Space

In the US, the space sector has witnessed a dynamic interplay between government agencies and the emerging private sector. As NASA continues to lead the charge in space exploration, private companies are becoming key players in driving enabling space technologies. Once an emblem of American space exploration, NASA’s role has shifted to serving as a facilitator to the ecosystem, fostering partnerships, and championing ground-breaking ideas and collaborations. Private space ventures, such as SpaceX, have demonstrated that commercial activity can be successful in helping to bolster NASA.

For years SpaceX has flown cargo and supplies for NASA to the ISS [6]. The space agency has expanded that public-private partnership, allowing SpaceX to fly its astronauts to the space station as well [7]. Furthermore, Bezos’ Blue Origin recently won a USD 3 billion contract to develop a spacecraft that would transport astronauts to and from the lunar surface [8]. NASA has extended this relatively new model to space stations, hoping the private sector will take on an even greater task of building destinations in space. Before the ISS retires, NASA and its partners are on a mission to build new stations with the purpose to replace the ISS [9]. Reaching retirement age before its successor is ready could leave the US with nowhere to send its astronauts and the tension has exacerbated now that China has started to build a station of its own [10].

NASA’s contracts symbolize the space agency’s willingness to place enormous bets on the growing commercial space industry, which has been eroding governments’ established monopoly on activity in space. The democratization of space tech, driven by entrepreneurs such as Elon Musk, Jeff Bezos and Richard Branson and their respective space ventures, has sparked a sea change in the industry, inviting private entities, start-ups, and individuals to strive for their mark in space exploration. Companies with assets in space, revenue streams dependent on space operations, or suppliers working in space are at the forefront of this movement [11].

Private investments have become a material part of the equation, reaching USD 46.3 billion across all space technology layers in 2021 [12]. The United States continue to lead in total private investments, with 46% of all deals taking place there [12]. Although the emerging space industries, including commercial space stations, Lunar transportation services, logistics and industrials, have seen investments of only USD 2.7 billion all together over the past decade [12], there is increasingly more capital is being raised in those promising new areas.