1. I NNOVATION C ENTER S PACE & T ELECOM C LUSTER

2. Global market Industry Leadership Challenge Labor efficiency Output per worker in the industry is $14,800 annually, that is, 33 times lower than in the U.S. ($493.5K annually), according to the report of the Russian Ministry of Economy Development, 2008. Russia has <5% of satellite communications market, 0,1% of remote sensing market and 1% of navigation equipment and service. The Russian space industry lacks many technology competitive advantages. Additionally, the institutional environment is underdeveloped. World leader in launch services (31 launches in 2010 ​​ - 50% of the world’s total payload) Only Russia and the U.S. have their own global navigation satellite systems 250 000 employees (0,34% of employed population), 120+ enterprises 95Bn Rubles annual budget for FY2010 ($3.2Bln), about 1% of federal budget 51 government-owned enterprises of the space industry are under the jurisdiction of the Federal Space Agency, ​​ another 50 companies are joint-stock main contractors More than $300Bn per year Fast growth COSMONAUTICS IN RUSSIA

3. 140 120 100 80 60 40 20 0 WorldRussiaUSAOther LAUNCHES IN 1957 – 2010

4. Space to Earth Solutions Telecom & Remote sensing – long life satellites, micro and nano satellites, data processing, technologies, s/w and services, space-based search & rescue, earthquake prediction Navigation –developing of GPS/GLONASS/Galileo chipsets, navigation equipment and services Human Spaceflight – Suborbital space tourism, new propulsion technologies Earth to Space Solutions Institutions & Regulations Components and materials -optoelectronic, radio electronics, adaptation of new materials including nanotechnology Design technologies and logistics - modern ERP/CALS technologies for space industry Innovative low cost launch systems - ultra light rocket at rail way platform, air launch Nuclear and Solar Space Power Venture businesses in upstream segment –support of the emerging small satellite manufacturer growing on the universities’ capabilities Technology Transfer – PPP- based operator structuring the participation of space and related sectors in projects Legal Provision – development of the legal base govering the commercial activities in space and telecommunications EXAMPLES OF PRACTICAL REALIZATION

5. SPACE TECHNOLOGIES IN THE NEXT 10 YEARS: FORECAST OF DEVELOPMENT DIRECTIONS Global trends in space & telecom activities Alternative strategies of Russian space & telecom activities Space & telecom institutions, industry, human resources Place and priorities of Space & Telecom Cluster 1 2 3 4 4 Elements of the planned research:

6. 1. Introduction of China’s heavy launch vehicle 2. China’s orbital station 3. First commercial flight by Virgin Galactic 4. First manned flight of Dragon 5. Answer to the question "What happens after the ISS?” 5 MAIN EVENTS OF THE NEXT 5 YEARS In Russia Globally 1.Acceptance of the National Space Strategy for 2050 2.First positive results of the space industry restructuring 3.First launch from the Vostochny launch center 4.Answer to the question "What happens after the ISS?” 5.Russian micro-and nano-satellites

7. CLUSTER POSITIONING AND ACTION PLAN А. Classifier 1.Space activities directions 2.Technology and structure («What is built?») 3.Functional type («Where is a business?») Completed in August 2011 г. * Clause 3 is reserved for Telecom activity directions Clause 1. Covered direction of space activities 1.1. Applied Space Activities 1.1.1. Space telecom and broadcasting 1.1.2. Earth remote sensing 1.1.3. Satellite navigation, search and rescue Clause 2. Technology and structure of projects 2.1. Application systems, completed complex 2.1.1. Space system, space complex 2.1.2. Integrated system with ground and space elements 2.1.3. Orbital constellation Clause 4. Business Type 4.1. Orientation to mass market B2B and B2C 4.1.1. New or improved product for mass market 4.1.2. New or improved manufacturing project for mass market

8. EXPERT SAMPLING FROM THE CLASSIFIER – SPACE  Highly-reliable components and systems on-board electronic equipment, resistant to the effects of space factors  Integrated solutions for construction of unified next-generation space platform  Innovative solutions for launch vehicles and rocket engines based on nanotechnology  Application systems, sensors, and devices for spacecraft of various purpose  Modern materials coatings and manufacturing technologies  Life-support systems for long space missions  Integrated business solutions  Attracting universities and small and medium-sized business  Emerging small satellite manufacturers growing on universities’ capabilities  Space systems for generation and transmission of energy, including using solar energy and nuclear power plants ... Priorities will be fine-tuned during the foresight

