Delivery Plan 2014-2019 To innovate for a better world, empowered by satellites sa.catapult.org.uk Table of Contents 1.0 Satellite Applications Market Overview 3 1.1 Introduction and Mission 3 1.2 The Market, Innovation and Growth 3 1.3 Challenges and Opportunities for Innovators 5 2.0 Our Vision, Strategy and Measures for Success 7 2.1 Vision and Strategy 7 2.2 Energising the Market 7 2.3 Empowering the Technology 8 2.4 Enabling Business 9 2.5 Establishing World-Class Facilities 10 2.6 Attracting and Developing Top Talent 10 2.7 Building a UK Focus, with Global Reach 11 2.8 The Catapult Difference – The Pursuit of Impact 12 2.9 Measures of Success 14 3.0 Executing the Strategy 15 3.1 Energising the Market 15 3.2 Empowering the Technology 17 3.3 Enabling Business 21 3.4 Establishing World-class Facilities 22 3.5 Attracting and Developing Top Talent 25 3.6 Building a UK Focus, with Global Reach 26 4.0 Increasing our Impact 29 4.1 First Year 30 4.2 Delivering Long-term Impact 30 4.3 Targets to Increase our Impact 33 2 Delivery Plan 2014-2019 1.0 Satellite Applications Market Overview In July 2013, Europe’s largest and most sophisticated telecommunications satellite was launched successfully into orbit. Known as Alphasat, this satellite was built for London-based commercial services provider Inmarsat, in partnership with the European Space Agency. The essential on-board communications system, or ‘Payload’, was provided by Astrium UK, of Stevenage. In total, more than 100 hi-tech UK businesses, mostly SMEs, contributed to the supply chain. Through this straightforward statement, we place the Catapult right at the heart of the transformation in satellite services, and evoke thoughts of global impact through the power of satellites to bring solutions to the challenges of both a modern and a developing world. Throughout the remainder of this document, we explain how we will deliver on that mission. ©ESA 1.1 Introduction and Mission This single story highlights, very powerfully, the strength and vibrancy of the UK space sector. In particular, it demonstrates the appetite to invest in satellite technology for the real-world benefits that it delivers. Alphasat is more than just about putting world-class technology into space. It’s about delivering worldleading services on the ground, in the air, and out at sea. This is where the UK excels. Of course, this is not an isolated story. Since the Satellite Applications Catapult was established, in May 2013, there has been a tremendous response to the services we offer, and engagement continues to be right at the top end of expectations. As a consequence, the need to establish the organisation, build and grow the team, develop and deliver our core offerings – whilst at the same time managing and responding to the huge demand from our user and stakeholder groups – has been a challenge. Nonetheless, we have come a long way in a very short time, and through this first update of our five-year delivery plan, we take the opportunity to review our progress and update future plans. During the course of our first year, our ‘Mission’ has matured in both its simplicity and its ambition. It now reads: “To innovate for a better world, empowered by satellites” sa.catapult.org.uk 1.2 The Market, Innovation, and Growth The UK’s Space Innovation and Growth Strategy (IGS), first published in February 2010 and recently updated, has created real momentum in our sector. It has brought industry, academia and Government together around the common cause of driving economic growth, and has provided the foundation for a transition of the UK Space sector from a niche industry to a hightechnology, mainstream, industrial sector. The Space Growth Action Plan (GAP) re-affirms the role of the Catapult in implementing the original recommendations, and identifies new actions that are needed to maintain momentum. The global space economy was worth £150bn in 2013 and is projected to grow to £400bn by 2030. The target set in 2010 was to grow the UK’s share of the World space economy to 10% by 2030, representing a UK sector worth £40bn per annum and the creation of 100,000 new jobs. 3 Satellite Applications Market Overview A key finding of the new Space GAP is that in order to deliver the expected growth of the sector, the UK will need to grow the current level of exports of space technology and services from the current £2bn to an estimated £25bn; i.e. from 22% of the sector, to around 60%. Most of this needs to come from the applications and services sector. This will clearly require a major shift in the focus. The Catapult will play its part in this growth as illustrated below. We will stimulate, catalyse and make a strong contribution by driving new cycles of industry growth and innovation. Satellites provide widely enabling technologies such as positioning, communication and observation that are applicable across many sectors and facilitate market specific applications to be developed on top of them. The big successes for the satellite sector will arise when new innovations that influence the underlying technologies can be applied across many markets. Such technological innovations will enable businesses to respond to major social trends and deliver value Catapult Impact £Mx10s Catapult Impact £Mx100s across all aspects of society, from cities through to remote and rural areas, supporting integrated transport, the digital economy and a sustainable future. Working with the Space Innovation Growth Strategy team, we have jointly identified five key areas where satellite technologies and specifically the Satellite Applications Catapult can have the greatest impact. The relative opportunity size weighted by relevance of our intervention is outlined in the figure to the right. Many of the Catapult’s efforts and resources including programmes, technology themes and facilities are mapped to these key markets in the figure. Our initial market focus in maritime and transport allows us to address many of the key areas and pull technical innovations from our technology themes, that are applicable across markets, closer to commercialisation. “Innovation is a contact sport” AnnaLee Saxenian, UC Berkeley Catapult Impact £Mx1000s 45,000 40,000 35,000 UK Turnover (£M) 30,000 25,000 20,000 15,000 10,000 5,000 - Year 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 UK turnover global share up to 10% (£M) Catapult Impact UK turnover without IGS (£M) 4 Projected growth of the UK space economy with the Catapult making a strong contribution to IGS targets Delivery Plan 2014-2019 IGS £ Market Areas “Learning and innovation go hand in hand. The arrogance of success is to think that what you did yesterday will be sufficient for tomorrow.” M2M Maritime Satellite Broadband Finance & Insurance Transport Galileo PRS Smart Cities Secure Sat - Comms 24/7 Surveillance Broadband to Ships & Planes Agriculture William Pollard UAVs Energy Access Disaster Recovery Forecast Energy Infrastructure Location-based Services Polar Shipping Game Changing Services Climate & Environment More efficient Public Services Security, Safety & Resilience e-connectivity - Maritime - Transport - Agri-Tech - SSGP - Security & Resilience - Energy - Maritime - Transport - Future Cities - Agri-Tech - Security & Resilience - SSGP (Space for Smarter Government Program) Focus of our activities against IGS market areas to enable wide impact. The size of the boxes in the IGS market is indicative of the size of the opportunity weighted by relevance of Catapult intervention. Market Programmes - Maritime - Transport - Future Cities - Energy - Maritime - Future Cities - Energy - Future Cities - Transport - SSGP - Security & Resilience - Energy Also shown are select Catapult programmes, technology themes and facilities to show their wide enabling impact. Green highlights an important focus for the Catapult. Tech Themes / Facilities Ops Centre PRS CEMS Mission Comms OSA M2M 1.3 C hallenges and Opportunities for Innovators All innovators face challenges, regardless of the sector they operate in. However, there are challenges unique to satellite applications, which are particularly inhibiting to new entrants in our sector. Helping to address these quickly and effectively will enable unrealised opportunities, reduce risk, and enhance prospects for growth. These challenges, alongside the major opportunities that are opening up, define the capabilities we will need to develop to support our innovator community. While most growth in the UK space sector is projected to come from downstream satellite applications, those sa.catapult.org.uk businesses rely inherently on upstream assets. This results in a unique set of challenges in addition to those faced by any other innovative business, which includes physically getting your product to space and navigating the complex national and international regulatory environment. We have identified and are working to address the following key blocking issues: •Regulatory Issues – insurance and licensing is prohibitive in the UK •Risk perceptions – people often unknowingly consider the risk of working with space technologies to be high 5 Satellite Applications Market Overview •Awareness – most organisations don’t think of satellites when looking for solutions • Cost – satellite data and services are perceived to be expensive, while innovations are bringing costs down •Access – reliable satellite data and services for non-experts will open up the sector •Timeliness – improvements in real-time access and downlink will improve uptake. 1.3.1 Disrupting Established Markets In a call to entrepreneurs, Elon Musk, founder of PayPal, Tesla, and SpaceX, highlighted the opportunity inherent in disrupting established markets, “I’d advise that people consider arenas outside the internet. There’s a lot of opportunity in other industries, especially ones that have been dominated by a monopoly or oligopoly. When an industry has had an absence of new entrants, it has a lack of innovation”. This can make it hard to initially open up the rigid supply chains but does give opportunities for new players to come in and shake things up. The internet, by contrast, is already wellsaturated with start-ups, to the point where innovation starts to mean tiny, incremental things. Space and satellite applications have historically been the business of governments and large industry contracts, but they are now opening up. With the lack of new entrants limiting competition, until recently innovation remained low and prices have remained high. Recent innovations are offering opportunities for private enterprise like never before, such as; the cost of access to space, new low-cost satellite constellations and improved usability, accessibility and timeliness of data. These opportunities require new people to engage with the sector to develop new businesses and ways of working. By addressing the challenges and capitalising on the opportunities, the Catapult aims to speed up the emergence of entrepreneurs and new business models to the space sector, thereby increasing innovation and economic growth. 