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As Europe accelerates efforts to strengthen its strategic autonomy in defence and critical technologies, Italy’s space industry is facing mounting pressure to scale up. Historically defined by small and medium-sized enterprises (SMEs) with niche engineering expertise, the sector is struggling to meet evolving customer demands. Major defence buyers like Leonardo, alongside commercial clients, are increasingly favoring larger suppliers that can offer vertical integration, broad production capacity, and end-to-end industrial solutions rather than standalone components or engineering know-how.

The push for scale is driven by the growing importance of dual-use (civilian and military) technologies, competition from heavily capitalized global players like SpaceX, and broader geopolitical shifts. However, Italian executives point to limited access to private capital and fragmented European funding as significant barriers to growth. To overcome these hurdles, public and private initiatives are stepping in—such as a joint financing program by Intesa Sanpaolo, the European Investment Bank, and the European Space Agency aimed at providing up to €300 million to space SMEs, as well as an estimated €7.8 billion in total national sector investments expected by 2028.

To build competitiveness quickly without sacrificing specialized innovation, leading Italian space firms are turning to mergers and acquisitions. Companies like Officina Stellare and D-Orbit are actively acquiring complementary tech and production specialists to expand their capabilities and secure larger government and defence contracts. Industry leaders emphasize that the key challenge moving forward is securing the necessary scale and capital before foreign competitors outpace or acquire them.

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Italian police have recovered three paintings by renowned French artists Paul Cezanne, Pierre-Auguste Renoir and Henri Matisse, around five months after they were stolen from a museum near Parma. Italy’s Carabinieri cultural heritage protection unit said the artworks were found following a complex investigation, with further details expected to be released.

The paintings were taken from the Fondazione Magnani Rocca museum in Mamiano di Traversetolo during the night of March 22-23. Art experts estimated their combined value at more than €9 million ($10.4 million). The recovered works include Cezanne’s Cup and Plate of Cherries, Renoir’s The Fish and Matisse’s Odalisque on the Terrace.

Police also released footage showing two masked burglars entering the museum through a window, removing the three paintings from the walls and escaping in less than three minutes. The Fondazione Magnani Rocca houses a private collection featuring works by major artists including Titian, Goya, Tiepolo, Monet, Rubens and Morandi.

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An Italian Eurofighter jet operating under NATO command shot down a drone after it entered Latvian airspace on Friday, according to NATO and Latvian authorities. The drone’s origin remains unknown, with Latvian National Guard troops searching a wooded area near Rugaji, about 35 km from the Russian border, for possible debris from the aircraft.

Two Italian Eurofighters scrambled from Lithuania, while two Turkish F-16s were also deployed from Estonia after the drone was detected. NATO said one of the Italian jets identified and destroyed the drone, adding that an investigation was underway and that it remained in close contact with Latvian authorities. The incident comes amid growing concerns over drone incursions into the airspace of NATO’s Baltic members, which border Russia and are close to the war in Ukraine.

A Romanian F-16 shot down a Ukrainian drone over Estonia in May, while a French Rafale destroyed another drone in Latvia in June. Finland also temporarily restricted some aviation and maritime activity in the eastern Gulf of Finland as a precaution.

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Italian Prime Minister Giorgia Meloni is facing growing dissatisfaction among young voters ahead of Italy’s national election next year. Polling agency Youtrend says only 25% of voters under 35 approve of her government, compared with 35% among the wider population. Analysts say younger Italians are increasingly leaning toward centre-left parties, with Meloni’s ruling coalition receiving less than 30% support among under-35s, compared with nearly 50% for the opposition bloc.

Analysts point to limited economic reforms and weak opportunities for young Italians as key reasons for the government’s declining support. Italy has the lowest employment rate for people aged 15 to 24 in the euro zone and invests relatively little in education. Many young Italians also leave the country in search of better-paying jobs abroad. At the same time, Meloni’s law-and-order policies targeting protests, cannabis, squatting and juvenile crime have generated opposition among sections of the younger population.

Meloni also faces competition from the far-right National Future movement led by former army general Roberto Vannacci, which is polling at around 7% and has attracted some young anti-immigration voters. Youth turnout could become especially important in the 2027 election, as young Italians have traditionally been less likely to vote. Their increased participation in a March justice referendum, where 67% of under-35s voted and 60% rejected the reform backed by Meloni, showed their potential influence.

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An ash cloud from Sicily’s Mount Etna volcano drifted over Malta on Tuesday, forcing airlines to cancel flights during the peak summer tourism season. Malta International Airport said volcanic ash over the islands had caused significant disruption to air travel.

By mid-afternoon, 19 flights had been cancelled, while several others faced major delays. Passengers travelling through Malta were advised to check their flight status before heading to the airport.

