Global Satellite Communication Market 2023
The satellite communication market is segmented based on the revenue generated from various industries. According to projections, it is expected to experience a compound annual growth rate (CAGR) of 9.6% from 2023 to 2029. Satellite communication finds applications in media, broadband, 5G, defense, and surveillance sectors.
One of the key drivers for satellite communication is the high demand for broadband connectivity, particularly in remote areas where traditional terrestrial networks are limited. This creates significant opportunities for satellite communication providers to bridge the connectivity gap in these regions.
Furthermore, advancements in technology have opened up new avenues for satellite communication in remote industries. These industries can now leverage satellite communication to enhance their operations and improve efficiency.
Ground equipment revenues have witnessed substantial growth, especially in the Global Navigation Satellite System (GNSS) markets. This growth can be attributed to the increasing reliance on satellite-based navigation systems across various industries.
Cybersecurity is a major concern in the satellite communication sector. As the reliance on satellite communication increases, ensuring the security and integrity of the transmitted data becomes crucial to protect against potential cyber threats.
During the pandemic, satellite communication played a crucial role in maintaining connectivity and enabling remote operations. It served as a lifeline for businesses and individuals, facilitating communication and data transfer even in challenging circumstances.
The market is also driven by the adoption of Internet of Things (IoT) devices and autonomous systems. Strategic alliances and partnerships are being formed to expand the reach of IoT through satellite communication. This collaboration is expected to further fuel the growth of the satellite communication market.
Market Segmentation
The market is divided into different segments based on several factors, such as type, end user, and region. When it comes to type, the market is segmented into ground equipment and service. In terms of end users, the market is segmented into maritime, defense and government, enterprises, media and entertainment, as well as other end-user verticals. Lastly, the market is segmented by region, including North America, Europe, Asia-Pacific, Latin America, and the Middle East and Africa.
The ground equipment segment was the dominant market segment in 2022, accounting for 56.5% of the market. This segment is also projected to have a higher Compound Annual Growth Rate (CAGR) of 9.8% during the forecast period (2023-2029). Ground equipment for satellite communication includes various electronic systems such as Satellite Gateways, Very Small Aperture Terminal (VSAT) Equipment, Network Operation Center (NOC), and Satellite News Gathering (SNG) Equipment. A satellite gateway, also known as a teleport or hub, acts as a ground station that facilitates data transmission between satellites and local area networks. It contains antennas and equipment that convert Radio Frequency (RF) signals to Internet Protocol (IP) signals for terrestrial access. This connection links the satellite to a Local Area Network (LAN). Similar to terrestrial connections, the satellite gateway uses antennas and technology to translate radio frequency signals to IP signals and vice versa. IP, or Internet Protocol, is used for internet access and data transport, and the Voice over IP protocol can also be used for voice data transmission.
The media and entertainment segment held the largest share of 29.7% in the market in 2022, in terms of end-user vertical. The enterprises segment is expected to have the highest CAGR of 9.9% during the forecast period (2023-2029). Satellites provide a powerful means of distributing communication media. Currently, satellites can transmit at least 30 different combinations of media and multimedia. The term ''medium'' refers to the methods of originating, encoding, transmitting, decoding, and displaying messages to receivers. Satellite broadcasting entails the distribution of multimedia content or broadcast signals through a satellite network. These signals typically originate from broadcasting stations such as TV or radio stations and are transmitted via a satellite uplink to a geostationary artificial satellite for redistribution or retransmission to predetermined geographic locations through open or secure channels. Satellite television, also known as direct broadcasting, has become a significant method of distributing television content. The wide coverage areas and ample bandwidth of satellite television allow for the broadcast of numerous channels, making it highly attractive.
In terms of geography, North America had the largest share of 33.5% in the market in 2022. The Asia-Pacific region is expected to experience a higher CAGR of 9.9% during the forecast period (2023-2029). Government agencies in North America have made significant efforts to introduce new satellite and navigation systems, contributing to the growth of the satellite communication industry. Given the large coastal area, continuous monitoring becomes essential. The region's increasing commercial activities and trade have propelled the need for maritime safety and surveillance.
Competitive Landscape
Key players in the SATCOM market include Thales Group, Inmarsat Global Limited, Iridium Communications Inc., Gilat Satellite Networks Ltd, and Orbcomm Inc. These companies are utilizing strategies such as partnerships, innovations, mergers, and acquisitions to enhance their product offerings and gain a competitive advantage. Other notable companies in this market include Cobham SATCOM (Combham Limited), Thuraya Telecommunications Company, ViaSat Inc., ST Engineering iDirect, L3Harris Technologies Inc., Advantech Wireless Technologies Inc. (Baylin Technologies), and KVH Industries Inc.
