1、Private market equity investment activity and startup trends in the Space Economy from the investors at the forefrontQ1 20242024SPACE IQSpace Investment QuarterlyQ1Front cover image:Starlink satellites with direct-to-cell capability.Photo credit:SpaceX.Space Capital 2024The macro market in Q1 provid

2、ed many reasons for optimism with inflation nearing the Feds 2%target leading to signals that rate cuts are coming,a strong labor market,and soft-landing expectations combining to send public equities to all-time highs.Meanwhile,companies across the space economy achieved multiple milestones in Q1 t

3、hat demonstrated technical proficiency and innovation are moving beyond SpaceX to a broader set of rising stars.With$6.5B invested in Q1,there has now been$286.0B invested into 1,779 unique space companies since 2015.The total investment in Satellite infrastructure over the last decade overtook Laun

4、ch for the first time in Q1 signaling that the balance has shifted from getting things into orbit,to developing capabilities now that were there.Additionally,investment in geospatial intelligence(GEOINT)Applications overtook satellite communications(SatCom)for the first time,highlighting the growing

5、 demand for geospatial data from these orbital assets.During the quarter,more cutting edge capability came online with the launch of several important new Earth observation satellites including EDFs MethaneSAT,Muons MuSat-2,and ICEYEs three new SAR sats,which will contribute meaningful new data to t

6、he growing pipeline from orbit.But the biggest development of the quarter from a business and investment perspective was in SatCom.Starlink and other next-gen satellite systems have been the primary drivers behind the rapid decline in satellite capacity pricing,triggering a structural shift in the i

7、ndustry away from traditional wholesale capacity leasing towards more affordable and accessible connectivity services.After more than a year of public evaluation,John Deere entered into an agreement with Starlink to provide cutting-edge SatCom service to farmers.The Starlink team successfully tested

8、 their new Direct to Cell satellites using T-Mobile network spectrum and the FCC approved a regulatory framework for allowing SpaceX and other satellite operators to use radio waves from terrestrial mobile partners.Also in Q1 SpaceX began selling satellite lasers while Alyria,an Alphabet spinout,dem

9、onstrated its software platform to manage a Welcome to the Q1 2024 edition of the Space IQ.Unique CompaniesQ1 InvestmentQ1 Number of CompaniesReceiving InvestmentCumulative Private Market Equity Investment since 20153$286.0B1,779$6.5B103mesh network of communications satellites.We are seeing the eme

10、rgence of a ubiquitous network fabric that is reshaping our modern global economy.Q1 also saw significant developments in Launch and Emerging Industries.Two new launch vehicles came online:for the first time in more than 50 years,an American spacecraft was launched toward the surface of the moon by

11、ULAs new Vulcan rocket,while OrienSpace launched the most powerful rocket by a private Chinese firm.Additionally,Ursa Majors Hadley rocket engine flew for the first time,powering the first flight of Stratolaunchs hypersonic test vehicle.With 32 launches in Q1 SpaceX is on pace to break their 2023 re

12、cord.A Falcon 9 first stage made a record-tying 19th flight when it launched its 13th batch of Starlink satellites.It most recently launched the Intuitive Machines($LUNR)commercial lunar lander on course for the Moon,which culminated in a near-successful lunar landing.Starship reached orbital veloci

13、ty in a successful third test flight of the nextgen vehicle.The rate of progress in this test program is truly astounding;SpaceX has more boosters and ships ready to go and expects to fly the vehicle nine times this year.Another Space Capital portfolio company making plasma in Q1 was Varda,which bec

14、ame the first commercial entity to receive a reentry license to land their spacecraft on U.S.soil,which delivered novel pharmaceutical products for an eager customer.Reddit may have rejuvenated the IPO market,which may bode well for space companies looking to tap the public markets.Sierra Space,the

15、fourth most valuable infrastructure company,has begun laying the groundwork for an IPO while Astroscale is hoping to go public on the Japan exchange as early as June.At the same time consolidation continues with quarterly acquisition volume picking up QoQ.As we look ahead to Q2,well be watching for

16、increased exit activity as the Feds interest-rate pivot signals a potential market recovery and,as public multiples outpace private ones,we may see a surge in private market valuations.There are already several more acquisitions pending including Ansys,ILC Dover,and more including the reported sale

17、of ULA.Q1 2024 Investment in the Space Economy$30 B0250500$50 B$40 B$20 B$10 BCUMULATIVE PRIVATE MARKET EQUITY INVESTMENT FROM 2015 TO PRESENT36%28%10%10%2%15%SeedSeries ASeries BOther4Late Stage3Series CIn Q1,investment in the Space Economy grew 33%QoQ,totaling$6.5B across 103 companies.Late-stage

18、and other companies received$4.3B,accounting for 66%of the total.Growth-stage investments decreased 51%YoY compared to Q123.While Series A rounds recorded the third highest quarterly inflows since 2015,this uptick was driven by a single large round and shouldnt be interpreted as a broader accelerati

