The private space industry had a breakout year in 2024 and the upward trend looks poised to continue into 2025. Here's a look at the trends that could shape the future of the space industry.
Trump Catalyst: Investors are gearing up for incoming President Donald Trump who oversaw the establishment of NASA's Artemis program, the re-launch of the National Space Council and the creation of the Space Force during his first term in office.
James Bruegger, chief investment officer of Seraphim Space, also sees space being a focus of the second Trump administration, especially in the face of China's "increasing assertiveness" in space technology.
Communication Satellites: Bruegger also said he expects 2025 to be the year that direct-to-device satellite connectivity goes mainstream and pointed to Apple's recent $1.5 billion investment in Globalstar as an example.
AST SpaceMobile, Inc. (NASDAQ:ASTS) is building a cellular broadband network in space to operate directly with standard, unmodified mobile devices and could benefit from other carriers looking to space to improve connectivity. The company recently announced a partnership with Vodaphone to expand the carrier's global broadband connectivity.
Market Interest: Investors showed growing interest in private space companies in 2024 and Bruegger expects the trend to continue into 2025. He pointed to Rocket Lab USA, Inc. (NASDAQ:RKLB) as one of the most valuable private space companies with a market cap of $13.61 billion as of Monday. Rocket Lab shares have gained more than 375% in 2024.
Intuitive Machines, Inc. (NASDAQ:LUNR) is another space company to watch in the new year. The company successfully landed its Odysseus lunar lander on the moon in February 2024 to become the first U.S. spacecraft to land on the surface of the moon since the end of the Apollo era in the 1970s.
The company is positioned for continued growth in 2025 with long-term NASA contracts and two new contract awards from NASA's Near Space Network announced last week. Intuitive Machines shares are up over 640% this year.
"As we look ahead to 2025, we expect it to be once again a stellar year for SpaceTech," Bruegger said.
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