NSR Press Releases

NSR Report: 5G to Drive 1/3 of Satellite Backhaul Revenue by 2028

Satellite Backhaul Market Generates $32 Billion through 2028 with 10% of New Mobile Base Stations to be Satellite-Enabled  

Cambridge, MA – April 9, 2019 – NSR’s Wireless Backhaul & 5G via Satellite, 13th Edition report, released today, forecasts over $32 billion in revenue by 2028, with 5G supporting 1/3 of the overall satellite backhaul market.  Mobile Wireless Backhaul is the largest opportunity in this space, as satcom becomes a mainstream solution and 5G opens opportunities for satellite to seamlessly integrate with the global telecom ecosystem.  Trunking also appears to be re-born via lower capacity costs and slowdown in fiber expansion, while Hybrid Networks represent a long-term play for emerging OTT content distribution models.

“The combination of competitively priced capacity with advanced ground segment makes satcom a relevant solution for MNOs continually seeking new sources of revenue and who are increasingly CAPEX-conscious and risk-averse,” stated Lluc Palerm, NSR Senior Analyst and report author. “The transition to broadband is accelerating in areas like Latin America, where for the first time in 2018, 4G generated the highest share of traffic over satellite versus 2G and 3G.”

The direct impact of 5G in satcom won’t be seen before mid-2020s, but growth will be sizable, generating 1 of every 3 new $ for backhaul capacity revenues through 2028. The ground segment has a key role to play in the integration of satcom into 5G, by responding to new performance requirements and making the solution transparent and easy to adopt for mobile operators.

Satcom can also find the upside of OTT in Hybrid Networks. Satellite is still king for content broadcasting, and as content moves to the edge to support the explosion on IP Video and new formats like UHD and eventually VR/AR proliferate, satcom will emerge as a key tool in the ecosystem.

Business models are evolving rapidly. With MNOs focusing on core services and minimizing CAPEX exposure, managed services are the perfect match between satcom’s streamlined operations for remote areas and the MNO need to continue expanding coverage profitably. New technologies like smallcells expand the addressable market into the most ARPU-constrained and remote locations, where revenue-sharing schemes are gaining traction.

About the Report

NSR’s Wireless Backhaul & 5G via Satellite, 13th Edition study is an industry leading analysis and forecast of 3 key market segments: Mobile Wireless Backhaul, Trunking and Hybrid Networks. New for this edition is the assessment of 5G: the implications for satcom, technology requirements, the integration of satellite into 5G, the key use cases, timeline and the market opportunity. The study assesses the installed base of sites in seven different regional markets, investigates trends impacting market growth, forecasts capacity and equipment revenues, and predicts satellite capacity requirements for provisioning each market vertical. Beyond classic C-, Ku- and Ka-band FSS capacity, NSR also leads the industry in forecasting use of High Throughput Satellites (HTS) segmented by band (C-, Ku- & Ka-bands) for GEO-HTS systems and assesses the impact of Non-GEO HTS constellations in the Backhaul markets.

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 617-674-7743.

About NSR

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.  Contact us at info@nsr.com to discuss how we can assist your business.

Companies and Organizations Mentioned in the Report

Intelsat, SES, Eutelsat, Telesat, OneWeb, SpaceX, O3b, LeoSat, ViaSat, Hispasat, Star One, Telenor, Avanti Communications, RSCC, Gazprom Space Systems, Spacecom, ArabSat, YahSat, ABS, China Satcom, AsiaSat, APT Satellite, SKY Perfect JSAT, Thaicom, Antrix / ISRO, MEASAT,  NBN, Kacific, Hughes, Gilat, iDirect, Newtec, Comtech, Spacebridge (Advantech Wireless), UHP, Broadpeak, Neotion, Quadrille, Speedcast, Telefonica, Globecomm, Talia, CETel, Africa Mobile Networks, NuRAN, Facebook, Sprint, Softbank, Entel, TIM, Vodafone, EE, Altice, Rostelcom, Vodacom, Orange, Optus, Globe Telecom, KDDI, Reliance Jio, and Digicel.

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