Commercialization of space
Encyclopedia
Commercialization of space is the use of equipment sent into or through outer space
Outer space
Outer space is the void that exists between celestial bodies, including the Earth. It is not completely empty, but consists of a hard vacuum containing a low density of particles: predominantly a plasma of hydrogen and helium, as well as electromagnetic radiation, magnetic fields, and neutrinos....

 to provide goods or services of commercial value
Commerce
While business refers to the value-creating activities of an organization for profit, commerce means the whole system of an economy that constitutes an environment for business. The system includes legal, economic, political, social, cultural, and technological systems that are in operation in any...

, either by a corporation
Corporation
A corporation is created under the laws of a state as a separate legal entity that has privileges and liabilities that are distinct from those of its members. There are many different forms of corporations, most of which are used to conduct business. Early corporations were established by charter...

 or state
State (polity)
A state is an organized political community, living under a government. States may be sovereign and may enjoy a monopoly on the legal initiation of force and are not dependent on, or subject to any other power or state. Many states are federated states which participate in a federal union...

. Examples of the commercial use of space include satellite navigation systems, satellite television
Satellite television
Satellite television is television programming delivered by the means of communications satellite and received by an outdoor antenna, usually a parabolic mirror generally referred to as a satellite dish, and as far as household usage is concerned, a satellite receiver either in the form of an...

 and satellite radio
Satellite radio
Satellite radio is an analogue or digital radio signal that is relayed through one or more satellites and thus can be received in a much wider geographical area than terrestrial FM radio stations...

. In 2004, global investment in all space sectors was estimated to be $
United States dollar
The United States dollar , also referred to as the American dollar, is the official currency of the United States of America. It is divided into 100 smaller units called cents or pennies....

50.8 billion.

History

The first commercial use of satellites may have been the Telstar 1 satellite, launched in 1962, which was the first privately-sponsored space launch, funded by AT&T
AT&T
AT&T Inc. is an American multinational telecommunications corporation headquartered in Whitacre Tower, Dallas, Texas, United States. It is the largest provider of mobile telephony and fixed telephony in the United States, and is also a provider of broadband and subscription television services...

 and Bell Telephone Laboratories. Telstar 1 was capable of relaying television signals across the Atlantic Ocean
Atlantic Ocean
The Atlantic Ocean is the second-largest of the world's oceanic divisions. With a total area of about , it covers approximately 20% of the Earth's surface and about 26% of its water surface area...

, and was the first satellite to transmit live television, telephone
Telephone
The telephone , colloquially referred to as a phone, is a telecommunications device that transmits and receives sounds, usually the human voice. Telephones are a point-to-point communication system whose most basic function is to allow two people separated by large distances to talk to each other...

, fax
Fax
Fax , sometimes called telecopying, is the telephonic transmission of scanned printed material , normally to a telephone number connected to a printer or other output device...

, and other data signals. Two years later, the Hughes Aircraft Company developed the Syncom 3 satellite, a geosynchronous communications satellite
Communications satellite
A communications satellite is an artificial satellite stationed in space for the purpose of telecommunications...

, leased to the Department of Defense
United States Department of Defense
The United States Department of Defense is the U.S...

. Commercial possibilities of satellites were further realized when the Syncom 3, orbiting near the International Date Line
International Date Line
The International Date Line is a generally north-south imaginary line on the surface of the Earth, passing through the middle of the Pacific Ocean, that designates the place where each calendar day begins...

, was used to telecast the 1964 Olympic Games
1964 Summer Olympics
The 1964 Summer Olympics, officially known as the Games of the XVIII Olympiad, was an international multi-sport event held in Tokyo, Japan in 1964. Tokyo had been awarded with the organization of the 1940 Summer Olympics, but this honor was subsequently passed to Helsinki because of Japan's...

 from Tokyo
Tokyo
, ; officially , is one of the 47 prefectures of Japan. Tokyo is the capital of Japan, the center of the Greater Tokyo Area, and the largest metropolitan area of Japan. It is the seat of the Japanese government and the Imperial Palace, and the home of the Japanese Imperial Family...

 to the United States
United States
The United States of America is a federal constitutional republic comprising fifty states and a federal district...

