This report analyzes how technological advances and scientific research are enabling the commercialization of space, which is already presented as a business opportunity on Earth.
Space industry
The Space Age
By the mid-20th century, the then superpowers (the United States and the Soviet Union) had made their first forays into space, signifying the beginning of the Space Age.
The main milestones are detailed below, and can be reviewed in greater detail .
The development of the space industry is allowing a new scenario for the commercialization of space, where the different actors involved develop their activities:
investors must provide stability to the market.
Governments can incentivize private investment by trying to ensure regulatory stability.
Companies must direct their efforts to optimize processes and reduce production cycles
The most traveled fields of the new commercialization of space, identified by the Future Trends Forum´s experts are market in LEO, manufacturing in space, satellite connectivity, the democratization of access to space, and the data from space exploration.
The commercialization of space is not without risks. Our experts highlight: the lack of legislation, the risks of business for those organizations that want to approach this industry and cybersecurity.
The arrival of “Space 4.0” will lead to multiple challenges and a paradigm shift in our understanding of space. Those of us who want to work in space commercialization should take the following into account:
-We must try to create a space value chain and reduce the costs of space access. Those seeking to exploit the market must work towards developing a wide array of accessible infrastructure that allows us to create space businesses. The goal is to create products and services that allow us to build the space industry.
-Therefore, it is mandatory that we be disruptors and promote innovation. We need to push traditional companies to adapt to this new model.
-We cannot forget that a viable business model is necessary, even if it is just for the long term.
The main challenges to work for the future of space commercialization selected by the experts of the Future Trends Forum are:
Currently, the space industry is being developed in several fields, but the Future Trends Forum experts have agreed that new business opportunities will arise in the sustainable market in the low Earth orbit: manufacturing in space, global Internet connectivity via satellite, the democratization of access to space and use of data obtained through satellites.
What will be the business models that will capitalize on these new business areas?
So far, governments and space agencies were the leaders in the space industry, but as a result of new business opportunities, companies must now take the lead.
How should governments facilitate access to space for private companies? What is the new role of space agencies?
There are still many things to consider in space commercialization, particularly regarding global risks of its development from multiple standpoints: legal, regulatory, corporate, organizational and in terms of cybersecurity.
What will be the global regulation for space businesses? Who should regulate them? Who should organize them? How can we make sure that space businesses are safe?
Space activities generate roughly 260 billion dollars annually. According to estimates from Bank of America Merrill Lynch, by 2045, investment in space will increase eightfold and reach 2.7 trillion dollars. It is also estimated that between June 2017 and June 2018 private investors provided the space industry with around 3.4 billion dollars; this investment is only expected to grow.
How can we fund space commercialization? How can governments promote and guarantee private investment in space?
