Using satellite data to generate commercial value

In a new project, researchers in entrepreneurship and innovation at Luleå University of Technology will investigate and define how satellite data can generate commercial value for Swedish industry.

Despite the strategic importance of satellite data, its commercial application remains limited. Especially, earth observation data which holds immense latent potential in several industries including but not limited to logistics, insurance, emergency services, agriculture and forestry. The results will be highly valuable to a wide range of stakeholders – startups, SMEs, large firms, policymakers, and public sector organisations – who are looking to better understand the commercial potential of satellite data.

“By clarifying the value chains, business models and ecosystem dynamics required for successful adoption of satellite data, the project will contribute directly to Sweden’s national space strategy, providing the Swedish National Space Agency (Rymdstyrelsen) with an actionable roadmap for how to support future commercial and collaborative activities in this domain, says Arun Madanaguli, researcher with a focus on satellite data value chains and ecosystems.

Approached by Swedish National Space Agency

The initiative for the project was not from the researchers themselves. It was the Swedish National Space Agency who approached the division of entrepreneurship and innovation at Luleå University of Technology and subsequently offered the researchers funding of 1.13 million SEK for the project.

“We are glad for the opportunity to engage in research and policy development for Swedish National Space Agency (Rymdstyrelsen). Moreover, the current project allows us to expand our research activities within one of the highest growth potential industries” says Professor Vinit Parida, research leader and one of the world’s most cited scholars in the field.

Analysing value chains

The project will develop a Satellite Data Innovation Roadmap by analysing both existing and potential value chains where satellite data can make an impact. By identifying high-potential use cases, mapping actors and their roles, and examining the value chains and business models needed for commercialization, the project seeks to inspire Swedish firms to adopt and integrate satellite data into their innovation strategies.

Two types of value chains will be explored:

• An emerging value chain that builds on current uses of satellite data—such as navigation and communications—by investigating the added value of other satellite data (e.g., in logistics and transportation).
• A non-existent value chain in sectors that have not traditionally used satellite data—such as the insurance industry and emergency services—to explore entirely new opportunities for value creation.

The project will assess the business implications of using satellite data and outline how Swedish industry can better position itself in the growing space economy.

• More research in innovation and entrepreneurship