While the definition of the space economy has been nebulous, one thing is clear: space presents an enormous opportunity for global economic growth. A report by McKinsey and the World Economic Forum estimates that the space economy will present a $1.8 trillion opportunity by 2035, up from $630 billion in 2023.
Those who wish to participate in this new space race can think of the space economy in two halves: “the backbone”—satellites, launchers, and all the ground equipment that makes those things work—and “the reach”—applications that use that backbone to provide goods and services to people on Earth. In addition to equipment and applications, says McKinsey senior partner Ryan Brukardt, public- and private-sector investors can develop capabilities in connectivity, mobility, and derivation of data only available from space.
This International Asteroid Day, listen to the The McKinsey Podcast episode for a discussion on topics related to the space economy, including space tourism, mining, job creation, and trash. Then, check out other insights for more on space.
Space: The $1.8 trillion opportunity for global economic growth
A different space race: Raising capital and accelerating growth
Space: The missing element of your strategy
Space launch: Are we heading for oversupply or a shortfall?
Scaling—and funding—next-gen satellites for the coming commercial boom
Expectations versus reality: Commercial-satellite constellations
How will the space economy change the world?
Wall Street to Mission Control: Can space tourism pay off?
R&D for space: Who is actually funding it?