Polar-orbiting satellite observations are of fundamental importance to explore the main scientific challenges in the Arctic Ocean, as they provide information on bio-geo-physical variables with a denser spatial and temporal coverage than in-situ instruments in such a harsh and inaccessible environment. However, they are limited by the lack of coverage near the North Pole (Polar gap), the polar night, and frequent cloud cover or haze over the ocean and sea ice, which prevent the use of optical satellite instruments, as well as by the limited availability of external validation data. The satellite sensors’ coverage and repeat cycles may also have limitations in properly identifying and resolving the dominant spatial and temporal scales of atmospheric, ocean, cryosphere and land variability and their interactive processes and feedback mechanisms. In this paper, we provide a state of the art of contribution of satellite observations to the understanding of the polar environment and climate scientific challenges tackled within the Arktalas Hoavva project funded by the European Space Agency. We identify the current limitations to the wider use of polar orbiting remote sensing data, as well as the observational gaps of the existing satellite missions. A comprehensive overview of all satellite missions and applications is given provided with a primary focus on the European satellites. Finally, we assess the expected capability of the approved future satellite missions to answer today’s scientific challenges in the Arctic Ocean.