Connect with us

World

How the UK could take a slice of $489bn global space industry

News Agencies

Published

on

How the UK could take a slice of $489bn global space industry

The failure of Virgin Orbit’s first attempt at a UK-based satellite launch will not deter Britain’s push to become a leader in the global space industry, which it is estimated will be worth $1trillion by 2040.

Nasdaq-listed Virgin Orbit shares crashed back to earth after the 9 January Cornwall launch dampened investor hopes, but the group quickly pledged to try again, as bosses joined the UK Space Agency (UKSA) in insisting it had been ‘an important step forward’.

Virgin Orbit’s ambitions are an indicator of the effort and hundreds of millions of pounds being spent by the private and public sector every year, in efforts to make Britain one of just nine countries that can launch a satellite into orbit.

Advertisement
High hopes: Virgin Orbit's LauncherOne rocket at Spaceport Cornwall

High hopes: Virgin Orbit’s LauncherOne rocket at Spaceport Cornwall

According to the most recent Government figures, £836million was spent on space related research and development in the 2019/20 financial year, up 19 per cent on the previous 12 months.

The Government says increased contributions from UKSA were responsible for ‘driving a large part of this’.

Meanwhile, the Government has ‘invested over £40million to grow the UK’s spaceflight capabilities’, and is funding a range of industry-led projects, including Spaceport Cornwall.

Advertisement

The growing levels of investment in the space economy should be of no surprise. The global space economy grew by 9 per cent in 2021 and is now estimated to be worth $489billion (£400.3billion), according to US non-profit the Space Foundation.

And analysts expect this trajectory to be maintained in the years to come, with Morgan Stanley estimating the global space industry will be worth $1trillion by 2040.

 Virgin’s setback will not stop the significant strides being made by the UK space sector
Mark Boggett, Seraphim Space 

Chief commercial and product officer at British satellite telecoms group Inmarsat, Jat Brainch, said that investment of this kind enables the future use of technologies the world is yet to see.

Advertisement

The potential value unleashed could therefore be far greater than current estimates, she told This is Money, pointing to technology like 3D printing and drones that would not be possible without investment in satellites.

‘Most of the satellites we use predate the iPhone,’ She added. ‘I think the figures may be underestimating it.’

Although the failed Virgin Orbit launch was a disappointment, industry experts say the technological advancements made in the run-up have opened up other opportunities.  

Advertisement
Morgan Stanley estimates the global space economy will be worth $1trillion by 2040

Morgan Stanley estimates the global space economy will be worth $1trillion by 2040 

CEO of London-listed investment trust Seraphim Space, which invests in early stage ‘SpaceTech’ companies, Mark Boggett said: ‘Virgin’s setback will not stop the significant strides being made by the UK space sector.

‘The achievements made in the run-up to… [the Virgin launch] will further drive domestic and international investment, creating more opportunities for launch to become a regular practice in Britain.’

‘The UK Government is completely behind the sector and is looking to be bold, which includes exciting future uses for space, especially in climate and sustainability applications.

Advertisement

‘Rocket launch forms just one part of a wide-ranging and comprehensive space strategy that will continue to position the UK as a global leader in a fast-growing market.’

Space industry jobs boost 

British ‘space-related’ organisations produced £16.5billion in income in the 2019/2020 financial year, according to Government data, with the industry directly employing roughly 50,000 people in the UK and supporting 190,000 jobs across the wider economy.

It is also an incredibly productive sector, with gross value added per employee of £146,000 – 2.6 times the UK average of £57,000.

Advertisement

And, at a time of slowing economic growth, that’s good news. UK space industry employment is growing at a rate of around 7 per cent each year.

In efforts to capitalise on the potential of this industry, the UK launched its Space Strategy in 2021 with regulations changed to allow the Civil Aviation Authority to begin issuing licences to spaceports.

The Cornwall site is one of seven proposed spaceport locations in the UK, five of which are based in Scotland.

Advertisement
The Cornwall site is one of seven proposed spaceport locations in the UK, five of which are based in Scotland.

The Cornwall site is one of seven proposed spaceport locations in the UK, five of which are based in Scotland.

Director of spacecraft operations at UK-based satellite operator Avanti Communications Paul Collins explained that, outside of the US, Russia and China, there are limited options for launch sites, which creates major cost and logistics pressures for European operators.

He told This is Money: ‘For spacecraft manufactured in Europe, the majority of which are actually manufactured in the UK, they have to be shipped halfway across the world to be launched.

‘So from a sustainability and cost perspective, it’s not ideal.

Advertisement

‘The UK is trying to provide two or three different launch locations for different styles of launches. To have these capabilities in Europe is a big advantage for all of the European operators and European manufacturers.’

Avanti chief financial officer Rob Plews added: ‘The cost of launching these payloads historically has been enormous – paying the launch provider and also the insurance that you need to cover the launch should something go wrong.

‘Relatively cheap launch capabilities, could be a real game changer for expanding the space industry.’