6 1.3.2 Changing Public Perception There is a view that space is high-cost and discretionary and there is very little awareness in our public consciousness of the fantastic progress that has been made in the commercialisation of space, especially in the UK. Many children of the 60’s and 70’s who studied engineering and sciences will admit to having been inspired by the Apollo programme and the early space pioneers. This engenders a high-cost, discretionary view when today, through companies like SpaceX, it is actually becoming accessible and the domain of commercial private enterprise. The £9bn UK space economy, which supports 25,000 employees and a further 60,000 indirectly, is one of the least subsidised parts of the UK economy in a traditionally big government arena. Raising awareness of the opportunities from satellite applications is important. We now have a generation of decision makers and influencers in all facets of society who have a very incomplete and indeed negative perception about what space does for the economy. Though a few satellite technologies are well-known to the public such as TV and GPS, space is often deemed a discretionary cost, rather than an increasingly essential asset. To be effective in our mission, we need to educate, to change perceptions and provide solutions to the blockers so that our satellite application innovators can be successful. These are not by any means the only difficulties that innovators in space face, but they do give a flavour of the types of unique challenges to be overcome and the opportunities available. n “If I’d asked my customers what they wanted, they’d have asked for a faster horse.” Henry Ford Delivery Plan 2014-2019 2.0Our Vision, Strategy and Measures for Success 2.1 Vision and Strategy Energi sing ss ling busine Enab te ch nolo gy • Empowering the Technology Building a UK Focus, with Global Reach e th • Energising the Market Establishing world-class facilities g The first three strategic elements, represented by the red arrows around the wheel (opposite), relate to the impact we aim to deliver within our target community: Attracting and developing top talent Emp o we rin Our strategy comprises six elements, which together describe how we intend to deliver the ambition set out in our Vision. m t “To be a world-leading technology and innovation company, helping businesses of all sizes to realise the potential from space. By embracing a pioneering, agile, collaborative and entrepreneurial spirit, we create valued partnerships to deliver game-changing results” t he ke ar Our vision is : 2.2 Energising the Market In order to grow the sector, we need to increase demand for the services that it offers. The UK space sector is becoming increasingly dynamic, with the non-space sector leading the way in the adoption of satellite services. However we need to unlock latent demand, create new demand and drive exports. We will provide the fuel for this transformation by: • Enabling Business. The second three elements of our strategy, shown by the blue segments at the heart of the wheel, concern the foundations we need to build and sustain within the Catapult so we can deliver that impact: • Establishing World-Class Facilities • Attracting and Developing Top Talent • Building a UK Focus, with Global Reach. The following paragraphs expand on these six core strategic elements, followed by a view of why we are different and how we work to drive economic growth. sa.catapult.org.uk •Promoting the sector and its capabilities. We aim to work with the sector and take the lead in activities to promote the capabilities of satellites, encouraging non-space businesses and potential users to “think space” and engage with the sector. •Creating awareness and engaging stakeholder communities to drive application commercialisation in particular growth markets. In specific markets we must create awareness and solicit user needs by orchestration of activities with users, innovators, suppliers and application developers. We need to encourage applications to be developed on top of enabling technologies, pulling them closer to commercialisation. 7 Our Vision, Strategy and Measures for Success To achieve impact on the economy, we must encourage commercial usage and develop new end customers. Where appropriate, these engagements will leverage other funding to undertake market-led research and development. Over the lifetime of this five-year plan, investment will come from customers, the Catapult itself, UK Space Agency, Technology Strategy Board, Local Enterprise Partnerships (LEPs), devolved administrations, European Space Agency (ESA), European Commission (primarily Horizon 2020) and Research Councils. Our real economic impact, and that for the community, happens when projects generate business growth. Real success for us is when we exit an initiative and set it free. and terrestrial systems are seamlessly integrated, innovations are taking place in all aspects of satellite technologies. Costs are reducing and access increasing. To capitalise on this, we need to support development of new: •Information services with remote sensing technology: Led by technologies that support miniaturisation and low cost missions are creating new opportunities when combined with new business models and improved ease of access and use of data. •Location-based services with enhanced satellite navigation: All of us are increasingly dependent on satellite positioning systems. Innovations in satellite navigation systems provide increased accuracy and assurance. Combining new systems with other terrestrial positioning systems will provide resilience sufficient ©ESA •Showcasing the power of space-derived services. We need to help suppliers and innovators showcase commercial applications and emerging technologies to attract customers. 2.3 Empowering the Technology For satellite technology to deliver its full potential it needs to be placed in the hands of users in a way they understand it and can use it – and quite possibly don’t even know they are using it. We need to present the technology in a way that creates opportunities, instead of obstacles. Our activities need to empower organisations to work together and use satellite systems. We aim to create development platforms and intellectual property to facilitate the rapid and low cost development, testing and deployment of applications that utilise satellite assets, services or data. As we look towards a future in which satellite Sentinel 1 – orbiting the Earth “With our world-class facilities and expertise, we will unlock the market potential, enabling businesses to develop commercial services” 8 Delivery Plan 2014-2019 for safety critical applications like autonomous transport systems •Connectivity services with satellite communications: Emerging communications and broadcast satellite technologies, coupled with hybrid satellite/terrestrial communication systems make possible radical changes in the types of services which can be delivered, and an era of seamless, ubiquitous mobile connectivity. •Mission concepts to deliver to new satellite services: New approaches for development of cubesats and nanosats are disrupting the existing satellite markets. It is anticipated that such satellites will in future change the cost and timeliness of data, thereby creating new opportunities to address societal and business needs. The UK has strong heritage in the development of small affordable satellites and the infrastructure to deploy them. •Application innovations by empowering users: The advent of cloud-based processing has driven innovation in the creation and delivery of applications. This, combined with the ubiquitous availability of location-aware smart-phones and improved ways of accessing and presenting data, are enabling the Connected Digital Economy. To achieve our goals we need to create teams with core competencies in each of these key technology areas. These teams must work with the community to develop programmes, create platforms and deliver projects to enable the UK to capitalise on this innovation and economic potential. Our objective is to establish a rich ecosystem of satellite application development within the UK; encouraging investment in skills; providing companies with the tools and expertise to develop and exploit satellite applications so they can compete effectively in national and global markets. Importantly, we are opening up opportunities to non-experts in the way that the wider internet has fuelled entrepreneurship. sa.catapult.org.uk 2.4 Enabling Business The space sector is full of great ideas, but only a few become reality. Entrepreneurs and existing businesses require advice, resources and funding to drive growth. We connect entrepreneurs and businesses with the resources they need to launch and succeed. By filling gaps in provision in the entrepreneurial ecosystem and focussing on stimulating virtuous feedback loops in that environment, we aim to make the space sector a long-term engine for economic growth. Now is the perfect time to be starting businesses in this sector and we need to attract more entrepreneurs and innovators to drive growth. We have a three pronged strategy for enabling business based upon identified need: •Stimulate New Businesses: The access and opportunity in the space sector today is unprecedented. The cost of building and launching satellites and access to data has never been lower. As a previously closed and conservative sector, stimulating new businesses is key. We must stimulate new people to start businesses to capitalise on this opportunity. This involves engaging with new users, developers, financiers and others. •Grow Existing Businesses: Supporting current businesses to grow is vital. Businesses need to scale for the industry to succeed. £2M revenue businesses need to become £10M businesses with £10M growing to £100M. This can be supported by targeting gaps in the provision of facilities, services, expertise and business support. Access to finance at both start-up and growth stages, and support in developing and getting products to market, are further areas where there is a need. •Create the Environment: Enabling businesses to develop requires a supportive industrial and regulatory environment. The UK must deliver interventions that address regulatory barriers and market failures, and make the UK the best place to grow a space/satellite business. 