19、on at this stage.Early-stage deal activity remains healthy with 64%of the total round share.Growth-stage rounds declined 36%YoY after showing signs of recovery in 2023.Late-stage and other rounds remained elevated,recording the same number of rounds with the previous quarter.Infrastructure companies

20、 continued to attract investment with 59%YoY increase.Applications investments logged its best quarter since early-2022 with$3.7B,driven by one major transaction.Despite this uptick,Applications companies continue to struggle to raise capital.BY STAGE INVESTMENT AMOUNTBY STAGE ROUND SHARE$6.5B$1.5B6

21、6103Year to DateBY LAYER INVESTMENT AMOUNT AND DEALS BY QUARTERInfrastructureDistributionApplicationsNumber of RoundsPRIVATE MARKET EQUITY INVESTMENT541.“Other”consists of countries each representing less than 1%of funding.EARLY-STAGE INVESTMENT2EARLY-STAGE ROUNDSNUMBER OF ROUNDSNUMBER OF ROUNDS IN

22、Q1InfrastructureNumber of RoundsDistributionApplications202220232024200021PRIOR103TOTAL INVESTMENT BY GEOGRAPHYTOTAL INVESTMENT BY INDUSTRYTOTAL INVESTMENT BY LAYERANNUAL INVESTMENT BY LAYERSeedSeries ASeries BSeries CLate Stage3Other4$0$1 B$2 B$3 BSingaporeEmerging IndustriesC

23、anadaOther1ChinaLaunchFranceIndonesiaUSASatellitesIndia2.Early-stage consists of Pre-Seed,Seed,and Series A rounds.3.Late-stage consists of Series D+and Liquidity Rounds.4.Others include non-traditional investments like take-private transactions and self-capitalization from Jeff Bezos,Elon Musk,Rich

24、ard Branson,and Robert Bigelow who are classified as Individual investors providing large investments(hundreds of millions)in their own companies through unclassified rounds.SpaceX launches crew mission,ushers in commercial spaceflight1978NAVSTAR I GPS launched1984First Commercial GPS Receivers2001g

25、psOne supports launch of GPS on mobile devices2005Google Maps launched2009SpaceX first successful commercial launch2008iPhone 3G equipped with GPS2014 Uber reaches 1M daily users and 250+citiesSpaceX lands orbital booster,ushers in reusabilityiPhone 14 equipped with direct to phone SatCom servicePla

26、net Labs images entireEarth dailyUK71%3%27%$2 B$4 B$6 B$8 B$002023 Q12023 Q22023 Q32023 Q42024 Q11005028%46%86%5%4%3%3%3%1%2%7%12%$245.4B$33.7B$3.7BInfrastructureDistribution$7.8B$76.1BApplications$202.1B2000224Satellite industry investments over the past decade have

27、 outpaced Launch for the first time.Since 2015,three times more Satellites companies have received investments than Launch,this trend indicates a sustained interest in founders building spacecraft and talent moving towards advanced sensing and connectivity.Within the Satellite industry,SatCom leads

28、investment with$15.6B with GEOINT following at$11.6B.Launch received$33.7B over the same period,where SpaceX and Blue Origin account for 68%of this total.InfrastructureANNUAL INVESTMENT SOURCEBY SECTOR6 CUMULATIVE INVESTMENT AMOUNTCUMULATIVE INVESTMENT GEOGRAPHYBY SECTOR CUMULATIVE ROUND SHARE$5 BAn

29、gel/IndividualVenture CapitalCorporateOther566%11%10%6%2%5%USAChinaFranceUKJapanOther1$10 B$15 B$20 BInfrastructure investment remained strong at$2.7B.VC investors accounted for 56%of capital deployed during the quarter,significantly exceeding their 40%average contribution over the past decade.Angel

30、/Individual investors continue to play an outsized role accounting for nearly 20%of funding since 2015,driven by Jeff Bezos continued self-funding of Blue Origin.The U.S.has dominated global Infrastructure investment over the past decade,securing 66%of total capital,with SpaceX and Blue Origin accou

31、nting for 31%of the U.S.total.China is in second place,poised to rapidly expand its share in the coming years with accelerating investments in Small Launch,SatCom,and Advanced Manufacturing sectors.France trailed closely as the third,after overtaking the UK through the successful merger of OneWeb an

32、d Eutelsat.Since 2015,the Satellites industry has seen the largest amount of deal activity making up 56%of the total round share.Zooming in,the most active sectors have been Satellite Manufacturing,Small Launch,and GEOINT,representing 61%of deals in the last decade.Q1 mirrored this trend with the af

33、orementioned sectors contributing to 62%of the total rounds.Early-stage Infrastructure investments in Q1 reached$1.1B,the highest quarterly inflow in the past decade for this stage,driven by Series A rounds in Satellites that included a diverse mix of SatCom,GEOINT and Satellite Manufacturing compan

