Abstract: GALILEO, competing with American GPS, is a huge international S&T project that can be used by both military and civilian.It is the base of highly accurate global geographical information service with clear commercial value. EU used to make a whole set of plan on public-private partnership at the early running stage. However,because the budget kept increasing, the investment took too long to return,the market risk was hard to estimate and some other reasons,the plan stopped. After analysing all the possible reasons, this thesis gives Chinese government some strategic suggestions.