Satellite Communication Equipment Market Set to Expand with a CAGR of 8.88%, to Cross US$ 47-B by 2026
Dublin, Ireland, Sept. 12, 2018 ― The satellite communication equipment market is predicted to expand with a compounded annual growth rate (CAGR) of 8.88% throughout the forecast period to cross US$ 47 billion by 2026, a new study of Markets and Research said.
Satellite communications equipment referred to include – SATCOM Receiver, SATCOM Transmitter, SATCOM Transceiver, SATCOM Antenna and SATCOM Modem; End-use – Land SATCOM Equipment, Maritime SATCOM Equipment, Air & Space SATCOM Equipment.
The firm said the overall satellite communication equipment market is set to demonstrate promising growth over the forecast period, majorly due to significantly growing IT & telecommunication sector worldwide. The global telecommunication traffic accounted to cross 290 terabits per second in 2017 along with addition of new 196 terabits per second of international Internet capacity between 2013 and 2017.
Advancement in Internet capacity credited to worldwide need for uninterrupted communication across almost all industries. Satellite communication (SATCOM) equipment enables real time communication connection across the geographies. This concludes promising demand for SATCOM equipment to facilitate transmission of high traffic signals for regional or global purpose.
The overall SATCOM equipment market segmented on the basis of product type and end-use. Based on product type, SATCOM transceiver is leading the global SATCOM equipment market and accounting for more than 1/4th of the total market value. This is mainly due to growing use of satellite equipment for navigation application along with increasing surveillance applications by number of defense authorities. By geography, the SATCOM equipment market dominated by North America estimated for over 35.0% of the overall market value generated worldwide. Asia Pacific region expected to account for the highest growth during forecast period, majorly due to rapidly growing research & development activities in SATCOM sector in China, India, Japan and South Korea among others.
The growth in SATCOM equipment market further supported by the increasing use of Internet of Things (IoT) applications, television, real time communication and others. According Ericsson AB, more than 2 Bn objects (excluding smartphones) expected being connected using cellular technology by 2023. This include robotics, agricultural fields & equipment and logistics among others. SATCOM equipment penetration in IoT applications, believed to dramatically improve overall real time connectivity, enhance technological feasibility and significantly reduce operational costs. With Internet of Things (IoT) gaining significant traction across almost all government as well as commercial sector, IT & telecommunication industry set to continue the trend as the largest application of the market.
Similarly, emerging trend of connected vehicles as well as penetration of navigation system is further driving the SATCOM market growth. Another motivating factor for the global SATCOM market growth is rising adoption of satellite communication services in media sector. Growing demand for live broadcasting of sports, entertainment & other events, commercial advertisements, news and live telecast of various ongoing events is set to drive the further growth of SATCOM equipment market.
Further, exposure of SATCOM technology by private organizations is inflating with promising rate. The consumers are getting more technological advances with affordable services due to growing penetration of such players. For instance, in June 2018, Phasor Solutions Ltd., the developer of leading antenna systems for mobiles, broadband announced a milestone commercial alliance with Astronics AeroSat Corporation. New partnership will produce scalable aeronautical terminals which will enhance the passenger experience with superior inflight connectivity and comfortable affordability.
