Deflesselles, information report filed by the European Affairs Committee of the National Assembly on the European Space Policy, November 2018. - 83 -

VII. THE ALLOCATION OF ACTIVITIES GUIANA SPACE CENTER (CSG)

Since 1975, EU Member States of the European Space Agency contribute to funding of the Guiana Space Center. Their contribution is managed as part of the agreement between France and the European Space Agency and the resolutions on the financing of successive periods of five years. In this context, all Member States of the European Space Agency ( including France) finance two-thirds of maintenance fees in operational conditions the base, the la France funding the latter directly third from its own budget. The distribution of funding between Member States of ESA takes into account firstly the gross national product of each of the 22 Member States and, secondly, the participation of each in the production programs of Ariane and Vega operated from the CSG.

The la France has also committed to fund and maintain Guyana's infrastructure necessary for the operation of the base, such as road networks, air and sea links and the major networks (energy, water, telecommunications).

The French Government is also responsible for the external protection of the site and homeland security.

Source: CNES

- 85 -

WORK IN COMMITTEE

joint hearing of Messrs. André-Hubert Roussel, Executive Chairman of ArianeGroup, and Jean-Yves Le Gall, president of the National Center for Space Studies (Wednesday, May 22, 2019)

Sophie Primas, President. - I am very happy that our Both boards receive, to learn about the politics of space launch, "the France team" in the matter. So we have the honor to welcome Jean-Yves Le Gall, president of the National Center for Space Studies

(CNES) and André Hubert Roussel President executive of ArianeGroup. Their opinions are not always convergent; it is good to hear the one and the other. This hearing also inaugurated the work of a group of job restricted including members of our two commissions on the launchers policy.

Access to space is a necessary condition to conquer the market share of Europe in a spatial economy growing. International competition in an industry increasingly competitive, worried. Finally, the ministerial meeting of the European Space Agency, by year end, will establish the framework of the policy of European launchers for years to come.

In the part of its annual public report, the Court of Auditors warned about the "significant risk that the launcher (Ariane 6) is not sustainable competitive with SpaceX ". Similarly, the economy minister had noted that the introductory price on Ariane 6 in 2021 would be one of the launcher Falcon 9 2017 ... In short, there reigns a feverish climate. The European space had a position leadership the commercial launch market since the early ninety. Today, it faces fierce competition on both price competitiveness on non-price competitiveness - about our thoughts for a long time.

What is your analysis of the evolution of the launcher market and the role the Ariane 6 launcher will play? Can you revisit important innovations of this launcher, the cost of development and its launch price? You tell us if you are worried or if we can be confident ...

Some other questions: to what extent does it review the rule of geographic return, until the heart of the industrial policy of the European Space Agency (ESA), for pitchers, who are subject to intense competition? The extremely fussy application, if not rigid, which is currently made could it be made more fluid? - 86 -

The conclusion of an agreement between Germany and SpaceX in 2013 emphasized the limits of European solidarity in the field. In the institutional market more limited than elsewhere, it seems unreasonable not to use the European launcher, developed on European funds. How to define and ensure the principle of European preference?

In 2014, a resolution of the ESA endorsed a new equilibrium: in return for operating risk being borne industrial, States pledged to provide a minimum steering wheel controls, to ensure the maintenance building operational. Where are we on these commitments?

In parallel, it should pursue innovations for future adaptations of Ariane 6 and future European launchers. You recently launched a platform called ArianeWorks. What are the priorities? Is the new technological standard reusable without which European launchers can not continue? Should European countries financially engage more?

My last question ArianeGroup: what additional opportunities to reduce production costs?

Mr. Christian Cambon, president. - The political space is a strong economic issue; defense and European security are also concerned. Since GPS smartphones to our military intelligence, access to space is strategic. It is a condition of both our sovereignty and our economic competitiveness.

access low cost the space is growing since the advent of new space, embodied SpaceX with its RLV. He benefits, unlike Arianespace, public financial support massive US thanks to orders from the Pentagon. He changed the landscape space and necessitates rapid adaptation, hardly compatible with the long-time development of space programs but especially with the ESA operating rules.

A ministerial meeting of the Board of the Agency will be held in November 2019 - we will tell you what direction you want to see approved. The annual public report of the Court of Auditors has taken the alarm about the extent of the challenges. It is important we appeared to update you on the future of European launch vehicles, especially Ariane 6.

The geographical return is an eternal problem because it does not allow industrial optimization. Should we give it up? You will give us your opinion on this sensitive subject. This relates directly to France who has taken over half of the financial commitments undertaken for the development of Ariane 6: nearly 2.5 billion euros since 2014! - 87 -

What about competition between member countries? We all intra-European competition head incomprehensible that engage and Ariane 6 Vega C, Italian launcher. How has the European space could be misled as to support two competing launchers?

Ariane 6 should also reassure - but is it possible? - its ability to be more than a "transitional launcher" and respond to medium term to new conditions of access to space. Will he Bypassing the operating balance to subsidies? Can public funds be redirected towards innovation and other segments, such as orbital systems? Number of industrial evoke the danger of focusing on pitching at the expense of the satellites.

