Zhi DongXi (public number: zhidxcom)
Author | Yang Chang
Edit | Three Norths
Zhidong reported on April 18 that recently, the US space company SpaceX used the Falcon 9 rocket and the manned "Dragon" spacecraft to successfully send the first batch of all-private astronauts to the International Space Station. In the face of the rapid development of commercial aerospace in Europe and the United States, in China on the other side of the ocean, many astronauts are clenching their fists and planning to do a big job.
In the first quarter of this year, the mainland's commercial aerospace financing ushered in a good start. According to our statistics, in the first quarter of 2022 (January to March), at least 21 commercial aerospace companies in China announced financing, with a total amount of more than 3.73 billion yuan.
Although this amount does not look large, in the whole of 2021, according to the data of Tianyancha, the mainland's commercial aerospace financing has only 37 cases and a total of more than 6.45 billion yuan. Based on this year's forecast, the mainland's commercial space financing in 2022 may double compared with 2021.
In the first quarter of 2022, the list of domestic commercial aerospace companies that announced financing is as follows:
▲ Obtained financing for domestic commercial aerospace companies in the first quarter of 2022
Some of these financed commercial space companies are still immersed in research and development, and some have successful launch practices. Through recent funding, we will explore the latest status and trends in different segments of the commercial space sector.
First, there are more than 20 financing companies, and rocket-related manufacturers account for half
The aerospace industry chain system is complex, the upstream enterprises in the industrial chain are mainly satellite manufacturing enterprises, the midstream is mainly rocket production and launch terminal enterprises, and the downstream enterprises are mainly satellite application and operation enterprises.
▲Industrial chain of commercial aerospace enterprises (source: Prospective Industry Research Institute)
According to our statistics, from January 1 to March 31, 2022, there were at least 21 commercial space companies on the mainland that received financing. A large part of them belongs to the upstream and middle reaches of the commercial aerospace industry chain. These enterprises belong to the overall manufacturing of satellites, rocket supporting manufacturing, rocket overall manufacturing and other subdivisions.
There are 11 overall satellite and rocket manufacturing enterprises, of which 7 enterprises are mainly engaged in the overall manufacturing of rockets, 2 enterprises are satellite manufacturing enterprises, and 2 enterprises are engaged in satellite and spacecraft research and development and manufacturing.
Among the 21 companies, 3 companies are mainly engaged in the design of rocket engines, materials and structural parts, and 6 companies are engaged in technology and product research and development of satellite-related applications such as satellite Internet.
From the perspective of the time of establishment, 20 of the 21 companies were established after 2015, and only one was founded in 1998. In fact, since 2014 and 2015, China has gradually begun to vigorously develop commercial aerospace. In particular, in 2015, the National Development and Reform Commission, the Ministry of Finance, and the Bureau of Science, Technology and Industry for National Defense jointly issued the National Civil Space Infrastructure Medium and Long-term Development Plan (2015-2025). This plan has had an important impact on the development of China's commercial aerospace industry.
From the perspective of the location of the enterprise, 6 of the 21 enterprises are Beijing enterprises, and the enterprises in Beijing were established earlier. In addition to these companies that have been financed this time, there are many commercial aerospace companies in Beijing. In 2020, Beijing issued the Action Plan for Accelerating the Construction of New Infrastructure in Beijing (2020-2022), proposing to build a commercial aerospace industry ecology covering rockets, satellites, ground terminals, and application services.
The total amount of financing for 21 enterprises exceeded RMB3.7 billion (some companies did not disclose the specific amount). Among them, the highest amount of single financing is the science and technology space belonging to the second research institute of China Aerospace Science and Industry Group, and the financing of this (A round) is 800 million yuan. Founded in Hubei in 2017, KESSPACE is mainly engaged in space engineering technology research, including communications and remote sensing satellites, as well as low-cost manned spaceflight technology.
Second, a number of enterprises benchmark SpaceX, intelligent technology to create aerospace equipment
Looking at foreign commercial space companies that are now stronger, they often have many years of commercial space practice. For example, Musk's SpaceX was founded in 2002, and Blue Origin, a commercial space company owned by Amazon CEO Jeff Bezos, was founded in 2000 and has successfully launched many rocket missions, even winning NASA's manned space program and experimenting with commercial space travel missions.
