Is a Commercial Space Station Possible? These Startups Are Racing To Be the First to Try It

Samson Amore

Samson Amore is a reporter for dot.LA. He holds a degree in journalism from Emerson College. Send tips or pitches to samsonamore@dot.la and find him on Twitter @Samsonamore.

Is a Commercial Space Station Possible? These Startups Are Racing To Be the First to Try It
Image courtesy of Orbital Assembly

No longer content with terrestrial life, a new cohort of CEOs in Los Angeles have turned their focus to the stars, with the ambitious goal of launching space stations that could host tourists alongside astronauts and researchers.

“I've always thought it was really important that people move off the planet and out into the solar system,” Vast Space CEO and founder Jed McCaleb told dot.LA. “There's just way more resources and energy available up there. And also it provides a frontier, and I think that’s important for our collective psyche.”


McCaleb, a billionaire thanks to his prior ventures co-founding cryptocurrencies Ripple and Stellar Lumens, launched Vast Space last year, with the belief that it can be the first company to create a space station for commercial customers that simulates gravity in space.

Why artificial gravity? For starters, the negative health effects zero gravity can have on spacefarers are myriad, including muscle shrinkage, cardiovascular deconditioning and blood loss. Not to mention, simulated gravity in space could ease the transition to low Earth orbit for consumers; allowing them to experience the cool, floaty part of zero G while eliminating the need for full astronaut training.

But Vast is hardly the only company eyeing space tourism. Another is Fontana-based Orbital Assembly, which plans to create luxury hotels in space. According to Chief Operating Officer Tim Alatorre, Orbital Assembly is gearing up for its first launch, which will carry a small portion of Orbital’s first Pioneer space station for research use by 2025. Alatorre told dot.LA “once we've proved that the station is safe, then at that point, we will bring tourists on.”

Alatorre likened the quest to become a space hotelier to the expansion of the American railroads, when transport companies opened up hotels to encourage travel.

“That's why we're focusing on [tourism], because we see that as a step to that larger vision of having thousands of people really living in space, whether it's in [low Earth orbit] or the moon, or Mars,” he added.

Each company plans to rotate parts of the space station to replicate gravity. Basically, spinning the station’s mechanics in opposite directions (roughly one revolution every minute and a half) creates enough centrifugal force to allow the station to remain facing the sun and mimics gravity.

According to McCaleb, Vast plans to have artificial gravity in parts of the station where people eat, bathe, work and sleep, but a central area where passengers can indulge in the zero-gravity experience temporarily. The El Segundo-based company’s plan is to assemble everything on the ground, prior to launch, since in-space construction is still in its infancy. Once there’s more of a demand for in-space construction, McCaleb said other companies could contract Vast to build and launch facilities for them.

“What we're building is an orbital machine shop, essentially, where you can design your thing on the ground, ship it up to the station, like an IKEA-style thing where we can snap it together for you,” McCaleb explained.

McCaleb said he is his company’s sole funder. He wouldn’t tell dot.LA how much he’s invested into Vast, or how much he expects the endeavor to cost. That said, for comparison rival company Orbital Assembly’s CEO Rhonda Stevenson told dot.LA last June the company at the time estimated it would need $200 million to launch by 2023.

McCaleb said he was aware of Orbital Assembly and “a handful” of other competing firms but claimed, “there’s no one else that’s actually trying to do it seriously.” He told dot.LA that initially, Vast won’t target a high-end consumer, but will focus on selling space station access to governments or private companies. Vast wouldn’t provide further details about a target launch date.

“We’re definitely not building some sort of luxury space hotel,” McCaleb claimed. “I think some of the first customers will hopefully be NASA and other national astronaut programs,” he added, hinting at partnerships with other governments.

Tarek Waked, an aerospace investor and founding partner at Type One Ventures, said he’s skeptical.

“Vast claims to be the first gravity-enabled station. I think they won’t be the first to [do] it,” he said, pointing to older companies like Gravitics and its competitor Axiom Space, which is based in Houston and debuted in 2016.

As things currently stand, however, Vast appears better-funded than Orbital Assembly. Orbital has only raised $2.4 million to date. But Alatorre said his company is in the process of raising another round, though he wouldn’t disclose details.