9 Our Vision, Strategy and Measures for Success We aim to stimulate a vibrant national space sector by improving the supply of finance, business support, information and skills. Leveraging existing capability where it exists is essential, as is documenting, organising and signposting resources. The aim is to create a virtuous circle that drives growth of the industry across the value chain. The successful businesses of today become the investors and mentors of tomorrow and the flow of need from end-customer through the supply chain is complemented by the ambition, cooperation, skills and finance needed for the industry to grow. Our approach to enabling businesses is focussed around the experience of our customers. We want businesses that engage with the Catapult to have such a positive experience that they want to return for more. Everything we do is executed with this in mind to stimulate a positive feedback loop. 2.5 Establishing World-Class Facilities Facilities and platforms can increase the UK’s international competitiveness by providing ways to accelerate the development of new satellite applications and services. They are key to lowering barriers to access and ease of use of satellite data. They underpin our activities, supporting demand generation, problem solving, and facilitate delivery into the market quickly and efficiently. Our facilities and platforms must drive: • Innovation and collaboration: The environment we create needs to act as a catalyst for open innovation and collaboration between customers and suppliers. From our rooms and innovation spaces to our technical facilities, this can generate new business opportunities for the UK, as well as stimulating market-directed research and development. • Applications and solutions: Creating an “end to end” service environment 10 will enable users to access a huge variety of satellite data in new and innovative ways, allowing organisations to prototype, develop, integrate, test and demonstrate new products, services and applications. Where there are gaps in provision, we will collaborate to fill the need. At a national level, we will combine this service offering with other facilities to act locally across the UK to help lower the entry barrier to market for new enterprise. Our facilities stimulate innovation, generate revenue for the Catapult and in the future some can be spun off into industry or a new business to stimulate further economic growth. Importantly, they allow both the industry and the Catapult to scale and deliver benefits widely. 2.6 A ttracting and Developing Top Talent The best talent is key for the space sector. Our most important asset is our staff. The opportunity presented by the growth of the sector requires the best people from the space sector and new people from other backgrounds to engage, bringing new thinking and ideas. We aim to employ a diverse group of people from a range of backgrounds each bringing with them a distinctive skill set that creates a unique foundation for the work we do. We will look to provide end to end expertise to support the development and commercialisation of satellite applications. We see it as critical to foster an open and collaborative culture that stimulates and develops our staff and encourages collaboration and innovation. We must work hard to create an environment which is dynamic, exciting, challenging, rewarding, flexible and, most importantly, fun. This is key in bringing a difference to the sector and helping stimulate innovation. We want our staff to be excited about what the Catapult does but, more importantly, by the work they do. We will Delivery Plan 2014-2019 challenge them with important initiatives and make sure they have the visibility to see how their work makes a difference. We then need to encourage the talent that we attract to develop, to grow, and to go out into the commercial world and practise what they have learned for the benefit of the sector. Circulating throughout the sector and customer markets is key and we will develop knowledge and people exchange programmes with both the business sector and the research community to drive this. We can use secondees, work placement interns and expert consultants to support our employee workforce, allowing us to broaden and enhance our capabilities and to have wider impact on the sector. Our overall aim is to act as a catalyst for innovation in the sector and we will achieve this by ensuring the positive experience and development of those that engage with us. They will continue their careers as alumni and supporters of the Catapult, armed with skills to help them and others to innovate, to act as champions and potential future customers for the sector and the Catapult. 2.7 B uilding a UK Focus, with Global Reach It is imperative that we support industry and the science base across the UK, not just in Harwell, to contribute to our national target of a 10% share of the £400bn global space market predicted by 2030. 95% of all new jobs and activities are likely to be located away from Harwell. £40bn global space market • Support nationwide growth Along with European Center for Satellite Applications and Telecommunications (ECSAT) we aim to provide a central hub of space activity at Harwell. But it is essential that this is used to support growth of space revenues and capabilities across the nation. Additionally, a principle finding of the Space GAP is the critical importance of exports, which need to grow from £2bn to £25bn per annum, by 2030. To achieve this, we must enhance the UK’s competitive edge and enable targeted, market-led investments in leading edge technology that has global appeal. • Enable export growth Through the Space IGS GAP, we are putting the UK at the centre of a global transformation towards space-enabled services. Working with colleagues in UKSA and UKTI, we must extend our reach beyond our national boundaries to give UK companies easy access to global markets and international supply chains. This will require targeting of new international relationships, creating bilateral programmes with an export focus, and bringing large international businesses to establish operations in the UK. These factors have a strong influence on the structure and focus of the Catapult. We must aim to: • Ensure returns from European investments We also need to increase the UK’s returns from sa.catapult.org.uk 11 Our Vision, Strategy and Measures for Success Europe by securing greater influence in large European-funded programmes – both ESA and EU. We must play a leading role in coordinating UK interests, especially with respect to Horizon 2020 activities in the satellite applications arena. This will include interests, not only in the specific “space” theme, but more importantly into other related key enabling technologies and societal challenges identified in H2020. Through these aims, we will support the whole UK to provide the engine to drive innovation and growth in satellite applications and generate the channels to market that will enable the impact to scale globally. between the players. We are the organisation that can make things happen. Working in collaboration with the community we help create a rich ecosystem of satellite application development within the UK. We have a multi-disciplinary team with competencies in all aspects of satellite services and a culture that stimulates innovation. The availability of our specialist and commercially oriented skills to support business growth is unique globally. Our culture and values shape the way we help our community to innovate. We bring PACE to a previously closed and slow moving industry. • Pioneering – Enabling organisations to explore new challenges and ideas through a world-class centre of expertise 2.8 T he Catapult Difference – The Pursuit of Impact • Agile – Developing a flexible and dynamic team with a passion to inspire and enable We focus on our value adding elements and differentiators to maximise our value to the community. Our sector has many areas of excellence but is often fragmented. Therefore, we act as a connector to bring innovators together to collaborate. We are a unique company with our position as a neutral convener. There are many opportunities for innovation that have not progressed because of commercial tensions • Collaborative – Uniting businesses and endusers with researchers in an environment of open innovation • Entrepreneurial – Driving innovation and commercial growth. We make certain that we add value to our sector by ensuring that everything we do has a clear opportunity, Our operations center “A rich ecosystem of satellite application development within the UK” 12 Delivery Plan 2014-2019 blocker and enabler. The blocker and enabler must define why the Catapult is needed. By ensuring that our activities have a clearly defined and published rationale that addresses these, we can make sure that they are valued by the community. Our major activities are programmes that support the growth of the sector and create focal points for innovation to lower barriers and stimulate growth in satellite applications. We then have: •Technology teams and themes Focussing on driving innovation through developments in enabling satellite technologies •Projects Focussing on exploitation and allowing the agility and flexibility needed to support innovation •Demonstrators Showcasing innovations to promote the power of space-derived services and connecting UK innovators with end-users •Platforms Integrating data, tools and methodologies to allow innovators to prototype, develop, integrate, test and demonstrate new products, services and applications •Facilities Enabling infrastructure to support the community to innovate. innovation and bringing that innovation to market. Our structure allows us to bring technical and platform innovations closer to market by encouraging a market pull-through toward market-focussed programmes. Our market engagements focus around promoting the capabilities and solutions of the space sector and understanding wide user needs but with emphasis on applications for the technical innovations and capabilities that we are developing. All of our activities are measured to ensure they have the potential to deliver impact. Our Explore Markets programme supports wide engagement and promotion