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”.
Global satcom capacity revenues continue to evolve at low single-digit rates scoring 2% growth last year. Obviously, data is becoming the star for revenue growth and operators with higher exposure to video and legacy FSS capacity are more prone to turbulence. But, in these transformative times in which raw capacity is commoditizing, operators must rethink.