Government Space Budgets To Continue Growth

[durutti]

http://www.spacedaily.com/news/satellite-biz-03zzzl.html

The growth in government spending on space may surpass US$50 billion by 2010, up from today's US$43 billion, according to Euroconsult's newly released report World Prospects for Government Space Markets: 2004 Edition. Prospects for the space industry are good, with strong growth to be driven by the increase in the military space spending, especially in the US. The overall picture masks regional differences however.

Towards convergence between civil and military spending Already concentrating 95% of the world military space budget, the US Department of Defense (DoD) is expected to raise its annual spending to US$25 billion in 2010 according to forecasts from US Congressional Budget Office and the DoD. This is more than 40% above the 2003 level of US$17.5 billion. By the end of the decade, military space budgets may reach a similar level to those for civil programs for the first time since the end of the cold war. In 2003, total spending on civil space was US$24.3 billion (up 5.3% compared to 2002); military spending grew 11% to US$18.5 billion.

US civil spending on the rise The current rising trend of the US civil space budget should be confirmed in the years to come: NASA expects its budget to reach almost US$17 billion in 2008 (excluding the non-space elements), up from US$14 billion today. This figure could reach US$18 billion by 2010. Even if the Columbia disaster causes a spending peak in the short term, its long-term effects are less clear and could put into question the agency's budget planning.