According to the Managing Director of Airbus, a Euro 200 million contract that has been signed between European Agency and Airbus in Portsmouth will be separated and will be moved to the continent due to the case of Brexit. Airbus has announced that it will remove all the groundwork for the new EU satellite navigation system from the UK to either France or maybe Germany if it wills the contract. Colin Paynter, who is the managing director of the Airbus Defense and Space told that the company was very much committed to making this move to win the bid which the company had submitted on April 24.

The decision is made to abide by the rule framed by the European Space Agency whereby it has mentioned that it will allow only the EU member states who will be the lead contractors for the Galileo work post 29th of March when the UK is scheduled to leave the membership. One of the prominent clauses that were mentioned in the bid document from ESA was that the work has to be done by an EU company from March 2019 onwards. This means that Airbus has to shift all their UK factories to either to France or Germany from the very first day to win the bid and get the contract.

Galileo is supposed to be a new 26-satellite Euro 10 billion system which is being recently launched by EU to counteract the GPS system developed by the US. It finally went live in 2016 after 17 years of gestation and is designed to provide high-level data regarding global positioning for cars, air, rail, emergency services and so on.

Most of the smartphones are now supporting GPS and Galileo system which provide accurate GPS data within an area of 50 meters to 100 meters of distance in built-up areas and also for less than one meter in the best possible situations. This eventually will help the EU to become independent of US in respect of GPS enabled services, particularly for the military purposes.

The government has a recent story threatened to pull out of the project and launch their GPS services to compete with the other nations. The government is also trying to stop transferring of technologies from the UK to EU after the Brexit.