You're not wrong, arranging larger satellites or structures I expect will absolutely be a thing.
I could foresee multiple 150t payloads in LEO eventually forming 1000t or 10,000s t, or even 100,000s t large stations (for both civil/explorative and military use) for example.
But I also think it is important to recognize that simply dismissing the idea of "hundreds of 150t to LEO launches a day" may be strategically dangerous.
If you run the numbers, just [200 launches per day] x [150t] = [11 Million tonnes of payload]
Let's say we have mega space stations at 100,000t
Or call it the equivalent of an existing naval aircraft carrier at 100,000t
That would mean the equivalent of over 100 launched per year.
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What would they be doing with all this payload?
1. There's nothing in the emptiness of LEO to GEO space to justify all these space stations, unless there is an overt militarisation with huge Space Navies. Note the existing US Navy only comes to 5 million tonnes in total. And what country can afford to launch even 1 aircraft carrier (100,000t) per year?
EDIT
And the payload requirement for missiles is orders of magnitude lower. This has huge implications for intercontinental conventional strike across both directions of the Pacific. Let's say launch costs drop to $100/kg, which should be easily feasible for a truly reusable Falcon-9 sized rocket or Starship-sized one. For a 1000kg re-entry vehicle with warhead, the launch cost is just $100K. Even if you wanted to launch 10,000 such warheads per month, that is equivalent to launch capacity of 0.12 Million tonnes per year.
Thinking more strategically, you would want more dispersed and smaller launch rockets in such a military arms race. Ergo, a smaller Falcon-9 sized rocket versus Starship-size.
And with China now able to inflict significant damage on the US Homeland, the US appetite for declaring war on China will disappear, particularly since both sides will not be able to distinguish between conventional and nuclear strikes. China's strategic objectives do not require a war with the US.
2. Express freight services via space won't be significant as you only save a few hours over the existing air freight services, but the cost will be far higher.
3. A similar calculation applies to passenger transport services, but space rockets will also be significantly more dangerous and more uncomfortable than an airliner.
4. Only when there is a requirement for a Mars base (or a Moon base?), does a Starship sized rocket become more cost-efficient than a Falcon-9 sized rocket. I think this will eventually happen, but there are 2 considerations:
a) A base will take some time to build, because it will be very expensive and likely a huge money sink for years and years.
b) The higher launch costs of a Falcon-9 sized rocket versus a Starship-sized one shouldn't be too bad. Maybe 30%?
So in a worse case scenario, let's assume rockets to Mars will take at least 10 years before they are commonplace.
China would have lower overall launch costs for the first 10 years. Then you would have a period with higher launch costs, but this can be swallowed for a few years until the rocket design is scaled up. It might even end up that China comes up with a larger Starship-sized rocket exactly when it is most cost effective, in say 10-15 years time.
Eventually, we would end up in a situation similar to today's commercial airliner market.
Yes, the pace of overall Chinese space launch in the short to medium term future is absolutely something to track carefully, and both commercial and state launch companies I suspect are reorganizing themselves a little to move faster to avoid too much of a gap between SpaceX's potential and themselves.
My overall thrust is that I think we are at a stage of space launch/exploration technology now, that there needs to be some serious consideration of "DAE annually launch tens of millions of tons of payload into LEO equivalent in a few decades" needs to be at least pondered by governments. Because if you get your pants caught down on this and reality ends up approaching even a fraction of such a prospect... well let's just say 24/7 global simultaneous realtime AMTI, sub-meter grade SAR and GMTI would be well within reach, let alone other strategic applications.
"24/7 global simultaneous realtime AMTI, sub-meter grade SAR and GMTI would be well within reach, let alone other strategic applications."
I'd say this is feasible with a constellation <10000 satellites in LEO. You would only need 10000 tonnes in total, rather than millions of tonnes.
But the main problem is the total number of satellites that can fit into LEO, which might only be 50K.
With this sort of limit, a Falcon 9 sized reusable rocket is more cost-efficient than a Starship-sized one.