Keynote Celebrates NASA’s Commercial Collaboration in LEO, and the Investment Opportunities in Climate Change

While the world is slowly adapting to new norms with the ongoing coronavirus pandemic, new global challenges are emerging, from warfare and economic sanctions to the acceleration of climate change. Nevertheless, speakers struck a hopeful tone to a packed audience at SATELLITE 2022 keynote luncheon on Monday.

“While we may be moving past one challenge we face new challenges ahead,” said moderator Jeffrey Hill, alluding to COVID-19 as he kicked off a double-bill keynote luncheon address, focused on NASA’s future in Low-Earth Orbit (LEO) and the space industry’s climate opportunities.

Dennis Stone, project executive for NASA, alluded to some of the larger global challenges, but spent the bulk of his time emphasizing the opportunities for advancing science in space by working closely with innovative commercial partners – a extensive list that includes SpaceX, Boeing, and Sierra Space, to Northrop Grumman, Axiom, and Blue Origin, among others.

“It’s great to be back together again,” Stone told the audience, before launching into a talk about the wealth of achievements in LEO, including the International Space Station (ISS).

“This mankind’s greatest achievement in space, second only to the Apollo mission,” he said, before sharing highlights such as the use of microgravity to test new applications that will benefit humankind, for example, fiber optics and stem cells.

“Microgravity is such an amazing tool,” said Stone. “Learning in the microgravity of space and applying that knowledge back to Earth can create an incredible new window. Because there are none of the disruptive effects of gravity, the materials are pure whether you’re producing glass or metallics.”

Specifically, “LEO has provided the platform to go beyond Earth” said Stone as he highlighted NASA’s guiding policy over the last few years, for the “orderly transition for U.S. human space flight activities in LEO from the current regime, that relies heavily on NASA sponsorship, to a regime where NASA is one of many customers.”

In 2020 NASA established the Commercial LEO Development Program (CLDP) at the Johnson Space Center in Houston to consolidate LEO commercialization activities and has been one of the key investors in companies like SpaceX, Stone noted.

Soon, said Stone, NASA and its partners will move beyond launching cargo to launching crew. “We’re working with industry to make it happen.”

The second part of the luncheon, a fireside chat style conversation between Hill and Ann Kim, managing director and head of frontier technology with SVB Financial Group, and Chad Anderson, founder and Managing Partner of Space Capital, revolved around the threat of climate change – and the opportunities for satcoms to mitigate environmental disasters.

However, while the topic is a dark one, and touches every area of life, from shelter and food security to global health, investments in satellite companies are growing.

“There’s a lot happening in the space economy,” said Anderson, noting that Space Capital’s 2021 report with SVB Financial Group, “The Great Climate Opportunity” report, highlights several companies that are utilizing satellite technology to create a solution for the climate issues facing the planet. “From our perspective, global challenges require global solutions. And satellites play an enabling role. Space is the technology from which we can understand and address these challenges.”

According to the report, as a new wave of climate focused investing is underway, climate tech companies are on track to reach a record of $50+ billion in equity funding raised in 2021.

“We’re in the very early innings of climate tech dollars,” said Kim. “Already the numbers are pretty staggering.”

Hill said what struck him about the report is that it emphasized “the much more active role” that space and satellite technologies play as a solution.

Anderson agreed, observing that space and satellite technologies make it possible to obtain the data needed and fill in reporting and information-gathering gaps.

“The biggest challenge we have is a lack of scientifically verifiable data,” said Anderson. “You take a look at what is self-reported by nations and what is independently verified, and there’s a massive gap in what’s being emitted. We need more measurements … and more transparent data. Satellites enable us to do that. There are multiple projects underway.”

This means that for new satellite companies, there’s no time like the present to get involved. Kim mentioned that climate funds take less time than other funds to close, because of the technology, investment interest and government interest.

“It’s really an opportunistic time to join these efforts and come into the climate space,” she said.

When asked where the biggest opportunities are within space — including and beyond analysis and space-based data — Anderson suggested there’s room for multiple solutions, from hardware and chip manufacturers to their partners who interact with businesses and consumers outside of the industry.

“On the distribution side, that data is not valuable unless we get it to someone who can do something with it,” he said.

Kim and Anderson both shared several examples that highlighted funding trends in favor of sustainability. One example, Kim pointed out, is the growth in funding of entrepreneurs that demonstrate a mission of environmental, social, and governance, or ESG — which is essentially their commitment to being stewards of sustainability.

“This is one of the best, most tailor-made use cases for satellite data,” said Anderson. “Global challenges require global solutions. You can only understand and address the risks of climate change with satellites. This is the perfect use case. And if you don’t take the opportunity to make the most of and capitalize the greatest use case, what are we doing here?” VS