INDIAN SPACETECH
Spacetech In India: Key Highlights
India boasts the world's 8th largest fleet of operational satellites.
India became the first nation to successfully enter Martian orbit on its maiden attempt.
The country has executed 44 spacecraft missions, 42 launch vehicle missions, and 5 technology demonstrators.
From 1999 to 2022, 381 satellites from 34 different countries have been launched from India
150+ Spacetech startups in India
Since 2016, Indian spacetech startups have raised more than $285 Mn funding
Skyroot became the first private Indian startup to successfully launch a rocket into space.
Pixxel another Indian startup, was the first to successfully launch its satellite, Shakuntala, into low Earth orbit.
Source: Inc42, Multiple Secondary Sources
Leader’s Speak
By reforming the space sector, freeing it from all restrictions, by supporting the private industry through IN-SPACe, the country is starting a campaign to make winners today. The private sector will not just remain a vendor but will play the role of a big winner in the space sector. When the strength of government space institutions and the passion of India's private sector will meet, not even the sky will be the limit.
We have achieved a soft landing on the moon. India is on the moon. This is not the work of us alone, this is the work of a generation of ISRO scientists.
Source: Inc42, Multiple Secondary Sources
Dr Jitendra Singh Minister of State
The future development of humanity lies in our collective ability to responsibly harness, pool resources and utilise space technology towards achieving sustainable development goals and improving the lives of common man
The successful landing shows the potential of the Indian space sector and places India among the very few nations in the whole world who have achieved this feat... An important step forward in space exploration and commercialization will be with the inclusion of more private players and our growing spacetech startups in the future missions to make a India a leader in the global space economy.
Narendra Modi
Prime Minister of India
Lt Gen AK Bhatt (retd.)
India In Space: Key Milestones Since 1960s
India formed INCOSPAR to coordinate space activities India’s 1st satellite Aryabhata launched Chandrayaan-1 launched Launches Mangalyaan — making India the
Source: Inc42, Multiple Secondary Sources
Global Spacetech Ecosystem: India VS China, The US & Russia
Of Operational Satellites
of 1st January, 2023)
Notable Startups
Source: United Nations Conference on Trade and Development (UNCTAD), Ministry of Commerce & Industry, Inc42 Analysis
Source: UCS, Inc42, Statista, Secondary Sources
India's Operational Satellites Account For Less Than 1% Of The Global Fleet
Source: UCS
Note: Data till 1st January 2023
6K+ Total Operational Satellites In The World
India’s $77 Bn+ Spacetech Opportunity
The Indian spacetech market is expected to grow at 26% CAGR from 2023 to 2030
India's Upstream Market Opportunity To Grow 5X
By 2030
India's Downstream Market Opportunity To Surpass $52 Bn+ By 2030
Communication is anticipated to dominate India's downstream market, with projections estimating it to be a $30 Bn+ opportunity in Indian spacetech by 2030
Source: Inc42, PwC, Invest India, Secondary Sources
Indian Spacetech Earth Observation Segment To Be Led By Agriculture
Infrastructure and urban monitoring is the next in focus for the downstream spacetech startups in India
India’s Downstream Market Opportunity & Key Applications
Sub-Sectors
Agriculture
Infrastructure & Urban Monitoring
• Precision Farming
• Crop Health Monitoring
• Soil Moisture Analysis
• Crop Yield Estimation
• Agriculture Insurance
• Urban Planning and Growth
• Traffic Management
• Disaster Management
• Environmental Monitoring
• Climate Change Monitoring
$9.6 Bn+
Climate Tech
• Sea Level Analysis
• Weather Prediction
• Glacial Monitoring
$4.4 Bn+
Maritime
Source: Inc42, Secondary Sources
• Ship Tracking and Management
• Fisheries Management
• Offshore Energy Operation
$2.8 Bn+
$3.2 Bn+
Source: Ministry Of Finance, Inc42
Note: 1 USD is equal to INR 80
India's Spacetech Evolution
Formative Phase (1960s to 1980s)
INCOSPAR was established in 1962 to formulate and execute India’s space program.
Later in 1972, ISRO was established superseding INCOSPAR to leverage space technology for socio-economic development.
India joined the Soviet Union's— Interkosmos programs and launched its first satellite Aryabhatta into orbit in 1975.
ISRO developed its first Satellite Launch Vehicle-3 (SLV-3) in 1980. Placing the Rohini satellite (RS-1) in orbit.
