The Indian Space Research Organisation (ISRO) entered into a formal agreement with Hindustan Aeronautics (HAL) to transfer technology for the manufacturing of Small Satellite Launch Vehicles (SSILV).

The victory of state-owned HAL in the Rs 511-crore bid will enable it to construct, integrate, and run SSLVs, which are intended to launch payloads of up to 500 kg into low-Earth orbit.

The initiative aims to bolster India's status in the worldwide small satellite sector, anticipated to surpass $60 billion by 2030, in addition to enhancing India's launch services sector, which is projected to expand at a CAGR of 21 percent from 2024 to 2030, as reported by Frost & Sullivan and Grand View Research.

“It will not only expand India’s commercial launch capacity but also create synergies for startups such as Agnikul, Skyroot, and many emerging small-satellite manufacturers, who will benefit from faster and more affordable access to space,” says Anil Prakash, director-general, SIA-India (SatCom Industry Association).

Also Read: The Quantum Computing Age is Upon US Sooner than Expected

As per the agreement, ISRO will offer a two-year support and training initiative, encompassing design, integration, commercial procedures, and flight preparedness. HAL is projected to manufacture its initial SSLV by 2027, after which it will service both local and global markets independently. Industry estimates indicate that HAL might ramp up production to 6-10 rockets each year.

Also Read: Karnataka to Become Quantum Capital of Asia Soon

“The entire ecosystem from component suppliers to specialized vendors will be catalyzed by this development, while also opening doors for international collaboration and offering payload customers umpteen ride-share and customized launch options,” Anil adds.

Also Read: Semicon India 2025: Designing A Self-Reliant Semiconductor Hub

“This agreement is part of that movement, where ISRO will guide the HAL team on the preparedness-to-flight tangent of SSLV. This would define the next phase of deep-tech collaboration in space in India,” says Dr V Narayanan, secretary, department of space and chairman, ISRO.