Although it is not easy to get together for the same hearing, it seemed natural to question "the France team" launchers, namely our space agency and prime contractor for Ariane 6 . I hope that our vision of the future will be lit!

Mr. Jean-Yves Le Gall, president of the National Center for Studies space. - Thank you for expressing ourselves invited to the Senate of the French Republic on this fundamental issue for our space policy. These EU programs, even though our "Team France" launchers are taking a very important part. The European Space Policy is indeed largely driven by France since the CNES by General de Gaulle in 1961. Our country has become in 1965 the third space power with the launcher. The pitchers are 50% funded by the budget of the French State; it was in France that focused most human and industrial resources, the space center in French Guiana is the main asset of Europe in space.

Germany and France, which together developed the Symphony telecommunications satellite understood the importance of pitching in 1973 when the United States agreed to launch version experimental, but not a commercial satellite. This is what led him to develop Ariane. I described in an article in Release this morning, as André-Hubert did yesterday in Le Figaro, the success story Ariadne: first launch of Ariane 1 in 1979, Ariane 4 in 1988, Ariane 5 in June 1996 and, in 2013, decided to develop and Ariane 6 Vega C. This commercial success, politics, industry, the world envies us!

The European Space Agency has developed a European space program both balanced - covering all sectors of space activity - and efficient, thanks to the cooperation. The countries of Asia, Africa or Latin America to consult with us to create their regional agencies ... We are better than others with lesser means, although substantial: CNES has an annual budget, 2.4 billion euros, equivalent to ... the annual increase in NASA's budget! The programs are matched by the effort of the European Commission; the - 88 -

current multiannual framework is 11.4 billion euros, the next will increase to 16 billion, an increase of 50%.

Second actor, industry. I congratulate Mr. Roussel ArianeGroup knew unite the entire European space industry and challenges. Third actor, CNES provides the European space expertise must in the field of launchers, and operates the space center in Guiana in France there is a particular sensitivity on launchers.

The European model was built in a small institutional market. The Americans launched more satellites, have a total budget of 22 billion dollars, against 2.5 for us. The Chinese also launched many satellites ... maybe because their shorter duration. The European model has had to rely on a commercial success, which requires competitive being, therefore at the forefront of innovation, but also requires a strong commitment of European countries to use the developed launchers Europe.

The year 2019 will be very important as the Ministerial Conference, which takes place every three years and to meet in Seville in November, will decide the future of Europe in space. ESA The board brought me to his presidency: we are actively preparing for this appointment. Cooperation between industry and CNES national space agency, is remarkable, we work hand in hand. We will in the next six months to share with our partners this perfect agreement.

The geographical return rule is in the operation of the ASE: we must give him flexibility. The use by Europeans European launchers is inscribed in the Madrid Resolution 25 October 2018: this will be true in the future. As for innovation and preparation for post-Ariane 6 and Vega C, there are initiatives Prometheus, Callisto and Themis within the platform ArianeWorks you spoke. Regarding the competition between Ariane 6 and Vega C, we must remember that they are both ESA programs. The first is rather French-German, the second Italian, but it relies heavily on French industry. Agreements have been concluded, we are working hand in hand yet.

The France team is welded, is the key to success; and the European space program is balanced and effective.

André-Hubert Roussel, Executive Chairman of ArianeGroup. - The 24 December, we will celebrate the fortieth anniversary of the first flight of Ariane, which is one of the most beautiful European industrial success. For forty years we have assured the Europeans an independent and sovereign access to space, with a leadership position in the commercial market. The imperative of competitiveness today unprecedented led us to develop Ariane 6 for

satellite launch institutional as for commercial transactions at market prices. - 89 -

I run from 1 ArianeGroup st January. The Franco-German group has 9 000 employees Airbus and Safran wanted to create a unique structure for launches. Nevertheless it is a dual company, whose business is divided between M51 weapons systems of oceanic force of French deterrence and commercial space launchers. It is a public-private partnership. Cooperation is ensured within ESA, with a major French contribution. We are a leader in the open global market. This is how we can maintain independent sector.

It is important to continue developing this model, challenge the strong American competition - SpaceX US marks a return to the commercial market. The European launchers alas, as a political Europe is torn by questions, tensions or centrifugal forces with a temptation to renationalise this or that element of space policy. CNES and ArianeGroup therefore deliver all battle on several fronts, and first on the fiscal front: it certainly is not to compete with the US budget was € 50 billion if one includes the investment of US department of defense, against 10 billion European side. But we have been able to be effective in the past with a space industry leading globally, and which nevertheless remains a leader.

There is also a commercial battle to win against SpaceX particularly in a decrease in global market conditions, amid uncertainty profile future market satellites geostationary or constellations, even if they are slow to come.

The technological battle is fundamental for access to space remains as powerful in the future. The new space means a fall in the price of access to space. The Ministerial end deadline year will be important in this respect: it will not stop at Ariane 6, designed as scalable. Ariane has been at the forefront of technology. Today's investments prepare pitching tomorrow.

