Europe's governments were preparing for a showdown over the future of the continent's satellite navigation system yesterday after Germany backed plans for extra public subsidies to fund the project and hinted at its military purpose.
Wolfgang Tiefensee, transport minister for the holder of the European Union's rotating presidency, said Galileo, a rival to the US's Global Positioning System, had reached a "dead end" but must go ahead since the bloc needed an independent space capability.



