Capital, Commerce, and the Case for Space as a Serious Asset Class
At spaceNEXT 2026, Raphael Roettgen, Founder of E2MC (Earth to Moon Capital), delivered a clear-eyed assessment of where the space sector stands — not technologically, not geopolitically — but financially.
The question he posed was direct:
What would it take to make space a broadly investable, significant asset class?
“We’re getting closer,” he said. “But we’re not quite there yet.”
Space vs. AI: A Capital Gap
Roettgen grounded his remarks in numbers.
Global venture investment in space in 2025 totaled roughly $12 billion. Respectable. Growing.
But AI attracted approximately $200 billion in the same year.
To many investors, space remains a niche theme.
Yet Roettgen reminded the audience that this perception is temporary — and familiar.
“Ten years ago almost no one cared about AI,” he said. “Now look at it.”
Biotech followed a similar trajectory. At one point speculative and thinly funded, it eventually matured into a sector supported by hundreds of specialized funds and tens of billions in annual capital.
Space, he argued, is at a similar inflection stage.
Building the Ingredients of an Investable Sector
Making space investable at scale requires more than compelling missions and breakthrough engineering.
It requires infrastructure — financial infrastructure.
First, there must be a steady pipeline of companies beyond a handful of giants like SpaceX. That means entrepreneurs must be discovered, incentivized, coached, and supported through accelerators, venture studios, and university programs.
Roettgen’s firm, E2MC, operates at the seed stage and runs accelerators globally, including one in India and a U.S.-based program in partnership with the ISS National Lab.
Universities, he emphasized, are critical. They generate intellectual property, but commercialization must follow. Research funding, tech transfer, and entrepreneurship training are foundational inputs into a durable space economy.
Second, investors must become comfortable with the sector.
And that comfort is not automatic.
“We’re sometimes literally talking about rocket science,” he said.
Generalist investors need to understand not only market size and business models, but also the technical risks embedded in space companies. That requires trusted technical diligence, specialist funds, and advisors who can bridge the gap between engineering and capital.
The Importance of Success — and the Danger of Failure
Capital follows returns.
Roettgen stressed the importance of visible exits — mergers, acquisitions, IPOs — to recycle capital back into the ecosystem.
Recent examples include space-related acquisitions by IonQ and IPOs such as Voyager, Firefly, and York. And on the horizon looms what he described as the “500-pound gorilla” — the anticipated SpaceX IPO.
When early investors realize substantial gains, some of that capital will flow back into the sector.
But he also issued a warning.
The space industry must avoid its own version of Theranos — a high-profile collapse that could damage investor confidence for years. Vigilance and credibility matter.
The Inflection Point Is Coming
Every major asset class experiences a moment when broad attention shifts.
In AI, Roettgen said, that moment was the release of ChatGPT 3.5 — the point at which AI moved from specialist circles into mainstream capital markets.
Space may be approaching its equivalent moment.
Perhaps it will be Artemis missions returning humans around the Moon. Perhaps it will be the SpaceX IPO. Perhaps it will be a combination.
“There will be a world before and after that moment,” he said.
Why Public Markets Matter
Private venture capital, while important, cannot match the scale or liquidity of public equity markets.
The total market capitalization of U.S. public equities stands at roughly $70 trillion. For space to mature into a major asset class, it must fully integrate into those public markets.
That requires what Roettgen called “public markets infrastructure” — space-savvy investment bankers, equity research analysts, and institutional investors capable of evaluating space companies with rigor.
Today, that infrastructure is limited.
After a landmark IPO event, he argued, it will no longer be optional.
“No one on the sell side or buy side will be able to ignore space anymore.”
Unlocking Corporate Capital
Beyond investors, Roettgen identified another largely untapped capital base: non-aerospace corporates.
Traditional defense and aerospace primes are deeply embedded in the sector. But the hyperscalers, pharmaceutical companies, semiconductor manufacturers, and advanced materials firms have only begun to engage.
Orbital data centers, microgravity manufacturing, lunar resources — these represent opportunities that could unlock significant private capital.
Engaging non-aerospace corporates, he argued, would diversify revenue beyond government spending and strengthen the sector’s long-term resilience.
Escape Velocity for an Asset Class
Roettgen closed with a call to action.
Space has strong government backing. It has inspiring missions. It has viable business opportunities — from satellite infrastructure to in-space manufacturing and beyond.
But building a true asset class requires bottom-up effort.
Education. Mentorship. Technical diligence. Outreach.
“I spend about 15–20% of my time on outreach and education,” he said. “I would encourage all of you to try to do the same.”
His firm’s motto, he concluded, is “Prosperity and Freedom.”
For Roettgen, the space economy is not simply about capital allocation. It is about building a durable economic foundation as humanity expands outward — one capable of generating prosperity while reinforcing shared values.
“If you’re about to embark on the space journey,” he said, “please do join us.”