Applied Aerospace Acquires Deorbit Systems Firm
Applied Aerospace & Defense has announced its acquisition of Vestigo Aerospace, a company known for its Spinnaker® product line of deorbit systems. Spinnaker drag sails are designed to safely deorbit satellites and other space hardware. The investment signals a growing focus on space debris mitigation and end-of-life management for orbital assets.
- Applied Aerospace & Defense was formed in late 2025 through the merger of Applied Aerospace and PCX Aerosystems, creating a combined entity with over 1,300 employees and 1.3 million square feet of manufacturing space. - Vestigo Aerospace, founded in 2019 by CEO David Spencer, developed its technology with support from NASA Small Business Innovative Research (SBIR) contracts and seed funding, with initial sales anticipated in 2023. - The Spinnaker drag sails are a low size, weight, power, and cost (SWaP-C) solution designed for satellites up to 1,000 kg. They can be deployed via command or a backup timer, ensuring functionality even if the host satellite is inoperative. - A key driver for this market is the Federal Communications Commission (FCC) regulation that mandates satellites in low-Earth orbit be deorbited within five years of their mission completion, a significant reduction from the previous 25-year guideline. - The market for space debris monitoring and removal was valued at over $1 billion in 2024 and is projected to grow to over $2 billion by 2033, signaling a strong business case for deorbiting technologies. - Applied Aerospace & Defense is an established supplier to major defense contractors, including Northrop Grumman, Lockheed Martin, and RTX, positioning it to integrate Vestigo's technology into major government and commercial satellite programs. - An early prototype of the Spinnaker drag sail was lost in September 2021 during the failed inaugural test flight of Firefly Aerospace's Alpha rocket.