.

Between 1960 and 1966, NASA launched a series of early weather satellites known as Television Infrared Observation Satellites (TIROS). These satellites greatly advanced meteorology
Meteorology
Meteorology is the interdisciplinary scientific study of the atmosphere. Studies in the field stretch back millennia, though significant progress in meteorology did not occur until the 18th century. The 19th century saw breakthroughs occur after observing networks developed across several countries...

 worldwide, as satellite imagery was used for better forecasting, for both public and commercial interests.

On April 6, 1965, the Hughes Aircraft Company placed the Intelsat I
Intelsat I
Intelsat I was the first communications satellite to be placed in geosynchronous orbit, on April 6, 1965...

 communications satellite
Communications satellite
A communications satellite is an artificial satellite stationed in space for the purpose of telecommunications...

 geosynchronous orbit over the Atlantic Ocean. Intelsat I was built for the Communications Satellite Corporation (COMSAT), and demonstrated that satellite-based communication was commercially feasible. Intelsat I allowed for near-instantaneous contact between Europe
Europe
Europe is, by convention, one of the world's seven continents. Comprising the westernmost peninsula of Eurasia, Europe is generally 'divided' from Asia to its east by the watershed divides of the Ural and Caucasus Mountains, the Ural River, the Caspian and Black Seas, and the waterways connecting...

 and North America
North America
North America is a continent wholly within the Northern Hemisphere and almost wholly within the Western Hemisphere. It is also considered a northern subcontinent of the Americas...

 by handling television, telephone and fax transmissions. Two years later, the Soviet Union
Soviet Union
The Soviet Union , officially the Union of Soviet Socialist Republics , was a constitutionally socialist state that existed in Eurasia between 1922 and 1991....

 launched the Orbita
Orbita
Orbita is a Soviet-Russian system of broadcasting and delivering TV signals via satellites. It is considered to be the first national network of satellite television....

 satellite, which provided television signals across Russia
Russia
Russia or , officially known as both Russia and the Russian Federation , is a country in northern Eurasia. It is a federal semi-presidential republic, comprising 83 federal subjects...

, and started the first national satellite television
Satellite television
Satellite television is television programming delivered by the means of communications satellite and received by an outdoor antenna, usually a parabolic mirror generally referred to as a satellite dish, and as far as household usage is concerned, a satellite receiver either in the form of an...

 network. Similarly, the 1972 Anik A
Anik (satellite)
The Anik satellites are geostationary communications satellites launched by Telesat Canada for television in Canada. In Inuktitut, Anik means "little brother".-The Satellites:-Anik A:...

 satellite, launched by Telesat Canada, allowed the Canadian Broadcasting Corporation
Canadian Broadcasting Corporation
The Canadian Broadcasting Corporation, commonly known as CBC and officially as CBC/Radio-Canada, is a Canadian crown corporation that serves as the national public radio and television broadcaster...

 to reach northern Canada
Northern Canada
Northern Canada, colloquially the North, is the vast northernmost region of Canada variously defined by geography and politics. Politically, the term refers to the three territories of Canada: Yukon, Northwest Territories, and Nunavut...

 for the first time.

Beginning in 1997, Iridium Communications began launching a series of satellites known as the Iridium satellite constellation
Iridium satellite constellation
The Iridium satellite constellation is a large group of satellites providing voice and data coverage to satellite phones, pagers and integrated transceivers over Earth's entire surface. Iridium Communications Inc...

, which provided the first satellites for direct satellite telephone service.