34、ies.Were seeing a pattern where raising a Series C round has been challenging and appears to be a rite of passage.While early-stage investments represented 69%of all rounds in the past decade,their share decreased from a 75%high.This indicates a maturing investment landscape and as growth and late-s

35、tage deals represent a larger share.This shift may also be attributed to investors focusing on existing portfolio companies rather than adding new investments,which decreases the number of early-stage rounds.$20 B$30 B$10 B$0 BSeedSeries ASeries BSeries COther4Late Stage3BY STAGE CUMULATIVE INVESTME

36、NT AMOUNT BY STAGE ANNUAL ROUND SHAREOther4Late Stage3Series CSeries BSeries ASeed765.“Other”includes Foundations,Private Equity,Sovereign Wealth Funds,Mutual Funds,Crowd Platforms.6.See Unpacking the Emerging Industries blog post$76.1BTOTAL EQUITY INVESTMENT SINCE 20Number of RoundsNumbe

37、r of RoundsHardware and software to build,launch,and operate space-based assets$0Emerging IndustriesMore on pg 8-9$10 B100$30 B$40 B300400$20 B200$00SatellitesLaunchStationsLunarIndustrialsSatellites936 roundsLaunch367 roundsManufacturing&Components502 roundsSatCom175 roundsGEOINT220 roundsSmall Lau

38、nch296 roundsHeavy Launch44 roundsMedium Launch25 roundsLaunch Brokerage1 roundsSpaceport Operations1 roundsGPS 39 roundsIndustrials 76 roundsStations 104 roundsLogistics 117 roundsLunar 74 roundsLogistics2024200021202220230%100%50%The top 10 deals in Q1 totaled$2.3B with the S

39、atellite industry receiving 54%of the total.Chinas SatCom company Shanghai Spacecom Satellite Technology,which has raised$943M Series A to fund the construction of its 12000-satellite“G60”megaconstellation in LEO,was an outlier.The Launch industry led in terms of round shares with five transactions.

40、Among the list,six are from the U.S.,along with two from China,one from France,and one from Australia.Q1 saw$5.6B realized through three Infrastructure exits,largely due to BAE Systems acquisition of Ball Aerospace.BlueHalo,an emerging leader in the space and defense domain,acquired Eqlipse,a young

41、company specializing in cyber and signals intelligence.This fits the recent trend of well-funded companies acquiring unique,smaller entities to differentiate its offering.Over the past decade,acquisitions have constituted 88%of Infrastructure exit value and 76%of the rounds.TOP DEALS IN THE QUARTERE

42、XITS BY INDUSTRYCOMPANYROUNDAMOUNTShanghai Spacecom Satellite TechnologySeries A$943 MBlue OriginSelf Capitalization$500 MRocket Lab(NAS:RKLB)PIPE$355 MAST Space MobilePIPE$155MUnseenlabsSeries C$92 MOrienSpaceSeries B$84 MIntuitive MachinesPIPE$61 MK2 SpaceSeries A$50 MABL Space SystemsSeries C$41

43、MGilmour Space TechnologiesSeries D$36 MIndustrialsLunarStationsLaunchLogisticsNumber of Rounds$0$30 B$20 B$10 B$50 B$40 B3020100Satellites2000224ANNUAL INVESTMENT SOURCEBY SECTOR6 CUMULATIVE INVESTMENT AMOUNTCUMULATIVE INVESTMENT GEOGRAPHYBY SECTOR CUMULATIVE ROUND

44、SHARE78%13%1%2%1%5%USAJapanItalySingaporeCanadaOther1$0$3 B$2 B$1 BTen companies across the Emerging Industries raised a total$0.1B in Q1.Since 2015,$6.8B has been invested in this category across 146 unique companies.VC Investors accounted for 46%of capital deployed,followed by Corporate at 18%,and

45、 Private Equity at 16%.Notably,Angel investors also contributed a significant share with 10%.U.S.companies raised the majority of capital across the Emerging Industries at 78%over the past decade.This is driven by Sierra Nevadas spin-off,Sierra Space,venture investments in Axiom Space,ICON,Varda,Tru

46、e Anomaly,LeoLabs and self-capitalization of Vast.Japan accounts for 13%with investments in Astroscale,iSpace,and GITAI.Italy,Singapore,Canada,Germany follows with notable investments including D-Orbit,Qosmosys,NorthStar Earth and Space,and The Exploration Company.Over the past decade,Stations secur

47、ed the most funding at$3.7B,followed by Logistics at$1.6B,Lunar at$1.0B,and Industrials at$0.5B.Zooming in,the leading sectors include Habitats($3.3B),On-Orbit Servicing($1.0B),Transport($0.5B),and Manufacturing and Assembly($0.3B),respectively.The companies with the largest total investments includ

