[DigitalToday reporter Jinju Hong] China has approved the first commercial trial of private satellite Internet of Things (IoT) services for GeeSpace, a space company affiliated with Geely.

On Aug. 21 local time, the Hong Kong-based South China Morning Post (SCMP) reported that China’s Ministry of Industry and Information Technology granted Zhejiang GeeSpace Technology a two-year trial operating period.

The approval allows GeeSpace to provide low-power, wide-area connectivity services for smart transport, marine fisheries, energy and water infrastructure. This is the first time a Chinese private company has received approval for a commercial satellite IoT trial.

The move aligns with a push by China to open its fast-growing satellite communications market more widely to private capital. In its approval notice, the ministry defined satellite IoT as an “important complement” to broadband satellite services and said the trial would serve as an opportunity to open the door to further private-sector participation.

Satellite IoT links sensors, vehicles and various equipment through satellite networks to provide low-speed data services. Unlike SpaceX’s Starlink, which targets high-speed internet, or Qianfan, a state-backed Chinese system, satellite IoT focuses on reliably connecting many devices in areas beyond the reach of traditional communications networks. It cited seas, deserts and remote infrastructure hubs as representative application areas.

China previously granted its first satellite IoT trial approval in May. The recipient then was Beijing Guodian High-Tech Technology, backed by China Mobile, the country’s largest wireless carrier. The key point this time is that a private company has, for the first time, crossed the threshold for the same type of commercial trial, widening the opening of the commercial space sector by one step.

Founded in 2018, GeeSpace is one of China’s commercial space companies building its own orbital network. On its website, GeeSpace said it completed the first phase of its network by launching 64 satellites across six launches from 2022 to 2025. Chief executive Wang Yang (王洋) said in a 2024 interview with Zhejiang Daily that the long-term goal is to deploy a constellation of more than 5,600 satellites.

GeeSpace is also expanding overseas. Based on its website, it has conducted trials with telecom operators in more than 20 countries, including the Middle East, Africa, Southeast Asia, Central Asia, South Asia, and Central and South America. The domestic trial approval is therefore expected to broaden GeeSpace’s domestic business base within the regulatory framework while serving as a milestone supporting its satellite IoT business overseas.

The Chinese government is developing satellite IoT as a separate pillar distinct from broadband satellite services. It is seeking to expand use cases, particularly across industrial sites with clear demand for low power, wide-area coverage and remote connectivity. Against this backdrop, the approval is increasingly likely to act as a benchmark that goes beyond a simple technology demonstration to expand the role of private companies in China’s commercial space market.