Subscription satellite services

In 1994, DirecTV
DirecTV
DirecTV is an American direct broadcast satellite service provider and broadcaster based in El Segundo, California. Its satellite service, launched on June 17, 1994, transmits digital satellite television and audio to households in the United States, Latin America, and the Anglophone Caribbean. ...

 debuted by introducing a dish 18 inches in diameter. In 1996, Astro started in Malaysia with the launch of the MEASAT
MEASAT
MEASAT Satellite Systems Sdn. Bhd., formerly Binariang Satellite Systems Sdn. Bhd is a Malaysian communications satellite operator.MEASAT is the name of a line of communications satellites owned and operated by the company.As of 2006, the MEASAT satellite network consists of three geostationary...

 satellite. In November 1999, the Satellite Home Viewer Improvement Act became law, and local stations were then made available in satellite channel packages, fueling the industry’s growth in the years that followed. By the end of 2000, DTH subscriptions totaled over 67 million.

Transponder leasing

Businesses that operate satellites often lease or sell access to their satellites to data relay and telecommunication
Telecommunication
Telecommunication is the transmission of information over significant distances to communicate. In earlier times, telecommunications involved the use of visual signals, such as beacons, smoke signals, semaphore telegraphs, signal flags, and optical heliographs, or audio messages via coded...

 firms. This service is often referred to as transponder leasing. Between 1996 and 2002, this industry experienced a 15 percent annual growth. The United States accounts for about 32 percent of the world’s transponder market.

Ground equipment manufacturing

Operating satellites communicate via receivers and transmitters on Earth. The manufacturing of satellite communication terminals (including VSATs), mobile satellite telephones, and home television receivers are a part of the ground equipment manufacturing sector. This sector grew through the latter half of the 1990s as it manufactured equipment for the satellite services sector. Between the years of 1996 and 2002 this industry saw a 14 percent annual increase.

Satellite manufacturing

Commercial satellite manufacturing is defined by the United States government as satellites manufactured for civilian government or non-profit use. Not included are satellites constructed for military use, nor for activities associated with any human space flight program. Between the years of 1996 and 2002, satellite manufacturing within the United States experienced an annual growth of 11 percent. The rest of the world experienced higher growth levels of around 13 percent. Less than 43 percent of the satellites launched in 2002 for commercial use were manufactured in the United States.

Satellite imagery

Several operators of Earth observation satellites, such as GeoEye
GeoEye
GeoEye Inc. is a commercial satellite imagery company based in Herndon, Virginia that is the world's largest space imaging corporation....

 and Spot Image
Spot Image
Spot Image, a public limited company created in 1982 by the French Space Agency, Centre National d'Etudes Spatiales , the IGN, and Space Manufacturers is a subsidiary of EADS Astrium...

, provide images commercially.

Satellite navigation


Space transportation

The commercial space transportation industry derives the bulk of its revenue from the launching of satellites into the Earth’s orbit. Commercial launch providers typically place private and government satellites into Low Earth Orbit (LEO). In 2002, commercial space transportation generated 6.6 billion dollars, which made up 6% of the total gross of commercial space activities.

The Federal Aviation Administration
Federal Aviation Administration
The Federal Aviation Administration is the national aviation authority of the United States. An agency of the United States Department of Transportation, it has authority to regulate and oversee all aspects of civil aviation in the U.S...

 (FAA) has licensed four commercial spaceports in the United States: the Virginia Space Flight Center/Wallops Flight Facility
Wallops Flight Facility
Wallops Flight Facility , located on the Eastern Shore of Virginia, is operated by NASA’s Goddard Space Flight Center, primarily as a rocket launch site to support science and exploration missions for NASA and other U.S. government agencies...

, Kodiak Launch Complex
Kodiak Launch Complex
The Kodiak Launch Complex is a commercial rocket launch facility for sub-orbital and orbital space launch vehiclesowned and operated by the Alaska Aerospace Corporation, a public corporation of the State of Alaska....

, Spaceport Florida/Kennedy Space Center
Kennedy Space Center
The John F. Kennedy Space Center is the NASA installation that has been the launch site for every United States human space flight since 1968. Although such flights are currently on hiatus, KSC continues to manage and operate unmanned rocket launch facilities for America's civilian space program...

