imagecredit: seraphim .VC
British investment company Seraphim Space reported $2.41 billion in worldwide investments in space businesses from April to June, a third straight quarter of growth.
Why it matters
This positive trend followed high interest rates that inhibited investors from supporting rocket, satellite, and space data service firms.
SpaceX and Planet Labs are becoming more important as geopolitical pressures force governments to spend more on satellite imaging, intelligence collection and communications.
CONTEXT
Europe had flat investments, but North America saw a 50% drop. However, transactions are typically made after a quarter ends, so it is too early to know whether a US dip indicates a bad 2024 or a sluggish rebound, the space technology investment group said.
A $943 million investment in Shanghai Spacecom Satellite Technology, the biggest Chinese space sector venture, boosted the quarter.
According to the research, Chinese investors are more determined to challenge U.S. space capabilities.
Key Quote
“I’m optimistic in predicting that, at least in terms of growth, space investment market in 2025 is going to be better than 2024 because, unfortunately, I don’t really see the geopolitical challenges around the world resolving themselves in the course of the next 18 months,” said James Bruegger, CEO of Seraphim Space.
BY NUMBERS
According to Seraphim Space, global space investments rose to $2.41 billion in the second quarter from $2.39 billion in January-March and $1.16 billion a year earlier.
Space firms received $8.5 billion in investments in the year ending June, up from $5.1 billion the year before.
Comment Template