Commercial Satellite Launch Service Market Analysis

Global Commercial Satellite Launch Service Market Overview

Commercial Satellite Launch Service Market Size valued at USD 9.2 Billion in 2022. The Commercial Satellite Launch Service market industry is projected to grow from USD 10.16 Billion in 2023 to USD 22.59 Billion by 2032, exhibiting a compound yearlycgrowth rate (CAGR) of 10.50% during the forecast period (2023 - 2032). Increased demand for satellite deployment for various purposes and demand for SmallSat and CubeSat launches are the key market drivers improving the market growth.

Source: Primary Research, Secondary Research, MRFR Database and Analyst Review

Commercial Satellite Launch Service Market Trends

Market CAGR for commercial satellite launch service is being driven by the rising demand for the satellite deployment for various purposes. With an increasing reliance on satellite technology for communication, Earth observation, navigation, and scientific research, the need for efficient and reliable launch services has surged globally. Communication satellites play a crucial role in ensuring global connectivity, enabling telecommunication, broadband internet, and broadcasting services, and their consistent deployment intensifies the demand for commercial satellite launch services.

Earth observation satellites are essential for monitoring and collecting data on weather patterns, environmental changes, and natural disasters. As governments, organizations, and industries prioritize real-time information for decision-making, the demand for deploying Earth observation satellites amplifies, further boosting the commercial satellite launch service market. Navigation satellites, crucial for global positioning systems (GPS) and location-based services, contribute significantly to the market growth as well, driven by the expanding applications in sectors like transportation, logistics, and agriculture. Scientific research missions, including space exploration and astronomy, require dedicated satellite launches for observation and data collection. The growing interest in space exploration and research initiatives by both governmental and private entities fuels the demand for commercial satellite launch services catering to these specialized needs. Additionally, the commercialization of space activities, with private companies entering the market, has created a more competitive landscape, further driving innovation and cost efficiency in satellite launch services.

The rise of mega-constellations, comprising networks of small satellites, for purposes like global broadband internet coverage has emerged as a significant market driver. Companies aiming to deploy large constellations necessitate frequent and reliable launches, fostering the growth of the commercial satellite launch service sector. Moreover, the defense and security sector's increasing reliance on satellite technology for surveillance, reconnaissance, and secure communication contributes substantially to the market expansion as governments worldwide seek dedicated launch services for national security initiatives.

The evolution of satellite technology and the development of advanced, high-performance satellites have led to an increased demand for tailored launch solutions. Commercial launch service providers are responding by offering flexible and cost-effective options to accommodate various satellite sizes, orbits, and mission profiles. This adaptability further positions commercial satellite launch services as a vital enabler for the dynamic and evolving satellite industry. Thus driving the Commercial Satellite Launch Service market revenue.

Commercial Satellite Launch Service Market Segment Insights

Commercial Satellite Launch Service Orbit Insights

The Commercial Satellite Launch Service Market segmentation, based on orbit, includes LEO, MEO, GEO, and HEO. The LEO segment dominated the market, accounting for the largest market revenue due to its increasing preference for satellite constellations and small satellite deployments. LEO offers a closer proximity to Earth, enabling lower latency and improved data transmission, making it particularly suitable for broadband communication constellations. The rise of mega-constellations, consisting of numerous small satellites, has led to a surge in demand for frequent and cost-effective launches, driving commercial launch service providers to focus on LEO. The dynamic nature of LEO orbits allows for more flexible mission profiles and efficient satellite deployment, attracting both government and private entities for various applications, including Earth observation and global internet coverage. The GEO (Geostationary Orbit) segment is the second-largest market, as it is positioned at a fixed altitude above a specific point on Earth, making it ideal for applications such as telecommunications, broadcasting, and weather monitoring.

Figure 1: Commercial Satellite Launch Service Market, by Orbit, 2022 & 2032 (USD Billion)

Source: Primary Research, Secondary Research, MRFR Database and Analyst Review

Commercial Satellite Launch Service Application Insights

The Commercial Satellite Launch Service Market segmentation, based on application, includes Navigation, Communication, Reconnaissance, Weather Forecasting, and Remote Sensing. The navigation category dominates the market due to the growing reliance on satellite-based global navigation systems. As industries worldwide integrate satellite navigation into diverse sectors such as transportation, logistics, and precision agriculture, there is an increased demand for satellite launches dedicated to expanding and enhancing navigation satellite constellations. The quest for accurate and real-time positioning information for autonomous vehicles, maritime navigation, and aviation drives the need for frequent and reliable launches to maintain and expand satellite constellations supporting these applications. The continuous evolution of satellite navigation technology and the development of advanced positioning systems further fuel the demand for Commercial Satellite Launch Services tailored to deploy sophisticated navigation satellites.