Mount Etna, located about 220 km north of Malta, is one of Europe’s most active volcanoes and resumed eruptive activity last week. The eruption also disrupted operations at Sicily’s Catania airport, where the suspension of arrivals and departures was extended until Wednesday morning.

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Flights arriving at Catania airport in eastern Sicily were suspended on Monday after ash from an eruption of Mount Etna drifted into the area’s airspace. Airport operator SAC said arrivals were halted until 1500 GMT, while passengers were advised to check with their airlines before travelling to the airport.

Mount Etna, one of the world’s most active volcanoes, was continuing to erupt from vents at elevations of around 2,750 and 2,360 metres. Italy’s National Institute of Geophysics and Volcanology said the activity was producing several lava flows and extensive lava fields on the volcano’s slopes.

The volcanic ash posed a significant risk to aircraft, prompting aviation authorities to maintain their highest red alert level. SAC said airport operations and weather conditions were being closely monitored, with further changes possible depending on the development of the eruption.

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Spain checked nearly 200 travellers arriving from Italy at six major airports on the first day of newly reinstated border controls, following a growing dispute with Rome over irregular migration. Spain’s Interior Ministry said 199 passengers on 12 flights were checked at airports in Madrid, Barcelona, Seville, Bilbao, Alicante and Valencia.

The controls, covering flights and ships from Italy, are scheduled to remain in place until September 7. Spain introduced the measures after Italy suspended the Schengen border-free travel arrangements with Spain, following a surge in migration to Spain’s North African enclave of Ceuta. Italy has said its own controls will remain in place until at least August 15 and will mainly target non-EU nationals arriving from Spain.

The dispute has raised concerns over temporary restrictions within Europe’s passport-free Schengen Area, which includes 29 countries. Italian Foreign Minister Antonio Tajani said Rome hopes to lift its measures soon if the risk associated with irregular migration decreases.

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Spain has threatened to impose restrictions on travellers from Italy unless Rome removes border controls introduced after a mass influx of migrants into the Spanish enclave of Ceuta. Madrid called the Italian measures unjustified and discriminatory, giving Italy until Sunday to reverse the restrictions. Italy, however, rejected what it described as ultimatums from Spain and said the controls would remain in place for now.

Italy suspended parts of the EU’s Schengen free-travel rules for non-EU nationals arriving from Spain, citing concerns over a possible new migration wave. Prime Minister Giorgia Meloni’s government said it would reconsider the decision only after receiving assurances that there would be no fresh influx, security or terrorism threats, or movement of irregular migrants towards other parts of Europe. Spanish authorities have warned of online calls for another attempted border crossing into Ceuta on August 15.

The dispute has deepened tensions between the two EU allies, whose governments have taken different approaches to migration policy. Spain argues that migrants who entered Ceuta cannot simply access the wider Schengen area, while Italy maintains that the controls are necessary as a precaution. The crisis has also highlighted the growing political divide between Meloni’s tougher immigration stance and Spanish Prime Minister Pedro Sanchez’s comparatively more liberal approach.

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Europe’s intense summer heatwaves are exposing severe overcrowding and poor conditions in ageing prisons across France, Italy, and Belgium. Inmates, prison officials, and rights groups say extreme temperatures inside overcrowded cells have made living conditions increasingly unbearable, with many facilities lacking proper ventilation, air conditioning, or cooling equipment.

Prison occupancy rates have reached 141.3% in France, 139.7% in Italy, and 121% in Belgium, placing additional strain on ageing infrastructure. Authorities have introduced temporary measures such as increased access to water, extra showers, fans, and sun cream, while prison directors report rising tensions, more inmate clashes, and greater stress among staff during heatwaves.

Governments and prison rights groups say long-term solutions require reducing overcrowding and modernising prison facilities. Italy has pledged to expand prison capacity and introduced measures allowing some inmates with addiction issues to serve sentences under rehabilitation programmes, while officials across Europe acknowledge that ageing prison infrastructure remains a major challenge as climate change intensifies heatwaves.

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Thousands of mourners lined the streets of Milan on Tuesday to pay their final respects to football legend Franco Baresi, whose funeral was held at the Basilica of Sant’Ambrogio. The former AC Milan and Italy captain passed away at the age of 66 after a period of ill health, leaving behind one of the greatest legacies in football history.

Baresi spent his entire 20-year professional career with AC Milan, making 719 appearances and captaining the club for 15 seasons. He won 18 major trophies, including six Serie A titles and three UEFA Champions League crowns, while also helping Italy win the 1982 FIFA World Cup and leading the national team to the 1994 World Cup final.

Football icons including Paolo Maldini, Roberto Baggio, Marco van Basten, Clarence Seedorf, Alessandro Costacurta and Dida attended the funeral to honour the legendary defender. AC Milan, which retired Baresi’s iconic number six shirt, will also pay tribute to their former captain ahead of their pre-season friendly against Inter.

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