Orbit Satellite Servicing Market to reach USD 19.7% billion in 2030, at a CAGR of 19.7%

One of the primary reasons for the limited lifespan of satellites is that they run out of fuel. Satellite refueling is the operation of replenishing fuels and other consumables in satellites in orbit. There’s an increasing demand for refueling services and the satellite manufacturers are actively designing satellites that can be refueled. In January 2022 Orbit Fab, a US-based on-orbit satellite service provider secured a long-term contract with Astroscale (Japan) to refuel Astroscale’s Life Extension In-Orbit (LEXI) Servicer in geostationary orbit. LEXI is one of the first satellites designed to be refueled. Thus, an increasing demand for refueling services drives the on-orbit satellite servicing market.

Increasing Number of Small Satellite Constellation Launches are Driving the Demand for Space Debris Mitigation

There has been a significant rise in the number of small satellite launches owing to the rise in computing power which has enabled the development of powerful small satellites such as NanoSats and CubeSats. According to NASA, there was an average of about 140 SmallSats launched per year from 2013 to 2017. In contrast, there were around 1,700 SmallSats per year from 2017 to 2021. An increasing number of small satellite constellation launches are leading to a rise in space debris and thereby driving the demand for Active Debris Removal (ADR) services. Thus, an increasing number of small satellite constellation launches are driving the demand for space debris mitigation.

Robust Government Initiatives Has Resulted for Asia-Pacific to be the Fastest-Growing Region

Asia-Pacific has emerged as a strong region in the space sector with China, India, and Japan leading the space industry. These countries have comprehensive end-to-end space capabilities and possess a complete space infrastructure including space technology, satellite manufacturing, rockets, and spaceports. The market in the region is driven by a growing emphasis on satellite services and robust government initiatives.

Furthermore, increasing investments in the on-orbit satellite servicing market is also driving the market. For instance, in February 2023, Astroscale (Japan), closed another round of funding and widened its investor pool with about USD 76 million, bringing the company’s total funding to date to USD 376 million. Consequently, the Asia-Pacific region is expected to be the fastest-growing region in the on-orbit satellite services market.

The Key Players are Highly Competitive to Capture the Market Share

The key companies in the on-orbit satellite servicing market are continuously striving to strengthen their portfolio to meet the growing demand. The companies are focused on establishing long-term partnerships with automobile industries. Some of the key companies in the market are Airbus, Altius Space Machines (Voyager Space Holdings), Astroscale Holdings, ClearSpace, Infinite Orbits, Maxar Technologies, Orbit Fab, Red Wire Space, SpaceLogistics (Northrop Grumman), and Thales Alenia Space.