/Cape Canaveral Air Force Station
Cape Canaveral Air Force Station
Cape Canaveral Air Force Station is an installation of the United States Air Force Space Command's 45th Space Wing, headquartered at nearby Patrick Air Force Base. Located on Cape Canaveral in the state of Florida, CCAFS is the primary launch head of America's Eastern Range with four launch pads...

, and the California Spaceport/Vandenberg AFB. Launch sites within Russia
Russia
Russia or , officially known as both Russia and the Russian Federation , is a country in northern Eurasia. It is a federal semi-presidential republic, comprising 83 federal subjects...

 and China
China
Chinese civilization may refer to:* China for more general discussion of the country.* Chinese culture* Greater China, the transnational community of ethnic Chinese.* History of China* Sinosphere, the area historically affected by Chinese culture...

 have added to the global commercial launch capacity. The Delta IV and Atlas V
Atlas V
Atlas V is an active expendable launch system in the Atlas rocket family. Atlas V was formerly operated by Lockheed Martin, and is now operated by the Lockheed Martin-Boeing joint venture United Launch Alliance...

 family of launch vehicles are made available for commercial ventures for the United States, while Russia promotes eight families of vehicles. The three largest Russian systems are the Proton, Soyuz, and Zenit.

Between 1996 and 2002, 245 launches were made for commercial ventures while government (non-classified) launches only total 167 for the same period. Commercial space flight has spurred investment into the development of an efficient reusable launch vehicle (RLV) which can place larger payloads into orbit. Several companies such as SpaceX
SpaceX
Space Exploration Technologies Corporation, or more popularly and informally known as SpaceX, is an American space transport company that operates out of Hawthorne, California...

 are currently creating new RLV designs.

Space tourism

Space tourism is space travel
Human spaceflight
Human spaceflight is spaceflight with humans on the spacecraft. When a spacecraft is manned, it can be piloted directly, as opposed to machine or robotic space probes and remotely-controlled satellites....

 by individuals for the purpose of personal pleasure. The space tourism industry is being targeted by spaceport
Spaceport
A spaceport or cosmodrome is a site for launching spacecraft, by analogy with seaport for ships or airport for aircraft. The word spaceport, and even more so cosmodrome, has traditionally been used for sites capable of launching spacecraft into orbit around Earth or on interplanetary trajectories...

s in numerous locations, including the Mojave Air and Space Port in California
California
California is a state located on the West Coast of the United States. It is by far the most populous U.S. state, and the third-largest by land area...

, the Clinton-Sherman Industrial Airpark
Clinton-Sherman Industrial Airpark
The Clinton-Sherman Industrial Airpark, also known as the Oklahoma Spaceport is a newly authorized spaceport near Burns Flat, Oklahoma, in the western part of the state...

 near Burns Flat
Burns Flat, Oklahoma
Burns Flat is a town in Washita County, Oklahoma, United States. The population was 2,057 at the 2010 census.-Geography:Burns Flat is located at ....

, Oklahoma
Oklahoma
Oklahoma is a state located in the South Central region of the United States of America. With an estimated 3,751,351 residents as of the 2010 census and a land area of 68,667 square miles , Oklahoma is the 28th most populous and 20th-largest state...

 Spaceport America
Spaceport America
Spaceport America is a spaceport located in the Jornada del Muerto desert basin in New Mexico, United States. It lies north of El Paso, north of Las Cruces, east of Truth or Consequences...

 in Sierra County
Sierra County, New Mexico
-2010:Whereas according to the 2010 U.S. Census Bureau:*85.6% White*0.4% Black*1.7% Native American*0.4% Asian*0.0% Native Hawaiian or Pacific Islander*3.3% Two or more races*8.6% Other races*28.0% Hispanic or Latino -2000:...

, New Mexico
New Mexico
New Mexico is a state located in the southwest and western regions of the United States. New Mexico is also usually considered one of the Mountain States. With a population density of 16 per square mile, New Mexico is the sixth-most sparsely inhabited U.S...