There is a global launches overactivity 119 last year, but only 10 order intake for launches on geostationary satellites or constellations. The US and Chinese markets are inaccessible to European launchers, or they account for two-thirds of the global market. There were 39 Chinese launches (only two commercial) 34 US (for more than half, institutional). Europe is the only market open, she came in fourth with 11 successful shots, including 4 dual launches. But Arianespace remains leader over SpaceX,

sure the market geostationary, with controls for 5 launches and 3 options, 1 against and 1 for our competitor. - 90 -

The competitiveness plan decided by ArianeGroup includes a rundown of 2300 posts over the next four years to cope with falling market prices and increase productivity and competitiveness. In 2019, operating activities remains strong but the planned growth will not be achieved; US outlook is somewhat weaker than expected. The urgency to stay in the race, is to make Ariane 6 a success, with a price of access to the lower space of half that charged on Ariane 5. As for the non-price competitiveness, the launcher will flexible,

all assignments in all orbits for customers institutional or commercial.

Europe must put a protective framework for its technology, its industry, its businesses, jobs: the ball is in the policy side. On the European preference, significant advances have occurred; the European Commission wants to pass a new European regulation and bears a renewed space ambitions, with 16 billion euros over the next legislature. Article 5 of the regulations being adopted by the European Union opens the way for a European preference and a guarantee of launch of European missions Ariane Vega or, in other words a kind of "Buy european" act, on the American model. After the Madrid Resolution, the last of 17 April includes institutional order commitments, and before that, a guarantee by the States,

needed to start production. Institutional orders materialize.

Ariane 6 enters the last phase of its construction, it has to fly before the end of 2020, according to the contract signed with ESA. From the production phase, savings were acquired on the development (faster, less than six years) and cost, thanks to innovative manufacturing technologies, 3D, surface laser treatment, especially integration with the horizontal, enabling our employees to have visibility on constantly pitcher and organize a production line in the same way as in the aerospace or automotive. We are now a year or eighteen months of the first flight, and many elements are already made: Vinci engine for the upper stage qualified motor evolution Vulcan also qualified, progress towards qualification developed boosters with Italian Avio which also will equip the Vega C. Finally, I will mention another great innovation sometimes forgotten: the auxiliary power unit, fourth motor in the upper stage, to enhance the ability to place constellations successively on different orbital planes.

Some milestones are still ahead of us testing the upper stage will continue to Lampoldshausen Germany. CNES is building the launch pad in Kourou to proceed to the combined trials: we will forward a complete vehicle on a no full shot - 91 -

to check for any interfacing, filling the reservoirs in liquid hydrogen and oxygen, and all sequences before launch.

The first commercial customer for the first flight will be the constellation OneWeb; there will be from the following customers, EU to launch Galileo, as well as commercial and institutional customers, I think the jumping-3 satellite.

We must continue to develop the technologies, including the Prometheus engine. You asked the question reuse. To ensure customers an orbiting at the lowest cost motor low cost was developed as part of this program, with simplifications; we will work to reuse if the launch rate rendered it economically viable. Reuse is one of the major projects to be presented to the Ministerial. To use, you have to come back. CNES and ArianeGroup ArianeWorks set up to work on a reusable first stage. Callisto is a model that will allow us to be ready if the implementation of such an engine is needed in the future. We will also work on composite materials to lighten the launcher ... so its cost.

Sophie Primas, President. - The elected group for space until now was chaired by Mr Bockel: to honor him!

Jean-Marie Bockel. - Gentlemen, you have already provided many answers. Autonomy Is access of Europeans to the area threatened by the current global competition? Because many countries are doing in this market. The European consensus remains in question: a preference for the Ariane launcher would help ...

With the rise of military space is the question of the prospects for the future. What are the future of space launch markets? Are these constellations? Human spaceflight? ... Always in light of this desire to preserve our autonomy access to space, what are your expectations vis-à-vis States about ministerial next fall?

This is the first time that President Roussel speaks to us and I wonder if the task articulation problems between ArianeGroup and Avio are about to be resolved. You mentioned adaptable concept about Ariane 6: the prospect of an adaptation in 2025 is it not a bit far?

Mr. Jean-François Rapin. - I am, since February co-rapporteur, with André Gattolin on European space policy on behalf of the Committee on European Affairs. Thank you for inviting us. - 92 -

The CNES-ArianeGroup association has led to many successes. I think of Copernicus, which is growing consensus on the planet, but also to Galileo, becoming a real competitor to GPS, which will become a leader. The European Space Policy seems ambitious, evidenced by the 16 billion euros the next multiannual framework. But uncertainties remain, especially in the articulation of roles, and we do not always know who did what. The strategies of the players are a little different ...

According to the report of the Court of Auditors, the CNES should, Guyana, focus on the space, and leave to the state land development. This seems rational, even if the CNES remains a major employer in a fragile territory. What do you think ?