of the sector to understand needs and opportunities. Our explore technology programme allows development of major satellite application technology innovations. Our market focus programmes pull these toward real users, thus speeding up commercialisation and allowing these innovations to subsequently feed into other markets when mature. Importantly, our programme structure drives us to meet our goals of engaging and stimulating demand, driving For example, our technology activities in seamless connectivity, which has potential for significant All of the above sit alongside complementary business support and knowledge exchange activities that support our programmes. “The main criteria for our activities are the potential for economic impact and the need for the Catapult” sa.catapult.org.uk 13 Our Vision, Strategy and Measures for Success economic impact across markets, is pursued but with an emphasis on initial customers building applications for either maritime or transport which are our initial focus programmes. This brings innovations closer to market and initial applications that build on this crosscutting technology are focussed on these sectors (see below). The adoption of a limited number of such programmes and technology initiatives gives us focus. It allows us to marshal our resources and concentrate on helping businesses, universities and the relevant user communities active in the areas of interest. We leverage collaborative funding and commercial contracts to support our ambitions and our ability to leverage these funds is a good indicator of our relevance to the community. Critically, it is the co-location of all these attributes that make us unique in the innovation ecosystem. 2.9 Measures of Success The Catapult programme has been established to deliver economic impact. That means job creation, and contribution to UK GDP that would not have happened if the Catapults were not there. Consequently, this is the ultimate measure of success. •£100M of activities directly enabled by the Catapult in the year •£100M of external business activity, enabled by the our previous interventions. Whilst this economic impact very much remains our focus, we can’t sit back and wait five years to see whether our plan has been successful. We must find intermediate measures which provide early indicators of likely economic success, through which we can set targets and assess shorter term progress. However, we must continuously take care that these intermediate measures always remain servants to us as early indicators, and we don’t fall into the trap of allowing them to enslave us as goals in their own rights. Through assessing the engagement satisfaction of our stakeholder community, the quality of our innovation outputs, and the direct impacts we are having on businesses, we can gain strong insights as to whether we are on the right path. Section four shows the progress we have made during our first year, how we drive long-term significant impact, and sets out the n path for the future. Here at the Satellite Applications Catapult, our aim is that by 2018/19 – our fifth year of operation – the accumulated results of our efforts will be contributing £200M per annum to the UK GDP. This comprises: Technology Themes End-Users Explore Focus Focus Explore Explore Technology Maritime Applications Transport Applications Explore Markets Communications Navigation Earth Observation & Remote Sensing Missions Using our focus programmes to pull technical innovations to market 14 Business Plan 2014-2019 Delivery Plan 3.0Executing the Strategy 3.1 Energising the Market 3.1.1 Promoting the Sector Through our explore markets programme we aim to promote awareness of the capabilities of space, and to identify opportunities that contribute towards generating growth in the UK. Our approach is to engage with organisations in potential growth markets, to demonstrate the diversity of applications and to collaborate with the space sector to deliver cost-effective solutions. We engage widely and are assessing future application programmes for Agri-tech, Future Cities, Energy, and Security and Resilience. We have started two major activities on behalf of the space sector to promote awareness and engagement in response to IGS recommendations. Our Satellites for Everyone (S4E) project aims to stimulate new users and demand for services by providing a toolkit for business developers. This is bringing together information about the current (and near future) capabilities of the satellite service sector in appropriate media for wide distribution to non-space business and public sector users. Following extensive understanding of users and their needs, first materials were available in June 2014. We are working with the UK Space Agency on the implementation of the Space for Smarter Government Programme (SSGP) aimed at growing the use of space data, services and applications by Government departments, agencies and Non Governmental Organisations (NGOs). The staff for SSGP will be fully embedded alongside our own staff in Harwell to ensure alignment. First opportunities are expected in late 2014. We also plan to establish conferences and thought leadership activities around the five IGS market themes. Interested communities will be able to engage and follow activities, shaping future programmes and stimulating interest and demand for services in these areas. 3.1.2 Driving Application Commercialisation in Growth Markets We use our focus programmes to target thematic sectors. Each focus programme is tailored to meet the needs of a particular sector. Activities will range from removing structural market barriers to creating new demand by stimulating and developing new products and services. They centre on creating awareness and engaging stakeholder communities. Each programme orchestrates activities with innovators, suppliers, application developers, and “We will raise awareness and stimulate new demand for applications and satellite services” sa.catapult.org.uk sa.catapult.org.uk 15 Executing the Strategy which will include promotion through both online and printed media, thought leadership and attendance at appropriate market-focused conferences to represent the satellite sector. Ideas and new user requirements to take forward come from these engagements, as well as our own staff, partners and networks. solution providers. They are often focussed around the creation of a demonstration platform that attracts customers and, importantly, allows us to leverage our technical expertise by pulling those key cross-cutting technical innovations to that market. Once a technology has been proved in one market, it can be applied to others with real economic impact. We have established a series of workshop style engagements to enable this process: In line with the IGS recommendations, we are already developing focus programmes in the following market areas: • Explore Events Large information gathering events •Maritime An extreme market, often with limited alternative to satellites and hence an early adopter of new satellite solutions. Our initial focus is around operational situational awareness, realising new applications through the exciting developments in satellite constellations, new sensing techniques and near real-time capabilities. • Spark Workshops Generating/shaping ideas on specific topics • Solution Workshops Examining ideas in detail to produce business cases. •Transport Major new developments such as autonomous systems and applications that require seamless connectivity make the transport market an ideal testbed for applications that use the capabilities we are developing in seamless communication, Machine to Machine (M2M) and resilient Positioning, Navigation and Timing (PNT). “Promotion of the programmes on websites, through digital media, conference attendance, business development and national press will energise the market, stimulate engagement and unlock the economic impact which we are seeking” Each has had its rationale further refined and published, consolidating the work undertaken to date. For each programme we run marketing campaigns Discover Define Deliver Explore External Ideas Our workshop engagement process 16 Spark Workshop Catapult Support Investment & Work Resultant Insights Delivery Plan 2014-2019 3.1.3 S howcasing the Power of Space-Derived Services 3.2.1 Information Services with Remote Sensing Technology Our first two demonstrator platforms have been initiated and will mature in 2014. Our Earth Observation (EO) and remote sensing team aims to stimulate and support significant uptake in the use of EO-derived products and services by simplifying access to data and providing data processing and information systems to enable rapid application development. Improvement in overall access will enable more wide-spread and faster development of applications and delivery of services. Major trends through low-cost constellations and streaming video will create further new users. •Operational Situational Awareness Demonstrator The ability to combine multiple satellite and other data sources to provide enhanced situational awareness is one that we are well placed to demonstrate. Our demonstrator is being developed with an initial focus on illegal fishing to align with our maritime programme but future benefits will be leveraged by many markets. •Emergency Services Mobile Communications Platform Demonstrator Our Satellite Communications Team is developing an Emergency Services Network Capability Demonstrator platform that will be used to support the demonstration and subsequent development of novel techniques for integrating terrestrial and satellite communications systems for operational applications. Each focus programme will aim to host an explore workshop annually, to showcase activity and encourage engagement. Our ultimate aim is stimulating the success of others. We will licence intellectual property, spin out businesses and even sell complete operations as we exit activities and enable others. The initiatives for our EO team are: • E O Data Exploitation Platform, supporting many thematic exploitation platforms. Each amalgamates data and tools to allow manipulation, analysis, visualisation and collaboration. This builds upon the success of the Climate and Environmental Monitoring from Space (CEMS) infrastructure. Our CEMS platform is successfully used today for cloud computing and the focus in 2014 is to increase the data available through the platform for use by innovators. • U K collaborative ground segment to exploit new EO data access opportunities afforded by the developing UK collaborative ground segment network and inter-agency agreements (e.g. UK and Italian space agencies). • S ynthetic Aperture Radar (SAR) Application Development platform to stimulate the uptake and 3.2 Empowering the Technology Through our explore technology programme and technology teams we have identified key developments that will underpin new application development. During 2014 these activities will be pulled closer to market through our focus programmes. A major part of empowering the technology is the development of platforms and facilities to facilitate exploitation. Constellations versus traditional satellite deployment sa.catapult.org.uk 17 Executing the Strategy use of SAR data in preparation for the future UK NovaSAR mission and the increasing availability of SAR data through public and private European constellations. Data from Cosmo-Skymed also supports this. The Space GAP also builds on the IGS 2010 recommendation to secure world leadership in technologies and services related to climate-change. We will build upon our CEMS platform to support UK leadership in the delivery of climate services. 