Reflections & analysis about innovation, technology, startups, investing, healthcare, and more .... with a focus on Minnesota, Land of 10,000 Lakes. Blogging continuously since 2005.

Category: Drones

The Coming $1-Trillion Space Economy, and How Minnesota Plays Into It

Our state may not launch rockets, but it quietly builds the technologies that make the growing space economy possible.

Minnesota actually has a surprisingly deep set of companies connected to the space industry. Many state firms provide materials, electronics, engineering services, sensors, and manufacturing that go into spacecraft, satellites, and launch systems used by organizations such as NASA, SpaceX, Boeing, and Lockheed Martin.

Several notable Minnesota companies are directly or indirectly participating in the space economy. Here are just some of the state’s companies with space industry connections

1. ION Corporation (Eden Prairie) – Aerospace engineering and testing company doing direct NASA mission work.
2. Stratasys (Eden Prairie – Nasdaq: SSYS) – 3D printing is increasingly used for rocket engines, brackets, and satellite components.
3. QuesTek Innovations (has a facility in Waconia) – Advanced alloys and materials for rocket engines and extreme thermal environments.
4. Collins Aerospace (Burnsville) – Part of Raytheon Technologies. Collins systems are used in satellites, spacecraft navigation, and communications payloads.
5. Northrop Grumman (facility in Plymouth) – Global aerospace contractor. Minnesota operations contribute to electronics, engineering, and mission systems.
6. BAE Systems (Minneapolis) – Builds radiation-hardened electronics, sensors, and spacecraft avionics used in many satellite systems.
7. Chandler Industries (Minneapolis) – Supplies high-precision components used in spacecraft assemblies and aerospace hardware.
8. EarthDaily Analytics (U.S. operations in Maple Grove) – Uses satellite data and space-based imaging analytics for agriculture and climate intelligence, an important part of the satellite data economy.
9. Timmaron Group (Minneapolis and Silicon Valley) – Was a solution architect in the development of Starlink’s satellite system.

An Emerging Space Infrastructure Project

The Minnesota Aerospace Complex in Rosemount is a planned $1+ billion hypersonic testing and aerospace facility. Potential uses will be testing hypersonic vehicles, spacecraft reentry materials, and advanced propulsion systems. If completed, it could become one of the largest aerospace testing facilities in the U.S. (More here.)

Three Main Sectors

These Minnesota sectors feed the space industry:
• Advanced manufacturing: Minnesota has strong precision machining and electronics supply chains used by aerospace primes.
• Robotics & autonomy: Companies building robotics and AI systems for inspection, drones, and autonomous vehicles may transition to space applications.
• Satellite analytics & AI: Minnesota’s agtech and geospatial analytics firms increasingly rely on satellite data.

Little-Known Companies, But Some Big Ones, Too

Minnesota doesn’t yet have a large cluster of rocket startups, but it does have a quiet ecosystem of organizations connected to the space economy — often through satellites, materials science, robotics, geospatial data, and advanced manufacturing. Think the supply chain of space.

In geospatial and satellite data, consider Descartes Labs. It was founded in New Mexico but maintains a significant Minneapolis engineering presence. (Note: In 2024, Descartes Labs was acquired by EarthDaily Analytics, which has operations in Maple Grove.) It uses satellite imagery and AI to analyze agriculture, climate, and geopolitics. Its customers include U.S. government agencies and global enterprises. It works with data from NASA, ESA, and commercial satellite constellations. Satellite data analytics is one of the fastest-growing segments of the space economy.

In the category of robotics, sensors, and autonomy, don’t forget about a major tech firm like Seagate Technology (Nasdaq: STX) with its work in advanced data storage R&D. Storage systems are used in satellite ground systems and data infrastructure. Its technology supports satellite data processing pipelines.

Another publicly traded firm is SkyWater Technology (Nasdaq: SKYT), a Bloomington-based semiconductor foundry. It produces radiation-tolerant chips and advanced microelectronics. Radiation-tolerant semiconductors are essential for satellites and deep-space missions.

Why Minnesota Could Become a Space Supply-Chain Hub

Thus, Minnesota has many ingredients needed for space-industry infrastructure. Again, these are our main strengths: 1) advanced manufacturing – including precision machining and aerospace components, 2) materials science – extreme-environment materials and additive manufacturing, 3) semiconductors – specifically radiation-hardened electronics, and 4) AI and geospatial analytics – which is turning satellite data into usable insights.

A Trillion-Dollar Industry On the Verge of Breaking Out

For a further perspective in the space industry, and how 2026 could be the year things really take off (pun intended). see this recent blog post from my client Timmaron Group. (SpaceX IPO, anyone?)

And this recent WSJ article will provide some further perspective: The Space Economy Is Mission-Critical. Here’s What Leaders Need to Know.

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Postscript: The list of Minnesota companies above is not intended to be all-inclusive. Know of another company doing space-related work here in our state? If so, tell me in the comments.

 

Wait, Was That My iPhone That Just Flew Over Your Head?

It could have been if I had a “PhoneDrone Ethos” prototype — I could be buzzing you! But, sigh, I don’t have one … and none of us mere mortals will until they ship in September 2016. That’s as soon as the Kickstarter page promises. Nonetheless, as I write this, the product boasts some $238,000 pledged (well exceeding the $100,000 goal), and more than 900 backers — who apparently have no problem waiting for 11 months.

xCraft, the designer and manufacturer, is a drone company that scored a record-breaking $1.5 million investment on Shark Tank recently.  Continue reading

My Snippets from Another CES — the 2014 Edition

Following on from my previous post earlier today, here are some other cool things I saw of interest during  VegasMorning the latest CES show in Las Vegas — when I wasn't working, that is (which was 90% of the time):

Phantom 2 Vision: Your Flying (drone) Camera.

DJI_Phantom_II_Vision

 

 

 

 

 

An American auto entrepreneur’s vision comes to life

Elio_Motors

 

 

 

 

 

A BitCoin ATM

BitCoin_ATM

 

 

 

 

 

 

 

 

 

AirHDTV … up to 186 channels (press release)

AirHDTV

 

 

 

 

 

 

 

 

 

 

 

But the big Chinese company DJI, whose product is shown above, wasn't the only drone company at CES.  Minnesota-based QFO Labs (a client of mine) also was also there, though with a much smaller presence.

QFO-QuadFighter

The company showed its "Quad Fighter" product at the Nordic Semiconductor booth (one of its suppliers) in South Hall, and was a big hit there.  But the real excitement for QFO happened soon after it arrived back home, when it got a big surprise with its product being shown on national TV: Local toy-drone maker gets plug from U.S. Sen. Rand Paul (by Julio Ojeda-Zapata/St. Paul Pioneer Press).

Were you at CES 2014?  What was the coolest thing you saw?