Growth of space business in the UAE

There are three responsible factors

1→ Investments:

AED22 billion

The UAE has placed the space industry among its top priorities for the next fifty years. The country spent AED22 billion commercially on space-related activities between 2015 and 2020. Also, the contractual agreements for space services and applications increased by 40 percent in 2020, according to the UAE Space Agency.During the past years, the UAE announced a set of strategies and plans that consolidated the tasks and missions of the space sector.

During the past year, the UAE launched the National Space Fund, an AED3 billion fund from the UAE Space Agency. It will support ground-breaking programs that support international and Emirati companies cooperating in space sector engineering, sciences, and research applications. The UAE Space Agency has developed the "Space Economic Zones Programme" to support space startups and SMEs (Small and medium-sized enterprises) to contribute to the national space economy through partnerships with various partners in the country. The main initiatives of the program are Space Economy Stimulus Packages, Space Labs, and Establishing Space Economic Zones. The program aims to achieve three main pillars, which are; creating an attractive and integrated business environment to meet local and international needs, enhancing the competitiveness of companies operating in the space economy, which contributes to strengthening the demand for space applications and services and stimulating innovation and growing the sector's economic contribution to the country's non-oil GDP. Last year, the UAE Space Agency launched the "Space Economic Survey 2022" in partnership with the Federal Competitiveness and Statistics Centre (FCSC).

The survey also involved the contribution of national establishments operating in the sector, including government entities and the private sector, as well as academic and research establishments operating in space technology and communications in the UAE.

In 2019, the UAE launched the National Plan for the Promotion of Space Investment, aiming to increase domestic and foreign investment in the UAE space sector. The initiative promises to transform the nation into a regional hub for commercial space activities and advanced research and development. It also aims to encourage local investment vehicles to consider funding opportunities in the space sector, both domestically and globally.

The Space Investment Promotion Plan aims to contribute towards attaining UAE goals stated in the UAE Vision 2021, the UAE 2071, and the UAE Plan on the 4th Industrial Revolution. In particular, to diversify and ensure the sustainability of the UAE Economy; promote a highly productive knowledge-based economy; provide incentives for R&D and Innovation, encourage entrepreneurship, and SMEs’ role and opportunities in the private sector.

2→ Localization:

Climate

Anyone who has ever watched multiple live rocket launches will be well aware of the crucial role weather plays in the success, delay, or even cancellation of any liftoff. But how exactly does the weather affect a rocket launch?

A number of different weather conditions can impact a rocket during a launch, including freezing temperatures, wind, lightning, and even forms of precipitation. They are mainly designed to spend a very brief period of time in the atmosphere, just enough to withstand its dynamic forces (weight, thrust, lift, and drag) before entering orbit or traveling deeper into space. Its structure can withstand immense pressures in a specific direction, the one it is traveling in. As a result, it is very vulnerable to forces applied from other directions, like powerful crosswinds.

The UAE has a suitable year-round climate for space launches which makes this particularly favorable for space launches as it tends to remain relatively stable throughout the year. This consistency is vital for the success of space missions, as any changes in weather conditions can significantly impact the launch.

The region's warm and dry climate, with very little rainfall, means that there is a low risk of adverse weather conditions that could disrupt a launch. Additionally, the UAE's location near the equator allows rockets to take advantage of the Earth's natural rotation to boost their velocity, making it easier and more energy-efficient to reach orbit.

Territory

There are several reasons why it is important for a space launch starbase to be located far away from civilization. One of the most important reasons is safety. During the launch process, rockets can create significant noise, heat, and vibration, which can be dangerous for nearby structures and populations. Additionally, in the event of an accident or malfunction, the rocket or its debris could potentially cause damage or harm to people or property in the surrounding area.

Another reason is logistical. Space launches require a significant amount of infrastructure and support, including launch pads, fueling stations, and control centers. These facilities are often large and complex, and it can be difficult to find suitable locations for them in densely populated areas.

Being located far away from civilization can also offer some advantages for scientific and technological research. Remote locations can provide a quieter and less distracting environment for researchers. They can also allow for easier access to natural resources and materials that may be necessary for certain types of experiments or testing.

3→ Tourism:

Private space tourism

Propelled by US space companies, private space tourism is here to stay. The awe-inspiring experiences coming out from SpaceX, Blue Origin or Virgin Galactic are encouraging the rest of the world to follow suit, especially the richest countries.

Anna Hazlett and John B. Sheldon from the Dubai-based space company AzurX are apologists of building a space tourism hub in the UAE, listing a number of key characteristics allowing the Middle eastern country to launch space tourism facilities and runways, astronaut training centers, among others.

Besides the pleas from the private sector to invest on tours in space for private travelers, the UAE’s government is also busy making space tourism a reality, albeit with the support from foreign private companies.

Last year, in October, the Ministry of Economy, Abdulla bin Touq, announced the government was working with Jeff Bezos’s Blue Origin to bring space tourism flights to the country. Touq held a meeting with Blue Origin’s Vice President Brent Sherwood at the International Astronautical Congress in Dubai, last year. With the deal, the US space firm hopes to set up a spaceport in the UAE desert for suborbital flights and expand its reach of clients.

We will move forward with our efforts to attract the companies operating in this field to become partners in driving growth and advancement of UAE’s space economy.

🗣️ Abdulla bin Touq, the Ministry of Economy

Through this collaboration, the Minister added, the government wants to leverage Blue Origin’s leading expertise in space manufacturing and low Earth orbit flight services to support the UAE’s plans.

In conclusion, All of these factors make the UAE an attractive location for both government and private space companies looking to establish a presence in the region. With its ambitious investment plans and supportive government policies, the UAE is well on its way to becoming a leading player in the global space industry.