Mobile Satellite Services Market Size
|Study Period||2018 - 2028|
|Base Year For Estimation||2022|
|Fastest Growing Market||Asia Pacific|
|Largest Market||North America|
*Disclaimer: Major Players sorted in no particular order
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Mobile Satellite Services Market Analysis
The mobile satellite services market was valued at USD 4.21 billion last year and is expected to reach USD 6.51 billion by the end of the forecast period while registering a CAGR of 7.37% during the forecast period. The usage of satellite communication services for IoT, as well as in the disaster management areas in developed regions, is expected to boost the market studied over the forecast period.
- Mobile satellite services can find space for a wide range of applications, including telecommunication, weather prediction, navigation, military intelligence, and space exploration. Additionally, augmenting 5G mobile networks with next-generation satellite capabilities helps mobile satellite operators play a vital role in the emerging 5G ecosystem.
- Until recently, the MSS frequency bands were separate from the bands used for terrestrial cellular because the mobile user either needed a dual frequency band handset or two separate handsets. However, in the past decade, several system planners have proposed that segments of the MSS frequency bands be used for both terrestrial cellular and satellite communications so that the handsets might be simplified and the user's service is always through the same service provider.
- The terrestrial cellular network to support this mode of operation is called the ancillary terrestrial component (ATC). Although this will put additional burdens on the existing frequency allocations and require special precautions to protect GPS operations in adjacent bands, conditional approvals for the concept have already been obtained in the United States for the deployment of new integrated satellite and terrestrial networks using standard devices with form factors similar to current PCS/Cellular devices. There is a convergence between emerging wireless and mobile satellite services. Examples include the deployment of S-Band and L-Band integrated MSS networks in the United States by ICO Global Communications (DSDB recently acquired by Dish Network), TerreStar, and LightSquared.
- Interoperability is described as the ability of diverse information systems, devices, and applications to connect, in a synchronized manner, inter and intra-organizational boundaries to access, exchange, and cooperatively use the data amongst stakeholders. Data exchange architectures and standards allow relevant data to be shared effectively and securely within all applicable settings and with relevant stakeholders (including with the person whose information is being shared).
- Optimally, interoperability facilitates the connections and integrations across these communication systems to occur regardless of the data's origin or destination and ensures the data are usable and readily available to share without additional intervention by the end user. In the mobile satellite services market, the connection can happen between fixed satellite services to MSS or others as well. It requires the facilities to have interoperability; otherwise, the function may fail.
Mobile Satellite Services Market Trends
Voice Service Segment is expected to register a Significant Growth
- Companies are offering portable and fixed phone services that provide essential voice calls and messaging for businesses operating in remote regions across the world. These voice services can be used on land, at sea, and in the air. They utilize advanced satellite communications networks, offering clear voice quality and minimal call dropout.
- For government agencies, voice mobile satellite services are an effective solution to manage coast guards and forest rangers, allowing them to help people on the borders and the islands. This is necessary during natural disasters.
- Apart from government agencies, businesses adopt voice satellite services to ensure continuous, uninterrupted communications for their crews in the fishery, mining, transport, construction, and tourism industries. Individual customers also benefit from voice satellite services, especially those who are always on the move or working in areas without cellular networks.
- Companies support polar adventurers by providing them with voice satellite services, which enable satellite connectivity for mobile devices that terrestrial networks cannot reach. For instance, Polar adventurer Antony Jinman used Iridium GO on his Antarctica trip.
- Companies are also adopting voice-based mobile satellite services to keep their employees connected with their families and close friends. For instance, INMARSAT offers one of the services called ChatCard, which helps to reduce feelings of isolation at sea by giving crewmembers the freedom to stay in touch with family and friends anywhere.
- For instance, American communications firm Viasat Inc. is headquartered in Carlsbad, California, and has other operations both domestically and abroad. Over 50% of Viasat's revenue in 2022 came from satellite services, with the balance coming from its product line. Viasat is a provider of secure networking solutions and high-speed satellite broadband services for the military and commercial markets. In the fiscal year 2022, the corporation made 2.8 billion dollars in revenue. Viasat's revenue steadily increased since 2019.
