Startups in the space industry continue to emerge across the value chain, from space infrastructure capabilities to downstream services, targeting new approaches to compete with incumbents and broaden the market.
NSR Senior Analyst Shagun Sachdeva commented: ‘Salvage’ is a highly opportunistic market with different mission possibilities, and therefore the biggest challenge is to have immediate availability of a servicer.
The “Total loss” of a satellite like Intelsat 29e, just 3 years into its 15-year life, has 2 significant implications: the sunk cost of the satellite, in addition to over 12 years of potential revenues and 6,552 kg of uncooperative debris roaming uncontrolled in geostationary orbit.
The satcom industry today relies on five major elements – Pricing (competition), Supply (indicating Asset worth), Demand (Growth), Break-even pricing (manufacturing innovation) and Ground System (efficiencies). While the economics of demand growth and ground system efficiencies have been proven to be more linear in the last several years, the same cannot be said for Supply.
NSR’s Optical Satellite Communications report, released today, forecasts nearly $4 B in cumulative revenue over the 2018-2028 period for laser communication equipment in space. Largely driven by the impending wave of mega-constellations with inter-satellite links, the volume of production and subsequent deployment of Non-GEO satellites will drive revenue growth for equipment manufacturers.