, the Mid-Atlantic Regional Spaceport
Mid-Atlantic Regional Spaceport
The Mid-Atlantic Regional Spaceport is a commercial space launch facility located at the southern tip of NASA's Wallops Flight Facility on the Delmarva Peninsula south of Chincoteague, Virginia.-Background:...

 on the Delmarva Peninsula
Delmarva Peninsula
The Delmarva Peninsula is a large peninsula on the East Coast of the United States, occupied by most of Delaware and portions of Maryland and Virginia...

 in Virginia
Virginia
The Commonwealth of Virginia , is a U.S. state on the Atlantic Coast of the Southern United States. Virginia is nicknamed the "Old Dominion" and sometimes the "Mother of Presidents" after the eight U.S. presidents born there...

, the Kodiak Launch Complex
Kodiak Launch Complex
The Kodiak Launch Complex is a commercial rocket launch facility for sub-orbital and orbital space launch vehiclesowned and operated by the Alaska Aerospace Corporation, a public corporation of the State of Alaska....

 on Kodiak Island
Kodiak Island
Kodiak Island is a large island on the south coast of the U.S. state of Alaska, separated from the Alaska mainland by the Shelikof Strait. The largest island in the Kodiak Archipelago, Kodiak Island is the second largest island in the United States and the 80th largest island in the world, with an...

, Alaska
Alaska
Alaska is the largest state in the United States by area. It is situated in the northwest extremity of the North American continent, with Canada to the east, the Arctic Ocean to the north, and the Pacific Ocean to the west and south, with Russia further west across the Bering Strait...

, and the Esrange Space Center in Kiruna
Kiruna
Kiruna is the northernmost city in Sweden, situated in Lapland province, with 18,154 inhabitants in 2005. It is the seat of Kiruna Municipality Kiruna (Northern Sami: Giron, Finnish: Kiiruna) is the northernmost city in Sweden, situated in Lapland province, with 18,154 inhabitants in 2005. It is...

, Sweden
Sweden
Sweden , officially the Kingdom of Sweden , is a Nordic country on the Scandinavian Peninsula in Northern Europe. Sweden borders with Norway and Finland and is connected to Denmark by a bridge-tunnel across the Öresund....

.

Proposed spaceports targeting commercial activity include the Ras Al Khaimah spaceport
Ras Al Khaimah spaceport
The Ras Al Khaimah spaceport will be located in the Emirate of Ras Al Khaimah in the United Arab Emirates. It is a joint venture between Prodea and Space Adventures, and will be used to launch suborbital tourist flights in the Space Adventures Explorer spaceplane.-External links:* * * * * -See...

 in Ras al-Khaimah
Ras al-Khaimah
Ras al-Khaimah is one of the emirates of the United Arab Emirates , in the east of the Persian Gulf. It is in the northern part of the UAE bordering Oman's exclave. The capital city and home of most residents is also called Ras al-Khaimah. The city has a population of 263,217 as of 2008. The city...

, United Arab Emirates
United Arab Emirates
The United Arab Emirates, abbreviated as the UAE, or shortened to "the Emirates", is a state situated in the southeast of the Arabian Peninsula in Western Asia on the Persian Gulf, bordering Oman, and Saudi Arabia, and sharing sea borders with Iraq, Kuwait, Bahrain, Qatar, and Iran.The UAE is a...

, Spaceport Sheboygan
Spaceport Sheboygan
-Launch site:Sheboygan was first used as a site for launching suborbital rockets in 1995. More than 300 students from Wisconsin and neighboring states developed and ran experiments using eight foot rockets as part of a local Rockets for Schools program. 20 foot rocket were also launched with...

 near Sheboygan
Sheboygan, Wisconsin
-Airport:Sheboygan is served by the Sheboygan County Memorial Airport, which is located several miles from the city.-Roads:Interstate 43 is the primary north-south transportation route into Sheboygan, and forms the west boundary of the city. U.S...