Advertisement

Lower cost of entry also opens space up to smaller players, Collins added, while offering a boost to the UK’s manufacturing sector.

He said: ‘The UK has always been a big global player in the space industry, primarily from a more from an operations and a manufacturing perspective.

‘The capability to have an end-to-end service, from design through to manufacturing and all the way through to launch on UK soil, suddenly becomes very interesting.’

Advertisement

The news is provided by Daily Mail © 2022 Daily Mails, published & Edited by EMEA Tribune210520-twitter-verified-cs-70cdee.jpg (1500×750)

Advertisement
Continue Reading
Advertisement

Advertisement

Breaking News

Editor Pick’s

Latest Entertainment

Maria Menounos Expecting First Baby with Husband Keven Undergaro After Decade-Long Journey Maria Menounos Expecting First Baby with Husband Keven Undergaro After Decade-Long Journey
Entertainment1 hour ago

Maria Menounos Expecting First Baby with Husband Keven Undergaro After Decade-Long Journey

Maria Menounos is going to be a mom! The TV host, 44, and husband Keven Undergaro are expecting their first...

'Clueless' star Elisa Donovan talks reuniting with Alicia Silverstone for Super Bowl ad: 'It was, without doubt, surreal' 'Clueless' star Elisa Donovan talks reuniting with Alicia Silverstone for Super Bowl ad: 'It was, without doubt, surreal'
Entertainment2 hours ago

‘Clueless’ star Elisa Donovan talks reuniting with Alicia Silverstone for Super Bowl ad: ‘It was, without doubt, surreal’

Elisa Donovan and Alicia Silverstone star in “Clueless.” (Photo: CBS via Getty Images) More than 27 years have passed since...

Recomendado: 5 películas con Jamie Lee Curtis, la actriz que es mucho más que la víctima perfecta de un psicópata enmascarado Recomendado: 5 películas con Jamie Lee Curtis, la actriz que es mucho más que la víctima perfecta de un psicópata enmascarado
Entertainment6 hours ago

Recomendado: 5 películas con Jamie Lee Curtis, la actriz que es mucho más que la víctima perfecta de un psicópata enmascarado

A los 64 años, la intérprete -hija de dos leyendas de Hollywood, Tony Curtis y Janet Leigh- consiguió su primera...

The final countdown: A 'robbed' fan favorite, a pandemic champio, and an 'icon' vie for one last spot on 'AGT All-Stars' The final countdown: A 'robbed' fan favorite, a pandemic champio, and an 'icon' vie for one last spot on 'AGT All-Stars'
Entertainment12 hours ago

The final countdown: A ‘robbed’ fan favorite, a pandemic champio, and an ‘icon’ vie for one last spot on ‘AGT All-Stars’

Comedian Josh Blue, poet Brandon Leake, and viral sensation Kodi Lee compete for the one remaining spot in the ‘America’s...

The final countdown: A 'robbed' fan favorite, a pandemic champion and an 'icon' vie for one last spot on 'AGT: All-Stars' The final countdown: A 'robbed' fan favorite, a pandemic champion and an 'icon' vie for one last spot on 'AGT: All-Stars'
Entertainment12 hours ago

The final countdown: A ‘robbed’ fan favorite, a pandemic champion and an ‘icon’ vie for one last spot on ‘AGT: All-Stars’

Comedian Josh Blue, poet Brandon Leake, and viral sensation Kodi Lee compete for the one remaining spot in the ‘America’s...

Chris Brown apologizes to Robert Glasper for social outburst after losing at the Grammys Chris Brown apologizes to Robert Glasper for social outburst after losing at the Grammys
Entertainment15 hours ago

Chris Brown apologizes to Robert Glasper for social outburst after losing at the Grammys

Chris Brown is sorry for being a sore loser at the Grammy Awards. The singer, 33, took to Instagram on...

I Know What You Did Last Summer sequel with original stars in the works at Sony I Know What You Did Last Summer sequel with original stars in the works at Sony
Entertainment15 hours ago

I Know What You Did Last Summer sequel with original stars in the works at Sony

Another summer, another hook-wielding psycho killer — and maybe some familiar faces too. More than 25 years after I Know...

Could 'The Last of Us' finale beat the Oscars in the ratings? We break down the numbers Could 'The Last of Us' finale beat the Oscars in the ratings? We break down the numbers
Entertainment15 hours ago

Could ‘The Last of Us’ finale beat the Oscars in the ratings? We break down the numbers

The fungal zombies are coming for the Oscars. In a programming matchup that’s certain to create an agonizing Sophie’s choice...

