WELLESLEY, Mass., April 11, 2018 (GLOBE NEWSWIRE) -- The need for connectivity in remote locations is the primary driver of the global satellite communications market. In a new report, Satellite Communications: Global Market Through 2022, BCC Research estimates this market to reach nearly $7.5 billion by 2022, up from nearly $4.6 billion in 2017, indicating a compound annual growth rate (CAGR) of 10.5%.
Satellite communication technology offers data, voice and video services in remote locations that lack traditional communication and wired networks. Satellite communication is vital for consumers and businesses established in such regions with minimum connectivity. Also, satellite communication provides GPS services, tracking and monitoring of vehicles and vessels, logistical support, and fleet management among others.
Satellite technology types discussed in the report include satellite telemetry, automatic identification system, and small aperture terminal. Satellite telemetry technology, the most commonly used type, should retain its position as the largest market by revenue, totaling an estimated $3.0 billion by 2022 with a 10.0% CAGR. Geographically, the market is segmented into North America, Europe, Asia-Pacific and the Rest of the World. North America is expected to maintain its market dominance, totaling $2.7 billion in 2022. However, the Asia-Pacific region should grow the fastest with an 11.3% CAGR due to emerging nations involved in heavy commercialization of satellite communication networks.
Research Highlights
- The military sector, the largest market in the industry segment, is expected to reach nearly $1.1 billion by 2022.
- In the next decade, hundreds of large satellites and about 2,000 nano- and micro-satellites are expected to launch into the atmosphere.
- India launched a record number of satellites (104) across the globe, gaining a strong footprint in the global commercial space industry.
“Factors such as the high cost of manufacturing, delay in signals, and the need for replacements will restrain market growth,” said Sinha G. Gaurav, BCC Research analyst and author of the report. “The cost of satellite communication technology includes satellite manufacturing, the launch of satellites through a space shuttle, and investments in a ground segment or base stations to manage and control a satellite. In addition to heavy expenditure, the development and launch of satellites take years to complete, and the deployment of satellites totally depends on the successful launch of space shuttles. In times of bad weather conditions such as storm and heavy rain, satellite connections may face interference or delay in receiving or sending signals. Moreover, standard satellites have a longevity of 12 to 15 years, which means that every satellite needs to be replaced before its lifespan ends.”
About BCC Research
BCC Research is a publisher of market research reports that provide organizations with intelligence to drive smart business decisions. By partnering with industry experts worldwide, BCC Research provides unbiased measurements and assessments of global markets covering major industrial and technology sectors, including emerging markets. For more information about BCC Research, please visit bccresearch.com. Follow BCC Research on Twitter at @BCCResearch.