Export Compliance Daily is a Warren News publication.

Space VC Funding Slowing Down: Panel

2021 was a robust year for space venture capital, but 2022 has a "more challenging environment," with VC investment trending downward quarter after quarter, said Maureen Haverty, Seraphim Space vice president-investment, in a Space Tech Expo webinar Tuesday. She said…

Sign up for a free preview to unlock the rest of this article

Export Compliance Daily combines U.S. export control news, foreign border import regulation and policy developments into a single daily information service that reliably informs its trade professional readers about important current issues affecting their operations.

early-stage and seed-stage investing are "holding on pretty well," but growth investment is taking a hit. She said deals in growth investment are faring better in the U.S. than in Europe, which doesn't have a strong growth investment scene in space anyway, while the U.S. investment community has more risk tolerance. Haverty said growth investors have traditionally focused on revenue and profitability, but 2021 was an anomaly where investors were more liberal in their standards. "Now the standards have returned," and companies seeking VC investment need to focus on revenue and profitability, she said. Ali Baghchehsara, president of space propulsion startup Plasmos, said the investment environment will likely remain more challenging for a while. He said for companies seeking funding, the focus needs to be on having a simple story and on achieving milestones to demonstrate progress.