Value created by ESA Telecommunication Partnership Projects [Apr/2020]
In preparation of Space19+ and to inform decision-makers on the impact of their investment on the European economy and society, ESA conducted several studies to assess the socio-economic benefits of its programmes.
One of these assessments evaluates the socio-economic benefits enabled by the implementation of eleven ARTES Partnership Projects: Alphasat, SmallGEO, Electra, EDRS, SpaceBus NEO, Eurostar NEO, Quantum, Iris, ECO, Indigo, and ICE. The study analyses a selection of impacts indicators (outlined below) over 2007 to 2032. For each Partnership Project, the economic impacts (additional sales, Gross Value-Added and taxes) were quantified over a period running from the project’s contract signature to 10 years of operational service.
Critical information was collected through desk data collection and information provided by ESA with the agreement of the industrial partners; as well as an extensive consultation with stakeholders including:
- ESA mission Project Managers;
- Representatives from Member States involved in the projects;
- Key industrial partners, which include the industrial primes, the operators and a selection of sub-contractors involved in the projects.
The Telecommunications and Integrated Applications Directorate (TIA) is ESA’s central point for both the design and implementation of the Telecommunication Partnership Projects with the European satcom players. Since Alphasat was kicked-off in 2007, ESA has invested or is planning to invest about €2 billion in the eleven missions which are assessed in the present study (estimated commitments as of 2017 including both industrial and internal costs).
The study details the economic, technological, strategic and societal impacts generated across the eleven projects for the three categories of industrial stakeholders involved (the industrial prime contractors, the telecom operators and the subcontractors).
With regards to the economic impacts, the study estimates €13.5 billion of additional sales generated thanks to the eleven Partnership Projects, of which 44% generated or expected to be generated by the satellite manufacturers (the primes), 29% by the satellite operators, and the remaining 27% by the subcontractors. The eleven ARTES Partnership Projects are estimated to generate a total of €25 billion of Gross Value-Added (contribution to GDP) and €8 billion of government revenues (taxes) over the full period of analysis (2007-2032) in ESA Member States, Canada and Slovenia.
This study was conducted by Euroconsult in partnership with Technopolis Group and Oxford Economics and was completed in May 2019. To access the document, please click here or login/register to access the restricted area.