48、e Axiom Space and Sierra Space in Stations,Astroscale and D-Orbit in Logistics,ICON and iSpace in Lunar,Varda Space and Redwire(NYS:RDW)in Industrials.Logistics has led round activity every year since 2019.This trend continued in Q1 with Logistics closing five rounds.Consequently,Logistics now accou

49、nts for 32%of the total round share over the past decade,surpassing Stations at 28%.This emphasizes the increasingly critical role the Logistics industry plays in cultivating a sustainable and vibrant in-space economy.Since 2015,growth-stage funding($1.9B)has outpaced early-stage investment($1.7B).L

50、ate-stage investment($2.6B)is heavily concentrated(69%)in a single company,Sierra Space.While 2023 saw near record investment,continued growth will depend on large government contracts being awarded to start ups to unlock more substantial,later-stage rounds and elevate broader investor interest.Earl

51、y-stage rounds accounted for 80%of total equity in Q1.A handful of companies,including Space Capital portfolio companies LeoLabs,have been able to grow significantly with accelerating commercial revenues as well as government contracts.Sustained momentum in 2024,that builds on last years record acti

52、vity,will require strong revenue growth to demonstrate viability of these nascent markets.$1 B$2 B$0SeedSeries ASeries BSeries COther4Late Stage3BY STAGE CUMULATIVE INVESTMENT AMOUNT BY STAGE CUMULATIVE ROUND SHARE98$6.8BTOTAL EQUITY INVESTMENT SINCE 2015500Emerging IndustriesSubset of Infrastructur

53、e excluding Launch and Satellites industries ofAngel/IndividualVenture CapitalCorporateOther5Number of RoundsNumber of Rounds$1 B$2 B$3 B$4 B$0StationsLunarIndustrialsLogisticsStations104 roundsLogistics117 roundsIndustrials76 roundsLunar74 roundsSpace Situational Awareness47 roundsDebris Mitigation

54、12 roundsHabitats 45 roundsOn Orbit Servicing58 roundsServices 59 roundsTransport42 roundsDeep Space Satellites18 roundsConstruction16 roundsEnergy Generation&Storage23 roundsManufacturing&Assembly 32 roundsMining&Minerals19 rounds$76.1BOther4Late Stage3Series CSeries BSeries ASeed0%100%50%305040201

55、520002220232024Lunar investments dominated Q1 accounting for 58%of the capital raised.This was led by Intuitive Machines,which recently made history as the first private company to land on the Moon.Interlune,an in-space resource mining startup founded by former Blue Origin and

56、Rocket Lab executives,contributed to this with a$18M Series Seed round.Notably,there are six non-US companies on the list,demonstrating international growth in this category.TOP DEALS IN THE QUARTEREXITS BY INDUSTRYCOMPANYROUNDAMOUNTIntuitive MachinesPIPE$61 MLeoLabsSeries B$29 MInterluneSeed$18 MAl

57、doriaSeries A$11 MATMOS Space CargoSeed$6 MSanyuan AerospaceSeed$5 MKurs OrbitalSeed$4 MApis CorSeries A$4 MBlue Skies SpaceSeed$3 MInfinite OrbitsSeed$1 M$0$0.4 B$0.6 B$0.2 B2LunarNumber of RoundsNo exits took place in Q1.Over the past decade,acquisitions have been the predominant exit route,accoun

58、ting for 72%of the rounds raised and 86%of the total value realized.Companies that have gone public in this category have generally underperformed,often struggling to demonstrate consistent financial metrics,due to the market being in the early stages of development and high development costs.543Sta

59、tionsLogisticsIndustrials02020224202420002120222023Number of RoundsNumber of RoundsANNUAL INVESTMENT SOURCEBY SECTOR CUMULATIVE INVESTMENT AMOUNTCUMULATIVE INVESTMENT GEOGRAPHYBY SECTOR CUMULATIVE ROUND SHAREAngel/IndividualVenture CapitalCorpor

60、ateOther5GPSGEOINTSatCom60%12%8%10%3%2%1%4%USAChinaUKSouth KoreaCanadaOther1$0$1.5 B$2.0 B$1.0 B$0.5 BQ1 saw limited Distribution investment and deal activity,with only$0.1B invested across 7 rounds.Continued innovation at this layer is needed to unlock value and monetize the Infrastructure being bu

61、ilt.New capabilities in geospatial data processing and mapping are being tested,especially with the integration of AI and ML.Furthermore,companies that work on SatCom implementation,direct-to-device connectivity,and edge computing are critical to accelerate new Applications.Over the past decade,U.S.

