"We received the first invoice for HUF30bn under a blanket agreement, signed less than a month before the election, without any social consultations, in secret," Prime Minister Peter Magyar said at a press conference following the official handover of ministries. Magyar pledged a full review of the contested deal and said that his government would not foot that bill.

The landmark defence deal was signed between the defence ministry, its logistics unit and 4iG S&D, the space and defence unit fully owned by 4iG, which is controlled by Gellert Jaszai, a prominent business figure linked to Fidesz.

The defence ministry, when asked by Hvg, said the deal was the result of "several years of government-level preparation" but did not disclose further details, citing its non-public classification.

The contract was described as a framework agreement for the "digital development of Hungary’s classified command-and-control system," but the exact scope of services remains unclear.

In context, the contract value of the framework agreement is twice 4iG’s revenue in 2025, and it exceeds Hungary's defence spending earmark for this year (HUF1.7 trillion), while 4iG’s S&D revenue last year reached HUF12bn.

The 4iG Group has grown from a small IT company to a national champion and a leading regional ICT and telecom provider across Central and Southeastern Europe, with more than 6,000 employees. The Budapest-based group operates over 10mn mobile and fixed connections, a 20,000 km fibre backbone, 5,000+ mobile sites, and 900 towers. The company has also expanded its regional space and defence ecosystem through a string of acquisitions over the past few years. 

The company’s growth trajectory has closely aligned with major state infrastructure and digitalisation programmes, as well as regulatory and market consolidation steps taken under successive Fidesz-led governments. These developments enabled 4iG to expand its footprint in sectors traditionally dominated by state-linked or incumbent providers

4iG has strengthened its position in defence-related technologies by establishing a dedicated subsidiary, 4iG S&D, which focuses on satellite development and manufacturing, drone production, counter-drone systems, and Earth observation data processing.

In May 2024, the company began constructing Hungary’s first dedicated space manufacturing facility in central Hungary. It is also involved in the HUSAT satellite programme, which is described as the largest privately financed satellite initiative in Hungary and the wider Central and Eastern European region.

Hvg.hu adds that the HUF1.3 trillion defence framework agreement is one of the longest and largest defence-related contracts in Hungary’s recent history and is multi-fold the value of the transfer of state-owned defence industry assets.

State-owned N7 Holding transferred ownership stakes in six defence-related companies to 4iG STD last summer, with the transaction valued at HUF 72 bn. The deal significantly strengthened 4iG’s position in the defence sector, moving it beyond IT and telecommunications into direct ownership of defence manufacturing and technology assets.

While there is no confirmation that the sale was directly linked to the EU’s EU SAFE initiative, companies could benefit greatly from the scheme. Hungary has so far not accessed the EU’s SAFE funds, worth around €16bn, which are intended to support the consolidation of defence-industrial assets and the scaling-up of national defence suppliers.

4iG was the best-performing stock on the Budapest bourse in 2025, more than tripling its value. The company's share price peaked at HUF4,965 in December, but since then it has lost 60% of its value. The decline gathered pace in the weeks leading up to the election, as opinion polls indicated that the Orban government was at risk of losing power.