According to research conducted by McKinsey & Company and the World Economic Forum, by 2035, the space industry would have grown rapidly to a startling $1.8 trillion.
According to the study “The $1.8 trillion opportunity for global economic growth,” this economic boom is predicted to affect practically every industry on the planet and provide answers to some of the most difficult problems facing humanity.
The analysis predicts that the value of the space economy would soar from $630 billion in 2023 to an astounding $1.8 trillion by 2035, with an average growth rate of 9%, far outpacing the growth rate of the world economy. Furthermore, the space economy will be extremely beneficial to non-traditional businesses, such as ride-hailing applications.
A few industries that are expected to contribute more than 60% to the expansion of the space economy include digital communications, food and beverage, state-sponsored defense, supply chain and transportation, and retail.
The space industry would bring in billions of dollars. The research also highlights how this economic transformation is having wider effects. It highlights how important space will be in mitigating such global concerns as enhanced humanitarian response, climate monitoring, catastrophe warning, and broad wealth.
The research also stated that nations like Saudi Arabia, Thailand, Japan, Peru, and India are spending extensively in space endeavors, suggesting a bright future. It also emphasized how important the private sector is, since it still spurs innovation and accessibility, especially in areas like in-orbit repair, commercial space stations, and inspection services.
The influence of space extends beyond the realm of rocket science, deeply entwining itself with routine tasks like dinner delivery, weather forecasting, and wristwatch use.
According to the paper, in order to provide cutting-edge services, sectors including supply chain and transportation will significantly rely on satellite and other space technology.
More than sixty thought leaders from various industries and geographical areas contributed their ideas to the creation of this research. It offers a thorough grasp of the space economy, stressing everything from defense applications to commercial services.
Importantly, it is mentioned that by pursuing standardization and harmonisation, enhancing accessibility, and increasing public awareness, all industries may contribute to expanding the space economy.
The trajectory of technical innovation and financial competitiveness will determine how quickly the space economy grows, but if all goes according to plan, it may reach an estimated value of $2.3 trillion by 2035, according to the paper.