62、companies represent 60%of the total investment,followed by Australia at 12%,and China at 10%.The U.S.funding landscape is diversified between GPS/GNSS and SatCom,while Australia specializes in GEOINT and Chinas investments lean predominantly towards GNSS.With increasing need for resilient ubiquitous

63、 communications and real-time spatial insights,its possible that the U.S.and China will witness increased investments at this layer of the stack.Distribution has seen$7.8B invested across 169 companies over the past decade.During that time,GPS companies attracted 45%of the total investment,with SatC

64、om accounting for 38%and boasting the highest number of companies at 71.GEOINT has continued to grow,securing 59%of the investments in Q1 and 37%of total funding since 2022,substantially higher than its 10-year average of 17%.SatCom and GPS have accounted for 78%of all rounds in Distribution over th

65、e past decade.GEOINT continued its rise as the most active sector in Q1.Its worth noting that 84%of GEOINT rounds since 2015 are early-stage and an absence of growth rounds indicate that the sector is still emerging.To thrive,many companies may need to strategically expand their initially narrow bus

66、iness scope to increase market appeal and unlock growth potential.Early-stage funding has shown sustained momentum and now represents 21%of the total capital over the past decade.The lack of follow-on investments underscores the challenges companies faced when scaling.Technology at this layer is shi

67、fting away from largely hardware-centric solutions to dynamic software-defined capabilities that better reflect the evolving needs of end customers and require less capital to grow.SatCom and GEOINT dominated the Q1 list with seven rounds.Skylo,based in California,raised a$37M Series C financing to

68、provide a SatCom network for IoT and to pursue the emerging direct-to-device market for high-bandwidth smartphones.Defense Unicorns,based in Colorado,raised a$35M Series A financing to help DoD modernize its software stack with open source software and AI capabilities.Q1 deal activity was balanced w

69、ith four early-stage companies and three growth stage transactions.Since 2015,early-stage rounds in Distribution make up 72%of the total round share.The trend follows a similar path witnessed in GPS,hinting at the sustained iteration needed within the SatCom and GEOINT tech stacks to see end Applica

70、tions flourish.$2 B$3 B$1 B$0SeedSeries ASeries BSeries COther4Late Stage3BY STAGE CUMULATIVE INVESTMENT AMOUNT TOP DEALS IN THE QUARTEREXITS BY SECTORBY STAGE CUMULATIVE ROUND SHARECOMPANYROUNDAMOUNTSkylo TechnologiesSeries C$37 MDefense UnicornsSeries A$35 MSynthetaicSeries B$16 MStealth CompanySe

71、ed$8 MCode42Series B$5 MFusedPre seed$1 MAidenPre seed$0 M$2 B$3 B$1 B$4 B$0GPSGEOINTSatCom40%38%22%1110$7.8BTOTAL EQUITY INVESTMENT SINCE 20154060200$0$4 B$2 B5SatComGEOINTGPSNumber of RoundsTwo exits took place in Q1 that included two M&A activities.EchoStar completed its merger with DISH Network,

72、combining the two companies SatCom solutions to offer ubiquitous connectivity.Since 2015,the majority of Distribution exits(90%)have been through acquisitions or leveraged buyouts,with nearly all exits(98%)occurring in the SatCom and GPS sectors.Although GEOINT Distribution companies have advanced i

73、n product maturity,they have not yet achieved the economies of scale or qualifying metrics to realize significant exits.DistributionHardware and software to connect,process,and manage data from space-based assets10IsraelOther4Late Stage3Series CSeries BSeries ASeed0%100%50%408060200182019

74、2020202242000224202420002120222023Australia400200ANNUAL INVESTMENT SOURCECUMULATIVE INVESTMENT GEOGRAPHYUSAChinaSingaporeIndonesiaIndiaUKCanadaColombiaEstoniaOther1Q1 Applications investment rose 95%QoQ to$3.7B.This marks the highest

75、quarter since Q122.This shift was largely driven by Blackstones acquisition of public LBS pet care company Rover Group in a$2.3B take private transaction.Despite several large rounds,uncertainty remains as valuations continue to reset and companies wait to go public.U.S.companies account for 38%of t

76、he global total of Applications investments.Chinese companies follow closely with 35%driven by the booming e-commerce and LBS markets.Singapore,India,and Indonesia have emerged as prominent geographies with companies specializing in LBS,mapping,mobility,as well as enterprise software for supply chai

77、n and logistics management.Q1 marked a high point for late stage investments over the past five quarters reaching$0.9B.This quarter also saw a surge in early-stage investment,the highest since Q421.This may suggest renewed investor interest as valuations revert to historical norms.The top 10 deals a

78、ccounted for 93%of total Q1 Applications investment.The list features a selection of promising GPS companies in mobility,supply chain,LBS,and emerging GEOINT companies that specialize in monitoring global critical infrastructure,both below and above ground.California based Luma AI raised$43M Series

79、B to build multimodal AI applications that can see and interact with the physical world.The percentage of Seed rounds over the past decade has declined,while Series A has increased.This may be a sign that investors are reluctant to underwrite very early stage risk and a stronger inclination towards

