The Canadian Space Agency (CSA) has awarded $13.2 million in non-repayable contributions from its $15 million STDP AO9 fund to 17 Canadian companies for 19 projects, strengthening the nation’s space sector and boosting economic opportunities for the Canadian space industry. The funding aims to accelerate R&D in areas such as lunar power systems, advanced robotics, space situational awareness, and orbital cloud computing, boosting Canada’s competitiveness in the global space economy.
The projects involved have a variety of applications not only on Earth, but the Moon, and Mars. They are glimpse into the future and show Canadians that Canada has the chops to be a global space leader. Two of these projects are so wildly future-coded, it’s hard to believe they’d be possible—a micro modular nuclear reactor prototype designed for lunar bases (and Mars) by Canadian Space Mining Corporation (CSMC), and a lunar-based receiver that captures energy from satellites orbiting the Moon by Volta Space Technologies, These are critical pieces of space infrastructure that are ripped from fiction. Life imitates art—in space!
Advanced Technologies
The below companies were awarded contributions of up to $1 million with an expectation of projects to last up to three years and produce economic benefits in the next two to five years.
Beyond the above mention of CSMC and Volta Space Companies, notable mention goes to MDA who acquired $3 million to develop a Ka-Band Phased-Array Antenna, a new traction system to transport heavy cargo on the Moon, and lightweight, low-cost solar array technology. MDA truly is the hardware juggernaut of Canada’s space industry.
Objective: to develop Canada’s first space micro modular reactor, that could help power long space missions, lunar bases, and future Mars exploration.
The current project will test a prototype reactor (without nuclear fuel) to confirm its performance and move the design closer to being mission ready.
Objective: to develop and test a new type of satellite antenna with built-in calibration and interference control. Once deployed, it could help low Earth orbit constellations deliver fast, reliable broadband access to remote areas where traditional internet infrastructure is too costly, helping reduce the digital divide.
Objective: to develop a new traction drive system to transport heavy cargo and crews on the Moon’s challenging terrain. Unlike current Earth-based systems, this design would be able to handle steep slopes, abrasive lunar dust and extreme temperatures without maintenance intervention.
The system will combine high speed, strong torque and extended life in the extreme lunar environment, making it potentially suitable for upcoming missions such as NASA’s Lunar Terrain Vehicle, Canada’s Lunar Utility Rover, and Europe’s Lunar Polar Sample Return.
Objective: to develop a lightweight, low-cost solar array technology to help power the next generation of satellites. By using flexible materials and a simpler deployment system, these arrays would be easier to launch and more affordable than current options.
Objective: to test a new Rendezvous, Proximity Operations, and Docking kit that would make satellite servicing simpler and more affordable. Unlike older systems that are bulky, power-hungry, and extremely expensive, this kit is designed to give modern satellites the ability to dock, refuel, or be repaired in space.
Objective: to develop a receiver that could capture energy beamed from satellites in lunar orbit, providing a reliable power source for longer missions.
This project will design, test, and demonstrate the first version of the receiver, including a small-scale model to be sent to the Moon.
Advancing Space Situational Awareness Data Processing Performance
Objective: to develop an advanced software to help track and identify the growing number of unknown objects in space. The system is designed to process millions of observations each day, using innovative algorithms and Big Data methods to improve orbit calculations and data handling.
This work would also support the expansion of NorthStar’s satellite constellation while addressing important needs for scalability, speed, and security in space operations.
Nanosatellite Platform Development to Support Canadian New Space Ventures
Objective: to create an affordable, ready-to-use platform, which would include all the components needed to build a satellite, thus allowing Canadian science, business, and defence industries to get their technologies into orbit more rapidly and at a lower cost, without any dependence on foreign countries.
The platform could be customized for a wide range of needs, from Arctic surveillance to wildfire detection, forestry, and crop monitoring.
Reaction Wheel Development for Medium-Sized New-Space Satellite Platforms
Objective: to develop a new reaction wheel system designed for larger spacecraft. While current products serve smaller satellites, this next-generation reaction wheel would support medium-sized telecommunication missions in low Earth orbit and beyond, a market that is rapidly growing.
By qualifying commercial components for the harsh conditions of launch and space, the company aims to provide Canada with a sovereign, low-cost product.
Development of a low SWaP-C optical amplification system for CubeSat applications
Objective: to develop a compact optical amplifier system to give CubeSats – small, low-cost satellites – enhanced high-speed laser communication. This innovation would help overcome today’s limits on data transmission, enabling CubeSats to support advanced missions.
The amplifier is designed to be lightweight, energy efficient, and affordable for large-scale production. It would support key applications such as Earth observation, remote connectivity and defence.
Small Business
The following small businesses (classified as a maximum of 50 employees) were awarded contributions of up to $350,000. Similar to the above advanced technologies, the projects are expected to last up to three years, however these have a longer economic window with expectations to produce economic benefits in the next five to 10 years.
