www.space.com/businesstec...e-plane.html

"Launching into orbit could become a little easier and cheaper, thanks to a futuristic space plane that looks like it might have flown straight out of a Star Wars film.

The European Space Agency and British government have awarded $1 million euros ($1.28 million dollars) to Reaction Engines Limited (REL), a British aerospace company, as part of a multi-million dollar development program for an air-breathing rocket engine that could power the Skylon spaceplane. The unpiloted, reusable vehicle is designed to take off from an airstrip, deliver cargo into orbit and return to the same runway."

I heard of their concept of air breathing rocket hybrid engine either in the late 70's or early 80's. I'm surprised to see that they still want to do it.