Why this is important to Wisconsin businesses: With production costs subsidized by the government, the industry is successfully winning a large share of the satellite manufacture and launch market, representing an opportunity for Wisconsin companies in aerospace to contribute components and subsystems, designs, technology, parts and accessories.
The Indian Space Research Organisation (ISRO), the space agency of the Indian government, has launched 79 satellites originating from 21 countries, and is marching toward a milestone of 100 foreign satellite launches. India has earned more than $120 million from foreign satellite launches so far. India’s aerospace spending has risen to $1.5 billion in FY 2016-17.
The small satellite market in India will be valued at $16 billion in the next five years, compared to $335 billion globally. Demand in India calls for launching 200 smaller satellites by 2023. The U.S., the EU and Russia account for 80 percent of the global space market.
It is estimated that between 2,000 and 2,500 satellites will be launched globally in the next few years to meet the needs of governments and private customers for navigation, maritime, surveillance and other space-based applications.
In August, Antrix Corporation Limited, the commercial arm of the ISRO, received orders for the launch of 68 foreign satellites, including a dozen from the U.S. Antrix Corporation has orders worth $42 million from countries wanting to launch satellites.
It would be tough for foreign companies to compete against ISRO’s low-cost options, as these are subsidized by the Indian government. With more nations and private customers keen on having their own satellites for various applications, the shortage of rockets and launchers worldwide is working to India’s advantage.
ISRO will face competition from global players such as Blue Origin, Firefly Systems, Rocket Lab and SpaceX, which are bracing up to offer satellite launch services by 2017.
India has launched satellites for France, Germany, the UK and the U.S., among others. ISRO is soliciting bids for private firms to manufacture earth observation and communication satellites to meet a demand for 70 satellites in the next five years.
Wisconsin companies can look to the Indian aerospace industry for opportunities to export components and subsystems, designs, satellites, technology transfer, parts and accessories, as the industry will be a source of huge demand in coming years.