Press release
Driving Fixed Satellite Services Market Growth in 2025: The Role of The Soaring 5G Penetration Fuels Growth In The Fixed Satellite Services Market
Fixed Satellite Services
Fixed Satellite Services Market Size Growth Forecast: What to Expect by 2025?
The market size of fixed satellite services has been consistently expanding in the past few years. Projected to increase from $22.43 billion in 2024 to $23.51 billion in 2025, it has a compound annual growth rate (CAGR) of 4.8%. The growth experienced in the preceding time frame is due to the escalating demand for communication services, the growth of broadcasting services, geopolitical influences, heightened need for satellite backhaul, and the advent of direct-to-home (DTH) broadcasting.
How Will the Fixed Satellite Services Market Size Evolve and Grow by 2029?
In the forthcoming years, the fixed satellite services market is slated to witness robust growth, with projections estimating it to reach $30.95 billion in 2029, indicating a compound annual growth rate (CAGR) of 7.1%. This anticipated rise within the forecasted period could be ascribed to factors such as escalating demand for high-throughput satellites (HTS), expansion of satellite broadband services, burgeoning demand for mobility solutions, growth in remote sensing applications, and the development of small satellite constellations. Government investments in satellite infrastructures also contribute to this growth. Significant trends within this period include adoption of software-defined satellite technology, the upcoming satellite-as-a-service models, incorporation of artificial intelligence in satellite systems, a focus on sustainable satellite manufacturing, and the advent of high-frequency satellite bands.
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What Drivers Are Propelling the Growth of Fixed Satellite Services Market Forward?
The fixed satellite services market's growth is likely to be fuelled by the rising prevalence of 5G. The term 5G represents a fifth-generation mobile network. The deployment of 5G networks stimulates the demand for fixed satellite services by providing better and faster connectivity in both urban and rural areas. It increases the requirement for backhaul solutions to link 5G base stations with primary networks and promotes the development of broadband services based on satellites to bridge the digital gap. For example, according to Telefonaktiebolaget LM Ericsson, a telecommunications company based in Sweden, 5G mobile subscriptions rose from 0.54 billion in 2021 to 0.951 billion in 2022. They also predict there will be 4.624 billion 5G mobile subscriptions by 2028, significantly up from 1.481 billion in 2023. Therefore, the rising 5G penetration is driving the growth of the fixed satellite services market.
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Which Emerging Trends Are Transforming the Fixed Satellite Services Market in 2025?
Forming strategic alliances has emerged as a significant trend in the fixed satellite services sector. Numerous prominent firms within this market are cementing such partnerships to create novel relationships and collaboratively innovate in fixed satellite technology services. For example, in February 2022, U.S. satellite services company Intelsat S.A. teamed up with Sky Perfect JSAT Corporation, a broadcasting firm based in Japan. This collaboration aims at bolstering high-throughput satellite capacity using JCSAT-1C high-throughput satellites (part of the forthcoming constellation) across the Asian region. Revenues are anticipated to grow due to this partnership, alongside enhancing the product range, penetrating new markets and consolidating the company's competitive edge.
What Are the Key Segments in the Fixed Satellite Services Market?
The fixed satellite services market covered in this report is segmented -
1) By Service Type: Channel Broadcast, Wholesale, Audiovisual Contribution And Distribution, Broadband And Enterprise Network, Backhaul Services, Managed Services, Other Service Types
2) By Organization Size: Small Office And Home Office, Small And Medium Businesses, Large Enterprises
3) By Industry Vertical: Government, Education, Aerospace And Defense, Retail, Oil And Gas, Telecom And Information Technology, Media And Entertainment, Other Industry Verticals
Subsegments:
1) By Channel Broadcast: Direct-To-Home (DTH) Services, Television And Radio Broadcasting
2) By Wholesale: Capacity Leasing, Wholesale Bandwidth Services
3) By Audiovisual Contribution And Distribution: Live Event Coverage, Content Contribution Services
4) By Broadband And Enterprise Network: Internet Access Services, Private Network Solutions
5) By Backhaul Services, Mobile Backhaul, Data Transport Services
6) By Managed Services: Network Management, System Integration
7) By Other Service Types: Specialized Applications, Government And Military Services
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Who Are the Key Players Shaping the Fixed Satellite Services Market's Competitive Landscape?
Major companies operating in the fixed satellite services market include General Dynamics Corporation, Embratel, Cobham Limited, EchoStar Satellite Services LLC, Hughes Network Systems LLC, Singapore Telecommunications Limited, Intelsat S.A, SES SA, Inmarsat Global Limited, Eutelsat Communications S.A, Telesat Holdings Inc., Iridium Communications Inc., Telespazio S.p.A., Arqiva Ltd., Globecast, Hispasat SA, Globalstar Inc., Encompass Digital Media Inc., Arab Satellite Communications Organization, Thaicom Public Company Limited, Nigerian Communications Satellite Limited, ABS Global Ltd., Liquid Intelligent Technologies, Avanti Communications Group plc, Gazprom Space Systems, Russian Satellite Communications Company, MEASAT Global Bhd, Telstra Group Limited, Singapore Telecommunications Ltd. (Singtel), DU Emirates Integrated Telecommunications Corp.
What Geographic Markets Are Powering Growth in the Fixed Satellite Services Market?
North America was the largest region in the fixed satellite services market in 2024. Asia-Pacific is expected to be the fastest-growing region in the forecast period. The regions covered in the fixed satellite services market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa
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