As the commercialization of space accelerates, a new frontier is emerging: private space stations. Billionaire Jed McCaleb’s vision for Vast Space is taking shape, with a $1 billion investment and partnerships with SpaceX and NASA.
The commercialization of space is rapidly advancing, with private companies like ‘Vast Space vying to build commercial space stations that can succeed NASA’s International Space Station (ISS) when it retires in the next coming years.’ While a handful of private companies are racing to develop ISS alternatives, startup Vast has established tight connections with SpaceX and a willingness to invest massive amounts of cash.
A private company is a business entity that is not publicly traded, meaning its shares are not available for the general public to purchase.
Characteristics of private companies include limited ownership and control, typically held by a small group of individuals or families.
They often have fewer regulatory requirements compared to public companies.
Private companies can be structured as sole proprietorships, partnerships, or corporations.
The Visionary Behind Vast Space
Jed McCaleb, the sole funder of Vast, is ready to sink $1 billion into the company’s commercial space station dreams. With an estimated net worth of nearly $3 billion, McCaleb is best known for creating ‘Mt. Gox, an early Bitcoin trading platform that went bankrupt more than a decade ago,’ and co-founding Ripple, the blockchain company behind the cryptocurrency XRP.
Jed McCaleb is a computer programmer and entrepreneur best known for co-founding the now-defunct cryptocurrency exchange Mt. Gox with Mark Karpelès in 2010.
He later sold his stake in Mt. Gox to 'Karpelès' in 2014.
In 2014, McCaleb also founded the Stellar Development Foundation, a non-profit organization that oversees the development of the Stellar blockchain network.
A Pivotal Moment in Space Entrepreneurship
In 2021, McCaleb pivoted from cryptocurrency to space when he founded ‘Vast. The company is vying to secure a NASA contract under the agency’s Commercial LEO Destination (CLD) program to replace the ISS with Haven-2, a commercial space station that it claims could be operational by 2028.’.
A Web of Partnerships and Collaborations
Vast Space has established partnerships with SpaceX, which will deliver astronauts to Vast’s station. Additionally, the company plans to launch its first module next year, followed by the construction of ‘Haven-2 in the coming years.’.
Space is the vast, seemingly infinite three-dimensional expanse that makes up our universe.
It contains numerous celestial objects, including stars, galaxies, and planets.
The observable universe has an estimated diameter of around 93 billion light-years.
Space is a vacuum, meaning it lacks matter and energy, except for the occasional gas or dust particles.
Despite its emptiness, space is home to various phenomena, such as black holes, supernovae, and cosmic rays.
The Competition Heats Up
While NASA isn’t expected to select new CLD contracts until at least 2026, other private companies are also working on commercial space stations. Blue Origin, founded by Jeff Bezos, has received $130 million for its ‘Orbital Reef project,’ while Axiom Space is planning to install a power module on the ISS in two years’ time.
Cost-Effective Solutions
NASA hopes that partnering with privately-run space stations will be more cost-effective than operating the ISS. The agency estimates that running the ISS costs roughly $3 billion a year, which totals around a third of NASA’s annual human space flight budget.
A New Era for Space Exploration
As private companies like ‘Vast Space push the boundaries of commercial spaceflight,’ we can expect to see new and innovative solutions emerge in the coming years. With billions of dollars at stake, the stakes are high, but the potential rewards could be enormous.
