Launched in 2017, the project was intended to replace France’s Rafale fighter jets and the Eurofighter aircraft used by Germany and Spain. The programme also included plans for drones, sensors and digital communications systems designed to operate together in a networked battlespac, News.Az reports, citing Euro News.

The multi-billion-euro project was hindered by disputes between France’s Dassault Aviation and Airbus, which represents Germany and Spain. The companies failed to reach agreement on leadership, workshare and intellectual property rights. Dassault sought to lead development of the fighter aircraft, while Airbus rejected a subordinate role.

Differences in military requirements also complicated the programme. France wanted a carrier-capable, nuclear-armed aircraft, while Germany did not consider such capabilities necessary. Efforts to develop separate variants failed to gain approval.

The cancellation comes as European nations seek closer defence integration amid Russia’s ongoing war against Ukraine and growing concerns over United States security commitments to the continent.

Despite the end of the fighter jet programme, parts of FCAS will continue. Government sources said work on the Combat Cloud, a digital network designed to connect aircraft, drones and other weapons systems, will move forward. French and German defence ministries are expected to prepare new proposals focused on a limited number of realistic joint defence projects.

The decision also opens the way for Airbus to seek new partners, while Dassault is expected to continue development of the next generation of the Rafale independently. The collapse of the fighter programme brings one of Europe’s most ambitious defence projects to an end and signals a shift toward separate national aircraft designs under a shared technological framework.