Catherine Procaccia. - Mr. Bruno Sido and I follow, within the Opecst, space issues. Our 2012 report evoked SpaceX, constellations, reusable rockets: the entire French space community we laughed in his face. And now, SpaceX exist. Europe is not she always late? ArianeGroup not working on any other projects Ariane 6, only changes in the program. Gold SpaceX is preparing to launch the high speed internet space ...

"Put the military in space," now say members of the Government. We have not heard that in a long time, but this is it translates the orders and credits?

Finally it seems that weather forecasts are threatened by 5G, which would use the same frequency as our satellites. What?

Laurent DUPLOMB. - Elected Haute-Loire, I want to remind than Galileo, launched in 2005, has to Jacques Barrot. On 2 April 2019, 26 satellites were launched, of which 22 are operational, with hundreds of millions of users. For the program to be completed, 30 satellites should be installed. When will we reach a complete system? He will cost 5 billion euros respected? I am a farmer and I look forward exists a European system actually competing with the US GPS, Glonass Russian or Beidou Chinese.

Gilbert Roger. - Consequence of 4,900 satellite launches since 1957, 22,000 detectable objects are in orbit, of which 94% are space debris. When is a truly international regulations, to replace a simple gentlemen's agreement?

Mr. Ladislas Poniatowski. - will ArianeGroup remove 2300 posts: that you too long to launch Ariane 6, and playing accordingly yo-yo, after hiring 1500 people in the last three years to catch up ... I must say how much the national representation posts will be removed, when, and with what impact on subcontractors, France and Germany. - 93 -

Fabien Gay. - An open market because of difficulties. The Chinese and US markets are closed, and funded differently. Your remarks seem to me timid. It is time to tell the truth to parliament if political support and military and civilian investments disappear ArianeGroup will continue to decline. In front of SpaceX

Amazon today or tomorrow, strong support is needed.

Ariane 6 will compete not with Vega C, because it is not the same tonnage but with Soyuz, whose presence has a political meaning ... The center conducts Guyanese 11 launches per year currently, but will instead be 5 or 6 in the coming five years.

I will not repeat downsizing in ArianeGroup because I share the questions that have been formulated.

Regarding the launch costs, you proclaim halving, instead I heard 30%, thanks to a reduction in the duration of campaigns - which would pass from thirty to two weeks - by reducing the number of engineers making on the spot ... But there is also a social plan in preparation for the Guyanese space center: it is announced the removal of between 300 and 500 jobs in a french territory ravaged by unemployment: how will you manage that? What are the consequences for the thirty external providers?

Olivier Cadic. - Luxembourg has made space a priority: is the first European country to adopt a legal framework recognizing the use of resources from space. What do you think the cooperation memorandum between our neighbor and the United States?

Pascal ALLIZARD. - Non-state actors, SpaceX or Blue Origin break codes and prices, exert aggressive competition and criticize government subsidies. What is your analysis of this new situation? And what do you think of the rise of China, which announced heavy launchers future?

Mr Roland Courteau. - You mentioned an orbit in best price: this not happening with reusable launchers like the US? You say the possibly consider: but are there no emergency? The competitiveness of the European space industry is not threatened? We are not in Europe, rules such as European preference: the first step you mentioned is it enough? I doubt !

Since 1957, tens of thousands of debris accumulated on low orbits in particular. What do you think ?

Pierre Laurent. - Deletions massive job you plan they not return to sacrificing the future for immediate competitiveness? To be competitive in the future, we must resolutely invest - 94 -

in research on the ecological transition, the new needs to imagine. This had been able to General de Gaulle in creating the CNES.

Pierre Cuypers. - What means for ArianeGroup manage the problem of space debris?

Mr. Jean-Pierre Decool. - How he plans to push CNES the establishment of a real team in Europe? Would it not be more competitive means?

Anne-Catherine Loisier. - Eutelsat you he will choose for launch of its next satellite Konnect, for broadband?

Sophie Primas, President. - If I have understood you, the Prometheus engine could equip Ariane 6, replacing the current three engines: but I have read that he would present less of synergies with the military part: what is it?

Mr. Jean-Yves Le Gall. - The European Space autonomy is it threatened, asks Mr Bockel, yes, because the model of the last thirty years is changing, the success of a European launcher based on the commercial market, which has totally changed: we must therefore also change. No, because the European states want this European Space autonomy. The President of the Republic, soon after taking office, came to CNES Thomas Pesquet welcome the return of its mission. He also visited the Guiana Space Center, by inviting them Jean-Claude Juncker, demonstrating its commitment to the European space policy. The autonomy is not threatened, it must organize.

The military space is the subject of the attention of Mrs Parly, the current debate will lead to the announcement of new programs.

Relations between ArianeGroup and Avio CNES views have evolved significantly in recent weeks, Mr. Roussel mentioned resolution of 17 April: I spent a lot of time promoting its adoption by the ESA Council. It includes an agreement between the two companies.

