In 2019, the estimated value of the global space economy was about $423.8 billion. The value was a reflection of all space activities, including exploration, research, and development of space equipment. The space industry is large, and some of the sections may overlap. So, it is difficult to analyze the exact value of each section in the industry. However, the most prominent ways the industry can be divided into research and exploration of space and the utilization of space for communication purposes. Using space for communication activities was about 26% of the total space economy in 2018. It is estimated that by 2040, the use of space for communication activities will increase to about 50%.
Many more people now understand the benefits of satellites and how they can help propel humanity into a new era. That is why all world powers believe that space exploration will provide them with lots of opportunities to increase their influence. Satellite data would be worth less without tools that can help interpret, analyze, and process the data to provide valuable business insights.
In 2021, the global Space Tech Ecosystem reported that there were 130 government organizations, 10,000 enterprises, and over 5000 private investors associated with the global space industry.
Global revenue from satellites
The satellite market has the highest percentage of the space economy. Most of the revenue for satellite innovation is derived from services like television and the internet. Also, some other companies have started commercializing satellite images of earth which can be used by many different industries. However, banks have also started investing because they can provide their customers with an internet connection from anywhere in the world.
The satellite imagery sector is also growing at a steady pace making up about 2% or $2.6 billion of the space economy. By 2040, banks estimate that this sector will grow to more than $17 billion. Now, people can even get live satellite images of their area of interest, and companies are competing to be providers of the most up to date satellite images and live satellite imagery. If you want to know more about free providers of satellite images of earth check here.
The estimated value of the commercial satellite imaging market is about $12.4 billion and is showing a 7.9% CAGR for the forecast period. This prediction is likely to come true because the sector is supported by many different governments.
As satellites continue to shape our lives and the universe at large, governments are now seeing the importance of investing in this sector. For example, the Australian government has already invested more than $260 million in the development of satellites. Also, many private companies have been able to secure loans for satellite projects.
Another sector that is gaining a lot from the commercial satellite imaging market is the military. Many governments are willing to allocate a huge portion of their budget for the research and development of satellite technologies.
Top 5 Most Valuable Space Companies in the world
There are numerous emerging companies that want to make a breakthrough in space exploration. However, we will talk about 5 of the most valuable space companies.
BAE Systems is a London-based security and aerospace company. It is the largest contractor in Europe that provides satellite communication services and astronomy technology tools. They are also one of the best when it comes to communication satellite design.
BAE Systems does not have lots of space programs. However, they recently established a ground station to be used by the department of energy efficiency and climate change.
Elon Musk and SpaceX (Private)
Elon Musk is one of the richest people in the world and is the owner of the car manufacturing company – Tesla. He founded SpaceX with the goal of interplanetary travel and reusable rockets. As of now, SpaceX is among the most valuable commercial space companies. They are the first private company to transport NASA astronauts to space.
TransDigm Group Incorporated
This is an American space company that focuses its resources on three main segments – Non-aviation, Power & Control, and Airframes. Non-aviation involves the manufacturing of noise control devices. Power & Control provides switches, sensors, power controls, and lifting devices. Airframes are involved in the manufacture of connectors, locking systems, and security components of the aircraft.
Northrop Grumman Corporation
This is an American company that specializes in aerospace and defense technology. They are focused on three main segments – aeronautics-related services, space mission systems, and defense systems. Northrop Grumman Corporation designs, develops, and produces autonomous operating systems that can be used on spacecraft. They were formed from the merging of Grumman aerospace and Northrop Corporation in 1994. Grumman specialized in military equipment, while Grumman was the main contractor for the Apollo Lunar Module.
Thales Alenia Space (Private)
They are one of the largest space equipment companies in the world and the second largest industrial participant in the international space station. They formed a partnership with Telespazio to become “Space Alena” with over 7700 employees.