£1.4 billion MoD investment in space signals its importance in the future of defense, says GlobalData

Following the news that the UK will invest £1.4 in space, as part of the first Defence Space Strategy (DSS);

James Marques, Associate Analyst at GlobalData Aerospace, Defence and Security, a leading data and analytics company, offers his view:

“The UK’s investment confirms the pivotal role that space defense will play in ensuring state security and military capability. Space is fast becoming a lucrative sector, as states continue to grow their investment and presence in orbit.

“A total of £968 million will be spent on the ISTARI programme, which aims to improve cyber resilience in an information-dominated era by supporting programs such as MINERVA, which looks to enhance integrated command and control systems across the armed forces. The lag time between information being processed, disseminated, and then actioned is to be a defining factor in military efficiency and capability.

“By investing in this area, the MoD is enhancing the reactivity of the British military—in line with the goal of sustaining a strategic advantage through science and technology, as outlined in the 2021 Integrated Review. According to GlobalData’s latest global military satellite market forecast, satellites will cumulatively value $104.5 billion from 2021-2031, with intelligence and surveillance satellites comprising 51% of the market.

“The establishment of the US Space Force and UK Space Command highlights the growing role of space in warfare, and the growth of international collaboration between companies such as Serco, Lockheed Martin and CGI speak to the complex nature of the industry.

“Activity in space will be research & development (R&D)-intensive and demanding on extant national resources. Nevertheless, it is an essential for states that wish to compete with near-peer threats. Multi-national consortia and operations involving allied states are likely to be a regular occurrence in the market. The Prometheus 2 R&D satellites, which make up part of the UK’s investment, underline that reality, as they are intended to help attract jointly funded, multi-national space missions to enhance collaboration with NATO and other allies.”

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