Leo Space Secures Strategic Investment from Contec and AP Satellite

Leo Space, a domestic company specializing in small satellite payloads, announced on January 22 that it has secured strategic investments from Contec, a satellite ground station operator, and AP Satellite, a company specializing in satellite communications. The three companies will begin full-scale collaboration to establish a NewSpace ecosystem that encompasses satellite manufacturing, operation, and services.

On January 9, Leo Space signed a strategic investment and business cooperation agreement with Contec and AP Satellite. Through this investment, Contec and AP Satellite have acquired a stake in Leo Space; however, in accordance with mutual agreement, the specific investment amount and shareholding ratio have not been disclosed.

With Leo Space’s satellite payload development capabilities joining forces with companies possessing ground station infrastructure and communications technology, a collaborative model covering the entire value chain of the satellite business is expected to be established.

The core of this partnership lies in organically linking each company’s key technologies to provide an integrated solution that spans the entire lifecycle of satellite operations. Leo Space’s core competencies include high-resolution optical payloads for small satellites and laser communication technology (LCT) for both inter-satellite and satellite-to-ground links. The company is particularly focused on developing remote sensing payloads for low Earth orbit satellites and free-space optical communication (FSOC) technology, with the goal of localizing space optical technology.

Contec, leveraging its global ground station network and experience in satellite operation services, will support Leo Space’s payload and optical communication technologies to ensure stable operation, validation, and commercialization in real mission environments. Contec will also provide infrastructure for receiving and processing data collected by satellites in orbit and transmitted to the ground.

AP Satellite, drawing on its accumulated technological expertise and business experience in the field of satellite communications, will focus on reviewing next-generation satellite communication technologies and identifying joint business opportunities in the NewSpace application market.

Through this partnership, the three companies will connect the value chain from satellite payloads to ground stations to communication services. They plan to expand commercial missions and demonstration projects based on small and ultra-small satellites. Joint business planning and entry into the global NewSpace market will also be accelerated.

In the short term, the three companies plan to gradually expand the scope of their collaboration through small satellite constellation missions, ground station-linked proof-of-concept (PoC) projects, and joint business development targeting overseas NewSpace customers.

Leo Space will use this partnership as an opportunity to progressively develop a full-cycle business model covering mission planning, payload development, ground station integration, operation, and service demonstration. The company’s strategy is to move beyond supplying individual technologies or products to establish a mission-oriented integrated solution delivery system.

A Leo Space representative stated, "The participation of Contec and AP Satellite as strategic investors is a recognition of not only our technological competitiveness but also our potential for expansion in the NewSpace market. We will pursue both technology demonstration and commercialization to achieve meaningful results in the global market."

Founded in 2021, Leo Space is a space optics specialist headquartered in Daejeon. The company is focused on developing innovative optical solutions with the goal of localizing space optical technology. Currently, Leo Space is conducting research and development to commercialize optical payloads and laser optical communication technology for small satellites.