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Satellite ground segment sales to reach US$158bn

Satellite ground segment revenues will surpass US$158 billion (€134 billion) over the next decade, according to Northern Sky Research (NSR).

According to the satellite research group, satellite TV will continue to be the largest segment within the overall ground-segment market by shipments and revenues, with set-top boxes and antennas generating the largest revenue shares.

However, VSAT platforms will provide the highest growth rates, with sales of modems and baseband equipment being driven by growing demand for consumer broadband and mobility.

Sectors including aeronautical satellite communications will also expand rapidly. However, the market for satellite communications Earth stations will contract, according to NSR. Overall, says NSR, RF ground segment revenues will be flat year-on-year, with sales amounting to roughly US$1.3 billion per annum.

According to NSR, the market for antennas will be commoditized at the low end, while specialised equipment will see strong growth. However, the emergence of flat panel antennas could disrupt the market, according to the research outfit.

Llus Palerm

Llus Palerm

NSR says that demand from high-throughput satellite paltforms will lead to skyrocketing demand for baseband equipment.

“Satellite Ground Equipment is a very dynamic market with opportunities available across the board. However, technologies and business models are changing at a rapid pace and only the most adaptive actors will survive,” said Lluc Palerm, NSR senior analyst and report author.

“VSAT platforms will see spectacular developments from emerging verticals like Consumer Broadband and Cellular Backhaul, but to capture these growth opportunities, vendors will need to move platforms to the ‘cloud’ and closely integrate with the space segment.”