Forecast: Space economy worth $1.25tn by 2030
January 28, 2022
By Chris Forrester
Northern Sky Research (NSR) in its Global Space Economy, 2nd Edition report, is projecting that the Global Space Economy will be worth $1.25 trillion (€1.12tn) by 2030.
NSR is projecting strong revenue potential across all key segments, underpinned by record setting investment and both public and private sector demand for space products and services. With over $1.25 trillion in cumulative revenue projected by 2030, the space industry growth trajectory trends upwards at a 6.25 per cent CAGR.
Satellite & Space Infrastructure is the largest segment today, with burgeoning demand from the Crew & Cargo market as the leading revenue source. Close behind are key infrastructure markets such as Satellite Communications, Earth Observation, Situational Awareness and Science & Technology. Altogether, the Satellite & Space Infrastructure market will generate over $570 billion in revenue by 2030, says NSR.
But these traditional revenue generators are changing. NSR says that by decade’s end, the report observes Satellite Communications Services overtaking Infrastructure to become the dominant market in terms of annual revenues.
“From segments such as Mobility (aero, maritime, land) to Enterprise Data and Government/Military, the upside for Satellite Communications Services is significant as more/flexible satellites are launched and an increasingly virtual, 5G-enabled and cloud-based ground segment is enabled. At an impressive CAGR of nearly 13 per cent, this segment is a key revenue driver going forward,” notes the report.
Then, as the decade rolls on, a third category emerges: “Satellite & Space Applications, also contributes well to global space revenues. Earth Observation Information Products, Data Analytics, Data Downlink and Space Tourism & Travel are all key applications driving long term demand. Revenue of $140 billion by 2030 and a 14.6 per cent CAGR show this diverse category also is a critical revenue source,” adds the report.
“Software-ification of the Satellite & Space markets is here,” states report co-author Brad Grady. “In nearly all markets, the shift from hardware-centric thinking to software-enabled agility is unlocking new revenues and driving a migration from infrastructure towards application-centric use-cases.”