Capitalism in space: SpinLaunch, a new smallsat launch company that proposed to put its customer’s satellites into orbit by “flinging” them upward, has broken ground on a facility where it will test this radical launch technology.

The company broke ground yesterday (May 7) at Spaceport America in New Mexico, marking the start of construction on a $7 million flight-test facility.

And this will be no ordinary launch pad. SpinLaunch is developing a kinetic-energy-based system that will fling small spacecraft skyward without firing up a rocket engine (though traditional chemical propulsion does come into play later in the flight). If all goes according to plan, SpinLaunch will eventually be able to loft satellites cheaply and rapidly — up to five times per day, at about $250,000 a pop, company representatives have said.

They have already raised $40 million in investment capital, and hope to do their first commercial launch in 2022.

While this company is far behind the leaders in the smallsat launch race, it very much seems to represent the second wave of competition. The first wave is generally using tried and true concepts of rocketry, albeit applied with modern technology and some innovation to lower the costs. The second wave will involve companies trying to beat that first wave with new and radical ideas that will lower the costs even more. SpinLaunch appears to be in that group.