NSR: Land Mobile Satellite Market Moving to Broadband and $1.2 Billion Revenue Potential
Connected Vehicles and HTS Comms on the Pause Services Positioned as Fastest-Growing Satellite Land Mobile Markets
Cambridge, MA – May 5, 2022- In its 10th year, NSR’s landmark Land Mobile via Satellite (LMvS10) report finds a significant revenue migration underway from narrowband to broadband applications. Though currently dominated by narrowband services, connected vehicles and High Throughput Satellite (HTS) Comms on the Pause (COTP) services are positioned as the fastest growing satellite land mobile sector markets through the decade.
In the short-term, COTP growth takes the lead through Aid, NGO, disaster relief and energy market developments. In the longer-term, demand accelerates for connected vehicles – including cars, RVs, trucks, trains, buses and first responders.
With cumulative revenues reaching $1.2 Billion and a 43.9% CAGR over the decade, connected vehicles are the strongest net growth opportunity with trucking the highest revenue driver. Services remain mostly an aftermarket solution, increasing installation costs, especially if diagnostics and telematics are requirements to be bundled in along with broadband connectivity.
In contrast, average Mobile Satellite Services (MSS) narrowband revenues grow at 1.6%, despite continuing and strong sales by some sub-segments. Churn on MSS narrowband remains much higher than what is expected for connected vehicles and COTP devices.
“Traditional handhelds are now past their revenue peak despite continuing to bring in solid revenues, shifting interest to the connected vehicle opportunity as the one to watch,” notes NSR report author Alan Crisp. “However, capturing the connected vehicle market won’t be easy; this will be a high risk, high reward play compared to other opportunities.”
Crisp concludes, “Overall, having first mover advantage in the broadband space will bring outsized benefits to those that succeed – now is the time to invest in R&D and solutions, to be ready for upcoming growth acceleration.”
About the Report
The 10th Edition of NSR’s Land Mobile via Satellite (LMvS10) report provides a comprehensive assessment of how satellite can tap into the connected vehicle market. Exploring the MSS narrowband use cases and the form factors divide, LMvS10 evaluates all other commercial land mobile form factors, handhelds, hotspots, and COTP. LMvS10 offers comprehensive analysis of the impact of LEO-HTS constellations on the Land Mobile market identifying potential growth leaders through the decade.
For additional information on this report, including a full table of contents, list of exhibits and executive summary, please visit www.nsr.com or call NSR at +1-617-674-7743.
Companies, and Organizations Mentioned in NSR’s LMvS10
Bittium, Bivy, Construction Machinery, FocusPoint International, Garmin, GeoDynamics, Globalstar, Icom, Inmarsat, Inmosat, Inster, Intelsat, Iridium, Jeep, Kymeta, OneWeb, Rumo Rail, Satpaq, Somewear Labs, Sumitomo, Tiantong, Thuraya, VideoSoft Global, and Zoleo.
About NSR (www.nsr.com)
Northern Sky Research (NSR) is the leading global market research and consulting firm focused on the satellite and space sectors. NSR’s global team, unparalleled coverage and anticipation of trends with a higher degree of confidence and precision than the competition is the cornerstone of all NSR offerings. First to market coverage and a transparent, dependable approach sets NSR apart as the key provider of critical insight to the satellite and space industries.
NSR primary areas of expertise include satellite and wireless networks, emerging technology, and media applications. Our services and clients cover the entire globe. With extensive expertise in all geographic regions, NSR is a leading provider of in-depth market insight and analyses. Since each NSR product is based on future perspectives, our analyses allow our clients to stay a step ahead of the competition and plan for future opportunities in all markets.
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