New Delhi: India’s space sector is undergoing a paradigm shift, evolving from an innovation led frontier to mainstreaming space-based services across governance, development, and strategic domains. To discuss more about the sector, KPMG in India-CII released a report titled – “Propelling India into a new era of space and innovation”, at the ‘International Conference on Space 2025’ on September 8. This report outlines how space based assets with services and data from Earth Observation (EO), Satellite Communication (SatCom), and Navigation (PNT) technologies are becoming essential enablers of governance, economic growth and security through integration into national workflows, catalysing India’s journey toward a service-oriented space economy.
The report positions Digital Public Infrastructure (DPI) as a critical enabler, connecting space-based data seamlessly with governance platforms, financial ecosystems, and diverse user applications. It underscores the importance of platform interoperability and SatCom-based redundancy to ensure service continuity in remote and disaster-prone regions. These priorities are essential to scaling adoption and embedding EO, SatCom, and PNT as defaults across flagship missions and public service delivery.
Key insights include:
- With the global space economy expected to expand from USD 596 billion in 2024 to USD 1.8 trillion by 2035, India is on course to grow its share fourfold from currently ~2% to ~8% over the next decade.
- Downstream services are becoming central to governance, resilience, and strategic operations, with EO and SatCom supporting flagship missions such as PM Gati Shakti and Ayushman Bharat.
- The report calls for demand aggregation, platform interoperability across EO, SatCom and PNT, open data standards, and institutional capacity building to catalyse adoption.
- Strategic segments such as defence, disaster response, and governance set the benchmark for mission-grade applications, while international collaboration positions India as both a contributor and regional enabler.
Gaurav Mehndiratta, Partner and National Head – Aerospace, Defence and Space, KPMG in India, said, “India stands at a pivotal juncture in its space journey. The foundations built over decades are now enabling a leap towards scale, integration, and global leadership. Realising this potential will require coordinated action across policy, industry, and academia to foster innovation, build resilient infrastructure, and connect space capabilities with diverse user communities.”
India’s downstream space ecosystem is evolving into a foundational pillar of national development. By embedding space-based services into core governance and strategic workflows, and aligning policy with mission needs, India is poised to expand its global share and shape the future contours of the international space economy. The report offers a scalable model rooted in institutional maturity, inclusive implementation, and visionary collaboration.
