Global investment in space technology is expected to rise further in 2026 after a record-breaking year, driven by government spending on defence-related satellite systems and growing private investment in launch capabilities, according to investment firm Seraphim Space.
Space infrastructure is increasingly being treated as a strategic national asset, with governments competing to secure geopolitical and security advantages through satellites, launch systems and space-based data services. Investors expect this trend to accelerate as defence budgets expand and artificial intelligence becomes more deeply integrated into space hardware and analytics.
Seraphim Space said funding momentum in 2026 is likely to be fuelled by sovereign satellite programmes, missile-defence systems, AI-enabled space technologies and speculation around a potential SpaceX initial public offering.
“A potential SpaceX IPO could act as a powerful catalyst, validating SpaceTech as a mainstream asset class and opening a clearer path to public listings for late-stage space companies,” said Lucas Bishop, investment analyst at Seraphim Space.
Private investment in the sector surged 48% in 2025 to a record $12.4 billion, including $3.8 billion raised in the final quarter alone. The total surpassed the previous peak seen in 2021 and marked a full recovery from the downturn experienced in 2022, outperforming the broader venture capital market.
The United States dominated global space investment last year, attracting $7.3 billion, or roughly 60% of total funding. This was largely driven by spending on launch services and defence-linked programmes such as the Pentagon’s Golden Dome initiative. Investor confidence was further boosted after Donald Trump signed an executive order in December designating space as a core national security and economic priority.
Investment growth in Europe remained more moderate, while Asia continued to see elevated activity. China contributed around $2 billion in funding as it accelerated domestic satellite manufacturing and launch development, reinforcing its push to build an independent space ecosystem.
