A paradigm change in spacecraft engineering is observed: traditional multi-functional, large spacecraft are complemented by robust systems of networked, cooperating, distributed small satellites. These trends seem similar to transitions in information systems since 1970 from large mainframe computers to a cloud of smart phones, networked via the Internet.
Innovative technologies for telecommunication networks are emerging based on self-organizing multi-satellite networks in orbit, in Low Earth Orbits (LEO) to provide global connectivity at low latency for internet of things (IoT) applications. Deficits of miniaturization are to be compensated by advanced control, redundancy management and operations software. Those principles for cost-efficient future multi-satellite systems will be illustrated by examples of current formations of nanosatellites.