Space exploration is experiencing significant venture capital interest, with approximately $120 billion invested over the past four years. This sector’s growth is exemplified by SpaceX’s recent achievement of catching a rocket booster with mechanical arms on October 13, 2024, marking a step toward sustainable space exploration.

Despite year-to-year fluctuations, Q1 2024 showed a 33% increase in VC funding compared to Q4 2023. While satellites remain the primary investment target, 2024 has seen a surprising 17.2% of investments directed toward emerging areas like logistics and debris tracking. Major funding rounds include Axiom Space ($350 million) and Sierra Space ($290 million), both developing commercial space stations.

VC firms seek 10-15x returns on investment due to the high-risk nature of space ventures, looking for clear commercial objectives and proprietary technology backed by experienced executives. The industry faces significant challenges: VC’s short-term focus conflicts with space projects’ long development cycles; high technology complexity creates substantial failure risk; and limited exit opportunities compared to other tech sectors restrict ROI potential. North America dominates with 55% market share, but Donald Trump’s re-election may reshape the landscape. His expected favorable regulations for space exploration, combined with high tariffs on foreign products, could paradoxically boost European competitiveness by forcing companies like Thales and Airbus to develop innovative solutions and collaborative approaches to compete with American counterparts.