The Race to Space

How to achieve profitable growth in an accelerating space economy
Dr. Georg Heinecke | Joachim Kirsch
Mar 2023 | White Paper | English

The Race to Space

How to achieve profitable growth in an accelerating space economy

For decades, spaceflight was dominated by a conservative, government-sponsored industry, rarely making the headlines. Today, space industry is experiencing its biggest disruption since the 1960s: With new business models, unprecedented technologies, smart manufacturing and calculated risk-taking, the ecosystem is gradually changing its market conditions. The industry is at a crossroads: either it takes off or it returns to its niche existence. In short: "Boom or bust"?

The Strategy Paper takes a look at current market dynamics and explores new business opportunities created by global connectivity and Earth observation. It presents success factors for building a space service as well as possible business strategies how to successfully position a company along the value chain and differentiate from competitors.

$1 tn

The space economy is likely to grow to over $1 trillion by 2030.

3 megatrends

are essential, including connectivity, sustainability, and climate protection.

18 factors

for success must be considered to maximize revenues and reduce costs.

Management Summary
  • The space economy offers enormous potential for incumbents and newcomers alike, as it will grow from $400 billion in 2020 to over $1 trillion by 2030 on the back of megatrends like connectivity, sustainability, and climate protection.
  • The hype around the space industry is justified, as industry culture and economics have changed dramatically – including lower system costs, more capable technology, and a well-funded start-up ecosystem to build new services.
  • On the revenue side, the service must be positioned in a relevant market, designed to be “sticky,” and employ a smart go-to-market strategy to quickly monetize.
  • On the cost side, the service needs to employ an end-to-end approach along the space value chain to optimize top cost positions: hardware, launch, ground segment, and service operation.
  • However, companies should be careful to follow this strategy by default, as it might jeopardize the current market positioning and perception as well as overstretch internal resources and budgets.

Read the whole white paper now


Consulting that works

You want to get in touch with our experts? Reach out to us.

Joachim Kirsch
Industry Lead Aerospace


Trends & Solutions

Global Healthcare Transformation

Learning from the most successful CEOs in pharma and medtech

Transformation Transportation

The human factor is key

Strategic Workforce Management

How to ensure the future readiness of the workforce