Satellites: The Tech Quietly Powering Your Everyday Life

I got a little obsessed with satellites this week. (Big thanks to the friends who put up with my nonstop space talk and feeble attempt to distract myself from U.S. political affairs.) But really—can you blame me? Every time we check the weather or get directions, satellites quietly do the heavy lifting. There’s a race above us to cram more of these things into orbit—connecting us to the data machines that keep us informed (and mildly addicted to our screens).

Companies are pouring billions (~$12.5B in 2023) into space tech. And this is just beginning; analysts estimate the $83 billion-sized satellite market will continue growing at an annual rate of 10%. So, why this rapid expansion?

It’s simple: the demand for real-time, reliable, and globally accessible data is insatiable. Satellites offer the most efficient way to deliver data to every corner of the Earth and have become the invisible backbone of modern life—powering everything from our daily commutes to global finance, disaster response, and scientific discovery. This is especially vital for communities without reliable access to internet infrastructure; satellites can bridge digital and communication divides.

As we move forward, keeping an eye on space isn’t just a tech curiosity. It’s an essential lens into how our world operates and evolves. The satellite boom isn’t just shaping a new frontier above us—it’s changing how we live, connect, and innovate here on Earth.

The sky is the limit (ish?)

Over the decades, satellites evolved from bulky, bus-sized machines to compact, cost-effective devices. Technological advancements have led to a significant reduction in launch costs, making space more accessible than ever. A brief journey through history:

• 1957: The space race begins with Sputnik 

  The Soviet Union's launch of Sputnik 1 kicked off the satellite age, showing the world that we could communicate from space. This tiny orb set off a global race.

• 1978: GPS kicks off global navigation 

  Originally built for the military, GPS (the first Global Navigation Satellite System (GNSS); built by the U.S.) soon expanded to civilian use, transforming daily life with precise navigation. Other countries followed with their own systems.

• 1998: The ISS brings countries together in space 

  The International Space Station (ISS) marked a huge moment for international collaboration in space and became a hub for scientific research, with astronauts studying everything from microgravity to new technologies for space travel.

• 2013: CubeSats democratize space 

  Cheap to launch and versatile in design, CubeSats—small, box-like satellites—made space more affordable and opened the final frontier to universities, private companies, and students.

• 2019: Starlink disrupts satellite internet 

  SpaceX launched Starlink in 2019, creating a constellation of thousands of Low Earth Orbit (LEO) satellites to provide high-speed internet. Starlink has dominated the market, pushing competitors to step up their game.

Let’s chat about the market

Two big trends continue to amplify the growth in satellite investment and innovation: it’s becoming cheaper to launch satellites, and satellite technology is shrinking in size. More companies can afford to send satellites into orbit, and smaller satellites can do more jobs than ever before. With so many satellites available, companies are tapping into new ways to use them for data, communication, and even security​. There are three key satellite applications I recommend keeping an eye on:

1. Communication

Satellites are delivering high-speed internet to places without regular connection. High-Throughput Satellites (HTS) are making this possible by offering faster and better data speeds—especially useful in rural/remote areas and for applications like video streaming.

Start/Scaleups to watch:

• Astranis: Developing affordable, small GEO satellites focused on serving specific areas, making internet access more affordable. Also building resilient navigation applications. (Series D)

• Kepler: Building a constellation of mini, LEO (low-orbit) satellites that act like "cell towers in space" to help transfer data between other satellites, especially for uses like weather tracking and scientific research. (Series C)

• Skylo: Leverages GEO (geostationary) satellites to deliver internet services to regular devices, like phones and sensors, in places without cell service, helping industries like farming and emergency services stay connected. (Series A)

2. Earth Observation

Satellites are crucial for monitoring the environment, tracking natural disasters, and managing resources. Climate change has increased the demand for real-time data on things like deforestation, sea levels, and pollution. New, smaller satellites are capturing this information continuously, providing near-real-time updates for scientists and organizations around the world.

Companies to watch:

• Planet Labs: Runs a fleet of small satellites that image Earth’s surface every day, providing valuable data for areas like farming and city planning. (Public)

• ICEYE: Uses radar-based imaging to capture clear images even through clouds or at night. (Series D+)

• Array Labs: Specializes in creating 3D maps from LEO, which can help with disaster response, infrastructure planning, and more. (Seed Stage)

3. Navigation

Since the 1970s, satellites have become our primary means of navigation; demand for faster, more precise location services continues to grow. Innovators are solving this with new satellites to improve accuracy and offer better global coverage.

Satellite-based navigation (GNSS) might be the most at-risk of signal spoofing (sending false signals) and jamming (blocking signals). For this reason, many innovators are building out solutions for navigation that don’t rely on satellites anymore. Check out my article here for more about why GPS is in jeopardy.

Startups to watch:

• Xona Space Systems: Creating a new GPS-like system from LEO to boost accuracy and reliability of navigation data. (Series A)

• Satelles: Provides positioning and timing information from its own LEO satellites to strengthen traditional GPS systems. (Acquired by Iridium)

The road ahead

As technology continues to advance, satellites will play an increasingly integral role in our daily lives. The market expansion is also opening up space for innovation beyond satellite deployment and management:

• As we launch more satellites, we need more ground stations to handle the data load and keep connections fast and efficient​. Companies like Northwood Space (Seed Stage) are building more and better ground stations, which act as “hubs” to receive and process the data that satellites send back to Earth.

• As satellites get more advanced, they need tougher protection from space radiation. Cosmic Shielding Corporation (Seed Stage) developed Plasteel, a flexible, 3D-printed material that shields electronics from harmful particles in space better than traditional materials. It could even be adapted for space suits, keeping tech and people safer in orbit.

• Many spacecraft still run on old, low-power computers because space conditions are tough on electronics. Aethero (Seed Stage) is working to change this with computers promising faster, smarter processing in orbit. Their first payload launched in August on SpaceX’s Transporter-11 mission.

The satellite industry is on an upward trajectory, propelled by technological advancements and a growing need for global connectivity. As we look to the stars, it's clear that satellites will continue to shape the future of communication, navigation, and Earth observation.

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Thanks for reading this week’s CipherTalk briefing. For more, check out the CipherTalk Podcast! Episode 1 is available on Spotify and Apple Podcasts. Keep an eye out for new releases this month.

As the news continues to cover the U.S. election outcomes and their implications, I hoped to provide to you a little break from policy with less-related, still-relevant thought nuggets. Have a good weekend, please take care, and wishing you all the best. /m