The drive for mobile satellite service (MSS) stems from the pressing need for a wireless two-way voice and data communications for users who are in the remote locations. MSS consists of networks of communications satellites which meet the wireless needs of users who can’t access wired networks across any part of the globe. MSS has been popularly used in the sectors such as government, aviation, and maritime. Their use has gathered steam in relief operations world over in case of natural disasters by providing high-speed internet access to mobile television or radio. Several characteristics account for its popularity in terrestrial-based wireless systems, notable of which are enhancing access, largely independent of terrain, and a ensuring a global connectivity.
The demand for terrestrial-based wireless systems and remote communication for in-flight connectivity and the rising use of MSS in autonomous vehicles are expanding the horizon of the market’s growth. According to Transparency Market Research, the global market for mobile satellite services market will rise from US$3942.3 mn in 2017 to reach a worth of US$6955.3 mn end.
Which regions are likely to present attractive avenues in the coming years?
Geographically, North America is the leading market accounting for the major share of the global market in 2017. The widespread uptake of the MSS system in various countries has led to the prominence of the regional market. Various countries of Asia Pacific and South America are expected to offer lucrative avenues for market players. These regional markets will benefit from substantially rising use of satellite communication services in the sectors such as government, defense, and transport. Efforts to bolster maritime security and the spiraling government funds for boosting public security are notable factors creating lucrative avenues for market players.
Which end use-sector will witness substantial uptake?
Of the various end-use sectors, the military and defense sector holds the sway accounting for the leading share in 2016. This will be followed by the government sector. Meanwhile, the oil and gas and mining industries are anticipated to rise at a higher pace than others over the forecast period. The rise in oil and gas exploration activities in remote locations is creating potential avenues for the uptake of mobile satellite services.
NBN Co Limited, tasked with operating Australia’s national broadband network, has in February 2018 inked a deal with Speedcast International for providing business-grade satellite services to remote areas in Australia. The deal is worth US$184 million and span 10 years. Such regional developments bode well for the overall market.