Recent Industry Developments
CobhamSatcom and RBC Signals have agreed to deploy CobhamSatcom's Tracker 6000 and 3700 series ground stations globally, expanding RBC Signals' ground network for integrated communication services in NGSO missions.
Yahsat's mobility division, Thuraya, and eSATGlobal have formed a partnership to establish a Next Generation IoT Platform, ensuring continuous access to an LPWAN IoT system across Thuraya's Mobile Satellite Services.
Gilat Satellite Networks Ltd will enhance inflight connectivity in the Americas through multimillion-dollar agreements with Intelsat, upgrading Gilat hubs in the United States and Brazil to meet the growing demand for bandwidth on Intelsat's IFC network.
Scope of the Report
To analyze and forecast the market size of the global satellite communication market.
To classify and forecast the global satellite communication market based on type, end user, region.
To identify drivers and challenges for the global satellite communication market.
Why Choose This Report
Gain a reliable outlook of the global satellite communication market forecasts from 2023 to 2029 across scenarios.
Identify growth segments for investment.
The market estimate for ease of analysis across scenarios in Excel format.
Strategy consulting and research support for three months.
Print authentication provided for the single-user license.
One of the key drivers for satellite communication is the high demand for broadband connectivity, particularly in remote areas where traditional terrestrial networks are limited. This creates significant opportunities for satellite communication providers to bridge the connectivity gap in these regions.
Furthermore, advancements in technology have opened up new avenues for satellite communication in remote industries. These industries can now leverage satellite communication to enhance their operations and improve efficiency.
Ground equipment revenues have witnessed substantial growth, especially in the Global Navigation Satellite System (GNSS) markets. This growth can be attributed to the increasing reliance on satellite-based navigation systems across various industries.
Cybersecurity is a major concern in the satellite communication sector. As the reliance on satellite communication increases, ensuring the security and integrity of the transmitted data becomes crucial to protect against potential cyber threats.
During the pandemic, satellite communication played a crucial role in maintaining connectivity and enabling remote operations. It served as a lifeline for businesses and individuals, facilitating communication and data transfer even in challenging circumstances.
The market is also driven by the adoption of Internet of Things (IoT) devices and autonomous systems. Strategic alliances and partnerships are being formed to expand the reach of IoT through satellite communication. This collaboration is expected to further fuel the growth of the satellite communication market.
Market Segmentation
The market is divided into different segments based on several factors, such as type, end user, and region. When it comes to type, the market is segmented into ground equipment and service. In terms of end users, the market is segmented into maritime, defense and government, enterprises, media and entertainment, as well as other end-user verticals. Lastly, the market is segmented by region, including North America, Europe, Asia-Pacific, Latin America, and the Middle East and Africa.
The ground equipment segment was the dominant market segment in 2022, accounting for 56.5% of the market. This segment is also projected to have a higher Compound Annual Growth Rate (CAGR) of 9.8% during the forecast period (2023-2029). Ground equipment for satellite communication includes various electronic systems such as Satellite Gateways, Very Small Aperture Terminal (VSAT) Equipment, Network Operation Center (NOC), and Satellite News Gathering (SNG) Equipment. A satellite gateway, also known as a teleport or hub, acts as a ground station that facilitates data transmission between satellites and local area networks. It contains antennas and equipment that convert Radio Frequency (RF) signals to Internet Protocol (IP) signals for terrestrial access. This connection links the satellite to a Local Area Network (LAN). Similar to terrestrial connections, the satellite gateway uses antennas and technology to translate radio frequency signals to IP signals and vice versa. IP, or Internet Protocol, is used for internet access and data transport, and the Voice over IP protocol can also be used for voice data transmission.
The media and entertainment segment held the largest share of 29.7% in the market in 2022, in terms of end-user vertical. The enterprises segment is expected to have the highest CAGR of 9.9% during the forecast period (2023-2029). Satellites provide a powerful means of distributing communication media. Currently, satellites can transmit at least 30 different combinations of media and multimedia. The term ''medium'' refers to the methods of originating, encoding, transmitting, decoding, and displaying messages to receivers. Satellite broadcasting entails the distribution of multimedia content or broadcast signals through a satellite network. These signals typically originate from broadcasting stations such as TV or radio stations and are transmitted via a satellite uplink to a geostationary artificial satellite for redistribution or retransmission to predetermined geographic locations through open or secure channels. Satellite television, also known as direct broadcasting, has become a significant method of distributing television content. The wide coverage areas and ample bandwidth of satellite television allow for the broadcast of numerous channels, making it highly attractive.
