Shares of Planet Labs (NYSE:PL) surged 18% after the company announced a major €240 million multi-year agreement with the German government, marking a significant step forward in its defense and security business.
The Earth imaging firm will deliver satellite-based services focused on European peace and security starting in January 2026. The deal includes dedicated use of Planet’s upcoming Pelican satellite fleet, regional downlink infrastructure across Europe, and access to its PlanetScope and SkySat data archives. Additionally, the agreement incorporates advanced artificial intelligence tools designed to improve situational and maritime domain awareness.
Investor optimism climbed further after Planet disclosed that it has landed four major defense-related contracts. These include the German agreement, a renewed engagement with the U.S. Defense Innovation Unit to support Indo-Pacific Command, an expanded partnership with the U.S. Navy centered on maritime operations, and a previously reported seven-figure deal with NATO.
“As shared on our recent earnings call, the changing geopolitical landscape and modernization of security capabilities are driving unprecedented interest in our solutions,” said Will Marshall, Planet’s CEO and Co-Founder. He emphasized “strong demand for AI-enabled solutions and our data, demonstrated by the multiple contracts with an eight-figure annual contract value.”
Planet Labs operates a fleet of satellites that capture daily imagery of approximately 150 million square kilometers of land and 20 million square kilometers of ocean. This expansive dataset is increasingly sought after for defense, intelligence, and AI-driven applications.
Despite the boost from new contract wins, the company is keeping its fiscal guidance unchanged for now, as revenue from the German government deal will begin flowing in 2026.