Learning in New Space : Knowledge Sourcing for Innovation in Northern Swedish New Space Companies

Abstract: The New Space industry is a novel branch of the space industry focusing on innovation and commercialization. It experiences very swift growth, although only a fraction of this growth has taken place in Sweden. In order to change this, policymakers are investing funds and efforts into developing the Swedish New Space industry, including the Kvarken Space Center project, aimed at developing the Northern Swedish New Space industry. Here, we see public support in developing a high-tech innovation ecosystem in a peripheral area. This is a topic offering multiple research streams on the most efficient development methods, two of which juxtapose the knowledge ecosystem and intercompany collaborations respectively. With that in mind, we formulated the following research question:   How are collaborations and the knowledge ecosystem used to source knowledge for the innovation process?   To approach to the subject, we gathered literature on innovation systems and ecosystems in order to analyze the importance of the knowledge ecosystem and the various shapes the industry can assume. This information is linked to theory on knowledge types and sourcing methods considering tacit and codified knowledge, which through different constellations form different needs of knowledge sources.   Our empirical approach investigated how the companies used different knowledge sources, namely collaborations, the knowledge ecosystem, and other sources, including networks, monitoring, and mobility. Thereafter, we considered the effects of outstanding factors, including funding and the peripheral region, on knowledge input in innovation.   We identified that companies in the upstream industry node, i.e. those related to launch activities and vehicles, and companies in the downstream node, i.e. those extracting data from space, both use engineering knowledge. Engineering knowledge requires both tacit and some codified knowledge, suggesting similar knowledge inputs for both nodes. However, different node traits lead to different inputs. Upstream companies see low degrees of knowledge transfer, especially from the knowledge ecosystem and from collaborations due to NDAs and intellectual property regards, and tacit knowledge input from external sources is particularly lacking.  Downstream actors see few constraints to using the investigated knowledge sources, although collaborations saw difficulties due to complexities in structuring them. However, many unilateral complementarities are seen from the knowledge ecosystem, leading to higher knowledge input particularly from networks, while also boosting collaborations to some extent. This was also partly observed in upstream companies. Thus, the knowledge ecosystem sees significant use, although much is indirect, while collaborations see less use.   Our main findings are that policymakers and the knowledge ecosystem should focus more on sources of tacit knowledge, such as students, while investing in network-boosting activities as industry events. Companies, especially upstream ones, should utilize collaborations more. Upstream companies should also utilize the local knowledge ecosystem more, as the rights to intellectual property produced by private actors in universities belong to the producer. Regarding future research, we warrant studies on knowledge sourcing in New Space companies and other knowledge sources, such as networks as a compensatory knowledge source.