SpaceLink to wind down operations, barring last-minute investment

A startup company called SpaceLink that developing a space-relay constellation, will wind down its operations if there’s no financial support from either potential buyers or investors. One of the parent companies of SpaceLink revealed plans in September, which was focus on its core defense and space business and wanted to attract outside investment to support the SpaceLink. 

However, due to the economic environment with increasing interest rates, it is hard for SpaceLink to gain more attentions from new investors and finally it is at risk of bankruptcy because of the insufficient funds. SpaceLink is mainly engaged in the development of communication satellite constellation, and its purpose is to establish a channel for transmitting data between the ground and low-Earth orbit. 

In my opinion, this data will make a big contribution to the space network in the future, which means that the demand of communication satellite constellation will be greater and greater. Also, establishing it needs huge number of upfront investments, but SpaceLink assumed that it will bring out much more profits than upfront investments. In addition, as the leader of SpaceLink mentioned, “with financial support, it will only take a few years for them to develop moving data for commercial services such as remote sensing and manned spaceflight, and they have always been waiting for investment and cooperation.” 

Therefore, in the long run, this investment is indeed good, after all, they have a professional research team, which is also their value. However, I think they should take the initiative to contact some potential investors, rather than waiting for investors to contact them, and do some targeted investigations. I believe there are still investors willing to provide financial support and could help them to complete the project together.