We’re all familiar with meteorologists and their earthly forecasts. But what about space weather forecasts? I didn’t think so. Oakville’s Perceptive Space Systems plans to build tech that will boost Arctic aviation and naval communications, support national security. Canadian sovereignty is has never been hotter. Launch Canada Rocketry Association, home of the Launch Canada Challenge that equips post-secondary students with on-hands experience plans to develop Canada’s first rocket engine turbopump. Future applications could include lunar transport and space tugs. Incredible.
AI-Driven Space Weather Predictions for Safe and Reliable Space Operations
Objective: to develop an AI-powered system to improve space weather forecasts. By combining machine learning with real-time satellite data, the system is designed to deliver faster and more accurate predictions of solar storms and geomagnetic disturbances that can threaten satellites, GPS, communications, and power grids.
In Canada, these early warnings would be especially valuable for Arctic aviation, naval operations, and remote communications. They would also support national security and improve safety for remote communities and maritime activities, where disruptions to navigation and radio systems can pose serious risks.
Lunar Digital Twin for Mission Planning and Engineering Design Optimization
Objective: to advance the Lunar Digital Twin, a simulation tool that provides a complete virtual test environment for Moon missions. By adding new environmental models and improving efficiency, the tool would better support system design and mission planning.
Unlike current simulations that focus on single elements, this integrated approach would let Canadian space organizations test hardware, choose landing sites, and refine mission strategies before launch, helping reduce costs, risks, and delays.
Proof of Concept of Innovative High-Strength Aluminum Alloy to Reduce Mass of Components
Objective: to adapt ScaliumTM, a new ultra-strong aluminum–scandium alloy originally developed for the alpine ski industry, into thick plates suitable for aerospace needs. After successful lab tests, the objective is to scale up manufacturing, validate its performance and demonstrate its use for next-generation Canadian satellites.
ScaliumTM could help reduce launch costs, lower carbon emissions, and allow spacecraft to carry more valuable equipment.
Prototype reusable semi-cryogenic turbopump for in-space and launch vehicle propulsion capacity building
Objective: to develop Canada’s first rocket engine turbopump, a critical technology for high-performance launch systems. Often called the “heart” of a rocket engine, this powerful pump represents a capability that has never been demonstrated in Canada and that would be key to advance domestic launch capabilities.
This project includes building and testing a turbopump for Launch Canada’s 1,000-pound thrust engine, using advanced manufacturing and software tools. It will also open the door to future applications such as lunar transport and space tugs.
Next-Wave Technologies
The below five companies were awarded contributions of up to $500,000 per project, with an expectation on funding to last up to three years and produce economic benefits in the next five to 10 years.
One HAL to rule them all. Mission Control Space Service’s plans to develop a generative AI assistant to support space operations. HAL (Human-in-the-loop AI assistant for Live operations) aims to provide operational analysis for satellite and robotic missions. As long as it can’t read lips, play chess, or thinks that it’ll be disconnected, I’m good. Kepler Communication will use their funding to develop cloud computing software, letting customers request computing resources directly in space. If you think A.I was limited to Earth, I have a bridge to sell you…
Objective: to develop a generative AI assistant to support live space mission operations. Called HAL (Human-in-the-loop AI assistant for Live operations), it is designed to help operators by handling tasks like analysis, search and summarization, making satellite and robotic mission control more efficient while keeping results accurate and explainable.
Miniaturized Ion Source for Space Exploration
Objective: to develop a miniature, low-cost ion source to power future neutron generators and ion-beam probes. Simple, compact and ruggedized, the device is designed to fit within strict mass and volume constraints while improving reliability and reducing manufacturing costs.
This technology could support a wide range of applications from geological characterization in space to detecting explosives or narcotics in security settings on Earth.
Objective: to develop an innovative cloud computing software for satellites, creating the foundation of an orbital cloud infrastructure. This system would let customers request computing resources directly in space, where tasks could be scheduled and run onboard satellites instead of relying only on ground networks.
The project includes building and testing of an initial version of the software on Earth, demonstrating how in-orbit data processing could improve efficiency, reduce delays, and open new opportunities for industries that depend on real-time insights.
Objective: to develop a new suspension system for extraterrestrial vehicles, with an innovative approach better suited for the harsh conditions of space: instead of using traditional fluid-based dampers, the design relies on adjustable friction, controlled in real time by smart algorithms.
The project includes designing, building, and testing of a prototype, with the goal of improving rover mobility, enabling higher speeds, and extending vehicle lifespan.
Software Defined Radio for Low Earth Orbit
Objective: to develop a new software-defined radio that uses the latest digital interface standards to support advanced satellite communications. Its modular design would allow different components to be swapped in as needed, making it flexible, powerful, and easier to adapt for future missions.
The project includes building and testing of a prototype, as well as providing engineering models to select customers.
These are exciting times for the Canadian space industry. Government contributions are ramping up, with three rounds allocated in 2025 alone, totaling $30.7 million. That’s just over twice the amount awarded in 2024 ($15 million) and just shy of twice as much in 2023 ($16 million).