80、established companies that demonstrate more defined routes to profitability.$50 B$100 B$150 B$200 B$0SeedSeries ASeries BSeries COther4Late Stage3BY STAGE CUMULATIVE INVESTMENT AMOUNT TOP DEALS IN THE QUARTEREXITS BY SECTORBY STAGE CUMULATIVE ROUND SHARECOMPANYROUNDAMOUNTRover GroupTake Private$2,30

81、0 MinDriveSeries D$300 MFlexportSeries F$260 MZumSeries E$140 MRapidSOSSeries C$135 MExodigoSeries A$105 MInsight MSeries D$52 MAiDashSeries C$50 MLuma AISeries B$43 MUZURVSeries C$35 M12$202.1BTOTAL EQUITY INVESTMENT SINCE 201538%35%6%5%4%2%1%1%1%7%Angel/IndividualVenture CapitalCorporateOther5$0$2

82、0 B$40 BNumber of RoundsGEOINTGPSSatComNumber of Rounds30402010ApplicationsSpecialized hardware and software that utilizes data from space-based assets13Other4Late Stage3Series CSeries BSeries ASeed0%100%50%$0$10 B$30 B$20 B$40 B2000224200021202

83、220232024202420002120222023Investors realized$0.2B in exits across fourteen transactions that included eleven acquisitions.This suggests a trend of consolidation among LBS companies,as many that raised substantial capital now struggle due to their reliance on low-cost capital f

84、or growth.Singapore based Ryde Group(NYS:RYDE)made history as the countrys first ride-hailing startup to IPO on NYSE.$200 B$100 B$150 B$50 B$0BY SECTOR CUMULATIVE INVESTMENT AMOUNTBY SECTOR CUMULATIVE ROUND SHAREIn Q1,GEOINT overtook SatCom for the first time as the sector with the second highest in

85、vestment.SatCom Applications are poised for future growth as the direct-to-device continues to gain momentum.The GPS sector continues to dominate Applications with 92%of the total investment since 2015.However,challenging unit economics,competition,and growth-at-any-cost caused investors to pause.A

86、breakthrough in centimeter level positioning as well as seamless indoor and outdoor coverage may be required to unlock a new growth curve for this sector.The share of GEOINT Applications has been gradually rising and now represents 28%of rounds and 7%of the total funding with 77%of the rounds in ear

87、ly-stage.New AI based open-source foundational models may help improve these companies offerings and save on development costs,unlocking exciting new growth opportunities.GPS Applications have captured the majority of investor interest at 70%of the rounds over the past decade.70%28%2%GPSGEOINTSatCom

88、Number of RoundsGPSSatComGEOINT0200400600TOP 10 EXITS BY VALUE(SINCE 2015)TOP ACQUIRERS BY COUNT8MOST VALUABLE PRIVATE COMPANIES BY LAYER9REVENUE MULTIPLE AT IPO7AVG.FUNDING RAISED PRIOR TO EXITACQUISITION VOLUME-CASH INVESTMENT AND DEAL COUNTAVG.VALUATION STEP-UP AT ACQUISITION1415The top 10 exits

89、alone account for a combined value of$323B,exceeding the total capital invested into the Space Economy over the same period.US and Chinese companies in the Satellites industry account for the entire top 10 list.Eight Applications companies achieved public listings and accounted for 90%of the total v

90、alue.Infrastructure exits were entirely due to Acquisitions.All on the list came from the GPS sector,including two Infrastructure companies building GPS hardware and seven specializing in LBS or logistics.The average valuation step-up at acquisition over the past 10 years is 2.2x,with 2024 at 1.6x.T

91、he current compressed multiple is likely influenced by prevailing market uncertainties and a trend of larger companies acquiring smaller,specialized firms at lower valuations.The average step up peaked at 2.7x in 2021 driven by acquisitions with high multiples in Applications.Applications companies

92、raised an average of$3.4B prior to going public,more than 10 x the capital raised by Infrastructure and Distribution at exit.This was largely due to LBS Applications relying on substantial rounds to sustain growth as competition intensified.Deeper analysis suggests that Applications companies typica

93、lly start out with modest investments but require significant funding to lock in global market share.In contrast,Infrastructure companies tend to need larger initial investments but require less capital in later stages to scale and maintain market share.Over the past decade,the median revenue multip

94、le for companies going public was 15.9x.2021 stood out with the highest number of exits,largely comprising SPACs,and exhibited the broadest range of multiples.The median multiple for traditional IPOs was 15.3x,while SPACs are notably higher at 47.9x,highlighting the frothy market of 2021 and the lac

95、k of credibility in SPAC financial forecasts.In Q1,we saw one IPO with a healthy multiple at 7x.SpaceX continues its reign as the most valuable private space company at$180B in Q1.The combined value of the top private Infrastructure companies amounts to$212B,which is 59%higher than the$133B of top p

