Spanish companies stand out in the new space age

in your opinion Jordi Hereuhead of public participation satellite operator Hispasat“space is the battlefield of the 21st century. It is therefore a strategic and global space that will require the cooperation of everyone, veteran companies and startups”. HIspasat is Europe’s third largest satellite operator.

Carlos Fernandez de la PenaCEO of the Italian multinational company in Spain telespace, remember that only ten years ago the space industry was the protector of such big companies. airbus and the influence of state space agencies. PAN, (US space agency). Since then, he explains, ‘New Space’, a concept that encompasses space activity around it, has taken shape. smaller and cheaper satellites. According to Hispasat calculations, this private sector’s investment in 1,694 companies in Europe in 10 years is around 252,900 million.

This influx of private capital, in conjunction with the reduction in the cost of production, led to an explosion of ‘new ventures’ which, in conjunction with the launch of small-sized satellites, provided a reduction in financial entry barriers. Large and small companies in the industry shy away from the ‘New Space’ concept, realizing that the space pie should be distributed according to the services offered, not the size of the satellites or the orbital distance. SpaceX is a ‘New Space’ company, but is also currently the world leader in satellite launching. Telespazio participates in the majority of European space development projects.

iris2

European space project announcement this week iris2 because the creation of a satellite constellation represents the definitive link between the ‘New Space’ and the big companies associated with the space sector. The plan received 6,000 million euros and an integrating consortium. Airbus SE, Thales Alenia Space SAS, satellite operators Eutelsat Communications, SES, Hispasat, Deutsche Telekom, Orange, OHB, Hisdesat Servicios Estratégicos, Telespazio and ThaleS.

But other space projects continue. Compared to large fixed satellites orbiting at 36,000 kilometers and weighing several tons, the new nano-satellites embodied by ‘New Space’ weigh just over ten kilograms and orbit at an altitude of 500 meters. With this ‘democratization’ of space, future business condensation, and large corporations’ commitment to the small satellite space, its days seem to be numbered. Also because of the development and rapid growth of top position ‘startups’.

The new technology around nano-satellites has opened the ban. regional satellites. A launch has been launched in the Basque Country, there are two more in Catalonia and two more on the way, a launch will be made in Andalusia, a launch will be made in the Canary Islands and another is on the way. While in Catalonia, a contract was signed with the company’s own satellite service. satellitehas been selected as the owner of the nano-satellite in Andalusia or the Canary Islands. These initiatives will continue, but business concentration processes will be unstoppable in the coming years and the speed of implementation of satellite networks will be essential.

‘New Area’ and new Spanish Space Agency It has enabled many new companies to strengthen their projects. The government increased Spain’s contribution margin. European Space Agency (ESA)up to 300 million euros. Since 2019, the Spanish Government has increased its contribution to ESA by 50%.

The Atlantic satellite network, which enables the launch of 16 satellites (eight from Portugal), is the flagship project of the Spanish agency and aviation department (to mobilize 4,533 million euros in public-private investments between 2021 and 2025).

But there is also the network of the Spanish company Sateliot, for example, called the first global network of 5G satellites. And another Spanish private network is also planned, BeetleSatConstellation based on satellites weighing less than 200 kilos for global connectivity in Ka band for secure point-to-point communication.

Jaume SanperaCEO satelliteAcknowledges Spain’s great potential in space, but warns that new companies born around the ‘New Space’ will need more public funding to prevent them from falling into the hands of foreign investors. “We have to bet on companies with a long history of strategic intellectual property, patents and adding value. There are no more than a dozen in total. We have to bet on them, potential world champions. The growth of new Spanish space firms is ‘only’ worth hundreds of millions of euros. Several billion The entire ecosystem of corporate providers who, with euros of public money, will be the next champion to secure the future of new Spanish New Space firms and to be supported by them”.

Low-orbit nano-satellites are making space projects cheaper, and new companies are emerging that need public funding to consolidate.

Lack of funding is the biggest problem for the development of new space firms. Because it is a strategic activity, any international investment fund requires that the registered office be relocated to the home country of the reference shareholder. So there is a feeling in the industry that there will be business moves in the near future as the nano satellite is also part of the plans of the major operators.

But as business mergers are coming, expectations of Spanish companies in the sector are high. Sanpera believes that double-digit growth will continue in the industry: “Any company that does not grow at this rate loses market share,” says Sanpera.

This ukraine war demonstrated the importance of satellite services in the field of defense. A reference company in Spain is Hidesat, a state operator in the military field. But other companies that manufacture components or provide specialized surveillance or telecommunications services also play a leading role. “We have a great opportunity to lead IoT-related Defense applications in Spain and secure communications within NATO,” explains Sanpera. Hereu agrees: “Spain can provide experience in industry and operations, as well as innovation, with start-ups that are pioneering initiatives for launchers and nanosats.”

Fernandez de la Pena He believes that “it is important for Spain to achieve technological independence in order to be able to launch satellites into space and have its own communications, navigation and Earth observation programs”. The Telespazio subsidiary currently employs 120 people, and the firm is pursuing a growth plan to triple its size. This Italian company bills around 700 million and employs 3,000 people in Europe.

Fernández de la Peña points out that the Spanish space sector is basically civil. Defense space is a great client of high resolution images (more than 60%) from space. A major area of ​​development for Spanish companies is applications for the analysis of these images via radar combined with images taken by terrestrial drones or low-orbiting nano-satellites.

Rafel JordanThe CEO of Open Cosmos is aware of the sweet moment the space industry is having in Spain, but argues that the major development area for the future is the civilian market rather than the military, and the military is more reserved for large public companies. According to him, Spain stands out as it will be in a position to face full space missions for the first time in the coming years. Being able to launch satellites and design and integrate all relevant technologies will be a fundamental change in the coming years.

Jordan underlines that Open Cosmos It focuses on satellite applications for sustainability, climate change analysis, and monitoring natural resources: “What currently dominates is the usefulness of satellites, whether they are in high or low orbit. I don’t think the technology is all gone. Jordà states that space is a dual-use (military and civil) space.

Jordà believes that in ten years Spain will have the full capacity to tackle space projects comprehensively. But the most important thing will be the leap in the ability to analyze the data obtained: “The future is there not only because of the development of space infrastructures, but also because of the design of algorithms for optimal processing of the data generated by satellites” , analyze.

According to the latest data from ICEX and the industry association of employers tedaeThe aviation industry issues approximately 12,000 million invoices annually and employs more than 50,000 people. However, data from the space sector is not parsed. Investment in R&D accounts for 10% of the turnover, which grew 42% in 10 years. The foreign sector is of key importance, as 80% of the Spanish space sector’s turnover is generated abroad. 75% of New Space employees have a university degree. It is an indicator that points to a sector with high added value and high productivity.

Allen Space Pontevedra-based company specializing in standardized products and components for small satellites and CubeSats. It focuses on shortening the development phases of all types of space missions. This company, which has a history of 15 years, operates in 16 countries and always emphasizes that it has achieved 100% success in all the tasks it has participated in. Company sources emphasize that the key to the future of the Spanish space industry will be the financing of expansion plans and the maintenance of strong human and technical teams: “Initial support from public or private organizations openly committed to this sector, where a ‘know-how’ that strengthens technological independence, customer trust and business partners “.