PIF establishes Neo Space Group to boost Saudi Arabia’s space sector

PIF announced the creation of Neo Space Group (NSG), a wholly owned PIF company that will become a national champion in the satellite and space sector. NSG will strengthen the space and satellite sector by developing local capabilities and strengthening its strategic position in the growing global space economy.

The group’s goal is to develop and enhance Saudi Arabia’s commercial space operations by providing innovative satellite and space solutions locally and globally. It will invest in local and international assets and opportunities, as well as promising venture capital opportunities, to catalyze the development and localization of sector-specific expertise.

NSG will contribute to the development and implementation of cutting-edge technologies in the space industry through its four dedicated business segments: satellite communications, Earth observation and remote sensing, satellite navigation and Internet of Things, as well as a satellite and space focused venture capital fund.

Omar Al-Madhi, co-head of MENA Direct Investments at PIF, said: “The establishment of NSG represents an important milestone in the development of Saudi Arabia’s growing satellite and space sector and its ambition to be a leading commercial player in the global satellite sector. This is a unique milestone for PIF as it is PIF’s first investment focused on the space industry, creating a number of new opportunities for the Saudi economy and private sector. It will also drive economic expansion in Saudi Arabia across several related strategic sectors, while facilitating the location of key industries.

The development of the aviation and space sector is part of PIF’s strategy to unlock the potential of promising sectors in Saudi Arabia and support the diversification of the Saudi Arabian economy, increase non-oil revenues and implement Saudi Vision 2030.