[Interview] "The Era of Private Space Has Already Begun... Hanwha Leads Korea with a Full Value Chain"

A Private-Led Ecosystem Is Essential
To Stay Competitive Globally

Combining Launch Vehicles, Satellite Constellations, and AI
A Total Solution as a Significant Asset

Focusing on the Sub-400km Very Low Earth Orbit Market
Keynote Address at the Asia Future Enterprise Forum on the 13th

The paradigm of the space industry is shifting. What was once a domain led by national governments with massive budgets is now entering the “New Space” era, where private companies are driving the market. The catalyst for this change was SpaceX’s reusable rocket, the Falcon 9. By recovering and refurbishing the first-stage booster after launch and reusing it, launch costs have been reduced to just one-tenth of traditional levels. With NASA opening the door to private sector participation through its Commercial Orbital Transportation Services (COTS) program, the leadership of the global space industry is rapidly transitioning to private enterprises.

The domestic space industry is also at a crossroads. There is growing concern that without an ecosystem in which private companies lead all processes—from satellite launches to data utilization—Korea will inevitably fall behind in global competition. Against this backdrop, Hanwha Group has set out to realize its vision of becoming Korea’s leading space company. Hanwha Aerospace was selected as the system integrator for the Nuri rocket, securing launch vehicle technology. More recently, Hanwha has increased its stake in Korea Aerospace Industries (KAI) to over 5%, paving the way for participation in management. Hanwha’s grand vision is to build a “full value chain” that encompasses launch vehicles, satellites, and data solutions.

Kim Sun, Executive Vice President and Head of Space Business at Hanwha Group, poses ahead of an interview with The Asia Business Daily on the 8th at Hanwha Building in Jung-gu, Seoul. Photo by Kang Jin-hyung

Kim Sun, Executive Vice President overseeing the space business at Hanwha Aerospace and Hanwha Systems, will be a speaker at the “Asia Future Enterprise Forum 2026,” which will be held at Lotte Hotel in Sogong-dong, Seoul, on the 13th. Kim is set to present on the topic “New Space: Challenges and Tasks,” discussing trends in the global space industry and strategies for Korean companies to respond.

In an interview at Hanwha Building in Jung-gu on the 11th, Kim emphasized, “Hanwha will collaborate with the Korea Aerospace Administration (KASA), Korea Aerospace Research Institute, and KAI to jointly develop space industry-related technologies,” adding, “To proactively build space infrastructure, close collaboration between private companies, government, and academia is essential.”

Kim, who majored in aerospace engineering at KAIST, began his career in the space industry while working at the Satellite Technology Research Center as an undergraduate. During the Asian financial crisis, he witnessed senior colleagues start their own businesses amid restructuring in the aviation industry and cuts to research budgets, which made him acutely aware of the limitations of a government budget-centric space industry.

“Although the term ‘New Space’ is widely used in Korea, not only is most of the funding still coming from the government, but the ownership and utilization of technology also remain in government hands,” Kim noted. “All that’s happened is the government has outsourced its supply chain.” He explained that, fundamentally, satellite assets need to be deployed globally, but because of government ownership structures, their use is largely limited to domestic applications, resulting in budget inefficiencies. Kim added, “The U.S. and Europe have already moved to a model where governments subscribe to commercial satellite data from private companies. It’s not about developing satellites—it’s about buying data and imagery.”

Hanwha’s space strategy is built on this awareness of the issues. Hanwha Aerospace, Hanwha Systems, Satrec Initiative, and three other space affiliates are being brought together into an integrated collaborative structure. The group intends to link this with its existing land, sea, and air weapon systems to secure differentiated competitiveness. “It is extremely rare worldwide for a company to possess the entire value chain from launch vehicles to satellites and data solutions,” Kim explained, “and having a total solution that combines satellite constellations, artificial intelligence (AI), and launch vehicles is an enormous asset.”

The core of this strategy is Hanwha Systems’ synthetic aperture radar (SAR) satellite constellation project. Unlike optical satellites, which are limited by weather and daylight, radar satellites can conduct imaging even in rainy conditions. The first phase involves deploying 64 satellites, drastically shortening revisit cycles. When anomalies are detected, high-precision observation satellites will be deployed in sequence, establishing a formation operation system.

Kim particularly emphasized the importance of the emerging “very low Earth orbit” (VLEO) market. While global companies such as SpaceX are currently operating satellite constellations in low Earth orbit (around 500 km), there are currently no companies anywhere in the world providing commercial services below 400 km in VLEO. “It’s already too late and too crowded in low Earth orbit,” he noted, “so what’s needed is to operate ultra-high-resolution radar and optical satellites at the 10-cm class in very low Earth orbit, creating an entirely new market.”

Sun Kim, Executive Vice President of Space Business at Hanwha Group, is interviewed by The Asia Business Daily on the 8th at Hanwha Building, Jung-gu, Seoul. Photo by Jin-Hyung Kang

Artificial intelligence is another key element. It is virtually impossible for humans to manually analyze the vast volume of real-time imagery produced by numerous satellites. Hanwha plans to use its proprietary AI to automatically analyze these images and provide various application services, such as detecting concealed camouflage, tracking ice floes along Arctic routes, and monitoring changes in river water levels. “All customers need to do is tell us what they want to accomplish in space,” Kim emphasized.

Kim also mentioned the recent successful fourth launch of the Nuri rocket, led by Hanwha Aerospace in public-private partnership, and expressed optimism about the upcoming fifth launch. “Having our own launch vehicle is not just a matter of cost. The ability to launch our own satellites with our own rockets is the starting point of a New Space ecosystem,” he said. “We will continue to strengthen our collaboration with the Korea Aerospace Administration and the Korea Aerospace Research Institute, shouldering this significant responsibility together.”

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