In contrast, domestic commercial aerospace companies started a little late, especially private commercial aerospace companies. Aerospace technology expert Huang Zhicheng once said in an interview with the media: "Most of China's private aerospace companies were established after 2015, and the establishment time is relatively short. "However, in terms of technology, domestic companies have been catching up.
1, the overall rocket manufacturing enterprises: more committed to liquid reusable rockets
The largest number of the 21 companies that announced financing from January 1, 2022 to March 31, 2022, is the rocket manufacturing company. Among the overall rocket manufacturing enterprises, the two companies that have received the most financing rounds are Tianjin's Tianbing Technology and Beijing's Interstellar Glory, both of which have received a total of 8 financings since its inception.
Rockets are the most important means of delivery for humans and satellites to travel to and return to space, but rockets are currently expensive to manufacture. SpaceX founder Musk has mentioned that the cost of their fully reusable two-stage super-heavy launch vehicle starship (Starship) is several million dollars. Satellites cost less, like SpaceX's Starlink satellites, which cost less than $500,000 per satellite.
Affected by a series of factors such as manufacturing costs, there are many stars and few arrows in the commercial aerospace field, and the stars are cheap and expensive. The market has a greater demand for low-cost, energy-producing, and reusable launch vehicles.
Founded in 2019, Tianbing Technology mainly carries out liquid rocket research and development, involving "small, medium and large" three types of rocket engines and "medium and large" two liquid carrier rockets, mastering the core key technologies of rocket recovery such as rocket vertical recovery soft landing buffer control technology, and plans to carry out the orbit launch of liquid carrier rockets this year.
According to the form of rocket propellant, rockets are mainly divided into liquid rockets and solid rockets. Liquid rockets use liquid oxygen kerosene, liquid hydrogen liquid oxygen and other liquid propellants, although the preparation time before launch is long, but the carrying capacity is stronger, the controllability is higher; solid rockets use solid propellants such as composite solid rocket fuel, short preparation time, long storage time, but has an impact on the environment. Both rockets have their own characteristics, and many rockets take a "solid-liquid" hybrid approach.
▲The liquid launch vehicle of Tianbing Technology
Tianbing Technology benchmarks the SpaceX Falcon 9 rocket, mainly developing the Tianlong-3 large liquid carrier rocket, using a large-thrust, reusable liquid rocket engine, and plans to achieve the domestic "one arrow and 60 stars" satellite launch capability. At present, the rocket program has been designed and completed, and the 100-ton thrust rocket engine engineering products have also been put into production, and Tianbing Science and Technology plans to carry out rocket engineering research and development this year.
Founded in 2016, Interstellar Glory mainly researches space launch products such as small solid launch vehicles and reusable liquid launch vehicles, and provides satellite launch services.
In 2019, the hyperbola-1 Yaoyi small solid carrier rocket independently developed by the company was successfully launched, and at the same time, the launch also achieved high-precision satellite entry into orbit.
The most recent investment institution for this financing is Daxing Development Corporation. The financing amount is 100 million yuan, and Interstellar Glory plans to use it for the purchase of the company's rocket production line assembly equipment.
▲ Star Glory series of rockets
Deep Blue Aerospace, established in Jiangsu in 2016, also focuses on liquid recoverable reusable launch vehicles, and the most recent financing amount is nearly 200 million yuan.
Deep Blue Aerospace chose "needle bolt liquid rocket engine" as the main direction of attack. This is one of the mainstream technical methods of rocket recovery, and the needle bolt injection technology can suppress unstable combustion during the process of adjusting the thrust of the engine, thereby reducing the rocket shock, thereby achieving a smooth thrust adjustment function. Deep Blue Aerospace also benchmarked SpaceX and tested the vertical recovery technology of launch vehicles.
