Who is allowed to launch satellites – and who is liable for the debris?

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The numbers are impressive: SpaceX, the private space company, has now completed around 500 successful rocket launches, almost a third of them in 2025. Half of all active satellites in Earth orbit come from SpaceX, the 10,000th Starlink satellite was just launched into orbit. But what many don't know: these satellites are not intended for eternity. One to two Starlink satellite crashes per day are now the norm: SpaceX designs the satellites for a lifespan of five to seven years, but usually lets them intentionally burn up after less than five years. This allows them to be replaced by newer models and product cycles to be shortened. In addition, the short operational life corresponds to regulatory requirements for the prevention of space debris, as failed satellites quickly burn up in low orbits and pose no long-term threat – more on this later.

While almost all remnants burn up in the atmosphere during the re-entry of Starlink satellites, and only in exceptional cases do tiny fragments reach the Earth's surface, NASA's plan to deliberately crash the ISS at the end of 2030/beginning of 2031 poses an incomparably greater residual risk. The probability of larger fragments hitting inhabited areas is significantly higher due to the enormous mass of the space station.

Both launch and re-entry of spacecraft are associated with risks. Therefore, every launch requires state approval, every satellite must be registered, and the respective state is liable for any damages – regardless of whether the responsible company is private or public. The liability issue is particularly tricky when large objects re-enter in a controlled manner: Who is liable if debris hits inhabited areas? Space law is a patchwork of international treaties from the 1960s, national laws with sometimes significant differences, and non-binding technical guidelines. We provide an overview.

International Law: Foundations from the Cold War

International space law emerged during the height of the Cold War. In 1957, the Soviet Union launched Sputnik 1 into space, followed by the USA – both superpowers wanted to prevent the orbit from becoming a combat zone. The solution: the Outer Space Treaty of 1967, which has regulated international law in space for over 50 years, and has now been ratified by 117 states.

Core of the treaty: Outer space belongs to no one but is open to all. Article II of the Outer Space Treaty states: "Outer space, including the moon and other celestial bodies, is not subject to national appropriation by claim of sovereignty, through use or occupation, or by any other means." States may not appropriate the moon or other celestial bodies. Weapons of mass destruction are prohibited in space, but conventional weapons are not explicitly excluded – a loophole that is becoming relevant again today. Debris, weapons, and subsoil resources make outer space a vast field for lawyers.

Article VI of the Outer Space Treaty is particularly important for commercial spaceflight. It stipulates that states are responsible for all space activities under their jurisdiction – whether carried out by state or private actors. The wording is unambiguous:

States Parties to the Treaty shall bear international responsibility for national activities in outer space […] whether such activities are carried on by governmental agencies or by non-governmental entities, and for assuring that national activities are carried out in conformity with the provisions set forth in the present Treaty. The activities of non-governmental entities in outer space […] shall require authorization and continuing supervision by the appropriate State Party to the Treaty.

This means: A private company cannot simply build and launch a rocket. It needs a state license, and the state must supervise its operation – including disposal at the end of the mission. This regulation was visionary for 1967 – at that time, NASA and the Soviet space agency dominated the sector. Experts have been discussing why an update to the Outer Space Treaty is long overdue for years.

The Outer Space Treaty is supplemented by two further agreements: The Liability Convention of 1972 (Liability Convention) regulates who pays for damages caused by space objects. The Registration Convention of 1975 obliges states to report every launch to the United Nations.