3.2.2 L ocation-Based Services with Enhanced Satellite Navigation Our navigation team is ensuring that the UK secures a lead in the novel exploitation of new GNSS services such as PRS, and in the creation of highly resilient position/navigation/timing systems for national infrastructure and business-critical applications. The key initiatives are: •Galileo Public Regulated Service (PRS) and development platform The PRS being introduced on the European Galileo satellite navigation system allows increased trust in the integrity of the navigation systems, providing enhanced security for critical infrastructure. It is essential that the UK secures early adopter advantage in trialling PRS. To achieve this, a trialling infrastructure will be developed that supports a national PRS implementation and operation of infrastructure and applications. Without this essential national asset, the market will be closed to UK entities. Working with such systems demands the use of very secure facilities such as those deployed within the Catapult. •Resilient PNT and Verification and Validation Platform We are developing a range of counter-measures for GNSS weaknesses in concert with UK stakeholder and supplier communities. Initial activity has focussed around understanding and measuring 18 interference, detection and jamming issues such that counter-measures can be developed. 3.2.3 Connectivity Services with Satellite Communications The key to effective applications is the timely acquisition of data and delivery of information to end-users. Our Satellite and Mobile Communications team will have core competencies in satellite systems design, simulation, and implementation of communications devices. Our key initiatives in satellite communications are: •M2M and low cost satellite communications We are supporting the development of integrated low-cost satellite communications devices. M2M applications to smaller and cheaper mobile terminals include low-cost vehicle and vessel telemetry and fleet management systems, monitoring of remote assets, and integration with terrestrial systems providing services and applications such as smartmetering. Our work includes development of an M2M Systems Integration Platform that will allow us to work with organisations hoping to leverage the explosion in data from connected digital sensor and actuator networks. •Seamless connectivity We are influencing the direction of the terrestrial M2M and 5G standards for accommodation of satellite systems. We will play a pivotal role in raising awareness of the opportunities, coordinating and supporting development activities, progressing standards, and informing policy-makers. This includes development of a Satellite Communications Lab and Communications application development platform. Our Emergency Services Network Capability Demonstrator platform will further be used to support the demonstration and subsequent development of novel techniques for integrating terrestrial and satellite communications systems to extend reach and resilience for efficient operational applications. Using our videowall to explore eath observation data Catapult Intervention with PRS: During 2013 we used test equipment in our security and resilience centre to become the first independent European organisation to verify the accuracy and integrity of the new Galileo PRS system. “We coordinated a major demonstration to take place in 2014 to illustrate the benefits of an integrated terrestrial/satellite communications system for the UK’s future Emergency Services Network” 3.2.4 N ew Mission Concepts to Deliver to New Satellite Services The mission of this team is to support UK innovation and growth by fostering novel operational mission concepts and supporting low-cost access to space. The team has core competencies in ground-segment design, mission planning and operations, and will work with the UK communities to provide additional support for future operational missions. sa.catapult.org.uk We are creating the platforms and processes that will allow us to support the creation of technologies and missions to grow the number of available satellites in orbit, thereby increasing availability and timeliness of data whilst driving down costs. There are a number of blockers associated with the realisation of new mission opportunities, including regulatory affairs; the current business models for provision of downlink services for EO satellites; and the time taken to task satellites using conventional concept of operations. Our key activities are: •Mission operations centre for small and micro-satellites The provision of professional commercial operational services to such satellite constellations is generally not available at a reasonable cost. We are developing this capability to enable the UK to take the lead in this market. The Operations Centre began operating TDS-1 in summer 2014. •Mission platforms We are working with innovators in the academic and industrial base in the UK to create the next generation of solutions and missions. We have physical test-beds which will enable the demonstration and validation of new technologies and services. We will support the creation of flight 19 Executing the Strategy opportunities and demonstrators either on airborne platforms, piggyback payloads, shared launches or dedicated missions. Our TDS-1 mission launched in summer 2014. Further cubesat opportunities and a missions lab with bench test facilities and airborne options will further develop through the year. •Mission communications centre and ground segment technology development Satellite-relay technology suitable for use with small satellites is important for the growth of the cubesat opportunities. We are involved with the European Data Relay System and are developing a capability to provide, and advise on, inter-satellite communications capability to enable more real-time tasking and acquisition. 3.2.5 A pplication innovations by empowering users Our Applications and Solutions team provides the platforms for exploitation of satellite services and deployment of applications. Our Illegal fishing demonstrator 20 The key initiative is: •Developing the suite of Applications Development Platform tools for the Catapult and any organisation wishing to develop Satellite Applications. These facilities and capabilities will allow non-space businesses and individuals to develop new applications for their customers, and to integrate systems and showcase their capabilities to users. The platform improves access to data for nonexperts and the large volumes of data require expensive and specialist processing. This is initially focussed on operational situational awareness for illegal fishing in line with our focus programmes. Case study: Morton Manufacturing developed an integrated SATCOM / mobile network / wifi communications hub with Catapult support. Mentoring and business support helped create a business plan that led to the creation of a new business entity which is now bidding on contracts with the Scottish Ambulance Service. Delivery Plan 2014-2019 Engage Assess • Hackathons • Open Innovation Challenges • Space for You events • Market Engagement • Associate Incubators Support Set Free Champion Business Mentor Solutions Accelerator 100 40 8 • Access to Facilities • Small Projects • Networking • Bid Support • Sign-posting • Ideas Accelerator • Business Support Programme • Investor Readiness • Large Projects • Workspace • External Mentors • Business Creation Toolkit • Intensive Support Robust Propositions with Skills and Finance to Succeed Catapult Alumni supporting the ecosystem to grow Catapult Support Intensifies with SME Suitability 3.3 Enabling Business The success of the industry and the Catapult depends upon the scaling of new business concepts. 3.3.1 Stimulating New Businesses Some of the key initiatives that we are undertaking to support creation of new businesses are: We provide selective levels of support intensity based upon both the potential opportunity that a business could create and the need and appropriateness of the Catapult’s support. • 2 Hackathons in 2013/14 • 100+ participants • 10+ new propositions • One new business •Hackathons and Competitions •Space for You events and monthly drinks targeted at people new to the sector •Open Innovation Challenges •Associate incubator programme. 