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Posted 09 Apr 2024

2 min read

  • Key findings
    • Space economy is expected to reach $1.8 trillion by 2035, from $630 billion in 2023.
    • Space’s impact will increasingly go beyond space itself, e.g., benefits to non-traditional players such as ride-hailing apps etc.
    • Five industries will generate more than 60% of increase in space economy by 2035. These are:
      • Supply chain and transportation; food and beverage; state-sponsored defence; retail, consumer goods and lifestyle; and digital communications:
    • Space’s return on investment will be more than financial, e.g.,  mitigating world challenges, such as disaster warning & Improved humanitarian response etc. 

 

  • Main drivers of increasing Space prevalence
    • Decrease in launch costs: fell by over 10- fold over last 20 years. 
    • Commercial innovation (e.g., components and software)
    • Diversification of investment and applications, with private sector participation.
    • Cultural awareness and enthusiasm

 

  • Key Recommendations
    • Non-space industry leaders: Partner and invest with tech innovators.
    • Space industry leaders: Explore a “space for non-space” approach.
      • Co-create protocols and standards 
    • State-sponsored leaders: Enact legislation, standardization and policies
      • Build partnerships across state-sponsored agencies

 

India’s Space economy

  • Current size: Around $8.4 billion (around 2-3% of global space economy).
  • Target: About 44 billion USD by 2033.
  • FDI: 100% allowed.
  • Recent initiatives
    • Indian Space Policy 2023 was announced.
    • Indian National Space Promotion and Authorization Centre (IN-SPACe) was created as independent nodal agency under Department of Space.
    • New Space India Limited was created, for private sector participation.
  • Tags :
  • World Economic Forum (WEF)
  • Space Economy
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