Space startups attracted a record $20.8 billion in funding in the third quarter, as investors poured money into launch providers, manufacturing and other infrastructure ventures, according to a report by global investment firm Seraphim.

The figure was nearly triple the $7.4 billion invested in the second quarter and more than double the prior peak. Excluding Blue Origin’s $10 billion financing, investment was still at an all-time high of $10.8 billion, underscoring growing demand across the sector.

The report, released on Wednesday (October 14), also showed a record 216 deals were completed during the quarter, up from 140 in the second quarter.

While SpaceX remains a dominant force in the industry, recent fundraising has been supported by a growing pipeline of commercial orders and government-backed programs, according to Seraphim.

”Capital is following evidence of commercial and institutional demand, not just residual IPO enthusiasm,” said Lucas Bishop, vice president at Seraphim Space.

Infrastructure-related businesses accounted for the bulk of the funding activity. Companies involved in launch and broader space access attracted $16.4 billion across 120 deals, while satellite communications, Earth observation and other space-service companies raised $4 billion.

Defence and sovereign demand are increasingly supporting investment in launch, manufacturing and orbital infrastructure as governments prioritise domestic space capabilities, Bishop said.

The quarter’s major fundraising rounds included $1.37 billion for Hadrian, $1 billion for Stoke Space and $500 million for K2 Space.

However, the surge in private investment was in contrast with weaker performance among listed space companies. Bishop said many publicly traded space firms remain loss-making, while SpaceX’s scale and visibility may have drawn investor attention away from smaller listed peers.

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