Mr. Rapin, Copernicus is a program that is not often, but the whole world envies us: observing the seven satellites and data access create an ecosystem with multiple startups in Europe. Mr. DUPLOMB, yes, Galileo owes much to the considerable work of Jacques Barrot, and users will soon be a billion! I chair the European agency responsible for the program, in Prague today, in every smartphone bought a chip to retrieve the Galileo signal, which is automatically selected because it is more powerful than GPS. "One day, prophesied Jacques Barrot, we will say that GPS is the American Galileo. "In two years, the world will use Galileo. Today, 22 of the 26 orbiting satellites work perfectly; in 2020

the Constellation will be complete and all services will be available. - 95 -

Today we enter the second phase, using the signal. The program cost was about five billion euros for the first five years, at about 800 million euros per year. This success will be continued, it is one of the key points of the new budget sixteen billion dedicated to the already mentioned space.

Mr Ladislas Poniatowski. - Without the English, yet!

Mr. Jean-Yves Le Gall. - We regret that with Brexit they released Galileo ...

André-Hubert Roussel. - It is not finished !

Mr. Jean-Yves Le Gall. - I mean Mrs. Procaccia we do not have laughed at the authors of the 2012 report.

Mr. Bruno Sido. - But if !

Mr. Jean-Yves Le Gall. - Your report has laid the foundation of debate. It was undoubtedly a visionary: the facts have proved you right. The tracks you esquissiez are now included in our innovation program launchers. As for the 5G and the weather, we will find a solution.

The film Gravity has brought to the forefront the problem of space debris: Sandra Bullock and George Clooney are spokespeople much more effective than us! The idea that waste is growing exponentially is theoretical, but the best way to limit the number still refrain from dirty space.

Gilbert Roger. - I have not seen this film, but I would like a more precise answer: are there any rules?

Mr. Jean-Yves Le Gall. - The law on space operations prescribed an orbiting upper floors launchers, which creates more debris ... today is the explosive bolts replaced by straps. It reduces the volume of debris. But in India or China, it does not necessarily follow these rules, especially for testing.

Luxembourg has an ambitious, visionary, since it legislated on the future operation of asteroids, but this is not for tomorrow! CNES and the Japanese Space Agency will launch MMX mission in 2024, or 500 million to bring 10 grams Phobos one of the moons of Mars. The asteroid belt is more distant go is a project ... futuristic! Wilbur Ross, the US secretary of state is pro-active, he also wanted to meet me. Moreover, we have our share of important cooperation with NASA, with Jason satellites, CHEMCAM instrument Curiosity team, probe InSight which carries SEIS seismometer, etc. But Luxembourg has several irons in the fire, and we must be careful there. - 96 -

Mr. Courteau spoke reuse and European preference: these issues are taken into account, following the report Procaccia-Sido, in Callisto, Prometheus program, Themis ... Finally, the Madrid Resolution shows that Europeans intend to use the European launcher and I am optimistic for the Seville meeting in November.

André-Hubert Roussel. - I will add, on the autonomy European, it is not threatened ... at least not where you look. We have the shooter must continue to develop. We have the space base, continue too. The remaining space traffic management and self-monitoring: CNES, ONERA, ArianeGroup invest, we have the optical monitoring network Geo Tracker and telescopes to monitor objects. Nevertheless we are very dependent on data provided by the Americans. This should be a constant concern to invest in the autonomy, in both areas, to preserve our freedom of action in space.

launchers Vega C and Ariane 6 were decided at the same time by ESA. They are complementary before being competitors, Vega intervening in low orbit for objects 500 kilos to 2 tons, Ariane 6 placing in medium orbit or - even for exploration - over 2 tons of gear. Because of the current turmoil, holding the type of satellite launch and orbits on which launch, optimization is sometimes necessary:

the launch of several satellites in combination on multiple orbits can be seen as a competition. As for cooperation with Avio boosters are the same for Ariane 6 and the first floor Vega. They represent nearly 50% of the turnover of the Italian company, is a motivation to cooperate!

The adoption of the resolution of April 17, allows the launch of production Vega C and Ariane 6, with allocation policy which is in line with a European preference. The European Commission will be the first customer to Ariane 6, and institutional launch shows the will of Europe in this field.

Are we lagging behind SpaceX? Should we anticipate and predict another pitcher? When we designed Ariane 6, we did not have the technological bricks to make a reusable launch vehicle

- SpaceX, him, received a NASA-developed engine as part of its programs reuse. Prometheus collaboration become Franco-German European project, developing an engine that allows modulation of thrust upwards to take off, down to land. Soon, we will have this technology. Prometheus has also led us to develop new products of the combustion chambers or additive layer manufacturing. When we have all the technological bricks, in one or two years we will be free to choose, according to institutional needs and market conditions, - 97 -

between an evolution of Ariane launcher or a new more competitive cost and reusable - within ten launches, reclamation costs too much. We are not late, we put all the stops. This requires strengthening public investment. SpaceX receives public funding much higher than ours, as a support, not for development but to exploitation by introductory fares. But for the price competitiveness, we have a Swiss Army knife: all missions, all orbits ...

