The article focuses on the interaction of public and business interests in the area of innovative development in the form of public-private partnership (PPP). Drawing on the example of space industry, the author examines principal models, methods and development prospects for PPP in one of the crucial high-tech sectors of the Russian economy. Reviewing both Russian and international practical cases, the article illustrates the dynamics of interaction between the private and public sectors in space activities and the emergence of new instruments to overcome obstacles in implementing PPP amid the structural reform of the Russian space sector.