NSR's newly released NSR's Global Space Economy, 2nd Edition (NGSE2) projects strong revenue potential across all key segments, underpinned by record setting investment and both public and private sector demand for space products and services. With over $1.25T in cumulative revenue projected by 2030, the space industry growth trajectory trends upwards at a 6.25% CAGR.
Satellite & Space Infrastructure is the largest segment today, with burgeoning demand from the Crew & Cargo market as the leading revenue source. Close behind are key infrastructure markets such as Satellite Communications, Earth Observation, Situational Awareness and Science & Technology. Altogether, the Satellite & Space Infrastructure market will generate over $570B in revenue by 2030.
However, by decade's end, NGSE2 observes Satellite Communications Services overtaking Infrastructure to become the dominant market in terms of annual revenues. From segments such as Mobility (aero, maritime, land) to Enterprise Data and Gov/Mil, the upside for Satellite Communications Services is significant as more/flexible satellites are launched and an increasingly virtual, 5G-enabled and cloud-based ground segment is enabled. At an impressive CAGR of nearly 13%, this segment is a key revenue driver going forward.
The third category, Satellite & Space Applications, also contributes well to global space revenues. EO Information Products, Data Analytics, Data Downlink and Space Tourism & Travel are all key applications driving long term demand. Revenue of $140B by 2030 and a 14.6% CAGR show this diverse category also is a critical revenue source.
“Software-ification of the Satellite & Space markets is here,” states report co-author Brad Grady. “In nearly all markets, the shift from hardware-centric thinking to software-enabled agility is unlocking new revenues and driving a migration from infrastructure towards application-centric use-cases.”
This mirrors trends found elsewhere in the technology sectors where ‘hardware', and ‘ownership' are rapidly changing. “In the Crew & Cargo Markets,” adds Hannah Currivan co-author, “commercialization models are gaining traction alongside the ‘big programs' like NASA's Artemis.”
Companies and Organizations Mentioned in NGSE2
Amazon, AWS, Axiom Space, BAE Systems, Blue Origin, Boeing, Google, IBM, Intelsat, Lockheed Martin, Microsoft, NASA, One Web, SES, Sierra Nevada Corporation, SpaceX, Speedcast, Viasat (Inmarsat), and Virgin Galactic.
Source: NGR Press Release