The job cuts, or rather rundown, is related to the late development of Ariane 6, which required the hiring of young talent at the peak of engineering. But there will be a switch to the military and deterrence, and luckily the age enables us to downsize without socially. The challenge is to avoid losing skills. Civilians programs are most concerned, the sites of northern France will be more affected than M51.3 development sites.

European states must continue to invest to increase competitiveness, because the world market does not make gifts: prices have halved in five years, it had never seen a machine industry ...

Eutelsat is the first commercial customer to sign for two launches (one on Ariane 6, another Ariane 5) and three options. OneWeb signed after, but its launch will take place before.

We work to synergies between military and civilian technologies with the general direction of armaments. Obviously I can not tell you that we will continue to exploit synergies in the field of solid propulsion. However, there are fundamental synergies in how to build a launcher. The deterrence credibility also depends on the capacity to regularly throw objects in space, in orbit we want. There will, finally, new opportunities for synergies with reuse.

Mr. Christian Cambon, president. - We thank you.

- 99 -

Adoption of the report (Tuesday, November 19, 2019)

Mr. Christian Cambon, president of the Business Committee Foreign, defense and armed forces. - Madam President, my colleagues. On May 22, our two committees auditioned Jean-Yves Le Gall, president of the National Center for Space Studies (CNES) and André-Hubert Roussel, Executive Chairman of ArianeGroup on space launchers policy.

The 27 and 28 November, the Council of the European Space Agency will meet at ministerial level to make crucial decisions regarding launchers. This is to better understand the issues that we had decided, in the wake of CNES hearing and ArianeGroup, to create a joint working group to our two committees, co-chaired by Jean-Marie Bockel, former President elected group for space, and Sophie Primas, president of the economic Affairs Committee. This working group composed of sixteen members distributed proportionally groups and between our two committees, has accordingly made several hearings in both the public sector and in industry.

It is to examine its conclusions that our committees meet today. Initially, we had to conclude this work by hearing Frédérique Vidal, Minister of Higher Education, Research and Innovation, who will represent France at the ministerial, but it finally had to decline the invitation in light of recent events for students. I apologize also the co-chairman of the working group Jean-Marie Bockel, I will restore to present the work of the group.

The main axis selected by the working group is obviously the following: the need to maintain the short and long term, our independent access to space. This is an issue of sovereignty: let us always remember that Europeans have launched Ariane following the refusal in the 1970s by the Americans to launch a European satellite commercial that could compete with their satellites. Tensions with our American friends do not date from the last month! It is also a strategic issue for our armies, more than ever, need the space to communicate, observe and move. Recall of the President's decision of the Republic to create a real command of the space associated with the Air Force, actant and the emergence of this new strategic confrontation territory. Also, independent access to space is a building block necessary for the implementation of the defending space strategy announced this summer.

Following the task force hearings, what is the first observation? First we can congratulate ourselves on the success of the industry - 100 -

Ariane as we celebrate, in this end of year, the fortieth anniversary of the launch of Ariane 1.

The eyes of observers have often turned to the United States. But we do not say it enough: it is Europe that has been a pioneer in the commercial space market by creating Arianespace for the Ariane launchers family. And Ariane 5 has been able to provide, over the last ten years, nearly half of the available commercial market for geostationary satellites! We should be proud of this success which, I recall, rests for 60 years on dual technologies, which also include a military application in the design, manufacturing and operational maintenance of ballistic missiles needed for nuclear deterrence.

The adventure continues with Ariane 6. It should be noted the real effort of our industry which, under the aegis of the European Space Agency, reached while reorganizing, developing a new launcher quickly. The first objective of the launcher is to lower costs, 40 to 50%. It is also more flexible, thanks to its reignitable Vinci engine that will inject payloads on several orbits. It is also flexible: available in two versions with two or four boosters ( 6-2 and 6-4), it will eventually do without Soyuz.

Eight missions are already in backlog. If with Ariane 6, Europeans have opted for continuity, today all stakeholders agree on the need to make it a success.

Sophie Primas, president of the Economic Affairs Committee. - We should welcome this success, but do not have to be blind. This is the second finding. The Ariane program 6 was sized to the conditions of 2014. But since then, prices have fallen and the minimum rate of 11 launches per year will be very difficult to achieve, for two reasons.

First extremely fierce competition: in a few years, the company Elon Musk SpaceX, divided the price by three multiplied its capacity by eight payload and launch cadence sevenfold. Last week, the company managed a launch with a booster reused for the fourth time. We must certainly not be naive: SpaceX benefited from

9.5 billion in contracts from the US authorities, often at prices two times higher than those charged by the company in the commercial market. But we must not be blind: contrary to our practices on Ariane, this aid does not finance the operation of the pitcher, but - and this is already a lot - especially R & D for the cost of a launch SpaceX is of the order of 44 million, allowing him to practice a rate of around 50 to 60 million, against about 150 for Ariane 5. And the competition is expected to increase to the extent that new entrants arrive: Blue Origin Jeff Bezos, for example. - 101 -

Then, the market conditions are particularly uncertain: the heart of Ariane target, namely the market for satellites in geostationary orbit, was a collapse in recent years. The constellations of growth in low orbit penalty, to date, to convince. In addition the carriage of small satellite solutions in passenger are only a supplement low remunerative income.

