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Why UAE’s space sector is shifting from missions to building a global satellite industry
For Ali Al Hashemi, the country's space future will depend less on new launches and more on building a globally competitive commercial ecosystem
- PUBLISHED: Fri 7 Aug 2026, 6:42 PM
Building a satellite is no longer the biggest challenge in the space industry. Building a sustainable business around it is.
For Ali Al Hashemi, CEO of Space Services at Space42, the future of the UAE's space sector will not be defined by the next high-profile launch, but by whether the country can build a commercially viable ecosystem that competes globally.
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"You can manufacture satellites tomorrow by throwing blind money at the problem," Al Hashemi told Khaleej Times. "But the real question is how to make that commercially feasible. That is what we are working on today — becoming more vertically integrated while remaining a commercially driven company."
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The comment points to the next test facing a UAE space sector that has already sent missions to Mars, placed Emirati astronauts in orbit, developed Earth-observation satellites and built commercial communications networks.
The coming era, Al Hashemi argues, will be judged less by whether another spacecraft can be launched and more by whether the country can control enough of the supply chain, operate at scale and sell services that survive global competition.
It is a distinction shaped by his own route into space.
How did Ali Al Hashemi's career begin?
Al Hashemi began as a mechanical engineer at Gasco, where procurement taught him that a complex machine is also a financial and supply-chain problem.
“It was an eye-opener,” he said. “Engineering procurement requires technical knowledge, but you must also understand suppliers, finance and how every part comes together. A satellite literally contains components from all over the world, so that experience became a strong foundation for understanding how to assemble a complex system and bring it to life.”
He later worked at Mubadala before moving into Yahsat’s government-services business. He went on to lead Thuraya after Yahsat acquired the mobile satellite operator in 2018, became Yahsat Group CEO in April 2021 and oversaw its initial public offering on the Abu Dhabi Securities Exchange that year.
Yahsat merged with geospatial intelligence company Bayanat in October 2024 to create Space42, combining satellite communications with Earth observation, data analytics and artificial intelligence. Al Hashemi now leads the company’s Space Services division, which handles its satellite infrastructure and fixed and mobile connectivity businesses.
His role also reaches beyond the company. Al Hashemi sits on the UAE Space Agency’s board and the board of the National Space Science and Technology Center. In September 2025, he became the first Emirati elected chairman of the Global Satellite Operators Association, after serving as its vice-chair since 2023. The CEO-led body represents satellite companies in discussions over spectrum, regulation, technical standards and the responsible use of orbit.
That combination of commercial, government and industry roles gives him a view across a sector whose economic logic is changing.
For decades, satellite communications followed a relatively simple principle. A larger satellite could carry more capacity, lowering the price of each megabit sold.
What is Space42's strategy?
“Before the new space initiatives, the idea was simpler: the bigger, the better,” Al Hashemi said. “If you had a bigger satellite, you had more megabits, and the price could go down for the consumer.”
Today, companies are proposing constellations containing hundreds or thousands of spacecraft. Satellites are getting smaller, launch access has widened, and the border separating terrestrial telecommunications from space networks is beginning to weaken.
But Al Hashemi cautions against replacing one simple rule with another.
“The philosophy that bigger is always better is not necessarily right in space,” he said. “People are talking about constellations of 2,000, 5,000 or 20,000 satellites. That may produce a better system, but only if the other ingredients are there. You have to consider spectrum, terminals, standards, power consumption and the economics of delivering the service.”
Space42’s own strategy reflects that movement away from treating the satellite as the final product. The company was created to connect spacecraft with geospatial data, artificial intelligence and services delivered on Earth. Its proposed Equatys venture with Viasat, for example, is intended to provide shared satellite infrastructure that telecommunications operators could use without constructing separate global systems.
Yet Al Hashemi does not describe the UAE’s industrial work as complete.
He says the country now has national capability across space policy, scientific research, exploration, satellite operations and product development. The UAE Space Agency handles policy and regulation, the NSSTC develops research and spacecraft technology, Mohammed Bin Rashid Space Centre leads exploration and astronaut programmes, while companies including Space42 operate commercial services.
“We cover almost every aspect of space,” he said. “We have Emiratis working in policymaking, research and development, exploration, Earth observation, communications, product development and satellite operations. In that sense, the UAE has built the full stack.”
The phrase does not mean every satellite component is already designed and manufactured locally. By Al Hashemi’s account, the unfinished layer is large-scale commercial manufacturing and deeper vertical integration that can justify itself economically.
“When it comes to unique missions, we have built a high degree of independence,” he said. “Heavy commercial manufacturing and vertical integration are still coming. I would not simply say they are lacking because we are actively working through how to build them properly, instead of manufacturing for the sake of saying that we manufacture.”
The Space42 merger itself was partly presented as a route towards that deeper integration. Combining Yahsat’s satellite infrastructure with Bayanat’s downstream data and AI capabilities was expected to create opportunities across a larger part of the value chain. Whether those pieces produce repeatable international business will be the practical measure of success.
The competition will not wait, he stressed. Global satellite ventures are backed by companies and founders capable of committing billions of dollars to spacecraft, launches and ground infrastructure.
“It is not a walk in the park,” Al Hashemi said. “We are competing with very deep pockets, but simply having cash will not make you win this game. You need the right technical choices, the right expertise, commercial discipline and the right way of thinking.”
The UAE’s first space era was about proving that it could enter the field. The next will be harder to photograph — supply chains, factories, standards, customers, and businesses that continue working long after the launch ceremony ends.
Ahmed Waqqas Alawlaqi is the youngest Special Correspondent, reporting from Abu Dhabi on youth, AI and innovation, and human-interest stories. His work brings exclusive perspectives from the Capital, highlighting voices that shape the UAE's future.