Article title: DEVELOPMENT TRENDS IN THE SPACE INDUSTRY

Article author: Konygin Ruslan Anatolyevich

Number of pages: 5

Contact mail: ru.konygin@gmail.com

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Annotation:
Until recently, the term "space activities" was used as a synonym for government spending. Huge costs and risks made the space sector inaccessible to private players. Presently, major technological advances and an entrepreneurial spirit are rapidly forming a new space economy. New private entities are emerging in this sector who see unsurpassed commercial opportunities in space exploration. Investments are fundamental to the growth opportunities of new companies. They provide invaluable support in the early stages of formation, which is difficult to obtain from the state. Government subsidies that are provided only for a short period of time are usually not enough to start developing a new business sector. However, obtaining funding is not easy. This article discusses the problems of initial financing of new companies involved in space activities. The interconnection between space law and the banking sector is shown. The most typical difficulties that companies encounter when searching for co-financing were identified. Among the obstacles to investments in companies involved in space activities are the following: high cost of space flight, high insurance costs, long development times, high financing risks, lack of experience in managing space companies, insufficiently developed legislative framework for independent functioning of space activities. The examples of foreign states (Luxembourg and Japan) are analyzed to find a solution to the problem of lack of finance for new companies as well as attracting investments to the territory of the state. On the example of successful development of companies launching commercial satellites, including Asiasat, Intelsat, Imarsat, the possibility of payback of risky investments is shown. They have come a long way before turning them into one of the most profitable enterprises of orbiting satellite networks of near space. The need for cooperation between the banking sector and the legislator was identified and justified in order to create an environment for the development of new space startups, expand favorable conditions for the gradual development of systematic financing, and increase investor interest in "space exploration".