Space Transportation image of a rocket stage separation in space

Space commerce is fundamentally dependent on space transportation -- the ability to access, move through, and return from space. The most common form of space transportation is the launch of a satellite into orbit using a rocket-propelled vehicle. Many different launch vehicles are currently in use around the world, including commercially available boosters launched from sites known as spaceports.

Rocket launching at a commercial spaceport The space transportation industry consists of many elements, including launch vehicle manufacturers, operators, suppliers, and spaceport facilities. The industry serves both commercial and governmental customers. The growing demand for satellite-based services, from communications and broadcasting to navigation and remote sensing, has contributed to the development of a competitive, worldwide market for commercial launch services. Additionally, renewed interest in human space travel and low-cost access to space has attracted several entrepreneurial start-up companies to the scene.

The Office of Space Commercialization works within the U.S. government to foster an economic and policy environment that promotes the growth and competitiveness of the U.S. space transportation industry.

National Policy

The U.S. Space Transportation Policy, issued by the President in 2005, emphasizes the government's need to assure U.S. access to space. It calls for a fundamental transformation in U.S. space transportation capabilities and infrastructure and encourages the government to capitalize on the entrepreneurial spirit of the U.S. private sector, which offers new approaches and technology innovation in U.S. space transportation, options for enhancing space exploration activities, and opportunities to open new commercial markets, including public space travel.

Liftoff of a commercial launch vehicle The policy includes guidelines concerning commercial space transportation, including requirements for the government to purchase commercially available U.S. space transportation products and services to the maximum extent possible, consistent with mission requirements and applicable law. The policy specifically tasks the Departments of Commerce and Transportation to encourage, facilitate, and promote U.S. commercial space transportation activities, including commercial human space flight.

The U.S. National Space Policy of 2006 reiterates the need for the government to encourage and facilitate a growing and entrepreneurial U.S. commercial space sector, in part by using U.S. commercial space capabilities to the maximum practical extent, consistent with national security.

Collaboration with FAA

In September 2007, the Office of Space Commercialization signed a Memorandum of Understanding with the Federal Aviation Administration's Office of Commercial Space Transportation (FAA/AST) with respect to the promotion of the U.S. commercial space transportation industry. The MOU provides a framework for collaboration between the two organizations on issues affecting this critical sector of space commerce.

Commercial Orbital Transportation Services (COTS)

International Space Station NASA established the Commercial Orbital Transportation Services (COTS) program to develop a competitive market for crew and cargo flights to the International Space Station (ISS). The program breaks from the traditional government contracting approach by allowing the private sector to develop, own, and operate its own launch vehicles in service of NASA's ISS delivery needs. Unlike today's Space Shuttle, the launch vehicles developed under COTS will also be able to serve commercial customers. According to NASA Administrator Mike Griffin, COTS represents "the first opportunity NASA has taken to engage entrepreneurs in a way that allows us [NASA] to satisfy our needs and lets commercial industry gain a foothold."

In August 2006, NASA announced its competitive selection of Space Exploration Technologies (SpaceX) in the COTS program. In February 2008, NASA selected Orbital Sciences Corporation to also participate in the program. The two companies signed Space Act agreements that provide financial assistance for the development and demonstration of their launch vehicles and establish progress milestones, including requirements to attract matching investments from the private sector.

NASA has also signed unfunded Space Act agreements with PlanetSpace, Spacehab, t/Space, SpaceDev, and Constellation Services International Inc., enabling these companies to also compete for ISS delivery service contracts, but providing no financial assistance.

Reports & Presentations

Additional materials may be found in the Library section of this site.

External References

Further information concerning the space transportation industry can be found at the following U.S. Government web sites.

The following links to industry associations are provided as a reference tool only; they do not constitute an endorsement of the views of the organizations listed. To request the addition of another industry association web site link, please see the contact information below.