96、rivate Applications companies.Within Infrastructure,Launch constitutes 93%of the value,with the rest distributed among Stations,GEOINT,and SatCom.Within Applications,GPS accounts for 86%,with LBS making up 75%of the sectors value,followed by Logistics,Mobility,and Defense.GEOINT represents 13%,and S

97、atCom 1%.As prolonged market correction strains weaker companies,consolidation intensifies with larger firms strategically enhancing supply chains,expanding services,and acquiring talent in key areas.While deal counts remain high,the value of those acquisitions remains subdued.There were 16 space co

98、mpany acquisitions in Q1 including BAE Systems-Ball Aerospace,with more high-value deals slated for Q2.The Feds interest-rate pivot signals potential market recovery,and as public multiples outpace private ones,we may see a surge in private market valuations.Uber,with 13 acquisitions across both Dis

99、tribution and Applications layers,stands as the most active overall acquirer in the Space Economy.AE Industrial Partners is the most active acquirer of Infrastructure companies with seven to-date.Notably,the firm has demonstrated interest in Emerging Industries with investments in Redwire and Firefl

100、y.GPS companies are the most sought-after acquisition targets,followed by GEOINT,SatCom,and Satellite Manufacturing,respectively.COMPANYTECH LAYEREXIT TYPEEXIT VALUATIONUberApplicationsIPO$76 BDidi ChuxingApplicationsIPO$68 BMeituanApplicationsIPO$53 BDoorDashApplicationsIPO$32 BCollins AerospaceInf

101、rastructureAcquisition$23 BFull Truck AllianceApplicationsIPO$21 BLyftApplicationsIPO$21 BSamsaraApplicationsIPO$12 BDeliverooApplicationsIPO$11 BMicrosemiInfrastructureAcquisition$8 BACQUIRER#SECTORS OF INTERESTInfrastructureAE Industrial Partners7Launch-Small Launch Satellites-ManufactureRocket La

102、b4Satellites-ManufactureViaSat4Satellites-SatCom,GEOINTDistributionSpeedcast International Ltd8Satellites-SatComUber5Satellites-GPS,GEOINTComtech Telecommunications4Satellites-SatComApplicationsUber7Satellites-GPSPlanet Labs6Satellites-GEOINTVerizon4Satellites-GPSIPOM&A2x100 x3x1x50 x25x75x0 x0 x$0$

103、60 B$40 B$20 B200DistributionApplicationsNumber of Rounds40Infrastructure2024202420000022220232023SpaceXInfrastructureApplicationsCabify eFisheryBlaBlaCarproject44MapboxAxiomRelativityBlue Origin10GopuffCaocao MobilityBolt(Automotive)AndurilNian

104、ticRappiViaMotiveShield AINuroGojekOla ElectricMaxar TechnologiesSierra SpaceAstranisFlexportScale AIOlaLytxFortoOfoVoiRoverG7 CompanyPath to ExitPrivate market investment data up to and at the point of exit7.Outliers that dont fit within axis include:ArQit(22,000 x),Momentus(1,400 x),NextNav(1,257x

105、),Virgin Galactic(807x),Astra Space(670 x),AST SpaceMobile(295x),Satellogic(130 x),Hello Group(126x),Astrocast(116x)8.Table excludes acquisitions with a value less than$5M.9.Table includes private companies with a valuation greater than$1B.10.Blue Origin is entirely funded by Jeff Bezos with no outs

106、ide investor setting a market price for the company.Therefore,the companys value is based on the cumulative equity invested to-date.$322.9BTOP 10 EXIT VALUE SINCE 2015ApplicationsInfrastructureDistribution$0$1.0 B$0.5 B$3.0 B$3.5 B2000224ApplicationsDistributionInfra

107、structureLaunchSatellitesStationsEmerging IndustriesIndustriesTech LayersSectorsLunarLogisticsIndustrialsHeavyMediumSmallBrokerageSpaceport OpsHabitatsServicesTransport ConstructionDeep Space SatsSSA/STMDebris MitigationOn-orbit ServicingManufacturing&AssemblyMining&MineralsEnergy Gen&StoragePercent

108、 ofinvestment capital(Global Positioning)(Geospatial Intelligence)(Satellite Communications)GPSGEOINTSatComExpanded to show sectors(Largest of six industries in the Space Economy)12%86%2%Specialized hardware and software that utilizes data from space-based assetsHardware and software to connect,proc

109、ess,and manage data from space-based assetsHardware and software to build,launch,and operatespace-based assetsSpace Economy:Activities enabled by space that benefit life on Earth and beyond.Every business that relies on orbital access to deliver its value from Planet Labs,a company imaging every inc

110、h of the ground from space on a daily basis,to Pokmon GO,a hit mobile game that works using GPS signals from satellites.Tech Layers:The specialized capabilities or services to identify and improve complex or technical work informed by the 2020 NASA Technology Taxonomy.Infrastructure:Hardware and sof

