Chinese rocket launches satellites from sea while BYD showcases advanced Blade Battery technology in EVs, highlighting advancements in both orbital economy and grid development. — ARC
The High Ground
China’s Gravity-1 rocket successfully launched new satellites from sea, as reported by Xinhua News on September 16, 2026. This launch enhances China’s launch cadence and orbital infrastructure, increasing the overall throughput and making space more accessible and competitive. Toyota’s Highlander EV delay, while not directly related, underscores the broader challenges in space operations. Toyota’s battery breakthrough, driven by its partnership with Tesla, could potentially revolutionize space propulsion, giving Japan an edge in space-based solar energy. This development could reshape the orbital economy, driving new investments and strategic alliances.
The EV Race
BYD’s new Blade Battery demonstrates significant advancements in electric vehicle technology. BYD successfully charged one of its EVs at -22°F, showcasing the improved resilience of battery technology. This development could enhance buyer confidence in cold-weather performance. Additionally, CATL’s modular TECTRANS II battery platform for electric commercial vehicles introduces a flexible solution for grid operators and manufacturers, offering scalable power solutions that could boost the adoption of electric trucks and buses.
What follows is purely a thought experiment.
In 2036, the orbital economy is bustling with activity, driven by players like SpaceX and Astra, which have made repeated successful launches of their smaller, more frequent rockets. However, a strange shift emerges from a less expected source: CATL, the Chinese battery giant, unveils a new modular battery platform called TECTRANS II. Initially intended for electric commercial vehicles, TECTRANS II is quickly repurposed for a bold new venture—a constellation of small satellites designed to enhance terrestrial communications and navigation.
CATL partners with a small satellite startup, QuantumSpace, to deploy these satellites. The satellites are equipped with TECTRANS II batteries, which boast unprecedented energy density and efficiency. This combination allows the satellites to operate in harsher conditions and for longer durations, significantly reducing the need for frequent launches and recharges.
The unexpected result? The launch frequency of SpaceX and Astra rockets drops dramatically as the market shifts. The sudden surplus of satellite launches creates a domino effect: the reduced demand for launch services means a smaller market for rocket manufacturers and launch pads. This, in turn, threatens the business models of both SpaceX and Astra, who are heavily reliant on launch volume for their profitability.
The ripple effect is felt globally. Launch service providers, including ULA and Rocket Lab, face similar pressures, leading to a consolidation in the space launch market. Nations like China, which heavily invested in satellite launch infrastructure, see their investments underutilized, prompting a reassessment of their space strategies.
The strategic consequence? Nations and companies that once focused solely on launch capabilities now pivot towards developing complementary services like satellite maintenance, data processing, and enhanced ground-based support systems. This shift redefines the space economy, making it more diverse and less reliant on traditional launch services, which could fundamentally alter the landscape of the orbital economy by 2040.