Space sector expands economic footprint through innovation

The UAE’s space sector has evolved beyond scientific and exploration missions and satellite launches into an integrated economic ecosystem spanning infrastructure, manufacturing, data, artificial intelligence, research and development, investment, international partnerships and talent development.

Developments in 2026 point to a marked shift from building space capabilities to expanding their use and translating them into economic, technological, and knowledge value.

This transformation is being driven by a national vision aimed at doubling space economy revenues, increasing the sector’s economic added value by 60 per cent, doubling the number of national companies and start-ups, increasing investment in space assets and infrastructure, and expanding UAE space exports in global markets.

The National Space Strategy 2031, approved by the UAE Cabinet on March 29, 2026, places the economy at the heart of the sector’s next phase. It seeks to build a resilient, investment-attractive space ecosystem, strengthen global leadership in space partnerships and market access, and develop competitive space infrastructure and facilities. These targets build on an established ecosystem. Results from the previous strategy included the development of 30 satellites, while the number of entities operating in the UAE space economy has exceeded 170.

Space42 illustrates the shift in value creation from satellites themselves to the data and services they generate. In June, Foresight-3, Foresight-4 and Foresight-5 entered full operation, expanding the Foresight Earth Observation constellation to five satellites providing high-resolution geospatial intelligence.

Critical integration and testing processes were completed in Abu Dhabi, while cooperation with ICEYE supports technology transfer and supply-chain localisation.

Imaging resolution reaches 25 centimetres, while the AI-powered GIQ platform transforms raw data into actionable intelligence within minutes, with the potential to reduce emergency response times by up to 90 per cent and predictive maintenance costs by up to 30 per cent. The space economy’s value therefore extends beyond satellite manufacturing and launch to data, analytics and services.

In May, the UAE launched the International Space Cooperation Programme, allocating Dhs1 billion to support international cooperation in space research and development.

The programme aims to connect UAE research and academic institutions with global counterparts and companies, accelerate technology development and knowledge transfer, and transform R&D outcomes into applications and industries with sustainable economic value. It also supports technology localisation, patents, and talent development.

The expansion of space manufacturing became more evident in September, when Marlan Space and Loft Orbital announced that they were leading a consortium investing $1 billion in France to develop Altair-Next Gen, with the constellation to be manufactured in Abu Dhabi.

The initial phase comprises 50 satellites equipped with radar, optical and other sensors and onboard computing capabilities, with the first 10 already in production.

The project combines UAE capital and manufacturing capabilities with European supply chains, supported by a facility capable of scaling production from 10 to 50 satellites.

In parallel, Space42 and Viasat signed a binding agreement to establish Equatys, a shared space and ground infrastructure platform, with combined initial equity commitments of up to US$1 billion, aimed at extending mobile coverage to areas beyond the reach of terrestrial networks.

The space economy’s reach is not confined to orbit. In January, Space42 and the International Fund for Houbara Conservation agreed to deploy artificial intelligence and unmanned aerial systems to support Houbara conservation.

In September, Space42 subsidiary Mira Aerospace used a High Altitude Platform System to monitor wildfires in Spain, while Leonav-1 demonstrated its ability to receive and process navigation signals from orbit, opening potential applications in intelligent transport, aviation and autonomous vehicles.

In September, the Mohammed Bin Rashid Space Centre (MBRSC) completed the integration of the RTx payload onto Rashid Rover 2 as preparations continued for its mission to the far side of the Moon.

WAM