Funding reached $7.95 billion during the quarter, nearly double the $3.93 billion in ‌the previous three-month ⁠period, ⁠pushing the trailing 12-month investment to an all-time high of $18.8 billion.

Space investment in first quarter hits record as SpaceX IPO buzz lifts sector

Synopsis

Funding reached $7.95 billion during the quarter, nearly double the $3.93 billion in ‌the previous three-month ⁠period, ⁠pushing the trailing 12-month investment to an all-time high of $18.8 billion.

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Global investment in space companies surged to a record in the first quarter of 2026, driven by larger late-stage financing and growing investor enthusiasm over SpaceX's public market debut, data from investment firm Seraphim Space showed on Tuesday.

Deal count also rose to 159 transactions, bringing the annual total to a record 654.

The increase in capital deployment was largely attributed to bigger cheque sizes rather than a sharp increase in deal volume, with average deal size climbing to $68 million from $35.1 million in fourth quarter. The largest ⁠transaction was ‌U.S.-based Saronic's $1.75 billion round, one of the biggest space financings on record, the report said.

"The market today definitely feels 'risk-on' ⁠with capital moving quickly into perceived category leaders," said Lucas Bishop, investment associate at Seraphim Space, pointing to a convergence of tailwinds, including defense spending, renewed lunar ambitions and investor anticipation around SpaceX's IPO.

A SpaceX IPO could provide a landmark liquidity event for early investors and employees, while also creating a valuation benchmark, improving exit visibility for venture-backed space companies. Elon Musk's ‌rocket maker will host an analyst day on Tuesday, Reuters reported earlier this month.

North America accounted for roughly 70% of total funding in the first ⁠quarter, while Europe posted its strongest performance since 2022 and Asia contributed more than $1.2 billion.

Notably, investment has shifted beyond traditional satellite communications, with significantly more capital flowing into emerging segments such as in-space infrastructure, including space stations and data centers, reflecting a broadening of the sector's addressable market.

Recent developments have also highlighted continued momentum in satellite connectivity, with Amazon saying last week it would acquire Globalstar for $11.6 billion.

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