NewSpace: A Wave of Private Investment in Commercial Space Activities and Potential Issues Under International Investment Law

Abstract

Abstract The space industry is witnessing a commercialization wave which is commonly circumscribed by the term NewSpace. Together with the increasing commercialization, legal issues in the space sector may require rethinking, laws and regulations form other sectors may become relevant, and new laws and regulations need to be developed. Overall, there are significant risks associated with the legal and regulatory framework under which NewSpace companies are operating. Some of these risks could generally be mitigated through the application of investment treaties. In this regard, it is not an obstacle that space activities are taking place beyond the limits of national jurisdiction. Administrative rights, such as a governmental license to undertake commercial space activities, are one of the most eminent and likely area where space companies may present claims against a foreign government. The level of protection in relation to these administrative rights may differ from one investment treaty to another.