FOI is conducting analysis of space trends focusing on defence and security issues. The research within this area has been ongoing since 2003 on behalf of the Swedish Armed Forces as a part of the long-term RTD activities (Research and Technology Development). This work is essential for understanding how the space area affects military capability development and national security issues, both for national needs as well as for understanding other actors. The purpose of this report is therefore to give an overview of the developments within the space arena, during the past three years, and the future trends. The developments are discussed in a Swedish context and highlight the issues related to defence and security. The identified challenges concern: organisation and governance; the need for a Swedish defence and security strategy for space issues; reinforced defence research and technology developments within the space area; how Sweden should act on the EU space strategy; managing the risks of increased capacity building in other countries; the increased threat of conflicts in space; the balance between the usefulness of space and dependence of space; and the possibilities offered by small satellites in the area of defence research and technology development.