ISRO started India’s remote sensing program in 1988. The main objective was to apply space technology for socio-economic development.
Conservative Phase (1990 to 2019)
India successfully launched its first PSLV (Polar Satellite Launch Vehicle) in 1994. It enabled ISRO to launch LEO & GTO satellites plus facilitate the launch of foreign satellites.
ISRO established Antrix Corporation, a public limited company to explore commercial aspects of Satcom and launch services in 1992.
India successfully launched a satellite in space using an indigenously developed cryogenic engine through a launch vehicle GSLV-D5. This expanded ISRO’s expertise in the satellite launch vehicle industry.
Between 1990 to 2019, India experienced numerous advancements in space technologies and international partnerships. However, the space sector remained heavily protected and privatisation was discouraged due to national security concerns.
In 2019, NewSpace India Limited (NSIL) the commercial arm of ISRO was founded to enable Indian industries to take up high technology space related activities. The organisation specialises in — PSLV production, SSLV manufacturing, launch services, downstream services and satellite manufacturing.
Source: Inc42 and Multiple Secondary Sources
Progressive
Phase (2020 and Onwards)
The Indian government announced the privatisation of the space sector and released the Spacecom 2020 policy to facilitate public-private cooperation.
IN-SPACe (Indian National Space Promotion and Authorisation Centre) was introduced. IN-SPACe is an independent regulatory authority to act as an interface between ISRO and private parties. It was established to assess how to make the best use of India’s space resources and increase space-based activities.
Department of Science and Technology (DST) issues guidelines for accessing ISRO’s geospatial data. Currently, this can only be accessed by India registered entities.
Upto 100% FDI allowed for satellites-establishments and operations, subject to the sectoral guidelines of the Department of Space/ISRO, under the government route.
ISRO will shift its focus towards research and development, moving away from the manufacturing of operational space systems
India In Space: A Look at Successful Satellite Launches
(Geosynchronous Orbit) (Geosynchronous Transfer Orbit)
Cartosat-2
SROSS-2
RESOURCESAT-2A SCATSAT-1
CARTOSAT-2
Megha-Tropiques
CARTOSAT-2B
INSAT-3D
INSAT-3DR
Mangalyaan
Chandrayaan 3
Source: ISRO
Note: Infographic not drawn to scale
Bhaskara-I
CARTOSAT-1 TES
SARAL RISAT-1
RESOURCESAT-2
Oceansat-2
IRS-P3 IRS-P6
Cartosat-3
EOS-03
RISAT-2
CARTOSAT – 2A
IMS-1 CARTOSAT-2
HysIS
Oceansat(IRS-P4) IRS-1D
IRS-1C
IRS-P2 IRS-1B
Cartosat-2
IRS-1A
EOS-01
RISAT-2BR1
RISAT-2B
IRS-1E
Bhaskara-II
Rohini Satellite RS-D1
Rohini Satellite RS-D2
(Sun Synchronous Polar Orbit) (Low Earth Orbit)
India’s Spacetech Landscape
Satellite Infra & Services
In-space Solutions
Full Stack Satellites
Source: Inc42
Note: This is not an exhaustive list
Majority Of Indian Spacetech Startup Funding Went Into Upstream Startups
Source: Inc42
Downstream Startups Make Up Only 17% of Active Funded Startups
Source: Inc42
Indian Spacetech Startups: Key Players
Total Funding
$34.5 Mn
$11 Mn+
Notable Investors Subsector
Brief
$12.5 Mn+
$73 Mn+
$20 Mn+
$66.5 Mn+ Upstream
Note: This is not an exhaustive list
Upstream Upstream
Mayfield, Pi Ventures, Speciale Invest, BEENEXT
Elevate 100, BASF Venture
Capital, Kitven Fund
Kalaari Capital, Peak XV Partners, Campus Fund
AgniKul is an aerospace company situated at the National Center for Combustion R&D within IIT Madras. It’s aimed at building and deploying proprietary small-lift launch vehicles
Downstream Downstream Upstream
Blume Ventures, Google, GrowX
Bellatrix is a full-suite solution provider of in-space propulsion systems, offering both chemical and electric propulsion technologies.
Digantara is engaged in the development of an in-situ space debris detector, specifically designed for Space Debris Mapping and Analysis Services, Collision Avoidance, and Orbit Determination.
Pixxel, a space data startup, is building a high-resolution hyperspectral earth imaging satellite constellation. They are also creating advanced analytical tools to extract valuable insights from this data.
