Rocket Lab announced the acquisition of Iridium, a satellite operator, to continue its M&A expansion since this year. With the fall of the trade, the company, which started with the launch operation, will further replenish its satellite operating capabilities and acquire a set of in-orbit satellites and spectrum resources.
Trading in satellite operational capabilities
Iridium currently operates dozens of satellites in orbit, with a set of spectrum resources of commercial value. In a press release issued on Monday, Rocket Lab indicated that it was planned to build on the existing network of Iridium, thereby gaining access to markets not yet covered and developing new space-based services.
This means that the operational focus of Rocket Lab is moving further from a single launch service to a more complete space infrastructure and service system. For space companies, satellite networks and spectrum resources are often also important components of long-term competitiveness.
There have been several acquisitions this year.
This is another purchase that Rocket Lab has revealed this year. Prior to this, the company acquired the space robotics company Motiv in May, the laser communications supplier Mynaric in April and a sophisticated parts manufacturer in February.
- May: Acquisition of Space Robotics, Motiv
- April: Acquisition of Laser Communications Mynaric
- February: Acquisition of precision parts manufacture Business
Last year, Rocket Lab also bought the optical sensor defense contractor, George. Continuous efforts show that the company is completing multiple capabilities from hardware, communications to orbital services through M&As, rather than relying solely on rocket-launching operations.
Space industry integration continues.
The acquisition of Rocket Lab also continued the trend of integration of the space and satellite industries in recent years. Previously, ViaSat acquired Inmarsat, private equity agencies bought Maxar in 2023 and Lockheed Martin acquired satellite manufacturer Terran Orbital in 2024.
In April this year, the Amazon, which is building a space Internet business that competes with SpaceX, also purchased the satellite company Globalstar for $11.6 billion. As the value of the launch, satellite manufacturing, communication networks and spectrum resources continues to rise, the head company is accelerating the expansion of control through M&As.
From this transaction, Rocket Lab would like to further access the satellite network operation and the space services market beyond the launch. Industry competition is also moving from one-point capacity to a more complete industrial chain layout.