Satellite Constellation Reduced from 14 to 4, Budget Cut to 60% for Application
Active Development of Satellite Communications Focused on the US and Europe
National Assembly and Industry Say "Investment Must Not Be Delayed Any Longer"

As the United States, Europe, and other regions are increasing investments to develop satellite communication technology based on satellites, the Ministry of Science and ICT has reduced the budget size and applied for a preliminary feasibility study. The photo shows a SpaceX rocket carrying Starlink satellites. Photo by Yonhap News

As the United States, Europe, and other regions are increasing investments to develop satellite communication technology based on satellites, the Ministry of Science and ICT has reduced the budget size and applied for a preliminary feasibility study. The photo shows a SpaceX rocket carrying Starlink satellites. Photo by Yonhap News

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[Asia Economy Reporter Cha Min-young] As the United States, Europe, and other regions are expanding investments to develop satellite-based communication technologies, the Ministry of Science and ICT has reduced the budget size and applied for a preliminary feasibility study. The National Assembly and industry sectors are urging that the selection of the feasibility study should not be delayed further amid intensifying public and private competition ahead of the 6G communication era.

Reducing Budget Size and Adding Military-Related Project Demands

According to the government and industry on the 8th, the Ministry of Science and ICT recently submitted an application for the 4th round of research and development (R&D) preliminary feasibility study in 2022 for the Low Earth Orbit (LEO) satellite communication technology development project. Approximately 590 billion KRW will be invested over eight years from 2024 to 2031 to develop technologies in five areas: communication payload, main body, system and system integration, ground stations, and terminal stations.


The results of the feasibility study selection are expected around August next year. The Ministry of Science and ICT had submitted a project application worth about 1 trillion KRW last year but was rejected in the feasibility study selection. The Science and Technology Innovation Headquarters, which reviews feasibility study agendas, reportedly examined various aspects such as usability. Due to the urgent need to reduce carbon emissions, the project was deprioritized in urgency and priority compared to core technology development tasks for carbon neutrality.


The Ministry of Science and ICT reduced the project scale from 950 billion KRW to about 590 billion KRW, approximately 62% of the original. The number of planned LEO satellite launches, initially set at 14, was cut down to 4. To increase usability, military-related project demands were also added. A good example is Elon Musk’s SpaceX providing the LEO satellite communication network 'Starlink' using satellites in war-torn areas of Ukraine. The Ministry of Science and ICT also signed a technology development memorandum of understanding (MOU) with the Defense Acquisition Program Administration to ensure that the core technologies developed in this LEO satellite communication project can be utilized in the defense sector.


National Assembly and Industry: "To Commercialize 6G by 2030, Investment in 6G Must Start Now"

The United States, Europe, and other regions are accelerating satellite communication projects. SpaceX in the U.S. announced in 2021 through the Starlink project plans to complete a total of 12,000 LEO satellites by 2030. It also officially set a goal to enter the Korean market in the first quarter of next year. The UK’s second-ranked OneWeb has launched 428 satellites and started commercial service in Alaska and Canada. Apple equipped its new iPhone 14 series with an emergency SOS service via satellite connection. The Chinese government is operating the 'Guowang (National Network) Project' to counter U.S. SpaceX and plans to launch 13,000 satellites.


The European Union (EU) also plans to invest a total of 6 billion euros (approximately 8.3 trillion KRW) by 2027 to build about 170 of its own LEO satellite communication networks. Meanwhile, domestic companies are struggling to enter overseas markets due to a lack of technological capability and space verification experience. Park Wan-joo, a member of the National Assembly’s Science, Technology, Information and Broadcasting and Communications Committee, stated at the full budget meeting of the committee in November, "Having already failed once in the preliminary feasibility study selection, 6G technology development is significantly delayed compared to major foreign countries," and emphasized, "To achieve the government’s goal of commercializing 6G by 2030, the Ministry of Science and ICT must actively strengthen technology development and investment." The industry also expresses high expectations for the 6G R&D project.



A representative from Hanwha Systems shared at a public hearing hosted by the Ministry of Science and ICT in October, "If a participation base is created that allows small and medium enterprises as well as large companies with space development competitiveness to actively participate, we believe that after 2032, Korea can play a first leader role in the LEO satellite sector." A representative from AP Satellite, a small and medium-sized enterprise related to satellite communication, expressed hope that the feasibility study report would include content supporting the enhancement of technological competitiveness for SMEs.


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

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