In the UAE 2021 Vision, the ruler of Dubai, H.H. Sheikh Mohammed bin Rashid Al Maktoum, UAE Vice President and Prime Minister, developed the roadmap to the next fifty years, ideating UAE as the global pioneering nation and government. The elements of this vision also feature in Expo 2020 Dubai.
As part of this UAE Centennial 2071 plan, your Highness authorized a general budget of $15.5 billion in expenditures for Dubai for the fiscal year 2021. This budget sets to contribute to the development of business, health, education, economy, community cohesion, and the country’s infrastructure. Contributing to advance these sectors to the next level, he aims to transform Dubai into one of the finest cities in the world in the upcoming decades.
Consequently, more than AED 22 bn were authorized to the space technology projects in 2019, which now are worth more than $423 bn. According to projections, these figures will continue to grow up to $1.4 trillion by 2030.
59 nations around the world that operates satellites
10 have the launch technical capacities
14 have programs for space investigation and exploration
Private sector participation in space exploration grows substantially every year.
The private sector’s revenue has increased by 9.6% per year since 2007, resulting in a growth of 30.5 percent of private investments in the space industry in 2017. These provided further support for emerging space sectors, including logistics and planetary services.
In 2017, the total space economy worldwide rose to worth $348 billion, including 79% revenues in private sectors and 21% in government budgets.
The private sector revenue ($268.8 billion) here comprises business services: Satellite (48 percent), production of space ground components (44.6 percent), production of artificial satellites (5.8%), and launch (1.7 percent).
Space is one of the most potential economic sectors of the UAE and will help boost other industries as well. By describing the business opportunities in Dubai Expo 2020, Hamad Buanim, president of Dubai Chamber of Commerce stated that “There could be no better place or time for space, which is evolving, growing, and set to become UAE’s most promising sector and a key pillar of growth for itself and others,”
Followed by the UAE’s remarkable Hope Probe Mars orbiter, launched in February 2021, UAE now aims for the orbit Venus and the main asteroid belt. According to CNN, the UAE Space Agency announced on October 5, 2021, to launch a new interplanetary 5-year expedition in 2028 as part of their “Projects of the 50” national agenda.
This spacecraft will circle around Venus and Earth and land on an asteroid after observing seven asteroids (560 million km away from Earth) in 2033. If succeeded, UAE will be ranked 4th to land a spaceship on an asteroid.
Such astonishing achievements are paving the way for countless new space discoveries and worldwide collaboration opportunities in the UAE – more reasons for entrepreneurs to explore space investments having greater development scope based on the UAE long-term 2071 plan.
Sarah Al Amiri, the Minister of State for Advanced Technology and the Chairperson of the UAE Space Agency, shared her thoughts in the Space Business forum at Expo 2020 Dubai. She appends that “The next phase is entering the right market in the right sector and at the right time, becoming a global player.”
The space industry has endless potential for investors looking for long-term business collaborations in the UAE, and Ms. Al Amiri emphasized the satellites of Earth observation and communication as the two critical areas in the space industry. Therefore, entrepreneurs must observe and streamline their investment plans accordingly while understanding which space areas will commercially serve them best, considering the major ongoing space discoveries.
Furthermore, the Dubai World Expo, with many pavilions, including US, Russia, and Italy, featuring space-themed displays, significantly expands the private sector’s space commercial possibilities in Dubai.
That said, private companies worldwide are actively participating in the space industry, commercially focusing on spaceships and space systems for expeditions that are not limited to Earth anymore. Even the industry experts like Elon Musk, Jeff Bezos, and Sir Richard Branson are leveraging the booming scope of space business in Dubai by initiating tourism space business initiatives. Moreover, small and medium-sized companies are providing services to government space organizations.
Additionally, the UAE Space Agency plans to engage private commercial business extensively in the upcoming Venus and asteroid belt explorations. This will boost the economy and lay the groundwork for a viable private space sector. Subsequently, this session invited a budget spending of further AED 22 billion in space investment opportunities, where more than 20 local and international startups will contribute.
It is no surprise that around 70 companies, including Airbus, Dubai Police, Rolls-Royce, Ball Corporation, TASC, Stratign, ABS Network, etc., are offering various Space and science technology services in the Middle East.
Nonetheless, Space and Science technology is a vast sector and comprises many collaboration possibilities. The services range from communication, Internet of Things, data storage to satellite manufacturing and deployment, advanced robots and automation, space software and hardware, etc.
Furthermore, Mars 2117’s program manager, Adnan Al Rais, actively encourages expat partnerships as an influential impact on the space industry. He added that “With niche focus areas in the space field, the Space Ventures initiative provides both Mbrsc as well as private players to collaborate and capitalize on each other’s strengths and expertise.”
This manifests that now is the best time expats can avail this opportunity and invest in the growing space and science technology industry. Entrepreneurs or companies worldwide can enter the UAE space sector by partnering with existing space industries based in UAE, which has become a seamless and hassle-free process.
The local consultancies and management firms handle all the legal aspects of new companies’ formation process, and investors can easily focus on their core business operations. As a result, the sponsoring firm manages the paperwork, corporate bank accounts, and governmental approval in any of your chosen fields, which allows you to actively take part in the potential tech projects.
NH Management is the Middle East’s and China’s top business management consulting firm. We help foreigners, entrepreneurs, and organizations by advising them on the best ways to establish or expand their business in a new market. Do you want to hear more about the latest business trends? Join our enthralling blog community and learn more from us.
Everything You Need to Know in Opening a Company in the UAE