News
Satellite broadband to overtake VSAT
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Expanded use of internet and interactive media avenues will lead revenues from consumer satellite broadband services and will overtake those from business-class broadband VSAT network services by 2013, according to a new report.
Broadband VSAT networking services continue to lead the market by most measures, says the study by NSR, an international market research and consulting firm specialising in satellite and wireless technology and applications.
But senior analyst Patrick French, the report's author, said: "The promises first made for satellite broadband internet access services in the late 1990s dot.com heydays are now finally on the verge of being fulfilled."
The report provides an in-depth assessment of the broadband satellite market, including key trends in seven regional markets.
NSR anticipates that by the end of this year the total number of subscribers to single site satellite broadband internet access services – mainly but not exclusively found in North America – will surpass the global installed base of broadband VSAT sites in the corporate and government market.
And by the end of 2008 satellite capacity dedicated to single site satellite broadband internet access services will exceed that used by corporate and governmental VSAT networks.
Most significantly, NSR projects that by 2013 total global revenues generated by satellite broadband internet access services will top those coming from corporate and government broadband VSAT clients.
By 2017 NSR anticipates that global satellite broadband internet access revenues will hit $3.86 billion (Dh14.2bn), up from $823m in 2007. "NSR expects in late 2008 or early 2009 subscribers to satellite broadband internet access services in North America alone will break the psychological one million mark, and global subscribers must exceed 4m by 2016," said French.
"This is no small achievement for the satellite industry because after years of efforts, the dividends from the large satellite broadband internet access investments are finally about to be paid."
The industry has also learned what it must do to maintain momentum, with investments in frequency reuse spot beam satellites playing no small part, and NSR expects additional major capital outlays needed to guarantee the success of satellite broadband will be announced in the coming months and early next year.
Still, slipping to the number two position does not spell an end to the broadband VSAT networking market. "Quite the contrary. The two markets are intimately linked especially on the technology development level, and gains made in one area are often easily transferred to the other," he said.
NSR predicts revenues from the global broadband VSAT networking market will climb from an estimated $1.5 billion in 2007 to in excess of $2.6 billion in 2017.
Government-backed projects for rural internet connectivity, educational networks, and universal telephony service obligation programs are a strong force behind forecast growth in developing markets such as Latin America, Asia and Central and Eastern Europe.
Steady demand from corporate clients worldwide will contribute more than its fair share to future growth.
The report, Broadband Satellite Markets, is in its seventh edition and is a comprehensive analysis of the global market for broadband VSAT networking, single site satellite broadband internet access, and satellite broadband trunking and backhaul services in all regional markets.
Broadband VSAT networking services continue to lead the market by most measures, says the study by NSR, an international market research and consulting firm specialising in satellite and wireless technology and applications.
But senior analyst Patrick French, the report's author, said: "The promises first made for satellite broadband internet access services in the late 1990s dot.com heydays are now finally on the verge of being fulfilled."
The report provides an in-depth assessment of the broadband satellite market, including key trends in seven regional markets.
NSR anticipates that by the end of this year the total number of subscribers to single site satellite broadband internet access services – mainly but not exclusively found in North America – will surpass the global installed base of broadband VSAT sites in the corporate and government market.
And by the end of 2008 satellite capacity dedicated to single site satellite broadband internet access services will exceed that used by corporate and governmental VSAT networks.
Most significantly, NSR projects that by 2013 total global revenues generated by satellite broadband internet access services will top those coming from corporate and government broadband VSAT clients.
By 2017 NSR anticipates that global satellite broadband internet access revenues will hit $3.86 billion (Dh14.2bn), up from $823m in 2007. "NSR expects in late 2008 or early 2009 subscribers to satellite broadband internet access services in North America alone will break the psychological one million mark, and global subscribers must exceed 4m by 2016," said French.
"This is no small achievement for the satellite industry because after years of efforts, the dividends from the large satellite broadband internet access investments are finally about to be paid."
The industry has also learned what it must do to maintain momentum, with investments in frequency reuse spot beam satellites playing no small part, and NSR expects additional major capital outlays needed to guarantee the success of satellite broadband will be announced in the coming months and early next year.
Still, slipping to the number two position does not spell an end to the broadband VSAT networking market. "Quite the contrary. The two markets are intimately linked especially on the technology development level, and gains made in one area are often easily transferred to the other," he said.
NSR predicts revenues from the global broadband VSAT networking market will climb from an estimated $1.5 billion in 2007 to in excess of $2.6 billion in 2017.
Government-backed projects for rural internet connectivity, educational networks, and universal telephony service obligation programs are a strong force behind forecast growth in developing markets such as Latin America, Asia and Central and Eastern Europe.
Steady demand from corporate clients worldwide will contribute more than its fair share to future growth.
The report, Broadband Satellite Markets, is in its seventh edition and is a comprehensive analysis of the global market for broadband VSAT networking, single site satellite broadband internet access, and satellite broadband trunking and backhaul services in all regional markets.