Fleet Space Raises Capital for Nanosatellite Fleet Expansion

Australian based Fleet Space Technologies has raised US$26 million in their series B funding, with the aim of driving the expansion of their nanosatellite fleet for IoT connectivity. The satellite provider currently has six satellites in orbit, with the next launch in pursuit for early 2022—the next step in reaching the companies goal of 140 nanosatellites in Low Earth Orbit (LEO).

Satellite technologies is a great connectivity option suited for applications and devices in remote areas, but also for other IoT market segments including earth observation and fleet monitoring, since they offer coverage over the rural parts of the globe, where terrestrial network infrastructures are currently lacking. It is for this reason that the expansion of the network for Fleet Space is crucial, so that they can truly enter the competitive landscape of the IoT satellite connectivity market.

Having IoT nanosatellites in LEO orbit offers reduced latency in the connection due to being in a closer proximity to the earth in comparison to more traditional geostationary orbiting (GEO) satellites. LEO satellites also have the added benefit of the fact that quicker rate since they are being launched into orbit closer to earth.

Fleet Space has several strategic partnerships which will inevitably make the launch process an overall smoother process. A partnership with Space Machines Company has taken place to speed the launch process for Fleet Space and the next batch of their satellites in 2022. The deployments are taking place via trials, which has been agreed upon so that the launches can take place to prevent the lead time for the customers of Fleet Space communication, due to a faster deployment time. Another partnership that has come to light includes the one with Gilmour Space to assist in the launches that are due to take place in 2023. Gilmour Space Technologies is a rocket manufacturer, and will be launching six Fleet Space nanosatellites in 2023 on their rockets.

The satellite market has been impacted by COVID-19 both positively and negatively. Launches were still taking place, though at a significantly slower rate than in the pre-COVID world. Launches are continuing to take place at a more rapid pace now. The market however is pushing through the other side of the pandemic now, whilst the world in a whole may not be, and is becoming more competitive, as constellations start to become closer to completion.

It is forecasted that there will be fourteen billion devices that will require low-power connectivity by 2025, which satellite connectivity could offer, due to many being located in the rural areas whereby other terrestrial networks will not fit the bill. Satellites can offer completely ubiquitous coverage which can reach devices that have a limited or no access to terrestrial networks. With such a significant number of connections available at market, all start up LEO satellite providers, specifically for Internet of Things (IoT) verticals, will be keen to ensure that not only are their networks up and running, but also to be offering competitive prices. One way in which vendors are able to push their competitive pricing is by minimizing the cost of the manufacturing of the satellite and the launch process.