Baring Private Equity
Partners India, Promus Ventures, Omidyar Network
India, xto10x
Sherpalo Ventures, Wami
Capital, LNM India, GIC
Satsure uses satellite data to offer ‘decision intelligence’ across BFSI, agriculture, and infrastructure sectors
Skyroot is at the forefront of the burgeoning space age, developing cutting-edge technologies to facilitate responsive, reliable, and economical access to space.
Indian Spacetech Startup Ecosystem: Key Achievements
Successfully developed a cube set dispenser that securely holds satellites in position during launches until they are deployed into Low Earth Orbit (LEO)
One of the first Indian private enterprises to forge partnerships with both ISRO and IN-SPACe for the development of its projects.
First startup in India to be awarded a developmental contract by ISRO towards satellite propulsion technology.
Note: This is not an exhaustive list
First Indian entity to secure an order for the design and development of space-qualified solar arrays from inception The startup further successfully tested and space-qualification of its ‘3U and 6U Satellite Orbital Deployers’ and ‘Orbital Link’ in April 2023.
First Private Indian Company to launch a rocket into space on November 18, 2022
First Private Indian Startup to a launch its satellite Shakuntala,to a low earth orbit
INDIA
Investors Backing Indian Spacetech Startups
Source: Inc42
Note: This is not an exhaustive list
Key Government Policies Supporting Spacetech Startups
Spacecom Policy 2020 Space-Based Remote Sensing Policy of India - 2020 Establishment Of IN-SPACe
Aimed at enhancing India's capabilities in satellite communication, this policy focuses on more active involvement of private entities while ensuring the security of national space assets. A key element of the policy allows Indian-registered organisations to use both domestic and international orbital resources to establish space-based communication systems. This opens doors to both domestic and global communication service markets.
This policy sets forth a clear framework and systematic procedures for obtaining government approvals to operate remote sensing applications within India. The guidelines extend to both upstream and downstream companies in the remote sensing sector, providing a thorough understanding of operational requirements.
Acting as an autonomous regulatory body, IN-SPACe facilitates interactions between ISRO and private companies. Its main objective is to assess the best strategies for leveraging India's space assets and fostering growth in space-related activities.
IN-SPACe serves as a unified government entity, simplifying the process for private space technology companies to obtain the necessary permissions and clearances for business operations within India.
Key Custodians Of The Indian Space Ecosystem
Department Of Space (DoS) The Indian Space Ecosystem
Nodal Space Agency Nodal Agency For Commercial Activities
Indian Space Research Organisation (ISRO)
Indian National Space Promotion and Authorisation Centre (IN-SPACe)
Antrix Corporation
NewSpace India Limited
Vikram Sarabhai Space Centre
Physical Research Laboratory
National Atmospheric Research Laboratory (NARL)
The Semi-Conductor Laboratory
Source: Inc42
Indian Institute of Space Science and Technology (IIST)
Indian Institute of Remote Sensing (IIRS)
Stakeholders
Component Manufacturers And Service Providers Academic Institutions
Godrej & Boyce
L&T Heavy Engineering
Paras Space & Defence
Ananth Technologies MTAR Technologies
Indian Institute of Resource Management Research
Manipal Institute of Technology
Lovely Professional University
SRM Institute of Science and Technology
Birla Institute of Technology,Jharkhand
Spacetech Startups
Kawa Space
Blue Sky Analytics
Pixxel Digantra Agnikul Cosmos
Indian Space Research Organisation [ISRO]: The Pioneer Of Spacetech In India
Building Satellites R&D
Space Services
Satellite Management
Launch Operations Sharing Space Temporary Facilities
New Infrastructure
Source: ISRO
The Role Of IN-SPACe
Promotional Directorate Program Management & Authorization Directorate Technical Directorate
Establishing IT infrastructure & IN-SPACe
Digital Platform (IDP).
Fostering space startup ecosystem in India.
Enhancing student engagement in space sector for future advancements.
Cultivating international opportunities for Indian space firms, becoming a hub for spaceport and ground stations.
Nurturing space tourism and public awareness of space technology's role.
Cultivating IN-SPACe talent & knowledgebase.
Interface with the NGEs and technical team
Nodal point for DoS / ISRO for policy matters
Monitoring the progress of the proposals from NGEs Issuing of authorization to NGEs for space activities
Evaluate proposals, clear MoU execution & authorisation. Support NGEs with technical expertise for task completion.