, Wisconsin
Wisconsin
Wisconsin is a U.S. state located in the north-central United States and is part of the Midwest. It is bordered by Minnesota to the west, Iowa to the southwest, Illinois to the south, Lake Michigan to the east, Michigan to the northeast, and Lake Superior to the north. Wisconsin's capital is...

, and Singapore spaceport
Singapore spaceport
Space Adventures has proposed a USD$115 million spaceport to be located in Singapore, near Singapore Changi Airport. If built, this spaceport will service the Space Adventures Explorer suborbital tourist rocketplane and provide astronaut training facilities and a public education and interactive...

 near Singapore's
Singapore
Singapore , officially the Republic of Singapore, is a Southeast Asian city-state off the southern tip of the Malay Peninsula, north of the equator. An island country made up of 63 islands, it is separated from Malaysia by the Straits of Johor to its north and from Indonesia's Riau Islands by the...

 Changi Airport

Regulation

In the United States
United States
The United States of America is a federal constitutional republic comprising fifty states and a federal district...

, Office of Commercial Space Transportation (generally referred to as FAA/AST or simply AST) is the branch of Federal Aviation Administration
Federal Aviation Administration
The Federal Aviation Administration is the national aviation authority of the United States. An agency of the United States Department of Transportation, it has authority to regulate and oversee all aspects of civil aviation in the U.S...

 (FAA) that approves any commercial rocket
Rocket
A rocket is a missile, spacecraft, aircraft or other vehicle which obtains thrust from a rocket engine. In all rockets, the exhaust is formed entirely from propellants carried within the rocket before use. Rocket engines work by action and reaction...

 launch operations—that is, any launches that are not classified as model
Model rocket
A model rocket is a small rocket that is commonly advertised as being able to be launched by anybody, to, in general, low altitudes and recovered by a variety of means....

, amateur, or "by and for the government
Government
Government refers to the legislators, administrators, and arbitrators in the administrative bureaucracy who control a state at a given time, and to the system of government by which they are organized...

."

See also

  • Asteroid mining
    Asteroid mining
    Asteroid mining refers to the possibility of exploiting raw materials from asteroids and planetoids in space, including near-Earth objects. Minerals and volatiles could be mined from an asteroid or spent comet to provide space construction material , to extract water and oxygen to sustain the lives...

  • Commercial astronaut
    Commercial Astronaut
    A commercial astronaut is a person trained to command, pilot, or serve as a crew member of a privately funded spacecraft.-Criteria:The criteria for determining who has achieved human spaceflight vary. The FAI defines spaceflight as any flight over of altitude...

  • Private spaceflight
    Private spaceflight
    Private spaceflight is flight above Earth altitude conducted by and paid for by an entity other than a government. In the early decades of the Space Age, the government space agencies of the Soviet Union and United States pioneered space technology augmented by collaboration with affiliated design...

  • Satellite Internet access
    Satellite Internet access
    Satellite Internet access is Internet access provided through satellites. The service can be provided to users world-wide through low Earth orbit satellites. Geostationary satellites can offer higher data speeds, but their signals can not reach some polar regions of the world...

  • Space industry
    Space industry
    Space industry refers to economic activities related to manufacturing components that go into Earth's orbit or beyond, delivering them to those regions, and related services. Owing to the prominence of the satellite-related activities, some sources use the term satellite industry interchangeably...

  • Space manufacturing
    Space manufacturing
    Space manufacturing is the production of manufactured goods in an environment outside a planetary atmosphere. Typically this includes conditions of microgravity and hard vacuum.Manufacturing in space has several potential advantages over Earth-based industry....

  • Space-based industry
    Space-based industry
    Space-based industry is a blanket term sometimes used to cover a variety of future forms of human activity in outer space, including asteroid mining, space manufacturing, space trade, construction performed in space such as the building of space stations, space burial, and space advertising.This...



External links

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