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North America is expected to witness significant growth
- Among the lead innovators and pioneers in terms of adoption, North America is one of the largest markets for mobile satellite services. The growth in demand from end-user industries, such as government, maritime, and aviation, among others, is boosting the growth of the market in the region. Moreover, the region has advanced foothold technological infrastructure and improved network connectivity.
- The government agencies in the region have made significant efforts to introduce new satellite and navigation systems, which have further boosted the growth of the Satcom industry. For instance, in October 2022, in order to assist interested vendors in getting ready for potential solicitations in the fiscal year 2023, the U.S. Space Force released a list of future specifications for commercial satellite communications. The service mentioned that the 11 planned contracts for procurement are anticipated to last for the following 11 months. The estimated value of the five-year contract is between USD 620 million and USD 630 million.
- Another requirement listed is a recompete of a contract used to deliver Inmarsat's airborne broadband and Global Xpress services to the Department of Defense and other federal agencies. A potential five-year follow-on contract worth between USD 240 million and USD 250 million could be awarded in February 2023.
- Recently, SES GS announced that the U.S. General Services Administration's Future Satellite Communications Service Acquisition (FCSA) program had awarded SES Government Solutions the spot on the Complex Commercial Satellite Communications Solutions contract (CS3).
- This will likely allow the U.S. Government to take advantage of the most innovative offerings, including high throughput connectivity on a multi-orbit satellite fleet. Complex solutions will have any combination of fixed and mobile satellite services, service-enabling authorizations, components, and ancillary equipment, such as terminals, teleports, and peripherals.
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Mobile Satellite Services Industry Overview
The Mobile Satellite Services market is highly competitive and consists of several major players. In terms of market share, few of the major players currently dominate the market. These major players with a prominent share of the market are focusing on expanding their customer base across foreign countries. These companies are leveraging strategic collaborative initiatives to increase their market share and increase their profitability. The companies operating in the market are also acquiring start-ups working on Mobile Satellite Services technologies to strengthen their product capabilities.
In May 2023, it was reported that a new 8th generation of Inmarsat spacecraft will be developed by SWISSto12. The three I-8 satellites will provide further network resilience to ensure the continuation of Inmarsat's global L-band safety services for a long time.
In March 2023, Globalstar, Inc., announced that the Kingdom of Thailand's Office of The National Broadcasting and Telecommunications Commission (NBTC) has authorized the provision of Globalstar mobile satellite services throughout Thailand, including the authority to operate its new ground station at Thaicom's Teleport Center in Patumthani province north of Bangkok. Its new ground station at Thaicom's Teleport Center joins twenty-seven other stations in seventeen countries to provide the finest mobile satellite services, including critical Emergency SOS communications, to hundreds of millions of people globally.
In July 2022, the Combat Capabilities Development Command of the U.S. Army awarded a contract to Kratos Defense & Security Solutions, Inc., a leading National Security Solutions provider, to showcase a virtualized SATCOM ground system. The solution, which is based on Kratos' OpenSpace Platform, will allow the government to deploy SATCOM networks in accordance with modernization objectives such as streamlining gateway and remote terminal capabilities supported by multiple vendors, lowering life-cycle costs, and assisting adaptive, dynamic space operations. The Network Command, Control, Communication, and Intelligence Cross-Functional Team (N-CFT), which was created by the Army's Future Command, provided funding for this award.
Mobile Satellite Services Market Leaders
EchoStar Mobile Limited
Iridium Communications Inc.
*Disclaimer: Major Players sorted in no particular order
Mobile Satellite Services Market News
- June 2023: To establish better communication with vessels in the sea and monitor Indian waters more efficiently, NewSpace India Ltd, the commercial arm of the Indian Space Research Organisation (ISRO), is setting up mobile satellite service (MSS) terminals on at least one lakh motorized and fishing boats across 13 coastal states. In order to set up maritime ship communication and support systems for monitoring, control, and surveillance in marine fishing vessels, NewSpace India has initiated a selection of private contractors that would supply, install, and commission MSS terminals.
