Space rickshaw to funding: Startups aim for the moon after Chandrayaan-3

Companies expect foreign collaborations and technology tie-ups after Isro's successful mission

Moon is the new limit for startups. From supporting the country’s lunar mission to setting up global technology partnerships, the Indian space startup ecosystem has set ambitious goals after the success of Chandrayaan-3.

Space startups Skyroot Aerospace, Pixxel and AgniKul Cosmos and investors like growX Ventures are betting on the ecosystem, aiming to achieve new heights with their innovations.

Space Kidz India (SKI), a Chennai-based satellite design and launch company, is working on a project called Space Rickshaw to carry payloads to the Moon. The company in February launched AzaadiSAT-2.0, a satellite developed by 750 girl students living in rural India. "Our Moon mission will also be having participation from girl students," said Srimathy Kesan, SKI’s founder and chief executive officer (CEO).

India has some 146 space startups: compared to 21 in 2020, according to data shared by INSPACe, an autonomous body acting as a bridge between the private sector and Indian Space Research Organisation (Isro).

Industry experts say that the cost-effectiveness of India’s Moon mission will attract global majors to the country.

"This will bring in a lot of investments into the Indian space sector. A lot of interest will come for collaborations and partnerships with Indian companies. A robust lunar economy is expected to develop in India in the next 20 years," said Pawan Kumar Chandana, co-founder of Skyroot Aerospace, a startup that developed Vikram-S, India’s first privately developed rocket launched early this year.

Startups hope to benefit from an Isro initiative that has made technologies like Small Satellite Launch Vehicle (SSLV) available to the private sector. The technology transfer may boost foreign tie-ups in the space sector, they said.

"This (Chandrayaan-3) mission's triumph will be a testament to our capabilities in space exploration and further act as a catalyst for a dynamic ecosystem of startups dedicated to the pursuit of pioneering solutions in space technology, ranging from advanced propulsion systems to satellite constellations and more," said Awais Ahmed, founder and CEO of Bengaluru-based Pixxel.

After the sector was opened up to private companies in June 2020, it got funding of $258 million.

"Chandrayaan 3's success is indeed momentous, but it's also a confirmation of what we've long believed. As early as 2019, we invested in India's SpaceTech via our first fund, growX Ventures. In the startup realm, foresight and speed are essential," said Sheetal Bahl, partner at growX Ventures and Merak Ventures, a venture capital firm that has invested in Pixxel and Bellatrix.

Agnikul, Skyroot, Dhruva, and Pixxel are among space companies that have received foreign investment.

"Chandrayaan-3's success will greatly aid space startups, pushing space tech boundaries to become better and affordable. While Moon might not be startups' short-term target, Isro's proven technologies will benefit adjacent development. The achievement is expected to unleash a wave of space activities, talent, and missions, enhancing the nation's space sector," said Suyash Singh, co-founder and CEO of GalaxEye.