Synopsis
The paper explores the impact of Earth Observation (EO) data on the economic performance and innovation capabilities of companies operating in Italy’s EO downstream sector. Using a comprehensive dataset representing 74% of this sector, the study finds that the impact of EO data varies across firms. Economic performance and innovation show positive correlation mainly among firms in northern Italy, while those in central Italy benefit from proximity to large space infrastructures but show mixed results in economic and innovation terms. Firms in the South innovate with EO data but struggle economically. The paper discusses the reasons for these regional disparities and offers insights for policy and managerial implications to enhance the sector’s future development.
