York Space acquires satellite propulsion manufacturer Orbion Space

WASHINGTON — York Space Systems said it has acquired Orbion Space Technology, bringing a key satellite propulsion technology inside the company as it expands production for national security space programs.

The Denver-based satellite manufacturer announced the deal March 12 but did not disclose financial terms. York said the acquisition supports its strategy of building what it called an “integrated space ecosystem” and expanding domestic production capability for spacecraft components.

Orbion, founded about a decade ago and based in Houghton, Michigan, develops electric propulsion systems for small satellites. Its Aurora Hall-effect thruster uses electricity generated by a satellite’s solar panels to accelerate charged particles and produce thrust, allowing spacecraft to maneuver in orbit and maintain position. 

With the acquisition, York is bringing that capability in-house as part of a broader effort to control more of its satellite supply chain. The move follows York’s earlier purchase of Atlas Space Operations, a Michigan-based provider of satellite ground network services.

York has emerged as a significant supplier to U.S. national security space programs, particularly the Pentagon’s proliferated constellation in low Earth orbit managed by the Space Development Agency. The company focuses on standardized satellite platforms designed to be produced in larger batches and at lower cost than traditional custom-built spacecraft.

York went public earlier this year and has a market value of about $3.3 billion.

Orbion a key supplier to York

The companies had already been working together. Orbion said in January it had delivered 33 Aurora propulsion units to York for a U.S. military satellite constellation, the first time York publicly identified the Michigan company as a propulsion supplier.

“Orbion’s propulsion systems have already demonstrated reliable, repeatable performance on York spacecraft supporting operational missions,” said Michael Lajczok, York’s chief technology officer.

Brad King, Orbion’s co-founder and chief executive, said the companies’ earlier collaborations showed the advantages of designing propulsion alongside the spacecraft from the outset.

York said bringing Orbion into the company “reduces supply-chain risk of an historically scarce spacecraft subsystem, which improves schedule certainty.”

Orbion will operate as a wholly owned subsidiary of York. The company’s factory in Houghton currently produces about 12 propulsion units per month.

York founder and chief executive Dirk Wallinger said the acquisition “allows us to more closely align Orbion’s leading-edge technologies with the growing constellation-scale demands across the sector.”

“The combination provides a clear path to expanding Orbion’s production capacity in support of growing commercial and national security satellite demand,” he said.