The space boom is coming following recent innovations led by Elon Musk’s SpaceX with reusable rockets. According to finance analysts, the space race, that is just starting, “will create more billionaires than the internet boom.”
In a post on November 29, Graham (GC) Cooke, CEO and Founder of Brava Finance, explained why it will happen. “Everyone is focused on the wrong thing,” Cooke explained. “The real opportunity isn’t in launches – it’s in what comes after,” referring to the space boom.
“Remember when the internet was just “cables under the ocean”? That’s space right now. The cost to orbit just crashed 99.8% in 14 years. And just like the internet wasn’t about cables…This isn’t about rockets.”
– Graham (GC) Cooke
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According to Brava Finance’s CEO, the space race is no longer about launching rockets, as it was during the Cold War. Instead, it is all about making money “and a lot of it,” he said. Cooke forecasts the space economy to grow from $424 billion to over $1 trillion by 2040.
How SpaceX has revolutionized the space race with cost reduction
All this, however, is only possible thanks to a massive cost reduction in rocket launches, thanks to SpaceX’s recent accomplishments.
In 2010, the cost to launch one kilogram to space was $50,000, as Graham Cooke revealed. A decade later, in 2020, the cost was reduced to $1,000. Elon Musk’s SpaceX went even further reducing it to $100 per kilogram with its reusable rockets.
Interestingly, the finance expert forecasts this cost to drop below $10 in the future, opening doors for significant innovations. Now, many companies are starting a real space race, embracing this once-in-a-lifetime opportunity that could overcome the internet boom.
The space boom and all its possibilities
Some business ideas that were previously impossible, highly controlled, or significantly expensive will soon start making the headlines. The space boom, according to Cooke, will allow for Global internet coverage anywhere on earth, space manufacturing, asteroid mining, space-based solar power.
As an example of the ongoing space race, SpaceX’s Starlink and Amazon’s Project Kuiper are already seeking the “global internet coverage” use case by launching “massive satellite constellations to beam internet everywhere on Earth,” the executive said.
Space manufacturing is another area that he believes will bring relevant cash flow into this ongoing economic boom. Notably, the microgravity environment in space will create an industrial race to produce crystals, high-value materials, and advanced pharmaceuticals, which are “impossible to make on Earth.”
Elon Musk, in a speech, explained that his goal is to create “space-based civilizations and become a multi-planetary species.”
Joining SpaceX in this race, names like Rocket Lab, Blue Origin, Virgin Galactic, and dozens more get the spotlight. As the space boom develops, Brava Finance’s founder sees many economic benefits like job creation and technological advancements happening.