111、tware to build,launch,and operate space-based assets Distribution:Hardware and software to connect,process,and manage data from space-based assets Applications:Specialized hardware and software that utilizes data from space-based assetsIndustries:Segmentation of economic activities performed by spac

112、e businesses.Six industries constitute the Space Economy.The largest,Satellites,accounts for 88%of investment capital into the Space Economy over the last decade,while Launch accounts for 10%.Emerging Industries,consisting of Stations,Logistics,Lunar,Industrials industries,collectively account for j

113、ust 2%.Sectors:The specialization within each Industry typically associated with a market.Satellites:GPS,GEOINT,SatCom,Manufacturing&Components Launch:Small,Medium,Heavy,Brokerage,Spaceport Operations Stations:Habitats,Services Logistics:SSA,On-orbit Servicing,Debris Mitigation Lunar:Transport,Const

114、ruction,Deep Space Satellites Industrials:Manufacturing&Assembly,Mining&Minerals,Energy Generation&StorageDefinitionsSix industries and the three technology layers constitute the space economyAbout This ReportThe framework for this report is based on The GPS Playbook,which explores how a space-based

115、 technology generated trillions of dollars in economic value and some of the largest venture outcomes.We believe that the history of GPS provides a framework for understanding how space-based technology has become a platform for innovation on a global scale;specifically,the development of technology

116、 layers on top of space based infrastructure and the distribution of data for mass adoption,which unlocks thousands of unique applications.The data from this report is available in an interactive format on our website.With$6.5B invested in 103 companies in Q1,total equity investment across the Space

117、 Economy has now reached$286.0B into 1,779 unique companies over the past decade.VC and Private Equity continued to be the major source of capital,representing 40%and 41%of Q1 investments,respectively.Led by BAE Systems$5.6B acquisition of Ball Aerospace,investors realized$5.8B of value through 19 e

118、xits during the quarter driven by 17 M&A transactions.Since 2022,investors seem to favor Infrastructure companies with higher upfront capex and more defensible moats in favor of highly scalable software Applications that require large late-stage investments to fend off competition.As long-term inves

119、tors in this category,we believe the Space Economy holds tremendous growth potential.Starship will unlock a new paradigm in Infrastructure development and advancements in AI and communications will accelerate the integration of space technologies across industries.We are actively investing in entrep

120、reneurs who see this future and are building cutting-edge technologies to revolutionize global industries.SpaceXs Starship notches major flight test milestones(CNBC)SpaceX Makes First X Post From Starlink Satellite In SpaceImpulse Space announces plan to develop high-energy kick stage(Forbes)Ursa Ma

121、jors Hadley rocket engine flies for the first time(SpaceNews)Muon Space Establishes Communications,Confirms Health of Weather Satellite(SpaceNews)Investment Databases Pitchbook Crunchbase Mattermark CB InsightsCrowdPlatforms AngelList SeedInvestSince 2017,the Space Investment Quarterly has been the

122、source of record for private market equity investment activity and startup trends in the Space Economy.The data shown in this report is gathered from a number of sources across many categories,and no single piece of data can be added to the databases until confirmed by multiple sources.Reported data

123、 is subject to change over time as previously undisclosed deals are added to our database.Below is a select list of data sources:Space Capital is a seed-stage venture capital firm investing in the Space Economy,specifically focused on unlocking the value in space technology stacks such as GPS,Geospa

124、tial Intelligence,and Satellite Communications.We are actively investing out of our third fund with over$100 million under management.Our partners have built rockets,satellites,and operating systems.We have founded companies with assets currently in space and have led multiple exits as operators.We

125、have been pioneering investment in this category for 10 years and top tier VC and PE firms have consistently looked to our partners for operational guidance.And now we have written the book on the subject with The Space Economy,published by Wiley.About Space Capital Space Capital 2024AssetsAll chart

126、s and tables from this report are available for download.This work is licensed under the Creative Commons Attribution-NoDerivatives 4.0 International License,which means content cannot be altered from its original form and must include Space Capital attribution.Click here to view a copy of this lice

127、nse.CMedia IData and Investment InquiriesSelect Portfolio MilestonesOur Methodology1918Rounds CatalogedExits CatalogedAdjustments to prior periods7,667715$1.5B ICEYE launches radar satellite service to monitor the high seas(SpaceNews)LeoLabs Appoints Former Maxar Exec Tony Frazier as New CEO(Satelli

128、te Today)Kayhan Space offers space traffic coordination system for universities (SpaceNews)Solar Foods and Fazer Unveil Worlds First Air-Protein Chocolate Bar in Singapore(Vegconomist)Public Announcements Press Releases SEC Filings EventsNews Bloomberg CNBC Fortune SpaceNews TechCrunchConfidential Sources Diligence Process Company Management Co-Investors Commercial Partners Government Partners2024Q1