- Reading-based NewOrbit has secured £13.8 million in fresh funding.
- The company plans to launch its first satellite mission in 2028.
- Its technology is designed to operate in a little-used region of space much closer to Earth.
A Reading-based space technology company has raised £13.8 million ($18.5 million) to develop a new generation of satellites that could eventually challenge parts of the market currently dominated by Elon Musk's Starlink.
NewOrbit, a UK spacetech start-up founded in 2021, is building satellites designed to operate in very low Earth orbit (VLEO), a region roughly 200 to 300 kilometres above the planet. The company believes working at these lower altitudes could deliver stronger communications, sharper imagery and faster data services than traditional satellite networks.
The funding round, led by Voyager Ventures, brings NewOrbit's total funding to approximately £21.6 million and will support technology development, customer missions and the construction of a manufacturing facility in the Thames Valley.
A new frontier closer to Earth
Most commercial satellites operate hundreds of kilometres above Earth. NewOrbit's strategy is different. It wants to place satellites much closer to the planet in a region that remains largely unexplored by commercial operators.
Chief executive and co-founder Anatolii Papulov said the company sees an opportunity in the space between aircraft and traditional satellites.
Operating at lower altitudes could allow satellites to transmit stronger signals and gather more detailed data while reducing the need for large ground-based infrastructure.
According to the company, satellites operating in VLEO could potentially provide higher-quality Earth observation imagery at significantly lower costs while opening the door to future applications such as direct-to-device connectivity and real-time high-definition video transmission.
The challenge is that VLEO is an extremely hostile environment for satellites.
Atmospheric drag, atomic oxygen and other forces can damage spacecraft and pull them out of orbit within weeks. These technical obstacles have historically limited commercial activity at such low altitudes.
NewOrbit says it has developed proprietary systems, including an air-breathing electric propulsion technology based on ion thrusters, to overcome those challenges and keep satellites operational for up to five years.
The company is currently developing its own electronics, software, thermal systems and satellite control technologies as part of a vertically integrated approach.
Big ambitions in a growing space race
The fresh investment arrives at a time when investor interest in space infrastructure continues to grow.
While NewOrbit does not currently compete directly with Starlink, the company believes its technology could eventually support governments, telecommunications providers and commercial operators seeking alternatives to existing satellite networks.
Papulov has argued that many countries are increasingly focused on developing sovereign communications capabilities and reducing dependence on foreign infrastructure.
The start-up plans to move into a new 2,000-square-metre manufacturing facility in early 2027 before carrying out its first satellite launch in 2028. Commercial customers are expected to fly on that initial mission as NewOrbit attempts to demonstrate the advantages of operating closer to Earth.
Founded by Papulov and chief technology officer Ruslan Rakhimov, the company now employs around 30 people in Berkshire, including engineers recruited from organisations such as Nasa's Jet Propulsion Laboratory and SpaceX.
For now, NewOrbit remains a relatively small player in the global space industry. But its latest funding round suggests investors are willing to back the idea that the next frontier in satellite technology may lie much closer to Earth than previously thought.
