Article

A framework for allocating orbital slots is necessary to address crowding, inequity, and unsustainability as the space economy is projected to exceed US$1.8 trillion by 2035. SpaceX plans to lower about half of its nearly 9,000 Starlink satellites in Low Earth Orbit (LEO) by 44 miles by 2026 to enhance performance and mitigate space debris risks.

Currently, 573 of 1,800 geostationary orbital slots are occupied, with an estimated 130 million pieces of space debris posing threats to operational satellites. Developing countries face disadvantages under the current first-come, first-served allocation policy managed by the International Telecommunication Union (ITU).

Proposed reforms include auctioning orbital slots and implementing organized slot structures to improve efficiency. Companies like Spire Global and Lockheed Martin are positioned to benefit from the growing space economy, with Spire contracted by Deloitte for satellite development and Lockheed Martin awarded a US$1.1 billion contract by the Space Development Agency.