Matthew Kuta, president and COO of Voyager Space Holdings, says the crisis has laid bare a fundamental mismatch between venture investors focused on making quick profits and what space companies need to be successful, which is a long-term commitment.
Rationalization of the startup landscape and the right sizing of company balance sheets is inevitable, paving the way for “Space 3.0,” which will see the profitable and sustainable exploitation of entirely new market opportunities, backed by a growing base of enlightened stakeholders.
One way to help the industry is for the government to communicate what problems it needs solved and commit funding for the right solutions.
Treasury is said to be concerned that changing the rule for venture-owned startups would subvert the intent of the relief loan program.
A $1.5 million Small Business Innovation Research award was matched by $1.5 million from ATX Venture Partners and Revolution’s Rise of the Rest Seed Fund.
Space industry startups attracted $5.7 billion in financing in 2019, “shattering the $3.5 billion record set the previous year,” according to a new report by Bryce Space and Technology.
The European Union will provide 200 million euros ($222 million) to support Europe’s space industry, in the form of a loan to help fund development of the Ariane 6 and investment in space startups.
Seraphim Capital and Noosphere Ventures participated in the latest funding round for Italian space company D-Orbit.
Descartes Labs, a company that specializes in applying machine learning to geospatial datasets, raised $20 million in a Series B-2 bridge financing round.
Satellite communications startup UbiquitiLink has raised more than $12 million for its plan to launch a constellation of satellites to extend the reach of terrestrial mobile networks, the Falls Church, Virginia, company announced July 17.
The NewSpace sector is expected to grow from a $350 billion global industry in 2018 to a trillion dollar one by 2040, according to a Morgan Stanley report. Given these forecasts it is not clear how the market will expand, will there be more mergers and acquisitions, initial public offerings, initial coin offerings or just companies remaining private?
Most investors believe that the growth in funding for space ventures will continue for the near future, despite some concerns about parts of the industry and a lack of returns.
Investors continue to fund space startups at an accelerating rate, according to two firms that track activity in the sector.