Satellite Communication System Market to Reach $61.5 Billion by 2031
The global satellite communication system market is projected to reach $61.5 billion by 2031, registering a CAGR of 9.5% from 2022 to 2031. A new report from Allied Market Research offers a detailed analysis of changing market trends, top segments, key investment pockets, value chains, regional landscapes, and competitive scenarios.
Satellite communication systems have gained popularity in recent years due to their ability to provide communication services to remote and underserved areas. Additionally, increasing demand for global connectivity and growing adoption of the Internet of Things (IoT) devices have also contributed to the increased use of satellite communication systems.
The increase in Internet of Things (IoT) and autonomous systems, rise in demand for military and defense satellite communication solutions, and increase in adoption of satellite communication systems in online streaming services, radio, and TV broadcasts across the world drive the growth of the global satellite communication system market. On the other hand, interference in satellite data transmission restrains the growth to some extent. However, high-end technological advancements in satellite missions have paved the way for lucrative opportunities in the industry.
Satellite Communication System Market Segment Breakdown
The Medium Earth Orbit (MEO) segment garnered the highest share during the forecast period. Medium Earth Orbit (MEO) satellites orbit at an altitude of around 5,000 to 7,500 miles, which is higher than Low Earth Orbit (LEO) satellites, but lower than Geostationary Earth Orbit (GEO) satellites. This orbital altitude provides a balance of coverage and capacity, making it well-suited for a wide range of applications, including telecommunications, navigation, and earth observation. Medium Earth Orbit (MEO) satellites have a relatively short signal delay, which is important for applications such as mobile communications and satellite-based navigation systems. They also have a large field of view, which is useful for earth observation and remote sensing applications.
By component, the services segment accounted for the highest market revenue in 2021, and is projected to retain the lion's share by 2031. The services segment includes a wide range of activities such as satellite-based communication, navigation, and remote sensing services, which are critical for a wide range of industries and applications. The increasing demand for high-speed internet and streaming services is expected to drive growth in the services segment.
Media and government segment accounted for the highest market revenue in 2021 and is projected to retain its position by 2031. Europe contributed the highest share in 2021. Increase in cooperation among civil, defense, and space industries in the European region is set to boost the growth of the satellite communication system market. The rise in demand for high-speed internet across Europe also increases the adoption of satellite communication services. Asia-Pacific, on the other hand, would portray the fastest CAGR of 10.97% during the forecast period.
(Source: Allied Market Research news release. Images provided)