Home IndiaIndia’s second space revolution: How startups and policy reforms are changing the space ecosystem, ETGovernment

India’s second space revolution: How startups and policy reforms are changing the space ecosystem, ETGovernment

by OmarAli
India's second space revolution: How startups and policy reforms are changing the space ecosystem, ETGovernment

132490036Mission Aagaman: Skyroot’s Vikram-1 reaches orbit, heralding a new era for India’s private space sector

“/>Mission Aagaman: Skyroot’s Vikram-1 reaches orbit, heralding a new era for India’s private space sectorIndia’s space program crossed a major milestone this week. The successful orbital launch of Skyroot Aerospace’s Vikram-1 rocket, following Agnikul’s local launch achievements, represents much more than just another technological milestone.

This signals the emergence of a vibrant private space ecosystem that can complement the remarkable legacy created by the Indian Space Research Organization (ISRO). More importantly, it marks the beginning of what could well be India’s second space revolution.

The first revolution was led almost entirely by ISRO. Despite enormous technological and financial constraints, India has become one of the most respected space powers in the world. Over nearly six decades, ISRO has built an extraordinary repository of knowledge in the fields of launch vehicles, satellite technology, remote sensing, navigation, planetary exploration and space applications.

Few countries have an institution with such depth of practical experience and engineering prowess. This accumulated potential is one of India’s greatest strategic assets.

However, the next phase of India’s space journey cannot be limited to one organization, no matter how successful it may be. The challenge facing India is no longer to prove that it can reach space. It is about creating an integrated national structure that translates scientific excellence into economic power, technological leadership and strategic capabilities.

Recent events around the world highlight the urgency of this transition. China has demonstrated how sustained political commitment, long-term investment and close integration between government, industry, academia and the military can create one of the most comprehensive space ecosystems in the world.

In addition to its launch capabilities, China has built extensive Earth observation constellations, the Beidou navigation system, the Tiangong space station, and a rapidly expanding commercial space sector that increasingly competes in global markets.

Closer to home, Pakistan has been steadily expanding its Earth observation capabilities through successive satellite launches with active international cooperation. Although the scale of its program remains modest compared to India’s, its strategic message is unmistakable. Even countries with limited resources now recognize that sovereign access to space-based information is becoming an important tool for governance, economic planning and national security.

The United States offers another important lesson. Its leadership today is defined not only by NASA, but by an architecture in which government provides strategic leadership and private industry drives innovation, investment and commercialization. Companies like SpaceX have changed the economics of launch by demonstrating how public policy and private enterprise can work together to accelerate the nation’s capabilities.

India is now at a similar inflection point.

Over the past few years, policy reforms have opened up the space sector to private participation. The creation of IN-SPACe, the growing commercial role of NewSpace India Limited (NSIL) and a favorable regulatory environment have encouraged over 300 startups to enter the sector.

Companies such as Skyroot Aerospace, Agnikul, Pixxel, Bellatrix Aerospace, Digantara, Ananth Technologies and GalaxEye are developing capabilities in launch systems, satellite technology, propulsion, space situational awareness, navigation and Earth observation. Today’s success confirms not only the achievements of individual companies, but also the emergence of a completely new ecosystem.

This framework now deserves sustained national support.

India’s private space sector should not be viewed simply as a collection of startups seeking commercial opportunities. This represents strategic national potential. Just as the country’s information technology industry has transformed India into a global digital power, its space industry has the potential to become a major driver of economic growth, value-added manufacturing, exports, employment and technological innovation.

Realizing this potential will require policy continuity and a long-term vision. The government must continue to provide a predictable regulatory framework while serving as a major consumer of indigenous technologies through sustainable procurement. Fiscal incentives for research and development, easier access to patient capital, dedicated test facilities, insurance mechanisms and export promotion can significantly accelerate the growth of Indian space enterprises.

Equally important is the need to expand the national knowledge base. ISRO’s vast experience should be the foundation on which a much larger ecosystem will be built. India should establish more centers of excellence dedicated to space technology in leading academic and research institutions, encouraging collaborative research involving universities, industry and government laboratories.

Expanding opportunities for specialist education, applied research and innovation will ensure the country’s talent pool keeps pace with its growing ambitions.

The next frontier goes beyond rockets and satellites. It is about creating services that improve the lives of citizens and strengthen national resilience. Local low- and medium-Earth orbit satellite communications constellations should complement terrestrial telecommunications, especially in remote communities, border regions, islands, maritime zones and disaster-prone areas where traditional infrastructure remains difficult or cost-effective to deploy.

Instead of viewing satellite communications as competitors to terrestrial networks, India should develop it as an integral component of a sustainable national communications architecture.

Navigation deserves similar attention. NavIC represents an important sovereign capability, but its widespread adoption now needs to be accelerated. Greater integration across transportation, logistics, maritime, aviation, disaster management, and government services, coupled with greater commercial adoption by device manufacturers, will improve both cost efficiency and strategic autonomy. Equally important is the growing importance of positioning, navigation and timing services.

Accurate and reliable time now underpins banking systems, telecommunications, stock exchanges, energy networks and digital infrastructure. India must strengthen these sovereign capabilities while gradually expanding reliable timing and navigation services to friendly neighbors, especially in the Indian Ocean region.

The true value of space lies not in launching satellites, but in the information and services they provide. Agriculture, fisheries, urban planning, environmental management, infrastructure development, disaster response, maritime security and border management increasingly depend on timely and reliable information from space.

Therefore, space must be recognized as a critical national infrastructure, comparable to highways, ports, airports, power grids and digital public infrastructure. Investment in space should be seen not only as an expenditure on science, but also as an investment in national productivity, sustainability and future competitiveness.

International cooperation must be another pillar of India’s strategy. Partnerships with Europe, Japan, Australia and other trusted countries can accelerate the development of technologies, standards, research and market access. At the same time, India must position itself as the preferred space services provider in the Indian Ocean region and the global South.

Satellite imagery, maritime domain awareness, disaster warning, navigation support, communications, meteorological services, capacity building and technical training can be powerful tools for regional cooperation while strengthening India’s role as a reliable and responsible partner.

Therefore, recent successes should not be seen simply as the triumph of a few innovative start-ups. This represents the beginning of greater national opportunity. ISRO has demonstrated what India can achieve through scientific excellence. Indian entrepreneurs have now demonstrated that they are willing to share this responsibility. The challenge ahead is to connect government, industry, academia, investors and international partners into one integrated ecosystem capable of realizing national opportunities at scale.

A coordinated national roadmap led jointly by the Ministry of Space, IN-SPACe, ISRO, NSIL, Armed Forces, industry and academia will help align investments, policy priorities and long-term capability development.

India’s first space revolution brought the country global respect. The second is to turn that respect into lasting economic power, technological leadership and regional influence. The foundation has been laid. The momentum is clear. What India needs now is a collective vision and determination to ensure that its achievements in space translate into prosperity, security and opportunity for future generations.

(The author is a retired lieutenant general; the opinions expressed are personal)

  • Published Jul 19, 2026 at 10:20 am EST.

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