India's space sector has taken a significant step forward with IN-SPACe selecting three private companies to pioneer indigenous small satellite bus platforms. This initiative, announced on 12 February 2026, underscores the government's push towards self-reliance in space technology amid growing global demand for affordable satellite services.

The selected firms hail from key innovation hubs: Bangalore-based Astrome Technologies Private Limited, and Hyderabad's Azista Industries Private Limited and Dhruva Space Private Limited. Each will receive a grant of ₹5 crore to develop and demonstrate robust, modular, and scalable small satellite bus platforms.

These platforms, known as satellite buses, form the core structure of a spacecraft. They provide vital services to payloads, including thermal management, power supply, communication systems, guidance, navigation, control mechanisms, data processing, and propulsion. This foundational role makes them indispensable for mission success.

The 'Satellite Bus as a Service' (SBaaS) initiative aims to create cost-effective platforms capable of hosting multiple payloads. Such versatility caters to both domestic needs and international markets, positioning India as a competitive player in the global space economy.

Pawan Kumar Goenka, Chairman of IN-SPACe, highlighted the strategic vision. By integrating these indigenous buses with India's burgeoning small satellite launch capabilities, the country is poised to emerge as a preferred destination for end-to-end services in small satellite manufacturing, launch, and hosted payload operations.

Support for the companies extends beyond funding. IN-SPACe will disburse grants linked to milestones and provide access to ISRO, Department of Space (DoS), and IN-SPACe facilities. This includes testing infrastructure and technical expertise, ensuring accelerated development.

Future phases promise even greater ambition. IN-SPACe plans to facilitate hosted payload missions using these platforms, fostering public-private partnerships. This progression will enable the industry to scale from prototyping to fully operational missions.

Rajeev Jyoti, Director of the Technical Directorate at IN-SPACe, emphasised the broader impact. Standardised, flight-proven satellite buses will lower entry barriers for payload developers, bolster domestic manufacturing, and enhance India's foothold in the expanding hosted payload services market.

The selection process was rigorous and transparent. From 15 proposals submitted by July 2025, three non-government entities emerged victorious after multi-stage evaluations. This competitive framework ensures only the most capable firms advance.

Azista Industries, operating as Azista Space, shared its enthusiasm. The company plans to deliver a multi-mission platform for hosting payloads from Indian and international clients, supporting in-orbit demonstrations and commercial ventures.

Azista boasts notable achievements, including the launch of India's first optical imaging satellite. It has also engineered high-reliability, indigenous hardware adhering to global standards, reinforcing its credentials in the sector.

Sunil Indurti, Director of Azista, views SBaaS as transformative. He stated that it will deepen India's space manufacturing ecosystem, fortify indigenous capabilities, and hasten the commercialisation of space technologies.

Indurti further remarked that SBaaS transcends mere satellite construction. It builds capacity, competitiveness, and enduring leadership for India in the global space economy, aligning with national goals like Atmanirbhar Bharat.

This development arrives at a pivotal moment for Indian space privatisation. With ISRO's reliable launch vehicles and a burgeoning private ecosystem, initiatives like SBaaS bridge critical gaps in satellite infrastructure, potentially reducing costs by up to 50% for small satellite missions.

Challenges remain, such as ensuring interoperability with diverse payloads and achieving rapid qualification for spaceflight. Yet, the milestone-linked approach and ISRO collaboration mitigate these risks effectively.

Internationally, competitors like SpaceX's rideshare services and NanoAvionics dominate smallsat buses. India's SBaaS could disrupt this landscape by offering tailored, affordable solutions with quicker turnaround times.

Economically, the initiative taps into a market projected to reach $15 billion by 2030 for small satellite services. Hosted payloads, in particular, lower costs for Earth observation, communications, and scientific missions.

For the private firms involved, this marks a leap from component suppliers to system integrators. Astrome Technologies and Dhruva Space, known for propulsion and space systems, gain a platform to showcase end-to-end capabilities.

IN-SPACe's role as a facilitator evolves here. By authorising and promoting private ventures, it shifts from regulator to enabler, aligning with the Indian Space Policy of 2023.

Success stories like Azista's prior satellite launch exemplify the potential. Scaling this to multi-payload buses could spawn a constellation economy, aiding sectors from agriculture to disaster management.

Ultimately, SBaaS symbolises India's ascent in space commercialisation. It nurtures innovation, cuts import dependence, and equips the nation to capture a slice of the $500 billion global space market by decade's end.

Based On ET Tech News