Space Market Size: What’s Driving the Next Trillion-Dollar Economy
After years of hype, the space economy is delivering real revenue growth—and a clearer path to scale. From satellite broadband to Earth observation and launch, the market’s expansion is reshaping telecom, logistics, and national security.
Space economy at a glance
In the Space sector, The global space economy has shifted from promise to performance. The Space Foundation’s latest benchmarks show the sector reached roughly $546 billion in 2022, expanding about 8% year over year as commercial activity accelerated and government programs stayed resilient, according to The Space Report. Commercial revenues now account for the lion’s share of space activity, while civil and defense budgets continue to underwrite infrastructure and scientific missions that anchor demand.
Momentum carried into 2023–2024 on the back of record launch cadence, growing satellite services, and surging demand for broadband and Earth observation data. While the sector remains cyclical and capital intensive, the mix of recurring service revenues (from communications and data) with infrastructure build-outs is gradually lowering volatility and improving visibility for operators and investors.
Where the revenue is coming from
Satellite communications still dominate market share, with ground equipment—from user terminals to gateways—representing a major slice of spend. The rapid buildout of low-Earth-orbit (LEO) constellations is expanding addressable markets: SpaceX’s Starlink is scaling global fixed broadband, Amazon’s Project Kuiper is moving from pilot to deployment, and Eutelsat OneWeb is targeting enterprise and government connectivity. Earth observation providers such as Planet, Maxar, ICEYE, and Capella Space are pushing into higher-value analytics, turning imagery into decision-ready intelligence for insurance, agriculture, energy, and defense.
Launch remains a smaller piece of the pie but a critical enabler. Reusability, rideshare models, and a more robust supply chain have cut per‑kilogram costs and unlocked new business cases. 2023 marked another record year for orbital attempts and mass to orbit, with SpaceX’s cadence setting the pace and a deeper bench emerging across Rocket Lab, ULA’s Vulcan, and Blue Origin’s heavy-lift ambitions—trends underscored by data from analysts at BryceTech. As launch prices normalize, downstream services—connectivity, observation, in‑space data processing—capture a growing share of value.