3.3.2 G rowing New and Existing Businesses Case study: The Technology Strategy Board successfully ran the first Harwell Space Launchpad programme and Catapult supported this with investor readiness training. This ended with an event that bought financiers together around the Harwell Cluster and one business has already progressed to raise finance. Our primary activities include providing mentoring and investor readiness and running accelerator programmes. sa.catapult.org.uk 21 Executing the Strategy Following an initial assessment, companies are engaged through either our SME Champion (100s of businesses engaged with the Catapult‘s environment and facilities) and Business Mentor (max 40 per year supported with mentoring or investor readiness) which progressively grow in terms of the level of our business support. Sign-posting to other providers in the ecosystem is key at all stages and we leverage this provision and fill gaps where they exist. Our approach allows us to support a large number of businesses whilst effectively directing our resources to the areas where they will have the most impact. •Development of Business Propositions From sign-posting and access to a group-based, ideas accelerator, our support increases through addition of mentors, including external mentors and CEO academy to intensive support from our experts •Helping Get Products to Market The key provision in supporting getting products to market is through networking and supply chain opportunities. We can help inform, inspire and enable communities to use space data and technologies to advance their business. We also help SMEs better tailor their products/services to their end-users and to look for alternative uses for their technology to grow their opportunities. •Strategy and Routes to Finance Finance and funding are key requirements for SMEs and growth businesses. We provide businesses with strategies, connections and support to help them meet their finance needs including: grant funding advice and bid support; investor readiness; connections to capital and investor engagement and education. • Building a Team We provide mentors and have relationships with executive search firms and advisors that can support the creation of a winning team •Workspace We provide hot-desks in an innovation environment for start-up businesses and those that want to have a footprint in the Catapult. 22 3.3.3 Enabling the Environment In making the UK the best place to start and grow a space business, there are many evolving challenges that will be addressed by the Catapult. Many of the challenges are addressed through the development of our facilities, while others need regulation or other factors to be amended. The key challenge in enabling the environment that we are addressing over the next year is making the regulatory environment around launching and operating satellites at least comparable with other nations. 3.4 Establishing World-Class Facilities Over our first year, we have made enormous progress in developing and delivering facilities and platforms to meet the needs of the community and drive Following use of our videowall for their Mars Rover for a week, Airbus Defence & Space praised the use of our facilities and responsiveness of staff. innovation in the UK. Together they will create a unique environment to combine satellite and other data sources to deliver innovation and user exploitation. They will include a secure data environment populated with representative EO data, visualisation facilities, an operations centre, and labs to experiment with the latest communications and positioning services. Many of the facilities and platforms have already been described and feed into our applications and solutions infrastructure. Application Development Platform Communications M2M systems integration platform Low cost sat comms platform UK collaborative ground segment Communications Applications Development Platform Navigation Galileo Public Regulated Service (PRS) Resilient PNT & Verification & Validation Platform/GNSS Resiliency Test Platform Earth Observation & Remote Sensing EO Application Development Platforms (CEMS & SARAD) Missions Mission platform / Missions Operation Centre SAR Application Development Platform Earth Observation Data Exploitation Platform Our technology platforms underpin our applications development platform sa.catapult.org.uk 23 Executing the Strategy 3.4.1 Innovation and collaboration Our Catapult centre is designed to stimulate innovation and collaboration and has had fantastic use by our communities as a focus for collaboration. Key elements include our Spark Centre, Demonstration Centre, Videowall, 3D projection system and other Data Visualisation Facilities. These support the activities of the Catapult, from media presentations, showcasing and outreach, to analysis of data and R&D. 3.4.2 Applications and solutions Our ultimate aim is to stimulate new applications and services. Many of the Catapult facilities and platforms underpin this aim. The Applications Development platform provides development environments incorporating satellite-derived datasets and services which will be provided to technology and application developers for prototyping. These facilities are fundamental to the execution of many programmes. Underpinning platforms are helping bring the best and most real-time satellite and other information. Other important generic facilities that support application development include: •Security and Resilience Centre (SRC) Our SRC is accredited to handle and store sensitive material with equipment and procedures to provide An illegal fishing interface presentation on our videowall 24 connectivity to secure networks. It is a key centre for sensitive aspects of satellite elements of national infrastructure and elements important for the UK’s ambition to host Galileo PRS services and sovereign missions. •CEMS Our cutting-edge cloud computing infrastructure allows processing and synthesis of huge data sets into digestible information flows. This facility underpins most of our application development platforms and supports external businesses with their data processing needs. Our facilities enable the community and generate revenue for the Catapult, allowing us to scale and re-invest to support future industry growth. Many of our facilities have been developed with service levels to meet commercial requirements, including the Operations Centre and our Data Processing Centre. Major contracts for ESA and TechDemoSat respectively are demonstrating the demand for these capabilities. Delivery Plan 2014-2019 3.5 A ttracting and Developing Top Talent Importantly, 70% of our workforce comes from nonspace backgrounds, bringing fresh and new ideas to an already established industry. We have developed a very successful recruitment process which has enabled us to construct a team of over 70 people (see chart below) with a unique blend of backgrounds, academic achievement and a wealth of knowledge from various sectors. We are establishing an enviable culture and have implemented initiatives to support its development including the creation and embedding of the Catapult values – PACE (Pioneering, Agile, Collaborative & Entrepreneurial). Employee development is a central part of our people management approach. We recognise that we have a responsibility to support employee progression within the Catapult and make sure people get the right training appropriate for their role. We don’t take knowledge for granted and will review our knowledge base regularly, unlocking talent, recognising potential and supporting individual growth in the process. Employee development is a central part of our people management approach As well as recruiting top talent into the Catapult, we have also developed a plan to develop the talent pool for the space industry. This includes working with universities and supporting students with postgraduate courses in space-related fields. We have begun activities to enhance our engagement and circulation with the community. We aim to second staff in and out on a routine basis and already have our first two secondees. We have also supported seven internships. 35 Number of Employees 30 25 Technology 20 Innovation 15 Finance/ Operations 10 Executive 5 0 Jan sa.catapult.org.uk Feb Mar Avr May Jun Jul Aug Sep Oct Nov Dec Growth of our key teams 25 Executing the Strategy 3.6 B uilding a UK Focus, with Global Reach From the outset we have established ourselves as a national centre, engaging widely with UK community. We are also now gearing up for more proactive international activities. 3.6.1 Support Nationwide Growth We are specifically targeted to support three IGS actions for nationwide growth: • First, with the UK Space Agency, we will develop a mutually supportive national environment for space, with the Harwell Space Gateway acting as the focus for inward investment, by promoting the capabilities of regional clusters and championing the use of regional Centres of Excellence. 26 • Second, again with the UK Space Agency, we will work with Northern Ireland, Scotland, Wales, LEPs and Councils, to develop regional growth plans for space and secure non-space funding for new projects, Centres of Excellence and business incubation centres across the UK. • And finally, we will work with the UK Space Agency, Research Councils and the Regions to develop a nationwide plan to co-ordinate investment in ground segment infrastructure and technology Centres of Excellence. This action should secure facilities that support exploitation and growth, and provide valuefor-money from Government investments. This will ensure that the UK takes a global lead in exploitation of space infrastructure. We will respond to these actions with focus primarily around regional Centres of Excellence and Knowledge Exchange Fellows. Delivery Plan 2014-2019 Our Regional Centres of Excellence initiative will form the key strand in supporting local communities across the UK. Each CoE is a visible focal point for our activity, linking the science base with large industry and SMEs around the UK, to enable the development of applications and solutions, as well as to engage the wider end-user market. We anticipate funding up to six Centres of Excellence through a first call, with three of these being operational before April 2014. It is expected that there will be further calls in future years, building to create a network of linked capability, ensuring we reach into the knowledge base and the end-user markets, wherever they may be in the UK. Important initial objectives of the programme are to identify key areas of current or potential satellite applications research strength and capability, and ensure these are linked to industry and user markets, to enable collaborative projects to develop. It will also help us to determine where there are gaps in research that need to be strengthened to enable the sector to grow. A key element of the programme will be to allow businesses to interact more effectively with the science base, by understanding where leading edge research is taking place and then to exploit it for the benefit of the UK economy. It will provide a mechanism for researchers to gain a better understanding of the needs of business and how these could be met, thus further stimulating the quality and breadth of the research base. Further engagement with the science base will be through direct bilateral support to key universities and institutions in our stakeholder community. We will provide specific support to the knowledge base, through co-funding, with the host institution, highcalibre individuals focused completely upon the initiation of new relationships leading to business innovation opportunities in satellite applications. We will also develop a network of Knowledge Exchange (KE) Fellows to act as ambassadors and facilitators within our programme areas. It is envisaged that we will support an average of two KE Fellows per programme, who will divide their time between a host university and the Catapult. KE Fellows will provide strong links between the Catapult and leading universities, and will result in: sa.catapult.org.uk • Exciting new interdisciplinary research • The translation of research for use by businesses and policymakers • The uptake of this by businesses, generating growth for the UK economy. KE Fellows will work within their respective programme area in the Catapult and will be grounded in relevant world-class research groups within their host institutions. They will focus on challenge areas that we and host universities wish to develop with a view to future commercial and collaborative projects. 