Citigroup Inc. (C) analysts believe that the space industry would be worth $1 trillion in annual revenue by 2040, with launch costs projected to drop 95%, which is expected to be opportunistic for technological innovation and expansion. C’s projections match forecasts from Morgan Stanley (MS), Bank of America Corp. (BAC), and others. Moreover, private investment in space companies has broken records over the past decade.
Recently, the ongoing Russia-Ukraine war and the sanctions against Russia are affecting the outer-space environment. In the wake of the war, Russia’s share in the commercial space industry is likely to be diminished, creating benefits for other commercial space markets like the United States. On top of it, the global satellite market is forecasted to grow at a 13.8% CAGR from 2022 to 2027.
