The space and satellite sector has grown in the last decade, breaking away from the traditional aerospace field and emerging into a separate, dynamic, entrepreneurial industry—one in which Inland Northwest companies are gaining a foothold. 

Many prominent companies in the emerging sector are headquartered in or have a presence in Washington state. They include Starlink Services LLC, a subsidiary of SpaceX, and Amazon.com’s Kuiper Systems LLC, known as Project Kuiper. In addition, Northwest I-90 Manufacturing Alliance executive director Mark Norton points out that beyond the big-name companies, a lot of startup companies within the sector are working on product development and need quick turnarounds on their projects that they may be hard-pressed to find in the Puget Sound region. 

“There is a definite need,” Norton says. “And that is an opportunity for Spokane.” 

Norton notes that while most people may think of satellites as large structures the size of a small car, they are much smaller. And because they are small, with lower freight costs, it allows for an easy supply chain flow from Spokane to the Seattle area.  

Mike Marzetta, president of Spokane-based Altek Inc., an injection molding, machining, and electric assembly company, says the Liberty Lake-based company delved into the space industry early on, using its experience in precision manufacturing to supply parts for the aerospace industry to branch out and diversify its portfolio to supply to the space industry. He notes that the space and satellite industry is largely focused on research and development, providing more steady work, as opposed to commercial aircraft, which have had an unstable history. Altek has supplied to space projects like satellites and rockets, as well as ground control systems, he says. 

“At one time, it was considered to be part of aerospace, but (space and satellite) have developed so much of their own unique technology it kind of requires its own industry,” Marzetta says. “Instead of just aerospace, it’s turned a corner.” 

Stan Shull a space industry analyst and consultant, says the space and satellite industry has grown about 25% annually over the last six years. Shull says that when he spoke at the Northwest I-90 Manufacturing Alliance conference in Coeur d'Alene last May, representatives of many local companies told him they already are supplying to the space industry, and many others express that they want to expand into the space sector. 

“They clearly see it as a growth opportunity,” Shull says. “I have no doubt there are many companies in Eastern Washington that are already supplying to space companies, not just here in the Pacific Northwest, but probably around the United States and potentially globally.” 

Robin Toth, aerospace sector lead for the Washington state Department of Commerce, says Eastern Washington companies have been diversifying their portfolios for some time, insulating themselves from depending on big companies like Boeing Co. 

“A lot of these companies are really on the leading edge, which is typically a term we use for aircraft parts,” Toth says of the emergence of space and satellite companies. “They’re really looking at how they can fit into this new ecosystem that is evolving here.” 

According to the Washington state Employment Security Department, there are 18,000 manufacturing jobs in Spokane as of 2023, compared with 15,100 in 2021. Manufacturing in Spokane is expected to grow by 2% in 2025 and is projected to grow by 8% over the next five years. According to Lightcast Data, the total value derived from manufacturing, including earnings, property income, and taxes totaled $3.8 billion in 2023. 

According to data from Alliance Velocity LLC, the Washington space economy employs over 12,000, and has a $5 billion direct economic impact. As of December 2024, there were over 1,100 job openings in the industry. Leading companies like SpaceX, Amazon, and Blue Origin Enterprises LP have invested over $12 billion. Capital raised by startups in the space industry is over $1.2 billion. Since 2015, 42 new space companies have been founded in Washington. 

Shull, executive director of Alliance Velocity, pegs Washington state and its Puget Sound region as the “satellite capital of the world.” While the U.S. is leading the race to put the most satellites in space, Europe and China are coming on strong, he says. 

Amazon’s Project Kuiper, which opened a facility in April in Kirkland, Washington, is in a significant period of growth as it is ramping up production of over 3,000 satellites. The other big player is SpaceX’s Starlink division, which has a facility in Redmond, Washington, and has manufactured thousands of satellites over the years.

“In fact, more satellites have been manufactured in Redmond in the last couple of years than the entire rest of the world combined,” Shull says. 

Most satellites are used in one of three areas: communication, navigation, and Earth observation, Shull says.

On the communications side, it’s providing ubiquitous internet coverage to remote areas. Project Kuiper and Starlink both have a mission to bring fast, affordable broadband to underserved communities worldwide. 

For navigation, satellites are used in the Global Positioning System, or GPS, maps in cellphones and vehicles, and in national security roles, he says. The U.S. military, for example, relies on space assets for communication, intelligence, and navigation, he says. 

“Space is absolutely critical,” Shull says. “Which is why the United States and many other nations have formed the equivalent of the Space Force.” 

Earth-observation satellites are used to detect pollution, forecast weather, monitor the growth of forests, and help provide for more efficient agriculture, he says.

A reduction in the cost to launch satellites into space and an influx of entrepreneurs that have entered the space sector have driven the growth in the satellite and space industry, Shull says. New and emerging companies with innovative business models are disrupting the legacy players and practices and creating a much more entrepreneurial space economy, he adds. 

“This is not your mother's or father’s space industry,” Shull says. “This is a very different, dynamic, entrepreneurial space industry today.”

Many of the new startups in the space industry are pitching innovative ideas, with sustainability as a throughline within the industry, he says. For example, Stoke Space Technologies Inc. has been developing a fully reusable rocket at its Moses Lake, Washington facility, he says.

Stoke Space has raised over $180 million and is growing rapidly, he says. Seattle-based Starfish Space Inc. is another sustainable space company that provides service to satellites in space by powering them when they run out of fuel or moving them to safer locations so they don't create problems for future satellites. 

A lot of these entrepreneurs are focused on ways to move environmentally impactful industries and sectors off Earth and into space in order to help the planet’s environment, he says. 

Redmond-based Lumen Orbit Inc., for example, wants to build data centers in space. 

“The artificial intelligence boom is creating a huge demand for power-sucking data centers,” Shull says. “Their idea—audacious—is to build data centers in space where there’s unlimited free, if you will, solar power from the sun ... to reduce some of the burden here on Earth.” 

Marzetta adds there also are companies that want to mine asteroids for precious metals, while others want to grow plants and food in space or develop technology for leisurely space travel. 

“They’re doing stuff that makes your head spin,” Marzetta says. “For a Star Trek and Star Wars fan, it’s pretty darn cool.”