The sector – think everything from Star Wars-like missile defense systems to Google Maps – attracted nearly $9 billion in investment in the first nine months of 2024, up from just $5.6 billion a year earlier, according to Seraphim Space.
And as futuristic technologies become reality, deal-making in Asia is catching up with space tech leader, North America. Hot spots like China, Japan, India and Singapore saw a surge in investments this year and the excitement shows no sign of slowing.
We have lift-off
- Space startups raised $1.9 billion in the third quarter alone, nearly 20% more than the same period last year. That’s 149 deals globally. Of those, an unprecedented 54 were in Asia.
- The top deals in Asia over the last 24 months include Shanghai Spacecom Satellite Technology, which raised nearly $1 billion. Singapore’s Qosmosys and India’s Pixxel snagged $100 million and $36 million.
- In India, funding for space tech grew 7% to $126 million in 2023, market intelligence platform Tracxn says.
Space tech isn’t niche anymore – it really is driving everything from climate monitoring and defense to self-driving cars and smart cities. In China, Japan and India, the ambition for space exploration is driving government support for the sector. In Southeast Asia, the spotlight is more on satellite communications to help connect the region’s remote islands and highlands.
So what’s the play?
This year’s seen not just a boom in funding, but a shift in money going towards early-stage space tech startups, even at a time when the broader venture capital climate has been worse than meh.
That means investors are on the hunt for fresh talent, giving founders a better shot at securing funding.
Global organizations are also keen on teaming up with Asian space tech firms. India’s space tech startup Pixxel just secured a $476 million contract with NASA, so the opportunities are out there for more established players to grow. You can buy into that potential growth by looking at pre-IPO shares. These are basically stocks in private companies, like Pixxel, that an employee or other owner might want to sell for whatever reason.
Governments are also stepping up their support for local firms to help them advance their galactic capabilities. India’s launching a 10 billion rupee, or $119 million, fund. Singapore is investing more than $110 million. That means local players are getting more backing to survive and grow, but it also lends credibility to the sector overall and could attract more private investors.
The possibilities are out of this world.
