February 28, 2024
Satellite as a Service Market

Satellite As A Service Market Is Expected To Be Flourished By Growing Adoption Of Iot Technology

Satellite as a service (SaaS) allows organizations to utilize satellite connectivity on demand. SaaS allows users to access diverse satellite communication services including broadband internet connectivity, IoT connectivity, and cloud-based services. Satellite as a service eliminates the hassle of purchasing, operating, and maintaining satellite infrastructure. SaaS providers offer flexible and scalable satellite connectivity and bandwidth along with equipment and infrastructure management. Major applications of satellite as a service include broadband connectivity, IoT connectivity, disaster management, border management, emergency response, maritime, and aviation.

The global Satellite as a Service Market is estimated to be valued at US$ 2.82 Bn in 2023 and is expected to exhibit a CAGR of 34.3% over the forecast period 2023-2030, as highlighted in a new report published by CoherentMI.

Market Dynamics:

One of the key drivers for the growth of the satellite as a service market is the growing adoption of IoT technology. IoT connectivity demands ubiquitous and reliable network coverage even in remote locations. Satellite networks can provide connectivity anywhere across the globe and have become vital for applications like maritime IoT, agriculture IoT, oil and gas IoT, and others. As more organizations deploy IoT infrastructure, demand for satellite IoT connectivity as a service will continue to rise. Furthermore, the advent of low earth orbit (LEO) satellite constellations allows provision of low latency satellite connectivity similar to terrestrial networks. LEO satellite connectivity is well-suited for real-time IoT applications like autonomous vehicles, smart cities, and industrial IoT. Startups like SpaceX and OneWeb have invested heavily in deploying large LEO constellations to cater to this emerging opportunity. The proliferation of new space technologies will accelerate the adoption of satellite as a service worldwide during the forecast period.

Segment Analysis:

The global satellite as a service market can be segmented on the basis of service type, organization size, vertical and geography. By service type, the managed SATCOM services segment is expected to dominate the market during the forecast period. This is mainly because managed SATCOM services ensure seamless operations and reduce operational costs for enterprises.

Global Satellite as a Service Market Segmentation:

  • By Orbit Type
  • LEO
  • MEO
  • GEO
  • Elliptical
  • Others
  • By Solution
  • Satellite TV Service
  • Satellite Fixed Voice Solutions
  • Satellite Mobile Voice Solutions
  • Satellite Internet/VSAT Service
  • Satellite Radio Service
  • Satellite Backhaul & Trunking
  • Others (Inflight Connectivity, M2M, IoT etc)
  • By End Use Industry
  • Media & Entertainment
  • Government
  • Aviation
  • Defense
  • Transportation & Logistics
  • Energy & Utilities
  • Others (Enterprises, Retail, Mining etc)
  • By Frequency Band
  • C Band
  • K/KU/KA Band
  • S & L Band
  • X & HTS Band
  • Others

PEST Analysis:

Political: Governments are supporting initiatives to improve satellite connectivity in rural and remote areas for better communication. Space agencies are working with commercial players to enhance access to space.
Economic: The satellite as a service market is driven by cost reductions from falling launch prices and smaller satellite sizes. Demand from enterprises is increasing bandwidth needs for applications like IoT.
Social: Growing connectivity demand for internet access on mobile devices and remote monitoring applications is propelling the market growth. Access to satellite services enables disaster management and humanitarian activities.
Technological: Advances in nano-satellite technologies are making satellite access more affordable. Edge computing technologies are reducing latency issues and supporting low-earth orbit satellite connectivity.

Key Takeaways:

The global Satellite As A Service Market Size is expected to witness high growth over the forecast period owing to the rising demand for connectivity across industries. The global Satellite as a Service market is estimated to be valued at US$ 2.82 Billion in 2023 and is expected to exhibit a CAGR of 34.3% over the forecast period 2023-2030.

Regional Analysis:

The North American region is expected to continue its dominance in the global satellite as a service market during the forecast period. This can be attributed to the growing investments by space agencies like NASA in next-gen satellite technologies. Countries like the US and Canada have advanced satellite capability and infrastructure.

Key Players:

Key players operating in the satellite as a service market are SES, Intelsat, Eutelsat, Telesat, SKY Perfect JSAT, SingTel, Optus, Star One, Arabsat, and Hispasat. SES is one of the major players providing satellite connectivity and bandwidth services globally. Intelsat operates the world’s largest integrated satellite and terrestrial network.

*Note:
1.Source: CoherentMI, Public sources, Desk research
2.We have leveraged AI tools to mine information and compile it