According to the report, the global space economy is set to reach $738bn in 2030 from $464bn in 2022.
Saudi Arabia’s burgeoning space industry has demonstrated remarkable potential, having generated a recording $400m in revenue during 2022, as outlined in a recent report.
According to the Arab News, the sector, with projections indicating an expected average annual value of $2.2bn from 2023 to 2030, presents a wealth of opportunities, as emphasised in a document released by the Saudi Communications, Space and Technology Commission.
An integral aspect of this growth will be the development of distinct sovereign capabilities for spacecraft, which is anticipated to become a pivotal subsector within the Kingdom.
The report further underlines that the small satellite manufacturing market is projected to surge to a value of $68bn in the region by 2030.
Moreover, the Middle East is poised to launch approximately 148 satellites by 2030, opening up a largely untapped market opportunity. However, the report also acknowledges the challenges that accompany such ventures. It states that a highly competitive global market, coupled with increased supporting costs, could potentially hinder the sector’s growth.
To counter these challenges and reduce barriers, the report suggested key enablers such as the establishment of a space sectoral fund for local players, incentivisation programmes, and upskilling initiatives.
Launch services will undoubtedly play a prominent role in the sector’s development. The report highlights the potential in developing and operating a national spaceport and localising small launcher operations as some of the best opportunities in this subsector.
Additionally, partnering with ground networks for capability building and hosting ground stations are key opportunities in the ground segment, which is predicted to reach a value of $5bn worldwide by 2030.
Furthermore, satellite-based communication connectivity services are poised to play a crucial role in the sector’s overall growth, alongside Earth observation and space exploration.
Another promising subsector that the report brings into focus is sixth-generation technology, which, if implemented in the Kingdom, is expected to generate a substantial $45.5bn in value. The report also underscores the potential of the space tourism market, predicting it will reach $600m by 2030.
On a global scale, government investment in space reached $100bn in 2022 across 86 countries. In the Middle East, nine countries collectively invested $1.2bn.
The report concludes with an optimistic outlook, forecasting that the global space economy will soar to $738bn by 2030, up from $464bn in 2022. Saudi Arabia’s space industry is poised to play a significant role in this remarkable growth story.