Space Startups Leveraging Opportunities: Claiming a Slice of the Trillion-Dollar Industry for Latvia
**Latvia's Space Industry Soars: A New Era of Innovation**
Latvia's space industry is experiencing a significant surge, with deep-tech startups playing a pivotal role in driving innovation. The sector encompasses precision measurement, image processing, 3D printing, hydrogen technology, and power supply, among others [1]. Latvia's collaboration with the European Space Agency (ESA) has been instrumental, providing access to the ESA's national program that supports the development of innovative space-related products and services [3].
One such startup, Eventech, has garnered international recognition for its precision electronic measuring devices, with NASA's International Laser Ranging Service praising the Event Timer A033-ET [1]. The Deep Tech Atelier, a major event in the Baltic deep-tech ecosystem, highlights space technology as a key theme, reflecting the sector's growing importance [1].
Support for Latvian startups in the space sector is robust. The ESA's national program offers funding and support for developing innovative space-related products and services, with 10 projects approved in the fifth round, totalling €1,581,267 [3]. The sixth call for proposals was announced in June 2025 [3].
Events like the Deep Tech Atelier provide a platform for networking and showcasing innovations, while government and institutional support comes from the Ministry of Education and Science, which organises seminars and projects to enhance the capacity and competitiveness of local space-related businesses [3].
Latvian companies can also access funding through European programs, such as the European Defence Fund, which co-funded several R&D projects in Latvia [2]. These initiatives collectively foster a supportive environment for Latvian startups in the space industry, encouraging innovation and growth.
The space industry is broadly categorised into three sectors: upstream, downstream, and ground. Downstream is considered to have the biggest potential for businesses [4]. Information about general ESA procurement opportunities can be found through the Latvian space portal or by approaching the Ministry of Education and Science directly [5].
Since becoming an ESA associate member in 2020, Latvia has actively participated in various programs through regular state investments [6]. The EU Space Programme has a budget of €14.88 million for 2021-2027, with plans to double it for the next planning period, providing financing for research, development, and innovation in space [7].
The European Space Agency Business Incubation Centre in Latvia (ESA BIC Latvia), launched in November 2024, offers €60k funding, two years of business coaching, access to mentorship and networking, fundraising guidance, technical assistance, and more [8]. Applications for ESA BIC Latvia must be submitted by June 22, 2025, to be included in the next evaluation in July 2025 [8].
Cooperation with organisations like ESA is essential for startups to win visibility and credibility in the international space community [9]. Latvia's contributions to space innovation are notable, with Friedrich Zander's calculations used in modern space missions and the Ventspils radiotelescope, the largest in Northern Europe [10].
The global space economy is forecasted to grow from $596 billion in 2024 to $944 billion by 2033, primarily driven by advancements in downstream solutions [11]. The commercial side of the space economy accounts for 77% of its global value, with venture capital pouring tens of billions into private space companies [12].
Angelīna Bekasova emphasises the importance of promoting Latvian companies and R&D specialists, as well as proactively using support instruments and developing them more effectively in the space sector [13]. Startups should strategically prepare their technology and plan grant applications and other initiatives well in advance [13].
The Cassini programme, an EU initiative, aims to support entrepreneurship in space-related businesses across the EU, deploying a €1 billion investment over seven years [14]. Baltic Satellite Service, a Latvian company, secured an ESA tender to lead a Baltic consortium for developing an Earth observation platform for governmental decision-making support [15].
The main strategic growth sectors for Smart Specialization (RIS3) in Latvia for 2021-2027 include Bioeconomy, Biomedicine & biotechnologies, Smart materials, photonics & engineering, Smart energy & mobility, and ICT [16]. Space is no longer considered an underground industry, and investing in space is currently trendy, according to Angelīna Bekasova [2].
Latvia's space strategy for 2021-2027 reached its set goals by 2023 and was updated with more ambitious goals in 2024 [17]. The space industry is now a thriving sector in Latvia, with promising opportunities for startups and established companies alike.
- The European Space Agency (ESA) has been fundamental in Latvia's space industry growth, offering funding and support for developing innovative space-related products and services through its national program.
- Collaboration with organizations like ESA is essential for startups to gain visibility and credibility in the international space community.
- The space industry in Latvia now encompasses various sectors such as precision measurement, image processing, 3D printing, hydrogen technology, power supply, and more.
- A deep-tech startup named Eventech has gained international recognition for its precision electronic measuring devices, praised by NASA's International Laser Ranging Service.
- The European Defence Fund co-funded several R&D projects in Latvia, fostering a supportive environment for Latvian startups in the space industry.
- The commercial side of the global space economy accounts for 77% of its global value, with venture capital pouring tens of billions into private space companies, indicating a promising future for Latvia's space industry.
