A County Durham technology firm is joining a European project to develop parts for the next generation of telecommunications satellites.

aXenic, which is based at NETPark in Sedgefield, has received a €400,000 grant to launch the SIPhoDiAS R&D project, which aims to deliver faster and more affordable communications.

The grant from the European Horizon 2020 programme will see the company working with some companies in the space industry across six different countries.

aXenic moved into the space sector in 2015 and has been helped by the North East Satellite Applications Centre of Excellence and the UK Space Agency Incubator Programme after Business Durham aimed to make the county a centre for space technologies.

Its work aims to reduce the size and weight of devices within space systems while increasing their power and speed, as satellites become more of a feature in the provision of telecommunications.

Steve Clements, CEO at aXenic, said: “We are pleased once again to engage in leading edge space technology working with satellite builders, this time with Thales Alenia Space, as well as with the supply chain to help make the next generation of satellite communications a reality.

“This can make a real difference to delivering a whole range of new global services from space, including the highest quality internet.”

In the new project, aXenic will work with Albis Optoelectronics in Switzerland, UK/Spanish firm Alter Technology, IHP Microelectronics in Germany, LEO Space Photonics R&D in Greece and France’s Thales Alenia Space.

The funding for the aXenic project is the latest success of the North East Satellite Applications Centre of Excellence, which was set up in 2014 and has helped companies attract more than £9m in funding.

Sarah Slaven, interim managing director of Business Durham, said: “We’re delighted to see aXenic launch this very exciting project with some of world’s leading space companies.

“The company has been involved with the North East Satellite Applications Centre of Excellence at NETPark for several years and it’s fantastic to see them raise the profile of the North East within the wider space network, nationally and beyond.

“The space sector in the North East has been growing over recent years. We look forward to supporting and attracting more innovations and companies such as this.”