It goes without saying that these commercial and technical successes bode well for SpaceX and the future of the Falcon line of launch vehicles, especially the previously untested Falcon 9, which is hoped to eventually assume responsibility for ISS resupply missions under NASA’s COTS program. But I think there is a larger story here. SpaceX’s successes are an initial validation of the commercial space exploration paradigm and another step towards broadening access to space. Yes, commercial players have been participating in the space industry since its inception. But SpaceX is a different kind of player following a different model than the large government-oriented defense contractors that have traditionally dominated the space arena. SpaceX is a relatively small company, built from the ground up, with a diverse launch manifest that consists of commercial and international clients. In fact, more than half of the currently manifested launches are for purely commercial customers. As the manifest grows, SpaceX will be able to drive down costs even further. Ultimately, SpaceX’s ability to demonstrate full reusability of the launch vehicle will determine just how cheaply they can provide launch services. And it is these low costs that could really lead, in Elon Musk’s words, to the democratization of space.

Despite the recent wrangling over NASA’s budget and direction, these are exciting times for those of us that are passionate about space. To read more about SpaceX’s recent successes, check out the following links:

SpaceX Achieves Orbital Bullseye
SpaceX Signs US $492MM contract with Iridium

Aerostar Capital LLC invests in middle market companies that serve the global aerospace market. Presidio Global provides strategic and capital advisory services to clients with a focus on the aerospace and biotechnology industries in emerging Asian markets. This strategic partnership brings together Aerostar’s extensive track record in executing aerospace private equity deals and Presidio Global’s expertise in conducting innovative, rigorous research and analysis of Asian market opportunities. These two companies will identify investment candidates in the Pacific Rim and South Asia that sell commercial aviation, defense, and space products and services. Ideal investment candidates will have annual revenues in excess of $50 million, strong management, a reputation for superior quality, and significant growth potential.

The two firms have a shared commitment to helping experienced industry executives build strong, strategic suppliers by providing access to capital, strategic and managerial assistance, and acquisition support. Aerostar Capital and Presidio Global are dedicated to aiding and rewarding skilled aerospace industry executives, not replacing them.

Bob Paulson, founder and CEO of Aerostar Capital, said: “Asia is a critical and growing market for and source of aerospace products and services. With Presidio Global we intend to capitalize on these increasingly attractive investment opportunities.”

Andrew Navarra, CEO of Presidio Global, said: “We are very pleased to team with Aerostar Capital and to work with one of the global leaders in aerospace private equity investing. Bob Paulson has spent nearly four decades in the aerospace industry, through his service in the Pentagon, leadership of McKinsey & Company’s global aerospace and defense practice and now as the founder of Aerostar Capital. Our commitment to data-driven decision-making fits well with Aerostar’s investment strategy and deep industry experience. There is great potential for both growth and consolidation in the Asian aerospace markets and our partnership will exploit these opportunities.”

About Aerostar Capital, LLC

Aerostar Capital, LLC (www.Aerostarcapital.com) helps to build more successful aerospace suppliers by making significant investments of private equity and growth capital; and by providing strategic, managerial, and operational support. Aerostar co-invests with some of the leading private equity financial sponsors that have significant aerospace experience, including The Carlyle Group (www.carlyle.com) and JP Morgan Partners (www.CCMPcapital.com). To date, Aerostar has supported over a dozen aerospace investments with a combined transaction value in excess of $4 billion. Aerostar Capital LLC has offices in Los Angeles, New York, and Wyoming.

(For more information on Aerostar Capital LLC visit www.aerostarcapital.com; email: Aerostarcapital@cs.com; or call 888 280 5566)

About Presidio Global, LLC

Presidio Global LLC (www.PresidioGlobal.com) is an international business consulting firm that provides strategic and capital advisory services to industry-leading clients in the biotechnology, aerospace, and venture capital/private equity spaces. Presidio Global helps leaders tackle their most difficult challenges and make decisions that will have lasting impact by applying innovative insights to rigorous analysis that clients can find nowhere else.

Presidio Global LLC offers two primary types of advisory services:

Capital Advisory Services

Presidio Global offers venture capital and private equity clients robust data-driven analysis of global markets and industries in support of their critical investment decisions. Presidio’s rigorous analysis is based on primary and secondary research with a focus on capturing value from asymmetric information derived from local industry experts. Presidio Global offers investment lead generation and due diligence services using a broad network of contacts in key international markets.

Strategic Advisory Services

Presidio Global helps industry-leading clients resolve their most intractable strategic challenges by working hand-in-hand with clients to identify the critical questions, conducting action-oriented research and analysis, and applying leading edge methods to arrive at customized solutions that result in lasting impact. Previous projects have ranged from developing commercialization strategies for newly developed technologies to reconfiguring production lines to meet changing market needs and aggressive financial goals.

Presidio Global has offices in San Francisco and Hong Kong.

Aerospace market leaders have always sought to strike the elusive optimum balance between capturing value from joint ventures with lower cost offshore suppliers and the market risks associated with the ensuing transfer of capabilities and technology. While industry players and politicians will continue to debate the merits of offshoring when domestic job markets are struggling, one implication is clear: a thorough understanding of the opportunities and competitive threats presented by the emergence of Chinese aerospace will be critical to long-term success in this increasingly global market.

Read more about this milestone at the Seattle Post-Intelligencer