Neither space station project will be possible without launch partners, though. SpaceX’s upcoming Starship rocket and Boeing’s Starliner are two developing projects that could help Vast and Orbital launch both people and cargo to space.

“Elon [Musk] is talking about getting payloads to space for about one to $200 a kilogram, which would be game changing,” Alatorre said. “If we can get people to space for even a million dollars a seat that really starts to open up that market, and that's going to be really transformative.”

According to David Barnhart, director of USC’s Space Engineering Research Center, the real question is twofold.

“Can any of this be done at a cost level that allows a commercial company to make any profit, even if it's only billionaires that can do it?” He asked. And furthermore, once the technology is up and running, how many civilians will take the risk?

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Billion-Dollar Milestones and Snapchat’s New Features

🔦 Spotlight

Happy Friday Los Angeles!

This week’s spotlight showcases LA’s thriving tech scene, featuring Snapchat’s latest feature updates and two local startups Liquid Death and Altruist, making TechCrunch’s Unicorn List for 2024.

Image Source: Snap

Snapchat’s recent fall updates bring fresh features, including a new iPhone camera shortcut for instant snaps, Halloween-inspired AI-powered Lenses, and Bitmoji costumes inspired by Mean Girls and Yellowstone. Bitmoji stickers now reflect trending Gen-Z expressions like “slay” and heart symbols for added flair in chats. Plus, the “Footsteps” feature on Snap Map allows users to track their past adventures privately, adding a nostalgic touch.

Image Source: Liquid Death

ICYMI, two LA startups joined the Unicorn Club—achieving valuations over $1 billion. Liquid Death, based in Santa Monica, is a canned water company with edgy branding and a humorous sustainability focus. Known for viral marketing and brand partnerships, it redefines bottled water as a lifestyle brand and environmental statement. In March, Liquid Death closed $67 million in strategic financing, raising its total funding to over $267 million and valuing it at $1.4 billion.

Image Source: Altruist

Altruist, a Culver City-based fintech platform, offers financial advisors streamlined tools to better serve their clients. With a user-friendly investment and account management platform, Altruist has gained strong traction in the finance world. In May, it announced a $169 million Series E funding round, bringing its total funding to over $449 million and earning a valuation of $1.5 billion.

Together, Liquid Death and Altruist exemplify LA’s capacity for innovation across diverse sectors, from lifestyle branding to fintech. Whether reshaping financial tools or redefining sustainable branding, these companies showcase LA’s unique entrepreneurial spirit. Go LA!

Check out TechCrunch’s 2024 Unicorn List here. And don’t miss Snapchat’s latest features—perfect for adding some fun, connection and maybe a few selfies this weekend!


🤝 Venture Deals

LA Companies

  • Freeform, a company bringing AI to metal 3D printing, raised $14M in funding from NVIDIA’s NVentures and AE Ventures to further develop its AI-powered 3D printing technology for industrial-scale production. - learn more
LA Venture Funds
  • Anthos Capital participated in a $70M Series D round for Carbon Robotics, which develops AI-powered robotics for precision agriculture, and the funding will be used to accelerate the growth of its autonomous weeding technology. - learn more
  • Anthos Capital participated in a $3.5M seed round for Plasma Network, aimed at expanding access to USDT stablecoins on the Bitcoin network, with the investment supporting the network’s growth and efforts to enhance stablecoin accessibility through the Lightning Network. - learn more

LA Exits


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      ⚖️FTC’s "Click to Cancel" Rule and Its Ripple Effect on Tech

      🔦 Spotlight

      Happy Friday Los Angeles,

      The FTC’s new “Click to Cancel” rule is shaking up subscription-based tech. Now, instead of navigating a maze of cancellation hurdles, users can cancel subscriptions as easily as they signed up—with a single click. This shift is a wake-up call for SaaS, streaming, and app-based companies, where once-hidden exit options often kept users around simply because canceling was a hassle.

      The rule also requires businesses to send regular renewal reminders, ensuring customers stay informed about upcoming charges. It's more than a cancellation button—it’s about transparency and giving users control over their decisions.

      For startups, the impact goes deeper than UX adjustments. Many have relied on "dark patterns," which subtly discourage cancellations by hiding the exit. Now, companies must shift toward building genuine loyalty by delivering real value, not by complicating exits.

