NSR Press Releases

NSR: Maritime Users to Increase Satellite Constellations Spending by 16x

Broadband-Quality Connectivity is on the Rise Across the Maritime SATCOM Markets, with Constellations Supplying 60% of All Maritime SATCOM Bandwidth Demand

Cambridge, MA – July 01, 2022NSR’s Maritime Satcom Markets, 10th Edition report finds Satellite Constellations from the likes of SES mPower, Starlink, OneWeb, Telesat Lightspeed, and more, poised to start a new era for maritime satellite connectivity. The revolution of low latency satellite constellations is underway, and their entrance into the Maritime market will have a profound impact on both uptake and revenue.

“Look anywhere in the maritime markets and everyone is rushing to rapidly increase their connectivity solution,” states Research Director, and report co-author Brad Grady. “From cruise ships opening the bandwidth taps, to emerging rules around crew connectivity in the merchant markets towards fishing and leisure vessels no longer able to be ‘disconnected.’ No one is asking ‘If connectivity’, but rather, ‘how much can I afford?’”

Going from a combined legacy and constellation demand of less than 100 Gbps in 2021 to over 1,500 Gbps of throughput demand by 2031 reflects that mindset shift. As one of the last ‘un(der)connected’ domains on earth, the launch of GEO and especially Non-GEO satellite supply over the next ten years will aid in bringing high quality connectivity across the earth’s oceans.

“What we currently see as the domain of cruise ships and oil rigs,” states NSR Senior Analyst, Alan Crisp and report co-author, “will proliferate across end-user segments into fishing and leisure vessels, should the right mix of price and package enter the market.”

At over $37.4 Billion in cumulative revenues over the next ten years and almost 150k broadband enabled vessels by 2031, the market is poised to unlock the next wave of connectivity solutions. Narrowband connectivity options will be insufficient for all but the most basic of use-cases and give way to broadband options.

The market is not without its challenges – fuel prices, climate change, and lingering COVID-19 impacts make longer-term investments in markets such as the Offshore sector challenging. Global trade remains lower than average in the face of inflationary pressures, which further stresses connectivity desires for merchant players. Fishing, leisure, and passenger vessels will enjoy the changing economics of satellite capacity – alongside their desire for always-on connectivity.

In short, going from $2.4B in 2021 for Narrowband to Broadband retail revenues of over $5.1 Billion by 2031, the market is become more than just a few well connected cruise ships. While those are critical, the tools and technology are lining up to unlock the lower tier of maritime satellite connectivity.

About the Report

The 10th Edition of NSR’s Maritime Satcom Markets report (MSM10) is the go-to resource for players in this constantly evolving marketplace. From Addressable Markets to Capacity Demand, MSM10 charts a complete picture of how these macro-economic factors influence the uptake of Satcom services in the maritime sector.

As the passenger market continues to show signs of ‘recovery mode’, offshore customers adjust to a continuously changing commodity price, and fishing/leisure markets look to take advantage of new lower cost connectivity options the market remains highly dynamic. MSM10 provides regional, end-user segment and capacity-type forecasts over the next ten years – covering the launch of emerging Non-GEO HTS offerings into the market.

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 this Report:

A.M. Nomikos, Briese Schiffahrt, Carnival Cruise Lines, Castor Marine, De Boer Marine, Gungen Denizcilik, Hapag-Lloyd, Inmarsat, Intelsat, Iridium, Kuiper, KVH, Marlink, MetOcean Telematics, MSC, Navarino, Norwegian Cruise Lines, OneWeb, Pacific International Lines, RigNet, RIX Shipmanagement, SingTel, SATCOM Global, SES, Scorpio, Shipznet, SnakeWays, Speedcast, Telenor Maritime, Telesat, Thuraya, Tidewater and ViaSat.

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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