The Lyran Commonwealth, largely under the leadership of House Steiner, has long been considered the Inner Sphere's greatest economic power. Formed in 2340 from the combination of several smaller defense pacts, its original capital was on Arcturus before moving to Tharkad, where it came under the stewardship of the Steiner family and gained its Germanic trappings. With many resource-rich worlds, shrewd business acumen and a strong industrial base, the Lyran Commonwealth prospered even during the worst of times: in spite of the destruction of the Succession Wars, overall industrial output and average standard of living exceeded that of any other Successor State. This vast wealth helped the Lyran state weather any military reversals, especially self-inflicted ones, by quickly replacing their materiel losses.
In the early part of the 31st century, the Lyran Commonwealth joined in a personal union with the Federated Suns to form the Federated Commonwealth, a vast super-state spanning the length of the Inner Sphere. Resistance to this merger was strong within the Lyran state, and both its economy and territorial integrity suffered heavily during the Clan invasion. Katherine Morgan Steiner-Davion successfully engineered the succession of the Lyran worlds from the FedCom alliance in 3057, forming the Lyran Alliance in its place.