Small satellites are low-cost same alternatives that have allowed commercial enterprises, low-profit groups, and educational institutions to conduct missions in low-Earth orbit. These small satellites make it possible to conduct a variety of scientific investigations and technology demonstrations in orbit at a middle cost, in a timely manner, and with relative ease. Factors such as the increasing adoption of modern technologies such as the internet of things (IoT) in the manufacturing sector will propel the demand for the product. Owing to the lockdown announced by the government agencies, several industries have been at a standstill with limited operational activities. However, a collective effort from the government and the industries is likely to bring the economy back on track and aid in the resumption of industrial activities.
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Increasing Adoption of IoT in Manufacturing Sector to Promote Growth
IoT ensures advanced connectivity options across industrial applications for the production and control of machines through satellites. They further aid in exchanging real-time data to improve the production and operations of the industries. In the manufacturing sector, IoT-enabled devices adopt satellite connectivity for data transmission between the systems and components. Owing to their several benefits, such as process automation, the surging adoption of IoT is likely to favor the global small satellite industry growth during the forecast period.
Investment in R&D Activities to Brighten their industry Prospects
The industry comprises small, medium, and large companies that are striving to maintain a stronghold. The companies are investing in R&D activities to develop advanced small satellites to cater to the growing demand from several industrial applications. Moreover, other key players are adopting organic and inorganic growth strategies that are likely to bode well for industry growth.
The global small satellite industry size is expected to experience significant growth by reaching USD 10.75 billion by 2028 while exhibiting a CAGR of 12.55% in 2021 and 2028. Fortune Business Insights, in its report titled “Small Satellite industry, 2021-2028.”, observes that the industry stood at USD 4.08 billion in 2020.
Industry Segmentation in 2022
On the basis of type, the industry is trifurcated into mini, micro, and nano. Based on the type, the microsatellite segment is expected to hold the largest global small satellite industry share of about 24.40% in 2020. Moreover, it is likely to dominate the industry in the forthcoming years, backed by the increasing adoption of these types of satellites for space research purposes globally. On the basis of the component, the industry is divided into the structure, payload, electric power system, solar panel & antenna systems, propulsion systems, and others. Moreover, based on the application, the industry is classified into communication, earth observation, navigation, technology development, and others. Based on the end-user, the industry is segmented into commercial, military, civil, and government.
The industry report provides an in-depth analysis of several factors such as the key drivers and restraints that will impact growth. Additionally, the report provides insights into the regional analysis that covers different regions, contributing to the growth of the industry. It includes the competitive landscape that involves the leading companies and the adoption of strategies by them to introduce new products, announce partnerships, and collaborate that will further contribute to the industry growth. Moreover, the research analyst has adopted several research methodologies such as PESTEL and PORTER’s Five Point Analysis to obtain information about the current trends and industry developments that will drive industry growth in the forthcoming years.
Regional Insights in Small Satellite Industry
North America – The region stood at USD 2.11 billion in 2020 and is expected to remain at the forefront during the forecast period. This is due to the increasing focus on deploying small satellites for military purposes in countries such as the U.S. For instance, in July 2020, the U.S. CubeSat initiative announced the deployment of the 109th CubeSat from the international space station.
Asia-Pacific – The industry in the region is expected to showcase considerable growth in the forthcoming years. This is ascribable to factors such as the growing demand for advanced small satellites for space observation programs in countries such as India, Japan, and China. For instance, by 2021, the Indian Space Research Organization (ISRO) plans to deploy several satellites, such as ten earth observation satellites, two navigational satellites, three communication satellites, and three space science satellites.
Companies List in 2022
A list of the Companies Operating in the Global industry includes Sierra Nevada Corporation (The U.S.) ST Engineering (Singapore) Airbus S.A.S (The Netherlands) Northrop Grumman Corporation (The U.S.) Space Exploration Technologies Corp. (SpaceX) (The U.S.) The Boeing Company (The U.S.) Thales Group (France) Lockheed Martin Corporation (The U.S.) L3Harris Technologies Inc. (The U.S.)
Latest Industry Development
February 2020 – Astrocast announced the signing of a contract with Spaceflight to launch ten additional IoT nanosatellites. These satellites are designed to transmit and receive low bandwidth data from the IoT devices located anywhere globally.