▲Vertical recovery technology process of deep blue space launch vehicle
3D printing technology can shorten the equipment manufacturing process and reduce costs, and the use of 3D printing technology to print rocket engines can also reduce the engine failure rate. Tianbing Technology and Deep Blue Aerospace have carried out related technology research and development, Tianbing Technology has printed a liquid oxygen kerosene closed-cycle engine with 3D technology, and Deep Blue Aerospace has printed a needle-bolt liquid oxygen kerosene engine.
▲ Tianbing Technology uses 3D printing technology to manufacture rocket engines
Also focusing on promoting liquid rocket research is The Eastern Space, a commercial aerospace rocket enterprise in Shandong. Founded in 2020, Dongfang Space is currently mainly promoting the development of medium-sized launch vehicles and large-tonnage liquid rocket engines. In January this year, the financing amount of Oriental Space reached nearly 300 million yuan. At the same time, in the process of rocket research and development, Dongfang Space also plans to combine digital means such as digital design, virtual simulation and testing to improve the efficiency of rocket research and development.
▲ The liquid launch vehicle "Gravity" series in Eastern Space
Xingtu Exploration, the earliest player in this batch of commercial space companies to be funded, was established in Beijing in 2015 and raised tens of millions of yuan this time. In addition to the development of liquid launch vehicles, the company also conducts research on solid launch vehicles. In 2019, the suborbital carrier rocket independently developed by Xingtu Exploration has successfully flown for the first time at the Jiuquan Satellite Launch Center.
▲Xingtu Exploration independently developed suborbital launch vehicle
Founded in 2018, Beijing Enterprise Galaxy Power, like Starway Exploration, takes into account the research of liquid rockets and solid rockets. The company has achieved commercial launch deliveries in 500km sunsynchronous orbit. Its small commercial launch vehicle, the Ceres-1 launch vehicle, has successfully completed two launches, sending multiple satellites into sun-synchronous orbit in 2020 and 2021, respectively. On January 24, Galaxy Power announced the completion of 1.27 billion series of B and B+ rounds of financing.
Rocket companies that received financing in the first quarter of 2022 also include Tianqing Aerospace. This is a Ningbo enterprise founded in 2018. Tianqing Aerospace mainly develops engines for solid rockets and liquid rockets, and is also developing rocket structure modules. The rocket developed by Tianqing Aerospace can achieve two-stage orbit, which can reduce the cost of the rocket. At the same time, the take-off weight of the rocket developed by Tianqing Aerospace is within 20 tons, which can be mounted by aircraft and launched in the air.
▲Rocket developed by Tianqing Aerospace
2, the overall manufacturing enterprises of satellites: to build satellites also use intelligent manufacturing?
Among the 21 companies that announced financing from January 1 to March 31, 2022, Zhejiang satellite manufacturing company Sethbes was established in January 2021 in January 2021 to focus on the research and development of ultra-low orbit satellites, constellation space systems and ground systems. The amount of this financing from Sethbes exceeded 100 million yuan.
Satellites are an important part of space infrastructure. Space infrastructure is divided into three types of systems: satellite remote sensing system, satellite communication and broadcasting system, and satellite navigation and positioning system.
▲Typical representative of satellite navigation and positioning system: Beidou satellite navigation system
Each type of system consists of a space system and a ground system. Space systems refer to various satellites, while ground systems refer to receiving stations on the ground, data centers and other devices that support satellite-to-ground services.
Sethbes has completed the design of the ultra-low orbit satellite program and is planning to make the first test satellite. Ultra-low orbit satellite communication delay is small, remote sensing resolution is high, rapid response, in the natural disaster survey, space environment research has advantages. In the industry, there are fewer ultra-low orbit satellites that have successfully conducted on-orbit tests, with the Current Success of the European Space Agency's GOCE satellite and the Japan Aerospace Exploration Agency's SLATS satellite.
▲ The satellite developed by SethBes
In this small wave of financing at the beginning of the year, another financing satellite enterprise is Changsha Tianyi Space Science and Technology Research Institute Co., Ltd. (hereinafter referred to as the Tianyi Research Institute), established in 2016, mainly for the research and development of SAR remote sensing satellites and scientific research satellites, especially the research and development of light and small SAR (synthetic aperture radar) remote sensing satellites. The amount of this Series C+ round of financing was not disclosed.
