In the United States, Jeff Bezos's space company, Blue Origin, is reportedly nearing the completion of a significant $10 billion funding round. This funding round is notable as it marks the first time since its founding in 2000 that Blue Origin is allowing outside investors to participate. Bezos himself is expected to contribute $2 billion to this round, while Coatue Management, which has close ties to Bezos Expeditions, is committing $4 billion. The remaining $4 billion has attracted considerable interest from investors, reflecting a growing appetite for investments in major tech IPOs.
The announcement of this funding round comes shortly after Blue Origin's biggest competitor, SpaceX, raised a record-breaking $85.7 billion in its IPO listing. SpaceX, owned by Elon Musk, has ambitious plans for a satellite constellation that could include up to 1 million satellites, with a focus on developing orbital AI data centers. Currently, SpaceX operates over 10,000 active satellites in orbit, showcasing its dominance in the space industry.
In contrast, Blue Origin has also been making strides in satellite communications. Earlier this year, the company launched 'TeraWave,' a new communication network that aims to deploy a constellation of nearly 5,500 satellites by the fourth quarter of 2027. Blue Origin claims that TeraWave will provide connection speeds of up to 6 terabits per second anywhere on Earth. However, the company faced challenges earlier this year when one of its New Glenn rockets exploded during a hot-fire test, prompting an investigation by the US Federal Aviation Administration.
In addition to his ventures with Blue Origin, Jeff Bezos's other major company, Amazon, has been expanding its presence in the satellite telecommunications market. In April, Amazon announced the acquisition of Globalstar for $11.6 billion, a move aimed at enhancing its competitive edge against SpaceX's Starlink. This acquisition includes Globalstar's existing satellite operations and infrastructure, which consists of 32 planned active low Earth orbit satellites. Amazon intends to integrate Globalstar's assets into its own space internet service, Leo, which aims to deploy over 3,200 satellites, building on its current fleet of more than 200 satellites already in orbit.