3.6.2 Enable Export Growth Strong export growth in space-enabled applications and services is fundamental to the new UK strategy and our own mission. We play an important role in supporting the UK ambition to grow its exports. In 2013/14 our focus was primarily domestic as we 27 Executing the Strategy Building significant international engagements around the globe established ourselves. Through 2014 we will increase our international engagement for the benefit of the community. We will work with UKTI to find overseas partners willing to provide export potential for the UK supply chain, as well as inward investment into programmes and resulting commercial products. technologies and services related to climate-change. A corresponding action is to support the UK community with provision of expertise and facilities in this area and for premium EO services. We have had some significant international engagements already with opportunities from our visits to Chile, Columbia, US (Boston, Houston, Florida) and Europe. We already have an ambassador in the US. We have also supported numerous inward investment opportunities which are seeing the Harwell site becoming a real space cluster that can lead the UK to excel through the competition and collaboration that this will bring. 3.6.3 Ensure Returns from European Investments This ambition is underpinned by the Space Technology Roadmaps which will enable the sector to prioritise those enabling technologies that will deliver the most benefit in the target high growth markets and therefore enhance the UK’s competitive edge and export opportunities. Looking outside the UK, the Space GAP also recommends to secure world leadership in 28 We have been working toward initial Horizon 2020 bids and will be increasing our engagement with the community in this area. We are also growing even closer links with the ESA ECSAT site, adjacent to our building in Harwell. This will consolidate our opportunity to benefit from the European dimension. In particular, close coordination of our activities with the ESA Integrated Applications Promotion (IAP) programmes and its Climate Change Initiative is a significant opportunity. n “Through 2014 we will increase our international engagement for the benefit of the community” Business Plan 2014-2019 4.0 Increasing Our Impact Through our first year we have successfully established ourselves and are already delivering noticeable impact. In 2014 we are positioned well, but need to extend our reach, scale our engagement and increase the impact we deliver. As outlined in Section 2.9, our principle objective is always economic impact, but we need to use intermediate measures as early indicators of likely economic success. Hence, we use KPIs to ensure that we are clear about what we are looking to achieve in the short and medium-term, and how we expect that to lead to our successful economic outcomes longer term. We use our six-point strategy as the framework for setting and measuring progress, through which we can assess the engagement of our stakeholder Objective Date / Goal Organisation and Governance • Catapult established and launched • Main board appointments completed • Executive Management Team in Place • Interim to Operational transition completed • “Catapult Culture” Established and Embedded • April 2013 • May 2013 • June 2013 • July 2013 • March 2014 Collaborative Activities • Formalise connections with main collaboration partners: ESA, EU, RAL, UKSpace, UK Space Agency, STFC and other RC’s, Harwell Cluster, Universities, LSFN • Initial collaborative programmes identified and launched • July 2013 • 5 market-focused collaborative projects launched, totalling £3M Market Engagement • Establish and deliver market engagement programme as outlined in the work plan • 8 market-focused events, • 24 spark innovation worshops • 20 Catalytic Projects executed, total value £1M Facilities and Strategic Programmes • Strategic roadmaps defined and approved • Strategic programmes for the new facilities initiated • Plans established for existing and new test facilities: EO, Comms, and Nav • July 2013 • 2 programmes, totalling £3M • December 2013 Business Innovation • Role of SME Champion defined and filled • SME Support Programme launched • July 2013 • September 2013 Knowledge Exchange • Establish Strategic Relationships • Establish People Exchange Schemes • March 2014 • September 2013 The targets for our first year sa.catapult.org.uk 29 Increasing Our Impact community, the quality of our innovation outputs, and the direct impacts we are having on businesses. This gives us strong insights as to whether we are on the right path. aspiration is to have contributed to around £4-5bn of industry growth as illustrated below. We primarily impact industry turnover in two ways : 1. Directly linked activity as the result of Catapult projects and research 4.1 First Year 2. Growth of new businesses and services Our initial objectives have seen us establish an organisation with a clear mission and the people, culture and infrastructure to succeed. Our milestones were set and all achieved as laid out in the intial Catapult delivery plan. The directly linked activity of the Catapult is anticipated to trend toward £200M pa but will intimately depend upon what new facilities and programmes are initiated over time and their demand. The focus of the Catapult is to stimulate new businesses and services, and as these continue to grow, this becomes the major impact of the Catapult. 4.2 Delivering Long-term Impact By the end of our first five years, we aim to be delivering tens of millions of pounds of impact, which will grow to 100s of millions of impact over the next five years and in the subsequent five years this will grow to billions. Our objectives are long-term and through our five year business plan, we aim to show how our actions are going to impact economic growth. By 2030 our Catapult Impact £Mx10s Catapult Impact £Mx100s Catapult Impact £Mx1000s 45,000 40,000 UK Turnover (£M) 35,000 30,000 25,000 20,000 15,000 2020 19,000 220 2025 29,500 1,600 2030 40,000 4,600 0 2 13 140 110 0 2 6 50 270 200 1 4 18 150 400 200 Year IGS Target Turnover (£M) Catapult Impact - Turnover New Businesses and Services (£M) # £Bn + businesses # £100M - £1Bn businesses # £10M - £100M businesses # £2M - £10M businesses # small businesses and/or services Catapult Impact - Directly Linked Activity (£M) 10,000 atapult impact on industry growth C in five year increments 5,000 - Year 2014 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 UK turnover global share up to 10% (£M) Catapult Impact UK turnover without IGS (£M) “Our initial objectives have seen us establish a company with a clear mission and the people, culture and infrastructure to succeed” 30 Delivery Plan 2014-2019 Most of this growth is through the development of new businesses and services and stimulation of inward investment. The businesses that we stimulate now will continue to grow and that compounding effect as the successful businesses thrive will see some grow very large, with our impact growing with them. We can achieve this impact through: • Targeting high potential markets and interventions • Creating a scalable system that supports growth. 4.2.1 Targeting high potential markets and interventions Achieving our objectives requires market opportunities worth billions and some of the businesses stimulated within those markets to also be worth billions. The IGS has identified 12 market opportunities, “each of which will be worth at least £1 billion annually to UKbased suppliers within 20 years”. Through aligning our interventions to where we have the most impact (Section 1.2), we will be supporting the UK community to capitalise on these opportunities. Trend Comment Example Growth Business to Stimulate • Lowering cost of launch • Lowering cost and miniaturisation of technology • New entrants to the sector • Technologies improving access and ease of use of data • Lowering cost of access to space and cost of satellites is already seeing new entrants stimulated. These factors significantly change the dynamics of the sector and bring new exciting businesses within the realm of private finance. • This is combined with innovations such as cloud computing improving access to data. • Seamless integration of terrestrial and satellite communications • Significant structural change in satellite communications as links with terrestrial providers increase. Number of options but national interests in most markets may push away from vertically integrating satellite and terrestrial comms providers. UK hence needs to have several sat comms providers to capitalise on the increased traffic over satellite as integration increases. • Sat comms operators that link with terrestrial providers • Inward investment • Move toward near real-time and continuous observation • Earth observation capabilities are improving quickly, enabled by low cost constellations with rapid revisit, near real-time innovations and improved imaging and detection. As developments move toward a scenario of persistent observation, there will be opportunities for major new businesses. • Persistent imaging • Low cost constellations • Climate services • Increased accuracy and reliability of positioning • As accuracy and reliability increases, new services • High reliability systems become possible. Satellite positioning will be able such as driverless cars to play a part in developments such as driverless • Security solutions cars. sa.catapult.org.uk 31 Increasing Our Impact There are also major trends that underpin growth expectations and align to the activities we are undertaking. smaller businesses. The aspiration of the Catapult is to stimulate growth of new £1bn businesses, alongside many smaller businesses. The quantum of growth anticipated is such that the industry will change significantly and the UK cannot just do the same as done traditionally. The space industry is also a sector heavily impacted by Moore’s law and hence constant innovation is required. To achieve this our system generates many ideas and channels those through to creation of new high-growth businesses. The figure below shows the approximate numbers for selected KPIs when we are mature. For every 200 ideas generated, we aim to stimulate 25 new businesses or services. Each of the major segments of communications, navigation and earth observation have very different industry dynamics and characteristics, but each has been in a relatively mature part of an industry cycle. Some of the trends in the table on page 31 will stimulate a new wave of innovation in each of the sectors and change the dynamics and structure of those sectors. Early on, we need to stimulate the establishment of new businesses in these areas, and others, that have the potential to growth to £1bn operations. 