From these facts, what can we do?

First, it is an imperative: to succeed the late Ministerial in November, which is particularly strategic. I regret the absence of the Minister, because we could have told him how his job is important. Two broad guidelines should be written down, for a budget of EUR 2.6 billion of the launchers.

First, the financial support at the end of exploitation of Ariane 5 and the transition to Ariane 6. As we said, the market conditions have changed, making it necessary more financial support from States. This is the condition of the guarantee of our independence of access to short-term space, which is absolutely essential.

But you also, secondly, the future. And the future, we believe, through reuse. That's why we call to bet today on reusable. CNES believes that the reuse of the first stage decreases by 30 to 50% costs. With ten reuses the cost of launching a Falcon 9 of SpaceX fall to 29 million!

Insofar as the support of our European partners the principle of independence of access to space depends largely on limiting the financial cost they have to bear, not to engage in the reusable would be particularly dangerous. This is the sector that could suffer and our sovereignty. At the Ministerial, it will therefore finance the preparation of the future programs: the new Prometheus engine

the reusable demonstrator floor and Themis upstairs superior cheaper Icarus. These bricks will decide, from 2022, the development of a new reusable launch vehicle.

Finally, the company Avio was a magnificent success Vega C and we, as Europeans, we welcomed. It now wishes to grow with the program E. Vega But this could create competition between Ariane and Vega fratricide. We must oppose a program that aims to increase the C Vega performance for approach those of Ariane: improving the intrinsic performance of Vega C yes, but wear at those Ariadne, it would run the risk of fratricide and unnecessary fight. We recommend extreme caution on this.

Mr. Christian Cambon, president. - must accompany these decisions taken at the ministerial by modernizing our industrial policy launchers. - 102 -

The working group proposes two main directions. Establish a European preference. Significant progress has been made recently, the European Space Agency within the European Union and at the Franco-German council last October. That's good, but it needs to be translated into action.

Meanwhile, one should study the possibilities of increasing institutional demand for launch services, as Ariane 5 is dependent for 75% of the commercial market, while more than 60% of orders placed SpaceX are US public orders! On this point, our country made the necessary efforts in the framework of the current military planning law, which mobilizes 3.6 billion to ensure

the complete renewal of our satellite capacity (remark with Ceres, telecommunications with Syracuse IV observation with Musis).

In doing so, we can develop a more effective industrial policy, through which the public guarantees to industrial aggregated orders at European level and on a multi-year horizon rather than pay operating subsidies.

Sophie Primas, President. - The second major principle: soften the principle of geographical return. You know the subject: Production SpaceX is integrated while the Ariane exploded because everything is euro set by a State in a European Space Agency program must return to its territory, its industry. The geographical return is required for most ESA programs. But for pitchers, in a context of fierce competition, it is not sustainable without an adjustment.

In line with this principle, the working group recommends continuing the rationalization of production facilities at European level. Ariane Group has made efforts, subcontractors as well. But this is not the case in all industry: so there is room for improvement in the profitability and efficiency.

Europe must be supported by a competitive industry and mastering reuse to maintain its market share. Meanwhile, European governments must mobilize to recognize the autonomy of access to space as a condition of the European strategic autonomy and growth for our spatial economy. This political mobilization should result in budgetary resources at stake, distributed fairly with our European partners.

France must, with Germany and Italy - competent principal States on launchers - take a leadership collective to propose to the European space renewed ambition shared by our fellow citizens. - 103 -

At a time when the European project is the subject of wrangling, the European space can become the new locomotive.

In short, and this is the title that the working group proposes that the report in question, through the launcher policy, to restore the European Space ambition. To summarize the four main working group's recommendations this means: building on reusable, establishing a European preference, soften the geographical return,

to oppose at the establishment a competition Intra-European.

I believe we are perfectly aligned with the work of our colleagues, be it the European Affairs Committee or the Parliamentary Office for Evaluation of Scientific and technical choices. Hail also Catherine Procaccia and Bruno Sido, who master these subjects, as well as the recent report of the Office published following the round table held on 29 October, and was able to feed our work.

Mr. Bruno Sido. - The conclusions of the working group are in common sense. Alas, we had already made similar in a previous report I presented Catherine Procaccia and they were received with arrogance, the word is not too strong, especially those on reusable rockets. At the time, only Mr. Yannick d'Escatha, president of the National Center for Space Studies, was a clear view of the subject. It has not yet been heard. For industrial and social reasons, we made the mistake of choosing to build Ariane 6 with cryogenic engines, not powder; Mr. d'Escatha was nevertheless reminded us that there had never been a failure with the powder. Fortunately, we still expected the reignitable to the upper floors. This does not detract remain much more expensive than SpaceX, as the report indicates.

It is also rightly the report points the finger at the little liberal US practice: the activities of their domestic launchers is supported by institutional demand, while we Europeans will look for competition, affecting our pitchers to trade missions. So that we do not use enough the launch base in Kourou, which is very expensive and must be used and our pitchers.