Advertisement

Latest Sports

Bucks win eighth straight game 127-108 over Trail Blazers behind 27 points from Brook Lopez Bucks win eighth straight game 127-108 over Trail Blazers behind 27 points from Brook Lopez
Sports31 mins ago

Bucks win eighth straight game 127-108 over Trail Blazers behind 27 points from Brook Lopez

Bucks win eighth straight game 127-108 over Trail Blazers behind 27 points from Brook Lopez

ESPN says FSU football will have most returning production in FBS for 2023 ESPN says FSU football will have most returning production in FBS for 2023
Sports1 hour ago

ESPN says FSU football will have most returning production in FBS for 2023

FSU ranks first nationally in ESPN's returning production metric, returning 87% of their 2022 production in 2023.

UFC plans to open a Performance Institute in Mexico City by the fourth quarter of 2023 UFC plans to open a Performance Institute in Mexico City by the fourth quarter of 2023
Sports1 hour ago

UFC plans to open a Performance Institute in Mexico City by the fourth quarter of 2023

The UFC announced Tuesday it will open its third Performance Institute, this one in Mexico City, by the fourth quarter...

Ranking the opponents Ranking the opponents
Sports2 hours ago

Ranking the opponents

After all that anticipation and wondering what the Big 12 conference was going to do to Oklahoma with the 2023

Capel on Boeheim's comments, NIL, the grind and more Capel on Boeheim's comments, NIL, the grind and more
Sports2 hours ago

Capel on Boeheim’s comments, NIL, the grind and more

Jeff Capel talked about Jim Boeheim's comments, the landscape of NIL and a lot more Monday morning.

How to watch to Arkansas-Kentucky, projected lineups, more How to watch to Arkansas-Kentucky, projected lineups, more
Sports3 hours ago

How to watch to Arkansas-Kentucky, projected lineups, more

HawgBeat provides everything you need to know ahead of Tuesday's game between Arkansas and Kentucky.

How to watch the Super Bowl 2023: Time, date, TV channel, halftime show for Eagles-Chiefs in Super Bowl 57 How to watch the Super Bowl 2023: Time, date, TV channel, halftime show for Eagles-Chiefs in Super Bowl 57
Sports3 hours ago

How to watch the Super Bowl 2023: Time, date, TV channel, halftime show for Eagles-Chiefs in Super Bowl 57

Now that the matchup is set, here's all the info you need.

Tom Brady gets emotional as Bill Belichick heaps praise on his former QB: 'The greatest .. Tom Brady gets emotional as Bill Belichick heaps praise on his former QB: 'The greatest ..
Sports4 hours ago

Tom Brady gets emotional as Bill Belichick heaps praise on his former QB: ‘The greatest … it was incredible’

Belichick joined his former quarterback on the first episode of Brady's podcast since he announced his retirement.

Technology Hot News

Led by "Amazon" and "Microsoft" . Led by "Amazon" and "Microsoft" .
Technology3 weeks ago

Led by "Amazon" and "Microsoft" .. the technology giants are planning to lay off 64,000 employees

After 10 years of driving the stock market bull run, big tech companies are racing to downsize staff to adapt...

Apple introduces MacBooks with new M2 processors Apple introduces MacBooks with new M2 processors
Technology3 weeks ago

Apple introduces MacBooks with new M2 processors

Yesterday, Tuesday, Apple unveiled MacBooks powered by the new, faster “M2 Pro” and “M2 Max” processor chips, in a surprise...

All you need to know about the upcoming Galaxy S23 phones from Samsung All you need to know about the upcoming Galaxy S23 phones from Samsung
Technology3 weeks ago

All you need to know about the upcoming Galaxy S23 phones from Samsung

Samsung has officially announced that the (Galaxy Unpacked 2023) event will be held this year on Wednesday, February 1, which...

FTX Exchange Announces Hacking and Stolen $415 Million in Cryptocurrency FTX Exchange Announces Hacking and Stolen $415 Million in Cryptocurrency
Technology3 weeks ago

FTX Exchange Announces Hacking and Stolen $415 Million in Cryptocurrency

Bankrupt American cryptocurrency firm FTX announced today, Wednesday, that $415 million in cryptocurrency has been hacked and stolen from the...

Because of a "fraudulent tweet".. Because of a "fraudulent tweet"..
Technology3 weeks ago

Because of a "fraudulent tweet"… Elon Musk's trial begins

Elon Musk's trial began Tuesday in San Francisco with the selection of jury members who will have to decide whether...

An electric spoon replaces salt and spices, but with conditions An electric spoon replaces salt and spices, but with conditions
Technology3 weeks ago

An electric spoon replaces salt and spices, but with conditions

Experts have developed an electric spoon that is able to replace spices and flavors and affect the taste buds in...

The biggest dangers of using tracking devices. The biggest dangers of using tracking devices.
Technology3 weeks ago

The biggest dangers of using tracking devices.. so you can escape?

If you spot an unknown Bluetooth tagging device, there are ways to disable the device so it can't track your...

New Twitter. New Twitter.
Technology3 weeks ago

New Twitter.. For You tab to web version

The Twitter platform announced that it will bring the new tab (For You), which launched last Tuesday for iPhones and...

Advertisement