Securing Additional Funding
Once the candidate sites for the launch facility were finalized, Ryu Gwang-su, CEO of Starlink Communication, immediately commissioned Starlink Aerospace to begin the rocket design. To report on the immediate challenges, he visited Taesik’s office alongside CEO Jo Yun-je. To cut costs, Starlink had decided to utilize solid-fuel rockets instead of the liquid-fuel ones favored by developed nations and the Korea Aerospace Research Institute (KARI), but CEO Ryu raised concerns regarding the use of solid fuel.
"Representative! If we proceed with the development of a launch vehicle using solid fuel, we won't be able to catch up with Space Y’s technology. Space Y is reducing costs by recovering their first-stage boosters. While a solid-fuel rocket is more economical than KARI’s current models, it simply cannot match the cost-efficiency of Space Y."
Space Y had developed the technology to recover first-stage boosters through numerous failures, achieving the ability to put satellites into orbit at 25% of the cost of conventional launch vehicles. CEO Ryu hoped that Starlink would pivot to a different approach to ensure long-term competitiveness.
"You're right. The first-stage booster accounts for 70 to 80% of a launch vehicle's total cost, so whether or not it can be reused determines the economic viability. But we are latecomers—how could we possibly match Space Y’s technical prowess? CEO Jo, is it even possible to develop technology to reuse the first-stage booster like Space Y?"
"To be honest, with our current level of technology, it’s impossible. While we gained core expertise while working on KARI’s launch vehicle projects, developing a system that injects extra liquid fuel to facilitate a recovery like Space Y is no easy task."
At CEO Jo Yun-je’s words, CEO Ryu continued, sounding agitated. "Representative, if this is the case, we are destined to remain in second place forever."
"I made a mistake. When we first started the launch vehicle project, I should have clearly stated the objective to you all..."
"..."
At Taesik’s words, CEO Ryu and CEO Jo fell silent.
"It is clear that our capabilities in the launch vehicle sector are inferior to those of the United States. I intend to proceed with a special-purpose launch vehicle project, not a commercial one. While we are currently putting satellites into orbit for internet and GPS construction, I plan to dominate the military satellite sector first, and then eventually develop a hybrid launch vehicle that combines solid and liquid fuels."
Following Taesik’s statement, CEO Jo Yun-je spoke up. "Representative, I understand the special-purpose launch vehicle project. But hybrid rockets have a short history and are unproven technology. Even if we develop one, it will be difficult to compete with Space Y. Solid fuel cannot match the thrust of a liquid-fuel rocket, and since the first stage must use solid fuel, it is difficult to reuse."
"CEO Jo is correct. Space Y uses technology to inject additional liquid fuel for re-landing, and it is true that hybrid engines are hard to reuse because they use solid fuel in the first stage. However, I believe we can achieve economic viability if we manufacture the second-stage rocket engine with a 3D printer and use inexpensive solid fuel for the first stage."
"So, since Space Y is aiming for high-payload capacity, you mean we should target a niche market?"
"Yes. From what I’ve heard, the government plans to mimic Space Y this year and initiate private-led launch vehicle development."
"Ah! I heard that too. I heard that if KARI succeeds in the first launch, they will transfer the technology to the private sector to open up a private-led space industry. I heard it was a long-term plan spanning nearly 10 years."
"It’s called the 'Basic Plan for the Promotion of Space Development,' and it’s currently being established by the National Space Committee... The plan is to complete launch vehicle development under KARI’s leadership by 2023 and start private launch services from 2026. Then, after developing a small launch vehicle by 2030, they plan to expand to large launch vehicles like Space Y by 2040."
"Representative, where did you hear that information?"
"I was called to the Presidential Office a while ago, remember? I heard it from Jo Gwang-yeon, a director at the Ministry of Science and ICT, whom I met there. There was a request for Starlink to participate once KARI-led development is finished."
"Ah! What I knew was only a part of it."
"I believe it is in the national interest for us to challenge areas that the government is not investing in. What are your opinions?"
Both CEOs nodded, and CEO Ryu Gwang-su replied. "If the government were to proceed with investment, it would have been a redundant investment. As you intend, Representative, we will start development with solid-fuel rockets and consider moving to hybrids later."
CEO Jo also nodded in agreement. "Solid-fuel rocket technology is easier than liquid-fuel, but it’s not something to be taken lightly. We will complete the development of the solid-fuel rocket first and gradually build up our technical capabilities. However, there is one problem."
"What is it...?"
"Once the solid propellant is developed, we need to conduct combustion tests, but it is difficult to do so on Starlink Aerospace’s current site. We tried to push for renting KARI’s test site, but the schedule doesn't align due to KARI’s own combustion tests."
"I told you to make decisions on your own as long as large-scale budgets aren't involved..."
"I wanted to make the decision at my level, but the investment funds you provided through the capital increase last time have been exhausted. I am mentioning this in advance because we need to issue corporate bonds to build a large-scale test site."
"Ah! Has the investment money already been exhausted?"
