Space Security Market Report 2025

The space security market size has grown strongly in recent years. It will grow from $21.42 billion in 2024 to $23.26 billion in 2025 at a compound annual growth rate (CAGR) of 8.6%. The growth during the historical period was driven by the growing dependence on satellite-based communications, escalating geopolitical tensions among space-faring nations, increased military reliance on space-based infrastructure, a rise in incidents of signal jamming and interference, and heightened concerns about collisions involving space debris.

The space security market size is expected to see strong growth in the next few years. It will grow to $32.07 billion in 2029 at a compound annual growth rate (CAGR) of 8.4%. The anticipated growth in the forecast period can be linked to heightened competition among emerging space-faring nations, a growing threat of cyberattacks on space infrastructure, an increasing need for effective space traffic management, rising concerns about orbital congestion, and a surging demand for secure global data transmission. Key trends expected during this period include the advancement of autonomous space surveillance technologies, the use of artificial intelligence for threat detection, the development of robust and adaptable satellite systems, breakthroughs in quantum communication for secure data exchange, and the deployment of modular, reconfigurable satellite platforms.

The growing geopolitical tensions are contributing to the expansion of the space security market. Geopolitical tensions refer to conflicts or strained relations between countries or regions, often driven by territorial disputes, competing interests, or struggles for influence and control. These tensions are escalating as nations vie for dominance in strategic or resource-rich areas, leading to heightened conflict and instability. Space security plays a key role in addressing these challenges by protecting vital space infrastructure, maintaining strategic balance, and reducing the risk of conflict involving space-based systems. For example, in January 2023, the Armed Conflict Location and Event Data Project (ACLED), a U.S.-based non-profit organization, reported a 12% increase in global violence targeting civilians in 2022 compared to 2021, with fatalities from direct attacks rising by at least 16%. Consequently, the rising geopolitical instability is accelerating the demand for space security solutions.

Key players in the space security market are focusing on developing global threat coordination hubs to enhance international cooperation and improve the speed and effectiveness of threat response. A global threat coordination hub is a collaborative platform that enables the real-time exchange of information and coordinated responses to cyber and physical threats targeting space assets across various jurisdictions and time zones. In April 2025, the Space Information Sharing and Analysis Center (Space ISAC), a nonprofit organization based in the United States, launched the UK Global Hub. This initiative enhances continuous threat monitoring through a follow-the-sun model, which allows for uninterrupted detection and response across allied nations. The hub also strengthens global space security by fostering collaboration and coordinated protection efforts against emerging threats to space infrastructure.

In August 2023, Scout Space Inc., a U.S.-based space technology firm, acquired Free Space Inc. to bolster its capabilities in space domain awareness and defense. This acquisition is intended to enhance Scout Space’s expertise in space cybersecurity and deepen its engagement with U.S. defense and intelligence agencies. Free Space Inc. is a UK-based company specializing in space domain awareness and security technologies.

Major players in the space security market are Raytheon Technologies Corporation, Boeing Defense Space And Security, Lockheed Martin Corporation, Airbus Defence And Space GmbH, General Dynamics Mission Systems Inc., Northrop Grumman Corporation, BAE Systems plc, L3Harris Technologies Inc., Leonardo S.p.A., Leidos Holdings Inc., Science Applications International Corporation, Elbit Systems Ltd., Israel Aerospace Industries Ltd., Space Exploration Technologies Corp., Saab AB, Rheinmetall AG, Thales Group, Sierra Nevada Corporation, QinetiQ Group plc, Kratos Defense And Security Solutions Inc., and BlueHalo LLC.

North America was the largest region in the space security market in 2024. The regions covered in space security report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East and Africa. The countries covered in the space security market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Russia, South Korea, UK, USA, Canada, Italy, Spain.

Note that the outlook for this market is being affected by rapid changes in trade relations and tariffs globally. The report will be updated prior to delivery to reflect the latest status, including revised forecasts and quantified impact analysis. The report’s Recommendations and Conclusions sections will be updated to give strategies for entities dealing with the fast-moving international environment.

The sharp hike in U.S. tariffs and the associated trade disputes in spring 2025 are notably impacting the aerospace and defense sector by raising costs for titanium, carbon fiber composites, and avionics materials largely sourced from global suppliers. Defense contractors, locked into fixed-price government contracts, absorb these added costs, while commercial aerospace firms face airline pushback on higher aircraft prices. Delays in component shipments due to customs bottlenecks further disrupt tight production schedules for jets and satellites. The industry is responding by stockpiling critical materials, seeking waivers for defense-related imports, and collaborating with allied nations to diversify supply chain.

Space security involves safeguarding space-based systems, infrastructure, and operations from potential threats such as hostile actions, space debris, cyberattacks, and interference. It is essential for ensuring the safe, sustainable, and peaceful use of outer space for national defense, commercial ventures, and scientific research.

The key solutions in space security include surveillance and tracking, communication, navigation, and more. Surveillance and tracking entail the ongoing observation and identification of space objects, satellites, and debris to avoid collisions, identify potential threats, and maintain the secure functioning of space assets. These solutions are applied in areas such as military and governmental operations, serving end-users including defense agencies, intelligence services, civil organizations, and commercial entities.

The space security market research report is one of a series of new reports that provides space security market statistics, including space security industry global market size, regional shares, competitors with a space security market share, detailed space security market segments, market trends and opportunities, and any further data you may need to thrive in the space security industry. This space security market research report delivers a complete perspective of everything you need, with an in-depth analysis of the current and future scenario of the industry.

The space security market consists of revenues earned by entities by providing services such as satellite communication protection, space domain awareness, satellite collision avoidance, and space traffic management. The market value includes the value of related goods sold by the service provider or included within the service offering. The space security market also includes sales of satellite encryption systems, space situational awareness (SSA) tools, cybersecurity solutions for space assets, and secure ground station infrastructure. Values in this market are ‘factory gate’ values, that is, the value of goods sold by the manufacturers or creators of the goods, whether to other entities (including downstream manufacturers, wholesalers, distributors, and retailers) or directly to end customers. The value of goods in this market includes related services sold by the creators of the goods.

The market value is defined as the revenues that enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD, unless otherwise specified).

The revenues for a specified geography are consumption values that are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.

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