The SAR remote sensing satellite is currently the only remote sensing satellite that can observe the Earth's surface under conditions of darkness and cloud.
▲The satellite developed by the Tianyi Research Institute
Like in January this year, the South Pacific island country of Tonga volcanic eruption, Hefei China Electricity 38 Institute accepted the task of providing remote sensing data, the first time to use the "Hai Silk No. 1" SAR remote sensing satellite to carry out emergency shooting of key areas of volcanic eruptions, and obtained the world's first high-resolution radar satellite data to complete the shooting of volcanic eruption disaster areas. This "Hai Silk No. 1" SAR remote sensing satellite was jointly developed by the 38 institutes of China Electric Power Science and Technology and the Tianyi Research Institute.
▲Images taken by the "Haisi-1" SAR remote sensing satellite (right, source: Science and Technology Daily)
Hubei Enterprise Science and Industry Space, which also mainly carries out satellite manufacturing and research and development, was established in 2017, and successfully launched a low-orbit broadband test satellite in the second year of its establishment, and successfully completed all on-orbit technology verification. Kegong Space also uses digital twins, cloud manufacturing, flexible intelligence and other technologies to create a batch satellite production line.
The financing of Science and Technology Space is mainly through the capital increase of state-owned capital and the introduction of external investors to increase capital and expand shares, and the amount of financing reached 800 million yuan.
3, rocket and satellite supporting manufacturing enterprises: liquid, recyclable is the key word
Whether in the rocket or satellite design process, the choice of space materials is very important. Aerospace materials must be resistant to high and low temperatures, aging and corrosion. In the process of commercial aerospace development, related aerospace materials enterprises have also received more attention from capital.
For example, on January 25, Tianjin company Aistar Aerospace announced that it had received hundreds of millions of yuan in Series A+ financing. Founded in 2018, Aistar Aerospace specializes in the development of high-performance composite materials in aerospace and other fields, and has developed supporting components such as launch vehicle fairings, satellite components, and ground supporting products.
▲ Aistar Aerospace developed a fairing for the "Ceres-1 (Yaoyi) Jianyang" commercial carrier rocket
If you look at the various large parts of the rocket, the engine is the most important component. Many rocket companies spend a lot of energy on the development of engines, and Kyushu Cloud Arrow is dedicated to the development of rocket engines.
Beijing-based enterprise Kyushu Yunjian was established in 2017, and this financing is its sixth financing, with a financing amount of more than 100 million yuan. "Liquid" and "recyclable" are also the keywords of the Kyushu Cloud Arrow rocket engine.
▲Rocket engine developed by Kyushu Cloud Arrow
In foreign countries, such as SpaceX, the American commercial space company Blue Origin, etc., the propellant of its rocket engine is liquid oxygen methane propellant. In China, liquid oxygen methane engines with 30%-100% thrust adjustment capabilities have also entered the national major technical equipment guidance catalog. Kyushu Cloud Arrow has also chosen to focus on promoting recyclable liquid oxygen methane engine technology, and has successfully developed liquid oxygen methane rocket engines in 2019. Kyushu Cloud Arrow's financing is also to accelerate the verification of its liquid oxygen methane reuse power technology and product iteration.
Huanyu Aerospace is a commercial aerospace science and industry equipment manufacturing enterprise that mainly provides one-stop services for rocket enterprises to integrate, manufacture and test. Founded in Shanghai in 2019, Huanyu Aerospace is an aerospace company oriented to the construction of industrial production capacity.
▲Huanyu Aerospace Shandong Rocket Comprehensive Test Center Project
The company focuses on the research and development of rocket measurement and control software and hardware systems and equipment manufacturing, and can provide various types of rocket engine testing services.
In terms of satellite supporting equipment manufacturing, the company that received financing in the first quarter of 2022 was Jiaya Technology.
Qianya Technology was established in 2020. The Beijing-based company focuses on software-defined satellite technology research and development. The main purpose of software-defined satellite technology is to realize the softwareization of most satellite functions, and to realize the satellite functions such as communication and payload that were originally realized by the subsystem through software, so that satellites can be developed like Android mobile phones.