- December 2022: Nelco, a member of the Tata Group, applied for the Global Mobile Personal Communication by Satellite (GMPCS) license, making it the fourth company in India to do so. This action indicated increased interest in a newly emerging market that has substantial growth potential. The government has so far granted licenses to Elon Musk-owned SpaceX and Bharti Group-backed OneWeb, as well as the satellite division of Reliance Jio Infocomm.
- August 2022: Vodafone PNG and Kacific teamed up to bring the Mobile Backhaul services of the satellite operator to the rural area. The cooperation aimed to provide Vodafone PNG's voice and 3G/4G data network in Papua New Guinea's remote areas, aiding the country's government, schools, businesses, and communities in their digital transformation. The Asia-Pacific region, including New Zealand, Singapore, Australia, Fiji, PNG, and other Pacific Islands, was serviced by Kacific. The new construction was expected to make use of the company's capabilities to give the rural area improved mobile connectivity and services.
Mobile Satellite Services Market Report - Table of Contents
1.1 Study Deliverables
1.2 Study Assumptions
1.3 Scope of the Study
2. RESEARCH METHODOLOGY
3. EXECUTIVE SUMMARY
4. MARKET INSIGHTS
4.1 Market Overview
4.2 Industry Attractiveness Porter's Five Forces Analysis
4.2.1 Bargaining Power of Buyers/Consumers
4.2.2 Bargaining Power of Suppliers
4.2.3 Threat of New Entrants
4.2.4 Threat of Substitute Products
4.2.5 Intensity of Competitive Rivalry
4.3 Value Chain / Supply Chain Analysis
5. MARKET DYNAMICS
5.1 Market Drivers
5.1.1 Rising Integration Demands for Satellite and Terrestrial Mobile Technology
5.1.2 Growing Interest from Government and Military
5.2 Market Restraints
5.2.1 Lack of Interoperability between MSS Systems
5.2.2 Increasing Regulations on the Use of Satellite Technology
6. MARKET SEGMENTATION
6.1 By Service
6.2.1 North America
6.2.4 Latin America
6.2.5 Middle East and Africa
6.3 End-User Industry
7. COMPETITIVE LANDSCAPE
7.1 Company Profiles
7.1.1 Globalstar Inc.
7.1.2 Ericsson Inc.
7.1.3 Inmarsat PLC
7.1.4 EchoStar Mobile Limited
7.1.5 Iridium Communications Inc.
7.1.6 Intelsat S.A
7.1.7 Thuraya Telecommunications Company
7.1.8 ViaSat UK Limited
7.1.9 ORBCOMM Europe Holding BV
- *List Not Exhaustive
8. MARKET OPPORTUNITIES AND FUTURE TRENDS
8.1 Investment Analysis
8.2 Future of the Market
Mobile Satellite Services Market Research FAQs
What is the study period of this market?
The Mobile Satellite Services Market is studied from 2018 - 2028.
What is the growth rate of Mobile Satellite Services Market?
The Mobile Satellite Services Market is growing at a CAGR of 7.37% over the next 5 years.
Which region has highest growth rate in Mobile Satellite Services Market?
Asia Pacific is growing at the highest CAGR over 2018 - 2028.
Which region has largest share in Mobile Satellite Services Market?
North America holds highest share in 2022.
Who are the key players in Mobile Satellite Services Market?
Globalstar Inc., Ericsson Inc., Inmarsat PLC, EchoStar Mobile Limited, Iridium Communications Inc. are the major companies operating in Mobile Satellite Services Market.
Mobile Satellite Services Industry Report
Statistics for the 2023 Mobile Satellite Services market share, size and revenue growth rate, created by Mordor Intelligence™ Industry Reports. Mobile Satellite Services analysis includes a market forecast outlook to for 2023 to 2028 and historical overview. Get a sample of this industry analysis as a free report PDF download.