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Mobile Satellite
Broadband |
Mobile Satellite Services Sector Enters
Heavy Launch Phase amidst Financial and Economic Uncertainty
Other Topics: WiMAX Ecosystem
Interoperability, Mobile Network Rollout
NSR
November 04, 2008
CAMBRIDGE, MA – NSR today released its newest market survey and
forecast report: Mobile Satellite Services, 4th Edition, which provides
the industry’s most in-depth analysis of supply and demand trends for
the mobile satellite services (MSS) market today. The report covers
eight global regions for MSS equipment and services, as well as
transponder demand for satellite handhelds, narrowband and broadband
solutions, mobile satellite TV, and MSS-ATC/CGC for the period
2006-2017. |
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"The next ten years will rival the
heydays of the late 1990s for the MSS industry with the launch of up to
160 MSS satellites," stated Claude Rousseau, Senior Analyst for NSR and
author of the report. "That total does not count the number of FSS
transponders in C-, Ku- and X-band that will be also available to the
mobile satellite market. However, despite positive launch and supply
trends, the stakes have never been so high given the turbulence in
global financial and economic markets, which may affect demand."
After a difficult year, which saw the handheld market shaken by the woes
of one operator, and delays in satellite launches of another two
operators, the competition has increased greatly in satellite data
services, which will face-off against many terrestrial wireless
products. But through the introduction of new broadband satellite
services, improved voice and data products and dual-mode 3G and 4G
satellite-terrestrial handheld devices, NSR forecasts the MSS market
will reach more than 18 million in-service units and generate retail
revenue of $17.1 billion for the period 2006-2017.
As construction of new MSS satellites concludes a heavy manufacturing
cycle over the next six years, operators will be busy figuring out how
to best distribute and sell new equipment and services in the
traditional as well as new volume-oriented and consumer-driven mobile
communications markets. The current base of users primarily uses
narrowband products, such as handhelds and data modems. The data via
mobile satellite market is showing spectacular growth in many
aeronautical, land-mobile and maritime applications.
In the coming years, the MSS business will be driven by better global
coverage, convergence of media, IP-based communications and lower cost
per bit as it reaches a wider set of end–user markets. The new, more
powerful and capable next-generation constellations, MSS-ATC satellites
and European CGC spacecraft to be launched in the next five years
confirm that the demand for broadband mobile solutions is powering the
market. It will drive new products and services such as Internet
connectivity to airplanes, satellite SmartPhones, integration with
wireless access networks, and mobile video/data applications.
However, the current credit crisis compounds the overhang on finances
which, for many MSS operators, is reaching critical levels as they seek
to fund the ground and space infrastructure for new services launch. As
a partial answer, operators are moving down the value-chain by acquiring
pieces of their distribution network to reap higher retail margins. But
in the end, the long-overdue horizontal consolidation of operators is
likely to provide more durable solutions to solve the economics of a
promising MSS business. The hope is that MSS operators should come out
of this process healthier with lower debt ratios, expanded product
suites and leaner capital requirements in time for lift-off.
About the Report
Mobile Satellite Services, 4th Edition is a multi-client report now
available from NSR. For additional information on this report, including
a full table of contents, list of figures and executive summary, please
visit www.nsr.com or call NSR at 617-576-5771.
About NSR
NSR is an international market research and consulting firm specializing
in satellite and wireless technology and applications. NSR’s primary
areas of expertise include emerging technology, IP applications, and
broadcast services. With extensive expertise in all regions and a number
of broadband sectors, NSR is a leading provider of in-depth market
insight and analyses.
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