Manufacturing Satellites in a Henry Ford-inspired Mass Production Manner is the Plan Proposed by Apex
In the heart of Los Angeles, Apex Technology is making waves in the satellite industry. The company, founded by tech visionary Cinnamon, is driving innovation by bringing its supply chain in-house, a move that while posing additional risks, could significantly boost production.
Apex Technology's flagship factory in Los Angeles is where they manufacture satellites. The company's strategic approach revolves around standardization, modularity, and high-rate production at scale. They offer standardized "buses" for satellites, which include power and control systems, and customers can customize these with their own sensors and payloads.
This modular approach simplifies production, reduces costs, and speeds delivery, a key advantage given the surge in small satellite deployments and the Pentagon’s demand for rapid space asset readiness. Apex's ability to pre-produce and stock standardized units enhances readiness for urgent defense missions and commercial bulk orders alike.
With a focus on vertical integration, specialized software, and manufacturing-oriented hardware, Apex aims to bring Henry Ford-style mass production to the satellite industry. The company's goal is to capture a significant share of the projected $200 billion satellite market by 2030, aiming to expand beyond the current 12-unit/month capacity to increase manufacturing velocity and volume.
Apex's rapid progress has earned them a spot on the Next Billion-Dollar Startups list. They have already won a $46 million contract from the Space Force for an unspecified number of Aries satellites, named after the CEO's dog. The Aries satellite was launched less than a year after work on it began, showcasing Apex's impressive production speed.
However, Apex Technology could face challenges unless it strikes a strong partnership with a prime contractor. The market for large satellites has stagnated, leading some companies to acquire startups making small satellites to stay relevant. SpaceX, with its massive Starlink network, could be a compelling option for the government, though its relationship with President Trump may be a factor.
Cinnamon, the founder of Apex Technology, grew up in Los Angeles and showed a precocious ability for programming and commerce at a young age. Before founding Apex, Cinnamon attended MIT but left the aerospace engineering program, finding it a conveyor belt to a straitjacketed job at a defense contractor or with the government. Instead, Cinnamon started Synapse, a company that developed an AI system to automatically detect weapons in airport security checkpoint images, which he later sold to Palantir.
With $300 million in total funding, Apex aims to increase the share of components custom built in-house or by contractors to 90% from the current 50%. This ambitious plan, if successful, could revolutionize the satellite industry, offering a repeatable, modular platform that balances flexibility and cost efficiency, a key advantage in today's rapidly evolving space market.
Apex Technology's strategic modular approach to satellite manufacturing, driven by technology and science, is poised to revolutionize the industry with Henry Ford-style mass production, aiming to capture a large share of the projected $200 billion market by 2030. The company's close partnerships and alliances, such as with SpaceX, will be crucial in maintaining their competitive edge within the space-and-astronomy sector, leveraging the latest advancements in technology.