▲The intelligent remote sensing satellite of Jiaya Technology
4. Satellite Internet enterprises: two financings have been obtained in the first half of the year
SpaceX can be said to have led a lot of commercial aerospace trends, one of which is the satellite Internet, that is, the use of satellites to provide network services for people who are inconvenient to access the terrestrial Internet. Satellite laser communication equipment developer Helium Starlink (HiStarlink) revealed that the company's products are the starlink communication technology of the benchmark star chain, mainly research and development of low-power miniaturized spaceborne laser communication terminals and core devices, and has won 2 financings in about half a year since its establishment. The two financing rounds are angel round financing on December 1, 2021 and angel + round financing on January 7, 2022. However, neither round of financing disclosed a specific amount.
In the satellite Internet, communication signals need to be received by terrestrial terminals, such as antennas on the ground, communication terminals, and so on. Founded in 2017, Ruosen Intelligent is a ground terminal manufacturer that received strategic financing in January. Ruosen Intelligent mainly develops phased array satellite Internet terminals based on metamaterials to meet the broadband satellite communication needs of marine navigation, aircraft aviation and other application scenarios.
▲ Ruosen smart devices can be installed on cars to provide corresponding satellite services for cars
In addition to satellite Internet companies, in the first quarter of 2022, there are three domestic satellite positioning-related enterprises to obtain financing, namely Beidou chip service provider Huada Beidou, satellite positioning service provider Liufen Technology and FireEye Location.
Shenzhen enterprise Huada Beidou was established in 2016, mainly for the research and development of navigation and positioning chips, algorithms and related products.
Liufen Technology, established in 2018, is mainly engaged in the research and development of high-precision positioning related technologies at the vehicle level. At present, Liufen Technology has completed nearly 2800 CORS stations in domestic components, which can receive signals from five major satellite navigation and positioning systems such as Beidou and GPS in real time. At the same time, Liufen Technology relies on self-developed technology and algorithms to provide users with all-weather, real-time centimeter-level high-precision positioning services.
FireEye Location provides centimeter-level high-precision navigation and positioning enhancement services, which was established in Shanghai in 2019. FireEye location has revealed that the company continues to carry out the planning and design of business constellations, and is expected to complete the system-wide construction and put into full commercial use in 2024-2025.
In three or seven years, what is the driving force for the mainland's commercial space take-off?
From the above analysis, we can see that the domestic commercial aerospace companies that have obtained financing this year were mainly established after 2015. In fact, for the domestic commercial aerospace industry, 2015 is an important time node.
In 2015, the first commercial high-resolution remote sensing satellite in the mainland, the "Jilin No. 1" satellite system, was successfully launched at the Jiuquan Satellite Launch Center, which is the first commercial satellite independently developed by the mainland to "spaceborne integration".
▲ "Jilin No. 1" satellite optical A star
The "Jilin No. 1" satellite constellation system is a project under construction by Changguang Satellite Technology Co., Ltd., and one of them was launched in 2015. At present, there are 30 satellites in orbit in the "Jilin No. 1" satellite constellation. It is expected that around 2025, "Jilin No. 1" will achieve 138 satellite network operation.
From the successful launch of the first commercial satellite, to the establishment and financing of domestic commercial satellite and rocket companies, these are inseparable from the drive of domestic policies and the influence of the global commercial space industry.
1. Driven by policies, the development of commercial aerospace has heated up
In 2007, the state has issued the "Several Opinions on Promoting the Development of satellite application industry" to encourage social investment and enterprises to participate in satellite applications.
Then, by 2014, the State Council issued the Guiding Opinions of the State Council on Encouraging Social Investment in Investment and Financing Mechanisms in Key Areas of Innovation, encouraging private capital to participate in the construction of national civil space infrastructure and encouraging private capital to develop, launch and operate commercial remote sensing satellites.
In 2015, the relevant state departments issued the "National Civil Space Infrastructure Medium and Long-term Development Plan (2015-2025)" to explore a new mechanism for the marketization and commercial development of national civil space infrastructure.