9. EXPERT SAMPLING FROM THE CLASSIFIER – TELECOM  Projects in telephone communications and document communication  Projects in the field of networks  Projects in transmission (broadcasting) and distribution of TV and radio programs  Technical maintenance of telecommunication networks  The monitoring of systems and communications, high-frequency devices of different users, and industrial and technological communication networks  Regulation of the use of radio frequencies and electronic equipment (high- frequency devices) for civil applications

10. Russian market of transport services based on GLONASS 2010 2011 2012 2013 2014 7.5 BLN RUR 120 BLN RUR GLONASS Age Start Program 12 tons Support of GLONASS navigation projects (development of chipsets, hardware and services) in cooperation with IT Cluster EXAMPLES OF CLUSTER ACTIVITIES: PROBLEM AND SOLUTION

11. DEMAND APPROACH: REQUEST OF ROSKOSMOS  Produce electricity in small systems with utilization of quantum effects, electron transfer heat and electromagnetic energy  Energy sources and batteries for nanostructures, solar energy converters  Energy generation and transmission for terrestrial and near-Earth objects  Critical components of the space nuclear power system  Electronic component base of class «space»  Micro-electromechanical systems  New construction materials  New technologies of remote sensing in the optical and radio  Monitoring and control of geophysical activity (geomagnetism, meteorology, seismic, the ozone layer, other)  Data collection, processing and distribution for location positioning of mobile and stationary objects using GLONASS  Medical-biological technologies for long-distance missions

12. DEMAND APPROACH: REQUEST OF EADS ASTRIUM  Automated pattern recognition for optical or SAR applications\Automated pattern recognition to optical or SAR applications  Stand-alone GPS positioning signals in difficult conditions  Geospatial 3D modeling  LBS-services (Location Based Services)  Fusion SAR-optical, Lidar-Optical and Lidar-SAR and everything related to it  Compression algorithms streams  Data from Moving Objects  Intelligent Services / Water Resources Management  Detection of carbon and greenhouse gas emissions at the global and local level of emissions  Hybrid engines  Projected future of nuclear power plants  Space solar power  Electric propulsion

13. Nuclear power plant for interplanetary missions We are negotiating on possibilities to provide support for construction of the drip cooler-radiator EXAMPLES OF CLUSTER ACTIVITIES: PROBLEM AND SOLUTION

14. SPACE & TELECOM CLUSTER MISSION  Formation of a synergetic innovation environment in space telecoms based on the original domestic scientific and technical schools  Implementation of innovative projects in aerospace and telecommunications sectors capable of receiving investment and financing  Improvement of the institutional environment surrounding space and telecoms, and to stimulate the creative activity of young people in Russia

15. Recommendations will be worked out in regards of:  prospective areas of research and knowledge generation;  criteria for selecting R&D centers of large companies from the space industry to cooperate with Skolkovo Innovation Center;  selection criteria for Participants and projects;  creation of collective testing facilities, advanced manufacturing and prototyping centers  commercialization of R&D in space technologies and telecoms;  organization of interaction among participants of Skolkovo Innovation Center with Russian and foreign companies in order to obtain orders for R&D;  organization of cooperation with leading foreign and Russian universities and research centers to create the profile of the educational resources  Cluster participation in the establishment and operation of state-of-the-art scientific-technical library with open remote access EXPECTATIONS FROM THE FORESIGHT

16. Possible directions of cooperation with Italy : 1.Cooperation with Italian Space Agency: interactions with experts with aim to define subject and format of the cooperation 2.Cooperation with Thales Alenia Space in regards of opening the R&D center in Skolkovo 3.Interaction between SINT Space Faculty with Italian Universities 4.Establish an information exchange between Ministries of Economic Development and between Trade Missions of our countries

18. THANK YOU! SERGEI ZHUKOV Executive Director Space & Telecom Cluster