Spacetech epitomises much of what we like about deeptech investing - it’s hard! A uniquely hostile environment that requires novel materials and mammoth levels of risk: innovating for or in space isn’t for the faint hearted. So it stands to reason that super ambitious founders and VCs are getting excited about this area of building.

The global space economy was worth $630 billion in 2023 - a figure expected to grow to $1.8 trillion over the next decade. And while the global map of space companies is still dominated by the US, the UK is really coming to the party. Our space economy was already generating £17.5 billion a year in 2023, and only the US has seen more private investment in spacetech since 2015. 

Advances in spacetech hold the promise of solutions to some of the most pressing challenges we face here on Earth. From manufacturing and drug development to abundant energy and cyber security, pushing new frontiers in space could help find radical solutions to some of the biggest problems on the planet. These are some of the spacetech areas I’ve got my eye on:

‍Building human solutions in space

One of the areas I’m currently monitoring closely is in-space manufacturing and materials production. Thanks to the unique conditions of space - microgravity, vacuum, extreme temperature variations - scientists are able to develop and produce materials which are either extremely difficult or impossible to build on Earth. 

A great example is the Welsh startup Space Forge, which has received backing from the NATO Innovation Fund and Type One Ventures. They are developing materials for high quality semiconductor substrates - something which could massively reduce the energy consumption, carbon emissions and production costs that come with manufacturing these chips on Earth. 

Another area I’m tracking is the development of hardware for space-based medical research and pharmaceutical production. Microgravity makes studying the key proteins associated with major illnesses such as cancer, genetic disorders and heart disease far easier in space than it is on Earth. UK startup BioOrbit is already doing some incredibly interesting research in this field. At scale, these innovations could foster major advances in the treatment of everything from lung cancer to neurodegenerative diseases. 

Addressing climate concerns on Earth 

Making the transition to clean and sustainable energy is one of the greatest challenges we face as a society, and advances in spacetech could be critical to helping us overcome this. A solution I’m particularly intrigued by is the concept of energy beaming: transmitting energy wirelessly across long distances, by converting it into electromagnetic waves. Companies like Space Solar are doing really exciting things here. They’re developing technology that will allow us to capture solar energy in space and beam it down to Earth, offering a 24/7, uninterrupted supply of renewable energy. Tech like this could be critical to our green energy future - reducing the environmental impact of developing physical infrastructure on Earth, and offering greater energy security than some terrestrial alternatives. 

I’ve also been following recent conversations on the idea of developing space-based data centres. The rapid rise of AI has seen a huge spike in the demand for power hungry data centres, raising questions about how we will meet the energy demand of our digital infrastructure. By sending these centres into orbit, we could power them sustainably through solar energy, as well as reducing the demand for water and other resources which are needed to cool and maintain them on Earth. 

Securing our spacetech 

As the development and proliferation of these highly complex technologies accelerates, so too will the need to defend them against any potential threats. As defence tech booms, I expect to see some elements of space tech pulled under that wider defence umbrella. 

Startups offering tailored cybersecurity solutions in the spacetech realm, like ANGOKA and Space Armour, are already developing enhanced systems to secure ground-to-satellite, drone-to-satellite and satellite-to-satellite communications. These tools will be vital to securing the future of our key infrastructure - protecting everything from defence assets to critical navigation networks.     

Why we’re investing in spacetech

Ada Ventures is a ‘power law’ VC. We’re committed to unearthing those one-in-a-million breakthrough ideas that will drive genuine and lasting change - for everyone. The advances that we’re seeing in spacetech align perfectly with our vision for a fairer future, with new products offering solutions across all three of our Climate Equity, Healthy Ageing and Economic Empowerment theses. 

If you’re a founder building a genuinely transformational new product in spacetech, we’d love to hear from you. Please get in touch, and show us how your tech can change the world. 

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