"With only mass production of the T-50 series and drones as our source of income, continuous research and development has taken its toll..."
"Is even the reserve fund insufficient?"
"Yes. We can afford to purchase the real estate for the launch vehicle combustion test site, but facility investment is currently out of reach."
Because Taesik had insisted on continuous R&D, he decided to proceed with the real estate purchase first and find another way to secure the remaining funds. "Then, please proceed with the real estate purchase for now. I will secure additional funding while the land is being prepared."
CEO Jo Yun-je was surprised by Taesik’s promise to secure additional funds. "You already did a capital increase last time; will you be able to secure more investment funds?"
"I will handle that myself. Are there any other problems?"
CEO Jo Yun-je and CEO Ryu Gwang-su shook their heads. After sending the two CEOs away, Taesik called Miso. Recently, with no major issues during the UAM site construction in the U.S., Miso had been spending her days in a boring routine, going back and forth between the hospital where Chairman Lee Hyundo was staying and the office, so he decided to give her some work.
"Taesik, did you call for me?"
"How is the Chairman’s health these days?"
"Well, given his age, it’s not improving easily. But why do you ask?"
"Because you seem so listless, Miso, I wanted to give you some light work."
Miso’s eyes sparkled at the mention of additional work. "The work you’ve given me so far has been investment or UAM-related tasks... what is it this time?"
"I’m thinking of doing some speculation because Starlink Aerospace has run out of investment funds."
"The value of the won is falling due to the North Korean situation; isn't the timing bad?"
"It’s not stocks, but have you heard of Bitcoin?"
"Ah! You mean virtual currency. Isn't that pure speculation? I heard that the daily volatility is so high that no one but speculators touches it..."
Taesik knew that Bitcoin would hit its peak and then crash before the inter-Korean summit, so he continued in a confident voice.
"Yes. That’s why I told you I’m going to speculate, not invest."
Miso, fiddling with her phone, said, "The price of Bitcoin is over $6,000 right now. How much are you thinking of investing?"
"I’m thinking of investing all the cash I have. About $2 billion."
Miso was shocked by the scale of Taesik’s investment. "Taesik, I’m curious, just how much money do you have?"
"I have shares in Starlink affiliates, Misung Electronics, and a few A-Plus stocks."
"If it’s that much, you should be on the list of the world’s wealthiest people, so why does no one know?"
"Probably because I haven't listed the stocks. More importantly, do you have a dedicated investment team you manage?"
"I have a wealth manager that my father assigned to me. But why?"
"I thought this would be a good opportunity to grow your assets, Miso. I know you want to cut ties with Misung Group, but I want you to increase your shares in Misung affiliates. Also, if I may be so bold, when the Chairman passes away, you will have to pay inheritance tax, so I think you need to prepare in advance. I’m sorry if I’m overstepping."
"No, you’re looking out for me. But is the virtual currency market really that promising?"
Taesik couldn't reveal that he knew the Bitcoin market would fluctuate wildly, so he mentioned the technology behind the cryptocurrency.
"For now, I see a bright future because virtual currency is the foundation of blockchain technology. You know, investment is the responsibility of the individual..."
Just as Taesik was about to deliver a principled statement, hoping Miso would judge for herself, she interrupted him.
"I’ll do it. I’ll invest too. Thanks to you last time, I made a profit, so I’ll participate again."
Taesik responded to Miso’s decision to invest together. "Then, would you like to invest in Bitcoin, including my money? You can do it alone, or you can use the wealth manager you mentioned earlier."
"Hmm... Taesik, you didn't even ask how much I would invest."
"Did I? My investment amount is set, and you can handle the rest as you see fit."
"Then, can I have the staff who manage my assets transfer to Starlink? The staff who manage my brother’s and sister’s assets all moved to the affiliates they are in charge of, but since I’ve been working here, the relationship is a bit ambiguous."
"Take this opportunity to move them to the UAM division! How many are there?"
"One department head-level and two manager-level employees."
"You decide, Miso. But I’m not sure if they’ll want to move from Misung Group to Starlink."
"That doesn't matter. They were originally people meant to be my secretaries, so I’m the one paying their salaries; if their annual salary is insufficient, I can just make up the difference. Would you like to have them manage your assets too, Taesik? It seems you don't have any staff managing your wealth..."
"Hahaha. Aren't they Misung Group people?"
"To be precise, they are my people. Their affiliation is Misung Group, but they take my orders. They are trustworthy people, so would you like to meet them? They were personally recommended by my father and are graduates of the Misung Group scholarship program, so their abilities are outstanding."
Taesik decided to meet the wealth managers at Miso’s repeated urging. Miso immediately picked up the phone, made a call, and said, "They’re coming here right away, so please clear your schedule for an hour."
Taesik, impressed by Miso’s quick execution, decided to clear his schedule, and while waiting for them to arrive, he reviewed the test evaluation plan for the Korean-style goalkeeper system that Starlink Defense was preparing. An hour later, Miso knocked on the door and opened it, saying the people he was waiting for had arrived. Taesik looked up, seeing three unfamiliar men standing there.