Saudi Arabia eyes $31.6bn space economy as sector gains momentum

14/04/2025 03:21 AST

Saudi Arabia's space economy reached $8.7 billion in 2024 and is expected to grow to $31.6 billion by 2035, according to a new study.

The Space Market Report 2025, released by the Communications, Space and Technology Commission, stated that the growth encompasses all value-added activities and industries derived from technologies and services, with a projected compound annual growth rate of 12 percent.

The Kingdom's space market-focused on commercial services and infrastructure-was valued at $1.9 billion in 2024 and is forecast to reach $5.6 billion by 2035, supported by increased investment in technologies and infrastructure.

The report aims to chart the growth trajectory of the domestic and global space sectors, while also supporting market development, enhancing competitiveness, and identifying investment opportunities.

CST Gov. Mohammad Al-Tamimi stated that the strong support from wise leadership is accelerating investment, infrastructure development, and the enabling of national talents.

He added that these efforts contribute to the goals of Saudi Vision 2030 and aim to establish a competitive, sustainable space economy both regionally and internationally.

Al-Tamimi also said the analysis is part of CST's continued work to support the space sector as a new economic driver, contributing to the Kingdom's global standing in technology and innovation.

He described the publication as a valuable resource for decision-makers, investors, and entrepreneurs to understand future trends and promising growth opportunities in the sector.

The study highlights several movements shaping the space industry, including the growth of Earth observation data analysis, infrastructure services, integrated communications systems, and advanced sensing technologies.

It also notes the increasing development and deployment of small satellites and the expanding role of the private sector in both local and international space markets.

Globally, the space economy is projected to grow from $687 billion in 2024 to $1.8 trillion by 2035, representing a CAGR of 9 percent.

The global space market is forecast to increase from $176 billion to $377 billion in the same period, with a CAGR of 7 percent.

Arab News