There’s a prevailing message that Hong Kong is, and shall continue to be, a superconnector. But are we connected to new business dialogues about space debris and space commerce? We are not.

As old markets and supply chains are disappearing rapidly, and our connectors are retiring at a similar pace with our demographics, where should we begin to look for new markets? When we still lack the understanding or language to describe the new markets, shouldn’t we be concerned? As the variety of wars continues to expand and engulf us into their pull — from trade war to cyberwar to AI war, and now into space war and the war for talent — how should Hong Kong formulate its Plan B?

For Hong Kong, the sooner we are connected to the evolving space dialogues and new business paradigms, the better placed we are to make forward decisions. But what is this new commercial world that some economists in the United States, and even our China National Space Administration, are reportedly forecasting will reach a staggering $10 trillion market by 2050? Annual estimates of the space economy’s contribution continue to rise, as even the low-altitude economy (LAE) could easily surpass the $1.8 trillion 2035 estimates projected by the World Economic Forum. And why does China have a 2050 Space Blueprint? What is this space economy that utilizes new terms such as “NewSpace”? Why does the NewSpace economy need to be circular?

The elephant-in-the-room question for many forward-looking businesses is how to get our talent and new talent connected to NewSpace.

Suppose, if by the time our children graduate from school and begin to earn, they still do not understand the power and ubiquity of GPS and the internet of things (IoT), then how far can they really see and prepare for their own future? Many punters want to invest in SpaceX and Starlink, and some have even invested through tokenization. But they probably do not know that the reason for the popularity of SpaceX rides on its ability to lower the cost of sending anything into low earth orbit from $15,000 per kilogram down to potentially $2,000. Reusing resources is fundamental because space is expensive. A few might understand that the principle of circularity is such an essential concept for space businesses.

The NewSpace market requires a massive mindset shift, and for many caught in yesteryear’s operating system, this realization has been painful. First, we need to break free from our linear thinking. One doesn’t need a degree in physics or math to understand connectivity or circularity. The world we need to understand and navigate properly is now “circular”. This new market is known as NewSpace, and it connects with IoT, autonomous driving, and the LAE, including drone deliveries and air taxis. NewSpace is a new term because space is no longer owned and operated only by governments. Space has been open for business since 2009, and for China, since 2014. We now have more than 500 such companies, and over 50 of them are already in the Guangdong-Hong Kong-Macao Greater Bay Area.

Mine an asteroid full of gold, and the next Elon might just become a trillionaire. The NewSpace ecosystem is so vast because it underpins everything and spans all high-tech verticals, from AI to biotech, to quantum, to advanced materials, to in-space servicing and assembly. Now estimated at $600 billion annually and growing at a nearly double-digit rate, the NewSpace economy deserves immediate attention. This should be Hong Kong’s Plan B.

Hong Kong can begin to embrace this new world and connect new nodes of possibilities. Or Hong Kong can bury its head in the sand and convince itself that the old world of commerce will still dominate trade for at least another decade.

This version of Hong Kong’s Plan B should allow the city to become a true gateway of innovation, entrepreneurship, and talent. Such an ecosystem would entice the world’s best talent to call Hong Kong their home. The home of future talent — that’s the essence of Plan B

This new world of space commerce trades in digital assets, which likely utilize new stablecoins that possess actual, timeless value. This NewSpace ecosystem, however, is vastly more complex, expensive, risky, and unpredictable. It requires loads of talent, a strong insurance and reinsurance sector, and above all, a connectivity in the shift of mindset. Space is best approached with a circular approach because we can’t be throwing away a functioning spacecraft every time we are done with it. NewSpace is best approached with a mindset of repurposing, reusing, and recovering, and doing so with purpose.

Key topics in Hong Kong’s NewSpace would include commercialization, investment and financing; insurance for liftoffs, satellite commissioning and in-orbit servicing; in situ resource utilization; advanced robotics for manufacturing and repair; space situational awareness; and space debris removal. Additionally, technology-agnostic approaches for developing, testing, and deploying applications in space would help Hong Kong gain a deeper understanding of the future of space-based infrastructure and its interoperability requirements.

What can a small place like Hong Kong do? Hong Kong can be much more prepared and expand our learning into space, as we have quickly learned about AI, stablecoin, and e-commerce. As education is an essential key to prosperity, we need to educate our teachers, planners, and youth. They must be able to see and sense this oncoming reality. We need to start measuring the impact of NewSpace businesses. Hong Kong’s Plan B will need to be grounded in education because NewSpace has its own language and reality.

Our business associates along the Belt and Road are seeking to learn about NewSpace that is being powered technically by China and tested by the markets through Hong Kong. Many BRI-participating countries do not want to be excluded. They may wish to send their talent here. They want their young people to be a part of the new narrative. They want their own GPS. They want their own say on the lunar landscape. They want to be connected to China’s space station, which has become a safe and reliable partner for space activities. This is what Hong Kong’s Plan B can be about.

By way of an example, China made a groundbreaking leap in internet technology by launching the world’s first commercial 10G broadband network in Hebei province in April. Remote surgeries, autonomous driving, and immersive virtual and augmented reality will underpin the next level of commerce. The introduction of such technologies would accelerate digital transformation and innovation in various industries, including healthcare, education and transportation. Wouldn’t BRI-participating countries want to be a part of this? This is what Plan B is about.

Space is hard. Just adopting Plan B is only the start. The new world of business will require extensive market testing and outreach, and that can be through Hong Kong’s entrepreneurial and professional firms. Governments of BRI-participating countries and regions, including the Hong Kong Special Administrative Region, need to coordinate and reinforce with the proper policy and tax incentives. Sovereign wealth funds and wealthy families would need to provide patient capital. And astropreneurs would need to build solutions to new problems. Astropreneurship, or developing entrepreneurs for this new landscape, is now afoot. That reality of NewSpace has now been recognized.

This version of Hong Kong’s Plan B should allow the city to become a true gateway of innovation, entrepreneurship, and talent. Such an ecosystem would entice the world’s best talent to call Hong Kong their home. The home of future talent — that’s the essence of Plan B.

The author is an adjunct professor on innovation and entrepreneurship, a serial entrepreneur, and a founder of the Orion Astropreneur Space Academy.

The views do not necessarily reflect those of China Daily.