      While this might affect retention rates initially, it could lead to more sustainable business models that rely on satisfaction-driven loyalty. Investors may start prioritizing companies that emphasize transparent, long-term engagement over those that depend on dark patterns to maintain retention metrics.

      The rule opens the door to more ethical UX design and a truly user-centered approach across the tech industry. It may even set a precedent against manipulative design in other areas, such as privacy settings or payment methods.

      Ultimately, the “Click to Cancel” rule presents an opportunity for the tech industry to foster trust and build stronger customer relationships. Startups and established companies that embrace transparency will likely stand out as leaders in a new era of customer-centric tech, where trust—not tricky design—is what retains users.

      As the tech landscape continues to evolve, LA Tech Week 2024 offers a chance to explore these shifts in real-time. Check out the upcoming event lineups to stay informed and make the most of your time:

      For updates or more event information, visit the official Tech Week calendar.


      🤝 Venture Deals

      LA Companies

      • Ghost, a company supporting top brands and retailers with streamlined logistics and fulfillment solutions, raised a $40M Series C funding round led by L Catterton to fuel its continued growth and innovation. - learn more

      LA Venture Funds
      • Assembly Ventures participated in a $27M Series A round for Monogoto, a provider of software-defined connectivity solutions that enable secure, cloud-based IoT and cellular network management on a global scale. - learn more
      • Angeleno Group participated in a $32M Series C round for REsurety, a company that recently launched an innovative clean energy marketplace aimed at providing better financial and operational insights to support renewable energy transactions. - learn more

        Download the dot.LA App

        🌴🧑‍💻 Your Guide to LA Tech Week 2024

        🔦 Spotlight

        Happy Friday Los Angeles,

        As many of you know, LA Tech Week is right around the corner, kicking off next Monday October 14th bringing together founders, creatives, investors, and engineers for a week of immersive events, panels, and socials across the city. From blockchain and AI to biotech and design, LA Tech Week is a chance to dive into the ideas shaping today’s technology landscape.


        What to Look Forward To

        Insights from Visionary Leaders: Hear firsthand from industry trailblazers as they share stories, challenges, and key lessons from their experiences. Expect fresh perspectives on AI, venture capital, biotech, and the ethical questions around emerging technologies.

        Interactive Panels: This week isn’t about watching from the sidelines; it’s about engaging directly with the tech community. Participate in hands-on panels discussing everything from startup scaling to ethical AI, with honest insights from those actively shaping these fields.

        Networking Mixers & Social Events: Meet and connect with founders, VCs, developers, designers, and fellow techies across LA. Rooftop mixers, lunch meetups, and creative gatherings offer the perfect chance to spark ideas and collaborate.

        Plan your week with the daily lineup, organized by location for easy navigation:

        For updates or more event information, visit the official Tech Week calendar.

        Enjoy LA Tech Week 2024!!


        🤝 Venture Deals

        LA Companies

        • Clout Kitchen, a Los Angeles and Manila based startup, has raised $4.45M in seed funding, co-led by a16z SPEEDRUN and Peak XV’s Surge, to develop AI-powered digital twins, which enables gaming creators to produce realistic virtual avatars for content and fan engagement. - learn more
        • MeWe, a privacy-focused social media platform, has raised an initial $6M in Series B funding led by McCourt Global to support Web3 integration and expand its decentralized network for 20 millions users. - learn more

          LA Venture Funds
          • EGB Capital participated in a $10M Series A funding round for MiLaboratories, which develops software that enables biologists to independently analyze complex genomic data, accelerating research and discovery in fields like drug development. - learn more
          • Crosscut Ventures participated in the $13.75M seed round for Airloom Energy, a company focused on developing airborne wind energy technology to harness high-altitude winds, with plans to accelerate a pilot project in Wyoming. - learn more
          • Overture VC participated in a $5.5M Seed funding round for Molg Inc., a company developing robotics and software for circular manufacturing, designed to disassemble electronics efficiently and recover valuable materials to reduce e-waste and support sustainable production. - learn more


            LA Exits

            • Options MD, a Los Angeles based telemedicine platform that provides care for people suffering from severe and treatment-resistant mental illness, is set to be acquired by Resilience Lab, an AI-driven provider focused on enhancing mental health care access. - learn more

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