I share more specifically the analysis you made of the risk of competition between Vega launchers and Ariane 6.

I wish that we draw two lessons from what has been said. First, we need to get ahead, look to the future and anticipate the foreseeable development of space. Furthermore, in European policy, it is essential that the French do not show arrogant against the Germans, who have historically demonstrated and early - London remembers - their expertise in policy 'space. The allies - 104 -

have also ripped the German specialists at the end of World War II.

The Germans are very good and very strong in space. Therefore, to develop a truly effective European policy for our industry, our future and our independence in space, you have to work on equal terms with the Germans, despite our respective powerful actors such as CNES and our organizational differences.

Catherine Procaccia. - I draw attention in recent years on the fact that we conceive launchers without really thinking about the future satellites. It was eight years ago, we mentioned power satellites and constellations and our proposals had certainly not received the attention they deserved. Today we know that Ariane 6 must

- and she probably will - into orbit constellations. It is time to reflect with manufacturers on future developments satellites. We speak constantly of the political launchers forgetting that these are facts to launch satellites. Yet these two spatial streams do not always work together, despite a recent improvement due to industry restructuring. To consider the future Ariane 7, it is necessary to bring these two sectors and to work in good dialogue on what could be the future.

Regarding the Vega launcher, I share the report's findings. However, I note the Italian firm position on the future development of Vega Italy insists on the evolution of its launcher. If, on the occasion of the next ministerial conference, we adopted a policy deemed by Italy contrary to its position, it may decide to reduce its funding European space project. It is a difficult topics of the next conference.

Sophie Primas, President. - Ariane 6 launcher remains intermediate, at the junction between a pitcher who would mark a technological breakthrough and the wonderful Ariadne who made the heyday of the European space. We will develop a launcher that will be dictated by the market and the evolution of the satellites.

Indeed, several issues - territorial, social, issues of industrial return and rule the French industry - were taken into account in the decision to build Ariane 6. Despite the criticism, however, it is essential to note the reduction 30 to 50% of the price compared to Ariane. This reduction is the result of significant efforts of the industry, is to be welcomed. The industry players have risen to the real challenge of rebuilding his pitcher in three years.

I join the call for a leadership European, build and consolidate with the Germans. However, the strengthening of our partnership and the leadership must have prerequisites for the establishment - 105 -

a European preference, especially in Germany, which frequently uses SpaceX.

Long existed very important for differences between players in the satellite field, CNES, and the space industry. For several years, these differences have gradually been erased, including at the ministerial conference held in Naples in 2012. One of the key challenges of the next conference will be to preserve the budget so the one hand, to ensure the transition between Ariane Ariane 5 and 6 and on the other hand, to work on the next steps.

Mr. Bruno Sido. - So that there is no ambiguity about the I have previously held on Yannick d'Escatha, let me stress that the work done by Geneviève Fioraso when she was in charge of this, was also remarkable.

Ariane 6 rocket is a transition but it is urgent to anticipate and invent the future to improve our offer. Much progress has been made: we have indeed split the cost of Ariane 6 by two, but

SpaceX goes even faster. Their factory in Los Angeles - formerly owned by Boeing - is remarkable: there between taules and out rockets. Our European organization, like a Tower of Babel, to be reviewed thoroughly. I hope that the ministerial conference will close and will not deceive objectives.

Catherine Procaccia. - Will the European Commissioner load space, Thierry Breton, participates at the Ministerial Conference?

Sophie Primas, President. - A priori yes, but it's to check.

Mr. Christian Cambon, president. - He will come to take office. To conclude, it should thank the working group based its work on the information report that we have just examined. In defense, our commission had already made sure, during the examination of the military planning law (LPM), means of military space policy. Today, it is no major military power without spatial dimension. Space becomes a theater of operation.

The Committee on Economic Affairs and the Committee on Foreign Affairs, Defense and Armed Forces authorize publication of the joint information report.

- 107 -

LIST OF IMPLIED

Tuesday, July 9, 2019

- Geneviève FIORASO, former Minister of Higher Education and Research.

Wednesday, September 18, 2019

- Avio SpA: Messrs. Giulio RANZO, CEO - Chief Executive Officer, and NOVELLO Giorgio, vice president in charge of institutional relations.

- ONERA: Messrs. Bruno SAINJON, President and CEO, Jean-Claude SLED, Program Director Space and Jacques Lafaye, special advisor to the president.

- Arianespace Messrs. Stéphane ISRAEL CEO and Maxime HAM, advisor to the CEO.

Wednesday, October 2, 2019

- European Space Agency: Daniel NEUENSCHWANDER, Director of Space Transportation.

- Department of the Army - Directorate General Armament: Messrs. Joel CLOSED OFF, Delegate General for Armaments (DGA), and Robin JAULMES, Technical Advisor to the CEO office.

- 109 -

LIST OF WRITTEN CONTRIBUTIONS

- National Center for Space Studies (CNES)

- Clemessy