The announcement made by Akio Toyoda, the Chairman of Toyota Motor Corporation, at CES 2025, marked a significant leap for the automotive industry as it sets its gaze on the space frontierWith words that echo the growing excitement around commercial space ventures, Toyoda highlighted that the future of mobility should not be restricted to Earth alone, signaling a seismic shift in how major car manufacturers envision their roles in transportationThe fact that one of the world's largest automakers is now interested in developing rocket technology underlines a broader trend, where companies traditionally focused on terrestrial transport are venturing into the arena of space exploration.

Before Toyota's foray into space, other automotive giants were already establishing their presence in the commercial space sectorFor instance, Elon Musk's Tesla founded SpaceX and has successfully launched more than 7,000 Starlink satellitesThese satellites are crucial for providing high-speed internet access to over 120 countriesSimilarly, Geely, known as an “independent automotive player,” has initiated the construction of its “Future Mobility Constellation,” which aims to position 30 satellites in orbit, offering satellite applications that serve 90% of global areas within a 24-hour windowThe interest from these companies is not merely a nominal effort; it reflects a strategic alignment with the growing demand and commercial viability of space-based technologies.

A recent report from the World Economic Forum projected that the global space economy could expand from $630 billion in 2023 to an astounding $1.8 trillion by 2035, with a remarkable annual growth rate of 9%. This explosive growth suggests that the space industry will soon become a pivotal driver of global economic expansionCar manufacturers, recognizing this potential, are racing to stake their claims in this burgeoning arena.

But what drives these automotive behemoths toward the stars? According to Liu Yong, the deputy general manager of Shikong Daoyu, a commercial aerospace venture under Geely, the convergence of smart technologies in the auto industry is still in its infancy

Advertisements

Liu argues that the mass production of satellite communication and its subsequent integration into vehicles could revolutionize how smart cars operateBy establishing early access to low-orbit satellites, automakers can gain a competitive edge in developing autonomous driving technologies, a critical feature for future automotive products over the next three to five years.

Investment firms see the parallels as wellQufang from Wanlian Securities suggests that the technological overlaps between electric vehicles and the commercial space sector offer significant benefitsProbing into space-related technologies could yield advancements in various systems crucial for smart vehicles—like control systems, sensor arrays, and battery technologiesThe relationship between automotive innovation and space technology appears to be symbiotic, each field potentially bolstering the other.

The entry of Toyota into this space race is further evidenced by its investment through its subsidiary, Woven by Toyota, which injected approximately $70 million into the Japanese private space company, Interstellar TechnologiesToyoda expressed that this move is part of their innovative approach to transportation and aims to position Toyota as a competitor to SpaceXThe stakes are considerable; establishing credibility and capability within the commercial space sector could redefine industry standards.

A pioneer in this area is undeniably Elon Musk, whose ambition extends to colonizing Mars through SpaceXHowever, such grand aspirations require a stable economic foundation, prompting the company to focus on rapid commercialization efforts, particularly through the Starlink satellite serviceThe company has accelerated its satellite launch schedule, reportedly reducing the time between launches from an average of 5.8 days in 2023 to just 4.1 days in early 2024. This proactive approach has solidified SpaceX's dominance, with 7,062 Starlink satellites now deployed, accounting for over 72% of the global low Earth orbit satellite market share, having already achieved operational profitability.

Geely holds the distinction of being the first company in China to both manufacture cars and satellites

Advertisements

Their Future Mobility Constellation has been described as a “Chinese version of Starlink.” With ambitious plans to deploy a total of 72 satellites in its first phase, Geely’s constellation aims to integrate real-time data communications on a global scale, and this initiative showcases the commitment of Chinese automotive companies in leveraging space technology.

This notion of ongoing innovation aligns with the evolution within Geely’s satellite projectOn September 6, 2024, ten satellites were successfully launched, marking the third orbital plane deployment for Geely’s Future Mobility ConstellationThe implementation of these satellites has significant implications, as it achieves around 90% global coverage, providing overseas users with satellite communication servicesThis accomplishment illustrates how Chinese commercial aerospace entities are positioning themselves on the global stage.

As Geely’s satellites power emergent technology, the company's products are already benefiting from this innovationWith cutting-edge capabilities, Geely vehicles have successfully incorporated bidirectional satellite communication systemsThis advancement means users can remain connected even in areas lacking terrestrial network coverage, bolstering both functionality and safety, particularly in emergency scenarios.

Moreover, SpaceX's Starlink venture offers similar applications by providing high-speed internet through satellite terminals, catering to various outdoor and mobile scenariosTesla is reported to be integrating Starlink technology in its vehicles, allowing for significant data download speeds even during long journeysSuch features symbolize a crucial intersection of automotive technology with space-based services, ensuring that users remain online—even in the remotest of regions.

Looking ahead, the synergy between low orbit satellite communications and automotive innovation could provide a substantial opportunity in the realm of autonomous vehicles

Advertisements

Advertisements

Advertisements