What Is An “In-Space Economy” and Why Do We Need One?

In the decades since the Soviet Union launched Sputnik and the U.S. landed the first humans on the Moon, we’ve continued to progress in space exploration and technology.

We’ve developed commercial satellites supporting many markets on Earth, explored the solar system, and sustained a long-term human presence in space on the International Space Station.

More recently, the space industry has evolved from government-led national programs to a more diverse industrial base of commercial companies collaborating with space and national defense stalwarts and governments worldwide. Still, the entire commercial space market primarily serves Earth, with industries like remote sensing and satellite-based services catering to terrestrial needs. 

Transformational potential lies in an “in-space economy,” which refers to goods and services being produced, traded, and consumed beyond Earth’s atmosphere—in orbit, on the Moon, and eventually, on Mars and beyond.

Moving toward an in-space economy

Many companies, including Interlune, are forging the path to an in-space economy that will sustain Earth and humankind for millennia. And while we’re still a few years out, as we like to say at Interlune, a trillion-dollar in-space economy is closer than you think. 

It's helpful to think about the progression to an in-space economy in three phases or layers: low-earth orbit, in-orbit infrastructure and beyond, and lunar and deep-space industrialization. In the last three years, especially, commercial efforts across all three have literally taken off. 

The Low-Earth Orbit (LEO) service economy

Low Earth Orbit (LEO) makes up the bulk of today’s commercial space economy and is driven by satellite communications, and remote sensing. This domain has matured rapidly over the last decade, powered by an unprecedented reduction in launch costs, small satellites, and private-sector innovation.

The infrastructure layer: in-orbit and beyond

The infrastructure layer is next, which is now being built out in orbit and beyond. This includes cargo delivery systems, private space stations, and in-orbit satellite servicing capabilities. 

The impact of companies like SpaceX cannot be overstated. By reusing rockets and providing routine access to space, SpaceX has opened the door for many companies to send satellites and experiments into orbit. Each SpaceX Transporter mission, typically flown quarterly, results in a flurry of announcements from companies sharing the status of their newly deployed systems.  

The space industrial base, especially those companies focused on the Moon, has been completely rebuilt in the past decade. The companies that transported Neil and Buzz to the Moon in 1969 either don’t exist today or operate under a completely different set of conditions. 

The new lunar industrial base, formed by investments in NASA’s Artemis program and venture capital, is building and operating the rockets, landers, Earth return vehicles, rovers, communications, and power systems to fuel our off-world future.

The Interlune go-to-market strategy is to build on top of their innovations, developing the technology and equipment to harvest helium-3 from the Moon and return it to Earth for sale to commercial and government customers.

Lunar and deep space industrialization

The final phase, where the in-space economy takes shape, is the industrialization of lunar and deep space environments and includes activities like resource extraction, in-situ manufacturing, energy production, and human habitation beyond Earth’s orbit.

Once we have established helium-3 as our go-to-market product, Interlune infrastructure will be core to the development of industrial activities on the Moon, Mars, and beyond, including factories, propellant plants, and industrial metal and rare earth element processing.

Geopolitics in the in-space economy

It’s true that the commercial space industry plays a huge role in the current space economy and will drive the future in-space economy. However, national interests are also paramount, especially given the economic and security implications of technical primacy in space. While the first space race was between the Soviet Union and the U.S., today, there’s a more diverse set of players, most notably China. 

China’s progress in just the past few years has resulted in a new space station, Tiangong, and several missions to the Moon to gather and return regolith samples to Earth. The 2028 Chang’e 8 mission is intended to be the first demonstration of In-Situ Resource Utilization (ISRU) on the Moon.

What’s next

In the coming decade, we will witness companies and countries developing technologies and businesses that serve Earth in the short term, but with the vision of supporting entire industries in space and for space. Within several decades, space will transform into a fully functioning and self-sustaining extension of the global economy.

At Interlune, this includes harvesting other resources from space by the 2040s, such as industrial metals, rare Earth elements, and water, to support a long-term presence on the Moon and a robust in-space economy.

As one of the pioneering companies at the frontier, Interlune is committed to setting the standard for sustainable, responsible harvesting of natural resources from the Moon and leading by example to build the new in-space economy. 

Big thinking is required

The creation of an in-space economy is inevitable. For better or worse, the first company or country establishing itself will have inordinate power over what happens next. 

Being successful requires training our brains to think on a massive scale. “Think Big” is one of Interlune’s seven leadership principles. We’re talking about big solutions, big breakthroughs, and big collaborations. Our funders, partners, and customers are right there with us and have helped us develop an achievable roadmap to building an enduring presence that serves all of humanity. 

It starts with harvesting the most valuable resource one can bring back from space—helium-3. The technologies and infrastructure created to do this will be the foundation for countless other pursuits.

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