NSR’s SIFA 11 Study Saw Revenue Contraction in 2020, but C-band Proceeds, Consumer Broadband, Backhaul, and Government Services to Drive Top Line Revenue Growth Cambridge, MA – November 3, 2021 – NSR’s Satellite Industry Financial Analysis, 11th Edition report, launched today, projects the global satcom industry contracted by 2.3% in FY2020 to USD $13.4B. While continuing sector trends such as a weakening DTH sector and COVID-19 impacts on aeronautical and maritime markets drove declines, enhanced revenue from spectrum leases, consumer broadband, backhaul and government.
The space and satellite industry got back together in person at SATELLITE 2021 with a lot to discuss, as progress has not slowed down since March 2020. This year, topics like ground station standardization, vertical integration, and consolidation drove conversations. Here are NSR’s 10 takeaways from the show…..
The global satellite big data industry has come a long way during the latest wave in the emerging space industry. More than 180 EO companies have been founded over the last 20 years, with a majority of them being downstream software and platform providers. Close to $700 million has been invested in this analytics segment.
The global satellite communication industry is transitioning to meet new market trends and match projected threats from perceived disruptors. It is typical to expect mergers and acquisitions (M&A) within any maturing industry, especially technology-driven sectors, where inventors regularly threaten incumbents. In the case of satcom, the industry is entering a new consolidation cycle, where vertical.
In regards to the current trend of “SPACs for Space”, NSR was critical of the space companies’ valuations and revenue projections. “I think it will be extremely difficult to reach those revenues,” they said. “The road to market has taken them a long time to get where they are, and they have not really generated.