The World Economic Forum expects the size of the space economy to rise to $1.8 trillion by 2035, as the world increasingly relies on communication and mobility technologies, which could enhance the value of almost all industries on Earth and provide solutions to many of the world's biggest challenges.
The World Economic Forum stated in a report published in cooperation with McKinsey & Company that this is about more than just “rocket science,” explaining that the space economy is now playing an “increasing role in everything,” from weather forecasts, to food deliveries or... home purchases, as well as developments in communication technologies.
The report also added that industries such as supply chains and transportation will become more dependent on satellites and other space technologies.
The World Economic Forum relied in the report on the use of market forecasts, estimates of specialists from the public and private sectors, and insights from a global network of experts.
According to the report, space will account for a larger portion of the global economy by 2035, and the size of the space economy is expected to reach $1.8 trillion, up from $630 billion in 2023, with a growth rate of 9 percent annually on average.
The report also explained that operations in the space economy will go beyond the traditional boundaries of work in space, and the share of the space economy occupied by current space service companies will gradually decline in favor of other companies, such as passenger transportation applications, which would not have reached the global scale it has reached without technology based on space. Satellites, which connect drivers, passengers, and companies providing navigation services.
The World Economic Forum also explained in its report that the return on investment in space will be greater than just material returns, as space will play an increasingly important role in mitigating global challenges, starting from disaster warning and climate monitoring, to improving humanitarian response and achieving prosperity on a broader scale.
Collaboration between public and private sector actors will be key to ensuring space capabilities reach this potential.