New NSR Report, Land Mobile via Satellite, 8th Edition (LMvS8), finds Connected Car to Become $1 Billion Market in 2029, as Revenues Shift from Narrowband Communications
According to NSR’s Aeronautical Satcom Markets, 8th Edition report, 43% of the total number of IFC offering airlines cumulating to 31% of all aircraft now use an Airline-directed business model.
The satcom industry is going through turbulent times. A wave of high-level bankruptcies, layoffs, cost-cutting measures and investment deferrals have rattled the industry. COVID obviously places significant pressure in an already challenged ecosystem, hitting key areas of Satcom growth like Mobility. But putting aside the panic around COVID for a moment, it is clear the business fundamentals for Satcom remain very solid. The actors that play their cards well will be able to capture double-digit growth once we reach the “new normal”.
10-Year Growth to Approach 10%, Propelled by Aero Market Rebound and Long-Term Requirements for Connectivity Cambridge, MA – NSR’s Aeronautical Satcom Markets, 8th Edition report projects a viable long-term In-flight Connectivity (IFC) market, despite significant near-term challenges due to COVID-19. Coming off a challenging 2018 and 2019, 2020 has already seriously disrupted the IFC market,.
Satellite capacity price reductions have been critical to unlocking growth in markets like Backhaul. New price points made ultra-rural network deployments ROI-positive, unleashing solid elasticities and growth. But, is satcom leaking value to other steps of the value chain (MNOs, integrators) due to price competition? How should satellite operators and integrators optimize their pricing strategies.