4.2.2 C reating a scaleable system that supports growth The most recent size and health study of the UK space sector showed that in 2012 the sector had a turnover of £9.1bn from 234 companies. There are a limited number of major organisations such as BSkyB, Inmarsat and Astrium, in addition to many We are then contributing to creating a UK ecosystem that can support these companies to scale and through the compound growth of those businesses we achieve our objectives. Some of our support to scaling includes our expertise in late stage finance and support to developing exports. Our success clearly depends upon the scaling of new business concepts2, hence a focus on bringing investment and financial support into the ecosystem around the Catapult. That system itself then needs to scale. We are already extending our reach through Centres of Excellence and associate incubators. The system can then scale as the businesses that we enable now become the mentors of the future, stimulating a positive feedback loop and anchoring expertise and finance into the sector. We will work with partners to enable a system that industrialises the development of start-ups in the space sector. Additional income that we earn will further fuel this engine. 2 Growth of a £1bn business will dwarf the long-tail of smaller business. 45 Projects Executed 200 400 Ideas Generated New Organisations Engaged 25 75 New Businesses & Services Collaborations Stimulated IP Created Exit, Support as Mentors, Start Next Business Channeling ideas through to growth of new businesses 32 Growth 50 Workshops Delivery Plan 2014-2019 4.3 Increasing our Impact The following sections give a high level view of our focus over the next five years. 4.3.1 Energising the Market We need to demonstrate how we are stimulating market activity in the UK space sector. In our first year we have had a wide engagement with user markets that has stimulated demand for satellite and opportunities for innovation. Next year we will continue to grow these activities, which will be complemented by events in our regional centres as they establish themselves. We will concentrate on deeper engagement within our focus programmes in Maritime and Transport. Targets include the execution of our first focus programmes, including demonstrator days for our Operational Situational Awareness and Emergency Services Mobile Communications Platforms, the launch of the Satellites for Everyone initiative, and first calls for the Space for Smarter Government programme. We will also emphasise communicating our plans in advance to improve transparency and engagement, particularly with the supply community. Over the next five years, we will grow to run four consecutive focus programmes, as markets we assess in our explore markets programme mature into full focus programmes. Every focus programme will result in an ongoing community of interest, even as our investment in that sector reduces. Each of our major activities will be assessed annually to understand how they should evolve or be cut. 4.3.2 Empowering Technology To drive more rapid adoption of emerging technology we will endeavour to pull it closer to market through our focus programmes. The platforms that support this will continue to evolve with key milestones over the period of our five-year plan. Each of these platforms is geared toward generation of new businesses and services. In addition to stimulation of new businesses and services, creation of IP is important in our activities. Our objective = milestone 2014 2015 2016 2017 2018 2019 Focus ENAV Enabled in 20% of Shipping Maritime Penetration of Satellite Devices Transport TBD1 TBD2 Assess New Markets Explore Markets Agri, Security Satellites for Everyone Space for Smarter Govt Understand, Build, 1st Engagements Scale Add New Interventions Evolution of our market programmes The IGS has identified 12 market opportunities, “each of which will be worth at least £1 billion annually to UK-based suppliers within 20 years” sa.catapult.org.uk 33 Increasing Our Impact in the creation of IP is to ensure it is exploited for the benefit of the UK economy. Very often this is through our collaboration partners, but for all activities we fund, we seek to ensure that other options remain possible if this doesn’t happen. and helping stimulate positive feedback of funding and expertise, we are establishing a positive engine for the growth of the sector. We aim to provide a comprehensive package of measures to support the growth of SMEs in the space sector, with a single point of access, comprising improved access to finance, business management tools, skills training and mentoring. 4.3.3 Enabling Business This year has seen the Catapult establish its business support team and its offerings, and 2014/15 is about scaling of the offering into the community. In order to achieve scalability, we both leverage the wider UK business support ecosystem and also encourage a positive feedback loop with the successful businesses we support to become future mentors. 4.3.4 Underpinning with World-Class Facilities All of the facilities and platforms described have begun development. Our main successes are our building, the use of our data processing platform (CEMS), contracts for our operations centre, and establishment of the PRS facility. We will continue to invest to enhance By bringing in new people with new ideas, targeting our efforts toward those businesses that can grow, = assess Comms = milestones 2014 2015 Develop New Platforms 2016 2017 2018 Test with Market and Scale M2M Low Cost Coms Rich-Media Demonstrator (ESMCP) Comms App Devt Test PoCP Operate and Develop New Services Nav PRS Local Interference Demo National Roll-Out Resilient PNT Receivers Deployed Resilient PNT Climate Services Demonstrator EO New Thematic Platforms 1 to ...n EO Applications Platform Acquire and Host Data Operational Situational Awareness Develop Platforms and Services NovaSAR Develop Lab Add Airborne Capabilities Missions SARAD Missions Lab Operate TDS-1 Build CubeSat Operations Capability Operations Center Operate NovaSAR Initial Pull to Transport and Maritime, Followed by New Markets as Focus Programmes Mature 34 2019 Delivery Plan 2014-2019 these based upon demand and feedback to allow the community and the Catapult to grow. Through 2014, at a national level, we will combine these offerings with sign-posting to other facilities to act locally across the UK to help lower the entry barrier to market for new enterprise. This will link with our regional Centres of Excellence activities. The usage of our facilities has been very positive but as capability grows and further facilities become available, we will focus on increasing access and usability and building communities around our facilities to improve usage and overall impact. 4.3.6 UK Focus with a Global Reach Having firmly established ourselves, reaching out both nationally and internationally is a key priority for future years as we look to enable UK growth. Embedding three initial regional Centres of Excellence is a key target in extending our engagement nationally. This number will grow over the next five years to ensure national engagement and impact. In order to promote our activity internationally, we will engage more deeply with our ambassador in the US and we plan to further our global reach by engaging other Catapult ambassadors in Europe. n Whilst creation of new services is enabled by our facilities and platforms, spin-off of businesses that use these capabilities, or even the facilities themselves, is a future objective. Our illegal fishing demonstrator is an early candidate for spin-off and creation of a new commercial entity. 4.3.5 Attracting & Developing Top Talent We are very proud of the team we have built, and the culture we have created in our first year. We have set out on a path that we believe will create major economic benefit for the UK and we are now testing this with the market to determine how we need to change, adapt, improve. We anticipate further recruitment in important delivery capability areas with staff numbers levelling off at around 85. Further staff growth will depend on traction and responding to market feedback. Culture remains a priority for us as this will help us to succeed as the innovation engine for the sector. We will also be focussing on increasing the flow and development of talent with our stakeholder community through secondments, internships, fellowships and other mechanisms with both industry and academia to spread the benefits widely. We will further establish an alumni programme, so that all ex-staff, interns and secondees now working elsewhere in the community can remain engaged and help support our efforts. sa.catapult.org.uk 35 Electron Building Fermi Avenue Harwell Oxford Didcot Oxfordshire, OX11 0QR For more information: T: +44 (0)1235 567 999 W:sa.catapult.org.uk E:[email protected] @SatAppsCatapult Satellite Applications Catapult Ltd is an independent technology and innovation company. It is one of a network of elite centres established by the Technology Strategy Board to accelerate the take up of emerging technologies and drive economic growth. The Satellite Applications Catapult is a company limited by guarantee, registered in England and Wales. Company Registration Number 07964746. Registered office: Electron Building, Fermi Avenue, Harwell Oxford, Didcot, Oxfordshire, OX11 0QR, UK.
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