Small Satellite Market Growth to Top 16 Percent CAGR Through 2028

The small satellite market is projected to grow from $3.2 billion in 2022 to $7 billion by 2028, at a CAGR of 16.8 percent during the forecast period. The growth of this market can be attributed to the increasing need for secure satellite communications for military missions and commercial applications, according to a new report from MarketsandMarkets. Additionally technological advancements in small satellite systems, such as laser/optical band communications technologies are driving the market.

Based on mass, the CubeSat segment of the small satellite market is projected to hold the highest growth rate during the forecast period. CubeSats are used for a variety of missions by governments, universities, and private businesses due to their low cost and fast turnaround time. The development of new technologies and improvements in launch systems also contributed to the growth of the CubeSat market.

Laser/Optical Segment Strong in the Small Satellite Market

Based on Frequency, the laser/optical band segment is projected to dominate the market share during the forecast period. The laser/optical band enhances the communication capabilities. The most promising commercial applications can be found in the interconnection of satellites or high-altitude platforms to build high-performance optical backbone networks. Corporations like SpaceX, Facebook, Google, and a series of start-ups are currently working on various concepts based on laser communication technology.

The small satellite market industry has been studied in North America, Europe, Asia Pacific, Middle East and Africa and Latin America. North America accounted for the largest market share in 2022. The US leads the market in North America with a large number of companies and startups operating in the industry. The country is also home to some of the world's leading small satellite manufacturers and operators, such as SpaceX, Blue Origin, and Planet Labs.

Prominent companies include Sierra Nevada Corporation (US), L3Harris Technologies, Inc. (US), Lockheed Martin Corporation (US), Northrop Grumman Corporation (US), and Airbus Defence and Space (Germany) among others.

(Source: Research and Markets news release. Images provided and from file)