TAMPA, Fla. — Four-year-old small satellite maker Muon Space announced $89.5 million in new funding June 12 to scale production and acquire propulsion startup Starlight Engines, bringing a potential supply chain bottleneck in-house to support its rapid expansion.

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Jason Rainbow writes about satellite telecom, finance and commercial markets for SpaceNews. He has spent more than a decade covering the global space industry as a business journalist. Previously, he was Group Editor-in-Chief for Finance Information Group,...