USPTO Report: Privatizing the Space Economy

Written by: Michael E. Salamy

A 2025 United States Patent and Trademark Office (USPTO) report highlights significant growth in space technology patents, driven by private innovation and government support.

According to the report, space-related goods and services accounted for $131.8 billion in U.S. gross domestic product (GDP) and 347,000 private sector jobs in 2022.  The private sector increasingly plays a large role in the U.S. space economy, accounting for 77% of the U.S. GDP, at $100.6 billion.

The report found that the number of patent applications disclosing space technology has grown substantially faster than all patent applications.  Between 2003 and 2023, the number of applications grew by 144%, while the total number of applications filed at the USPTO grew by 37% over the same period.

The USPTO’s report categorized space technologies into 4 areas: (1) space transportation and habitation, (2) space-based terrestrial applications, (3) space exploration, and (4) space technology and operations.  According to the report, the largest number of patent applications published in 2023 were in the space technology and operations category, which is a catch-all category including satellite control, space debris removal, thermal control, deployment mechanisms, and more, suggesting that there is a wide range of technological development and innovation aimed at supporting space exploration.

Of the space technology patent applications, 16% contained a statement of government interest, indicating that the developments were at least partially supported by the U.S. government, which is more than 7 times larger than the government’s involvement in all patent applications.

Notably, the share of U.S. space patents filed by small businesses, universities, and nonprofits has increased to just over 40% in 2023.

The USPTO’s report highlights a rapidly growing and diversifying U.S. space economy, with small businesses and startups playing an increasingly vital role.