In terms of geography, North America had the largest share of 33.5% in the market in 2022. The Asia-Pacific region is expected to experience a higher CAGR of 9.9% during the forecast period (2023-2029). Government agencies in North America have made significant efforts to introduce new satellite and navigation systems, contributing to the growth of the satellite communication industry. Given the large coastal area, continuous monitoring becomes essential. The region's increasing commercial activities and trade have propelled the need for maritime safety and surveillance.
Competitive Landscape
Key players in the SATCOM market include Thales Group, Inmarsat Global Limited, Iridium Communications Inc., Gilat Satellite Networks Ltd, and Orbcomm Inc. These companies are utilizing strategies such as partnerships, innovations, mergers, and acquisitions to enhance their product offerings and gain a competitive advantage. Other notable companies in this market include Cobham SATCOM (Combham Limited), Thuraya Telecommunications Company, ViaSat Inc., ST Engineering iDirect, L3Harris Technologies Inc., Advantech Wireless Technologies Inc. (Baylin Technologies), and KVH Industries Inc.
Recent Industry Developments
CobhamSatcom and RBC Signals have agreed to deploy CobhamSatcom's Tracker 6000 and 3700 series ground stations globally, expanding RBC Signals' ground network for integrated communication services in NGSO missions.
Yahsat's mobility division, Thuraya, and eSATGlobal have formed a partnership to establish a Next Generation IoT Platform, ensuring continuous access to an LPWAN IoT system across Thuraya's Mobile Satellite Services.
Gilat Satellite Networks Ltd will enhance inflight connectivity in the Americas through multimillion-dollar agreements with Intelsat, upgrading Gilat hubs in the United States and Brazil to meet the growing demand for bandwidth on Intelsat's IFC network.
Scope of the Report
To analyze and forecast the market size of the global satellite communication market.
To classify and forecast the global satellite communication market based on type, end user, region.
To identify drivers and challenges for the global satellite communication market.
Why Choose This Report
Gain a reliable outlook of the global satellite communication market forecasts from 2023 to 2029 across scenarios.
Identify growth segments for investment.
The market estimate for ease of analysis across scenarios in Excel format.
Strategy consulting and research support for three months.
Print authentication provided for the single-user license.
PART 1. INTRODUCTION
1.1 Description
1.2 Objectives of The Study
1.3 Market Segment
1.4 Years Considered for The Report
1.5 Currency
1.6 Key Target Audience
PART 2. RESEARCH METHODOLOGY
2.1 Primary Research
2.2 Secondary Research
PART 3. EXECUTIVE SUMMARY
PART 4. MARKET OVERVIEW
4.1 Introduction
4.2 Drivers
4.3 Restraints
PART 5. GLOBAL SATELLITE COMMUNICATION MARKET BY TYPE
5.1 Ground equipment
5.2 Service
PART 6. GLOBAL SATELLITE COMMUNICATION MARKET BY END USER
6.1 Defense and government
6.2 Enterprises
6.3 Maritime
6.4 Media and entertainment
6.5 Others
PART 7. GLOBAL SATELLITE COMMUNICATION MARKET BY REGION
7.1 North America
7.2 Europe
7.3 Asia-Pacific
7.4 Latin America
7.5 Middle East and Africa
DISCLAIMER
1.1 Description
1.2 Objectives of The Study
1.3 Market Segment
1.4 Years Considered for The Report
1.5 Currency
1.6 Key Target Audience
PART 2. RESEARCH METHODOLOGY
2.1 Primary Research
2.2 Secondary Research
PART 3. EXECUTIVE SUMMARY
PART 4. MARKET OVERVIEW
4.1 Introduction
4.2 Drivers
4.3 Restraints
PART 5. GLOBAL SATELLITE COMMUNICATION MARKET BY TYPE
5.1 Ground equipment
5.2 Service
PART 6. GLOBAL SATELLITE COMMUNICATION MARKET BY END USER
6.1 Defense and government
6.2 Enterprises
6.3 Maritime
6.4 Media and entertainment
6.5 Others
PART 7. GLOBAL SATELLITE COMMUNICATION MARKET BY REGION
7.1 North America
7.2 Europe
7.3 Asia-Pacific
7.4 Latin America
7.5 Middle East and Africa
DISCLAIMER
