Reusable rockets will efficiently deliver payloads to Low Earth Orbit (LEO), where specialized "space tugs" will then take over for the final, more efficient journey to higher orbits. This creates a new, more economical layer of in-space transportation infrastructure.

The next wave of space companies is moving away from the vertically integrated "SpaceX model" where everything is built in-house. Instead, a new ecosystem is emerging where companies specialize in specific parts of the stack, such as satellite buses or ground stations. This unbundling creates efficiency and lowers barriers to entry for new players.

SpaceX's dominant position can be framed for an IPO not as a player in terrestrial industries, but as the owner of 90% of the entire universe's launch capabilities. This narrative positions it as controlling the infrastructure for all future off-planet economies, from connectivity to defense, dwarfing Earth-bound tech giants.

The new wave of space startups is moving away from the SpaceX "build everything yourself" model. Instead, companies like Apex Space are unbundling the stack, specializing in one component like satellite buses. This allows for faster development cycles and creates a more robust, collaborative industry.

Starfish's contract with the Space Development Agency is for disposal services, not a hardware grant or R&D project. This shift signifies that government bodies are now acting as commercial customers for in-orbit services, setting a crucial precedent that de-risks the business model for other space startups.

Startups are successfully deploying infrastructure like in-orbit GPUs. However, the space economy remains self-referential, serving other space companies. It needs a major commercial application with Earth-based customers, like asteroid mining, to achieve sustainable growth.

Starfish Space will own and operate its fleet of "Otter" space tugs, selling services like de-orbiting rather than the hardware itself. This model allows them to continuously improve their software across the entire fleet, capture more value, and align their business with customer outcomes.

The US government no longer just funds defense-specific space tech. It now mandates that startups demonstrate a clear dual-use commercialization plan, ensuring the technology fosters a broader economic ecosystem and isn't solely reliant on defense budgets.

Starfish Space successfully performed an autonomous satellite rendezvous using just one lightweight camera. By shifting complexity from expensive, specialized hardware to sophisticated software, they are making complex in-orbit operations scalable and cost-effective, effectively industrializing a bespoke process.