Satellite Telecommunications Market Report 2025

The satellite telecommunications market size has grown strongly in recent years. It will grow from $34.51 billion in 2024 to $36.58 billion in 2025 at a compound annual growth rate (CAGR) of 6%. The growth in the historic period can be attributed to geopolitical considerations, market liberalization, disaster recovery and emergency communications, media and broadcasting needs, connectivity in remote areas.

The satellite telecommunications market size is expected to see strong growth in the next few years. It will grow to $45.29 billion in 2029 at a compound annual growth rate (CAGR) of 5.5%. The growth in the forecast period can be attributed to rising demand for broadband connectivity, IoT and m2m connectivity needs, emerging market opportunities, global 5g backhaul requirements, environmental and climate monitoring. Major trends in the forecast period include use of satellites for earth observation, development of high-capacity optical communication payloads, rising interest in smallsat and cubesat deployments, global expansion of broadband services, increased focus on space situational awareness (SSA).

The growing demand for small satellites for earth observation services is anticipated to drive the expansion of the satellite telecommunication market. Small satellites are defined as those weighing less than 1,000 kilograms (2,204 pounds) and are utilized in traditional satellite applications across various sectors, including data communications, earth exploration, and space research. For example, in June 2024, SpaceNews, a U.S.-based non-governmental organization, reported that in 2023, U.S. manufacturers produced about 85% of commercially procured satellites, with satellite manufacturing revenue increasing by 9% to reach $17.2 billion. This growth was propelled by the rise of flexible software-defined payloads and advanced small satellites. Additionally, a record 190 commercially procured launches occurred, reflecting an 18% increase from 2022, resulting in the deployment of 2,781 commercial satellites - up 20% year-over-year - largely driven by SpaceX. Consequently, the rising demand for small satellites for earth observation services is fueling the growth of the satellite telecommunication market.

The adoption of 5G connectivity is anticipated to drive the satellite telecommunications market forward. 5G connectivity, as the fifth generation of wireless technology, offers enhanced speeds, reduced latency, and increased network capacity. Satellite telecommunications plays a crucial role in augmenting 5G connectivity by providing global coverage, addressing connectivity gaps, and facilitating seamless communication in remote or underserved areas. In April 2023, data from 5G Americas, a US-based industry trade organization, revealed a 76% increase in global 5G wireless connections from the end of 2021 to the end of 2022, reaching 1.05 billion connections. The trajectory is expected to continue, reaching an estimated 5.9 billion by the end of 2027. The surge in 5G adoption is thus a significant driver for the satellite telecommunications market.

A noteworthy trend gaining prominence in the satellite telecommunications market is technological advancement, with major companies dedicating efforts to developing innovative technologies. For instance, Qualcomm Technologies, Inc., a US-based manufacturer of digital wireless telecommunication products and services, launched Snapdragon Satellite in January 2023. Representing the world's first satellite-based two-way messaging solution for luxury smartphones, Snapdragon Satellite is powered by Snapdragon 5G Modem-RF Systems and leverages the fully operational Iridium satellite constellation, offering global mobile messaging access.

Major companies in the satellite telecommunications market are actively focused on providing innovative networks by harnessing advanced technologies, such as Release-17-based satellite technology. Release-17-based satellite technology entails the implementation of the latest 3rd Generation Partnership Project (3GPP) standard in satellite communication systems. For instance, in November 2023, Viasat Inc., a US-based provider of advanced digital satellite communications, collaborated with Skylo Technologies to launch the world's first global direct-to-device (D2D) network. This groundbreaking network utilizes Skylo's Release-17-based satellite technology and Viasat's L-band satellite constellation, enabling the deployment of 3GPP Release 17 compliant products globally. The network supports various applications, including consumer smartphone services, the Internet of Things (IoT), automotive, and defense applications.

In October 2022, Marlink, a US-based maritime satellite communications company, acquired the satellite communications business of Hellenic Radio Services SA for an undisclosed amount. This acquisition significantly bolstered Marlink's market share and position in the Greek market, enhancing its service and support capabilities to meet the growing needs of Greek ship-owners. Hellenic Radio Services SA, based in Greece, is a provider, manufacturer, and distributor of satellite communications products and services.

Major companies operating in the satellite telecommunications market include Société Européenne des Satellites, Viasat Inc., Telesat Corporation, EchoStar Corporation, L3Harris Technologies Inc., SKY Perfect JSAT Holdings Inc., Gilat Satellite Networks Ltd., Cobham Satcom, Inmarsat Global Limited, Intelsat S.A., Thuraya Telecommunications Company, Honeywell International Inc., Iridium Communications Inc., General Dynamics Corporation, Qualcomm Technologies Inc., Airbus SE, China Aerospace Science and Technology Corporation, Maxar Technologies Inc., Thales Group, Orbcomm Inc., ST Engineering iDirect Inc., Baylin Technologies Inc., KVH Industries Inc., Comtech Telecommunications Corp., Globalstar Inc., Speedcast International Limited, Hispasat S.A., Ligado Networks LLC, Lockheed Martin Corporation, Northrop Grumman Corporation, SES Americom Inc., Space Exploration Technologies Corp., Telespazio Spa.

North America was the largest region in the satellite telecommunications market in 2024. The regions covered in the satellite telecommunications market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa. The countries covered in the satellite telecommunications market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Russia, South Korea, UK, USA, Canada, Italy, Spain.

Satellite telecommunications involves the utilization of artificial satellites to establish communication links between different locations on Earth, serving purposes such as videoconference systems, telemedicine, and tele-education.

Key components of satellite telecommunications include the receiver, transmitter or transponder, transceiver, antenna, and others. A satellite receiver is specifically attached to a communications satellite. Platforms for satellite telecommunications encompass portable satcom equipment, land satcom equipment, maritime satcom equipment, and airborne satcom equipment. These systems find application in various fields such as asset tracking or monitoring, airtime provisioning, drone connectivity, data backup and recovery, navigation and monitoring, telemedicine, broadcasting, and more. They cater to diverse verticals including energy and utility, government and defense, transport and cargo, maritime, mining and oil and gas, agriculture, communication companies, corporations or enterprises, media and broadcasting, and others.

The satellite telecommunications market research report is one of a series of new reports that provides satellite telecommunications market statistics, including satellite telecommunications industry global market size, regional shares, competitors with a satellite telecommunications market share, detailed satellite telecommunications market segments, market trends, and opportunities, and any further data you may need to thrive in the satellite telecommunications industry. this satellite telecommunications market research report delivers a complete perspective of everything you need, with an in-depth analysis of the current and future scenario of the industry.

The satellite telecommunication market consists of revenues earned by entities by providing telecommunications, broadcasting, and data communications. The market value includes the value of related goods sold by the service provider or included within the service offering. The satellite telecommunication market also includes sales of RF receivers, splitters, and switchover units which are used in providing satellite telecommunication services. Values in this market are ‘factory gate’ values, that is the value of goods sold by the manufacturers or creators of the goods, whether to other entities (including downstream manufacturers, wholesalers, distributors, and retailers) or directly to end customers. The value of goods in this market includes related services sold by the creators of the goods.

The market value is defined as the revenues that enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD, unless otherwise specified).

The revenues for a specified geography are consumption values that are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.

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