Set up technical incubation center for startup guidance. Aid in establishing new industry facilities. Allocate resources, monitor & supervise activities. Facilitate use of DoS facilities.
Source: IN-SPACe, Inc42
Indian
Spacetech Market’s Supply Chain Ecosystem: An Overview
Tier 1 Suppliers ( Major Component Suppliers)
Supporting Manufacturing Eosystem
Tier 2 Suppliers (Small Manufacturing & Assembly)
Orginal Equipment Manufacturers (OEMs)
Public And Private Spacetech Enterprises
Supporting Service Eosystem
Test Facility Providers Consulting Service Providers
Tier 3 Suppliers ( Small Component Manufacturers)
Source: Inc42
Transportation Service Providers
MSMEs: The Backbone Of Indian Spacetech Supply Chain
Segment Companies Key Offerings
Source: Inc42
Upstream and Downstream
Aerospace component manufacturing and testing
Upstream
Aerospace component manufacturing and testing
Upstream
Satellite component manufacturing and Ground station equipments
Upstream
Automated testing equipments
Upstream Downstream Downstream Downstream
Launch vehicle engine manufacturing and assembly
GIS Consulting
GIS Consulting
GIS Consulting
Spacetech In India: Key Challenges
Limited Seed-Stage Investment
One of the key challenges facing the Indian spacetech ecosystem is the lack of seed-stage funding. Investor reluctance to back early-stage startups has led to a diminished number of new ventures in the sector.
Shortage of Test Facilities
With the growing number of private space companies in India, the demand for aerospace testing facilities has surged. However, these crucial facilities are currently restricted to ISRO's government infrastructure, creating a bottleneck for private enterprises.
Extended Development Cycles and Risk Aversion
The complex nature of space systems necessitates prolonged periods of testing, which can strain both time and financial resources. Additionally, the high-risk nature of spacetech projects tends to make investors cautious, posing an obstacle for startups seeking funding.
Infrastructure Constraints
Indian spacetech startups face an infrastructure gap that hinders quick prototyping and experimentation. This is due in part to the absence of advanced testing and launch facilities accessible to private companies. Recruitment and retention of skilled professionals, particularly in specialized areas like aerospace engineering, also present significant challenges.
Methodology
The funding data provided in this report covers the period from 2016 through August 2023 and includes data on funding for 15+ startups.
To establish the total addressable market opportunity in the Indian new space sector we have followed a top-down approach.
First and foremost, the current (2021) size of the Indian space tech market was established using (2% of the total USD 374 Bn global space economy).
We have considered the first five years (2021 - ‘26) compounded annual growth rate (CAGR) of the sector to be 39%.
This has been concluded after deriving the average annual growth rate (AAGR) of Indias’ IT/BPO between the span of FY2000 to FY2025. This was also the time when the IT outsourcing boom started in India after the Indian government expanded support to the sector after the LPG reforms of early 90s (1991).
In Union Budget 2021, a similar proactive stance towards privatisation was showcased by the Indian government towards strategic sectors which includes space.
From calendar year 2027 we expect the initial space tech boom to settle down. Therefore, from 2027 to 2030 we project the Indian space tech sector to grow at a CAGR of 19% (39%/2).
The market splits stated in the report are classified on the following factors— global splits of relevant subsectors, new venture opportunity, cost of adoption of product/service by the target consumer and importance to the Indian economy.
Disclaimer
The data provided in this report has been obtained from public and private sources. We have made every attempt to ensure that the information presented in this report is accurate and free from any discrepancies. Ideope Media Pvt Ltd, the parent company of Inc42 Media and Inc42 DataLabs, is not responsible for any inaccuracy in the information presented or for any damages caused by the use of information provided in this report. In case of any discrepancy or errors in the data, you can contact us at editor@inc42.com and we will try our best to update the information in the digital version of the report. We are constantly updating our database of startups due to new person using or relying on any information in this publication. This report has been prepared in good faith on the basis of information available at the date of publication without any independent verification. Ideope Media Pvt. Ltd. does not guarantee the accuracy, reliability or completeness of the information in this publication. Readers are responsible for assessing the relevance and accuracy of the content of this publication. While this report talks about various individuals and institutions, Ideope Media Pvt. Ltd. will not be liable for any loss, damage, cost or expense incurred or arising by reason of anyperson using or relying on any information in this publication.
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