by The space economy market comprises manufacturing, launch services, and on-orbit operations of satellites used for various applications including communication, earth observation, navigation, scientific research, and space exploration. Satellites are important for telecommunication, providing a range of broadband services to internet users globally. They enable high-speed internet connectivity in remote areas where fiber-optic cables cannot reach. Additionally, satellite communications play a vital role in broadcasting television programs and providing wireless connectivity for mobile phones and other portable devices.
The global space economy market was valued at US$ 518.48 Bn in 2023 and is expected to exhibit a CAGR of 11.5% over the forecast period 2023-2030, as highlighted in a new report published by CoherentMI
Market Key Trends:
One of the major trends in the space economy market is the increasing investment in mega constellations. Mega constellations refer to networks consisting of hundreds or even thousands of mass-produced small satellites in low earth orbit (LEO). Companies are making significant investments to develop their own mega constellations. For example, SpaceX’s Starlink is one of the largest active constellations, comprising over 4,400 satellites. Starlink provides broadband internet connectivity services globally. Similarly, Amazon is building a constellation called Project Kuiper to provide high-speed, low-latency broadband services. Such mega constellations aim to bridge the digital divide and bring internet to remote areas globally. However, the large numbers of satellites risk overcrowding space and contributing to space debris. Effective mitigation strategies are required to ensure the long-term sustainability of activities in space.
Porter’s Analysis:
Threat of new entrants: The space economy market requires massive investments and government approvals for building launch vehicles and satellites, thereby limiting the threat of new players.
Bargaining power of buyers: Individual buyers have low bargaining power due to the specialized and complex nature of offerings in the market.
Bargaining power of suppliers: A few companies dominate the supply of critical components like rocket engines, thus enjoying high bargaining power.
Threat of new substitutes: The market sees low threat from substitutes given the lack of alternative technologies capable of providing space-based services.
Competitive rivalry: The market witnesses high competition amongst a few global players trying to establish dominance by constantly upgrading capabilities and lowering costs.
Global Space Economy Market Segmentation:
- By Type
- Satellite Manufacturing & Launching
- Ground Stations & Equipment
- Space Launch Services
- Satellite Services
- Space Insurance
- Others
- By Orbit
- LEO (Low Earth Orbit)
- MEO (Medium Earth Orbit)
- GEO (Geosynchronous Orbit)
- Beyond GEO
- By End User
- Commercial
- Government & Military
- Consumer
- Others
- By Application
- Communications
- Earth Observation & Remote Sensing
- Technology Development
- Navigation & Space Science
- Others
- By Payload
- Communication
- Imaging
- Navigation
- Others
Key Takeaways :
The global Space Economy Market Size is expected to witness high growth in the forecast period due to rapid commercialization of space technologies. The global space economy market is estimated to be valued at US$ 518.48 Bn in 2023 and is expected to exhibit a CAGR of 11.5% over the forecast period 2023-2030.
Regional Analysis: North America is projected to dominate the global space economy market during the forecast period. This is attributed to presence of established space agencies like NASA and commercial space companies including SpaceX, Boeing, and Lockheed Martin in the region. Significant government spending on space exploration and technology development will also contribute to market growth.
Key Players: Key players operating in the space economy market are SpaceX, Boeing, Lockheed Martin, Airbus, Northrop Grumman, Maxar Technologies, Planet Labs, OneWeb, Rocket Lab, and Virgin Orbit. SpaceX is a leader in private space launch services with its reusable Falcon 9 and Falcon Heavy rockets. Boeing and Lockheed Martin are major government contractors for NASA and defense space programs.
*Note:
1. Source: CoherentMI, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it
Money Singh is a seasoned content writer with over four years of experience in the market research sector. Her expertise spans various industries, including food and beverages, biotechnology, chemical and materials, defense and aerospace, consumer goods, etc.