In October 2016, the Bureau of Science, Technology and Industry for National Defense and the National Development and Reform Commission issued the Guiding Opinions on Accelerating the Construction and Application of the "Belt and Road" Space Information Corridor, pointing out that it is necessary to support a new model of commercial aerospace development with enterprises as the main body and market as the guide.
In January 2018, the Bureau of Science, Technology and Industry for National Defense issued the Civil Space Launch Project Permit, which detailed the approval process for private space launch project permits. By 2019, the Bureau of Science, Technology and Industry for National Defense issued the Notice on Promoting the Standardized and Orderly Development of Commercial Launch Vehicles to encourage the healthy and orderly development of commercial launch vehicles.
In 2020, the satellite Internet was classified by the National Development and Reform Commission as a "new infrastructure". In 2021, in the 14th Five-Year Plan, the state proposed to build a commercial space launch site.
Local policies have also been introduced across the country to support the development of local commercial space. For example, Guangzhou released the 14th Five-Year Plan for the High-quality Development of Manufacturing in Guangdong Province in 2021. The plan points out that it is necessary to rely on Guangzhou, Shenzhen, Zhuhai and other cities to build a satellite equipment industry agglomeration area integrating satellite chip, terminal and key component manufacturing.
2. The average annual average of newly registered enterprises exceeds 10,000, and the industrial chain continues to grow
Under the impetus of policy, a large number of aerospace-related enterprises have been established. According to enterprise investigation data, there are currently 95,000 aerospace-related enterprises on the mainland. In the past five years (2017-2021), the number of registrations of aerospace-related enterprises has exceeded 10,000 every year, especially before 2020, the number of registrations has increased exponentially. The growth rate of the number of newly registered enterprises in 2020 and 2021 will slow down relatively.
▲The number of mainland aerospace-related enterprises registered in the past ten years (source: qichacha)
In just three months of the start of this year, 21 enterprises on the mainland have obtained financing, compared with about 5 investment and financing events disclosed in China in the same period last year, that is, from January to March 2021. In contrast, the domestic commercial space track at the beginning of this year was somewhat hot.
In the whole year of 2021, there were at least 37 equity acquisitions and investment and financing incidents in the domestic commercial aerospace track. If you compare the average number of monthly financings, the number of financings in the first quarter of 2022 is also relatively high.
▲Statistics of China's commercial aerospace investment and financing events in 2021 (data source: enterprise investigation and public information)
In the past decade, at least 341 publicly disclosed financings in the mainland's commercial space sector. By 2018, the number of financings for the track in China reached the highest, at 62 financings.
▲Financing in the commercial aerospace field in the mainland in the past decade (Source: Qichacha)
3, SpaceX and other enterprises driven, global commercial space is hotter
When it comes to commercial spaceflight, it is necessary to mention the three commercial space companies that have aroused heated discussion from last year to this year, SpaceX, Blue Origin and Virgin Galactic. They have successfully completed the first commercial space travel mission in various senses, making people's dreams of space tourism rekindled. Because of its outstanding progress in the commercial space sector, SpaceX's market capitalization also reached $100 billion last year.
At the same time, some foreign commercial space companies have received financing, such as The Finnish synthetic aperture radar satellite operator Ice Eye Company on February 3, which announced the completion of a $136 million Series D financing.
Official financial support from various countries (regions) is also constantly giving to space companies, such as the European Commission in January this year announced the provision of early financial support to European space companies, hoping to retain European space start-ups.
Conclusion: Financing has accelerated, and China's commercial space potential has been highlighted
In the first quarter of this year, the domestic commercial aerospace industry made a good start, the number of financing companies is higher than the average in previous years, and in 3 months, 21 companies announced the latest financing situation. Relevant policies in more places are being introduced, and the domestic commercial aerospace industry is expected to develop better.
Although the space space is large, the current technical scope of human beings is still around the earth, and the spectrum and orbital resources are still relatively limited. With foreign commercial space companies such as SpaceX promoting commercial space projects and the development of China's commercial space industry in large quantities, the commercial space competition in China and even the world will become more intense in the future.