KAI Signs Launch Vehicle Contract with SpaceX... Exploring Cooperation Plans

A KAI engineer is conducting environmental testing and evaluation on the next-generation medium-sized satellite No. 2.

[Asia Economy Reporter Dongwoo Lee] Korea Aerospace Industries (KAI) announced on the 18th that it has signed a contract with SpaceX for the launch vehicle of the next-generation medium-sized satellite No. 4.

KAI has signed a launch vehicle contract with SpaceX, which has a high launch success rate and low costs, and is simultaneously reviewing strategic cooperation plans. This contract is evaluated as a step closer to the new space era by taking full responsibility for the launch of the next-generation medium-sized satellite, a 500kg-class standard satellite platform developed and managed by the private company KAI for the first time in Korea.

Jung-ho Kim, KAI Chief Financial Officer (CFO), met with senior SpaceX officials in the United States last May to discuss SpaceX's entry into the Asian market and confirmed the possibility of joint cooperation between KAI and SpaceX for this purpose.

The launch of the next-generation medium-sized satellite No. 1 (March 2021) was led by the Korea Aerospace Research Institute, but from No. 2 to No. 5, KAI will oversee all processes from production to launch. KAI plans to launch the next-generation medium-sized satellite No. 2 early next year and aims to develop and launch satellites No. 3 (space science and technology verification), No. 4 (wide-area agricultural and forestry monitoring), and No. 5 (C-band synthetic aperture radar water resource monitoring) by 2025.

According to the Aerospace Industry Statistics (2020) published by the Korea Aerospace Industries Association, the domestic space manufacturing sector is worth approximately 350 billion KRW, with KAI accounting for about 40% of this market.

KAI, which launched the New Space Task Force in February, aims to complete a company-centered value chain within this year to secure future growth engines in the space market estimated at 500 trillion KRW. Through this, KAI plans to establish a cooperative system with domestic and international companies, solidify its position as a leading domestic space company, and leap forward as one of the top aerospace companies in Asia.

Chang-heon Han, Executive Director of KAI's Future Business Division, said, “We are reviewing M&A or strategic alliances to analyze satellite images and provide high value-added services such as climate and national land management.”

This content was produced with the assistance of AI translation services.