Commercial Satellite Launch Service Regional Insights

By region, the study offers market insights of the North America, Europe, Asia-Pacific, and the Rest of the World. The North American Commercial Satellite Launch Service market area dominates this market due to the presence of major aerospace and satellite companies, such as SpaceX, United Launch Alliance (ULA), and Blue Origin, headquartered in the region. The United States, in particular, leads in commercial space activities, boasting a robust infrastructure, technological innovation, and a high frequency of satellite launches.

Further, the main countries studied in the market report are the US, Canada, Germany, France, the UK, Italy, Spain, Japan, China, India, Australia, South Korea, and Brazil.

Figure 2: COMMERCIAL SATELLITE LAUNCH SERVICE MARKET SHARE BY REGION 2022 (USD Billion)

Source: Primary Research, Secondary Research, MRFR Database and Analyst Review

Europe's Commercial Satellite Launch Service market accounts for the second-largest market revenue share due to the expanding telecommunication, Earth observation, and navigation applications, combined with the presence of established space agencies and a growing private space sector. Further, the German Commercial Satellite Launch Service market held the largest market revenue share, and the UK Commercial Satellite Launch Service market was the fastest-growing market in the European region.

The Asia-Pacific Commercial Satellite Launch Service Market is expected to rise at the fastest CAGR from the year 2023 to 2032. This is due to increasing space exploration initiatives, satellite deployments for communication, Earth observation, and navigation, coupled with the growing commercialization of space activities. Moreover, China’s Commercial Satellite Launch Service market held the biggest market share, and the Indian Commercial Satellite Launch Service market was the fastest-growing market in the Asia-Pacific region.

Commercial Satellite Launch Service Key Market Players & Competitive Insights

Leading market players are investing largely in research and development in order to expand their product lines, which will help the Commercial Satellite Launch Service market grow even more. Market players are also undertaking a various strategic activities to raise their global footprint, with important market developments including mergers and the acquisitions, new product launches, contractual agreements, higher investments, and collaboration with other organizations. To spread and survive in the more competitive and rising market climate, the Commercial Satellite Launch Service industry must offer cost-effective items.

Manufacturing locally to minimize the operational costs is one of the key business tactics used by the manufacturers in the global Commercial Satellite Launch Service industry to benefit the clients and increase the market sector. In recent years, the Commercial Satellite Launch Service industry has offered some of the most significant advantages to the space industry. Major players in the Commercial Satellite Launch Service market, including Virgin Orbit, Astroscale, Rocket Lab, United Launch Alliance, OneWeb, SpaceX, NASA, ISRO, GK Launch Service, Atianespace, and others, are attempting to raise the market demand by investing in research and development operations.

Virgin Orbit, a subsidiary of the Virgin Group, is a prominent aerospace company that focuses on providing commercial launch services for small satellites. Founded in 2017, Virgin Orbit stands out for its innovative air-launched rocket system, LauncherOne. Operating from Mojave Air and Space Port in California, Virgin Orbit utilizes a modified Boeing 747 aircraft named "Cosmic Girl" to carry the LauncherOne rocket to high altitudes before it is released and ignited to deliver payloads to low Earth orbit. This air-launch approach offers flexibility in choosing launch locations and trajectories. In June 2023, Virgin Orbit acquired LauncherOne from Ericsson for $500 million. LauncherOne is small satellite launch vehicle that has successfully launched several satellites into orbit. This acquisition will give Virgin Orbit a second launch vehicle and expand its capabilities in the small satellite market.

Astroscale is a pioneering space company focused on developing innovative solutions for orbital debris removal and satellite servicing. Founded in 2013 by Nobu Okada in Tokyo, Japan, Astroscale has rapidly gained recognition for its mission to address the increasing challenges of space debris and sustainability in Earth's orbit. The company specializes in developing technologies and services to actively remove and mitigate the growing amount of space debris, which poses a threat to operational satellites and the long-term sustainability of the space activities. In March 2023, Astroscale acquired Mitsui Knowledge Asset Management (MKAM) for $100 million. MKAM is a Japanese investment firm that specializes in space technology. This acquisition will give Astroscale access to MKAM's financial resources and expertise in the space industry.

Key Companies in the Commercial Satellite Launch Service market include

• Virgin Orbit


• Astroscale


• Rocket Lab


• United Launch Alliance


• OneWeb


• SpaceX


• NASA


• ISRO


• GK Launch Service


• Atianespace

Commercial Satellite Launch Service Industry Developments

February 2023: Rocket Lab acquired Space Systems/Loral for $2.4 billion. Space Systems/Loral is a manufacturer of satellites and spacecraft components. This acquisition will give Rocket Lab access to Space Systems/Loral's technology and expertise, which will help the company to develop new and more advanced launch vehicles.

November 2023: Amazon and United Launch Alliance (ULA) signed a multi-year agreement for ULA to launch Amazon's Project Kuiper satellites. Project Kuiper is a constellation of satellites that will provide broadband internet access to people around the world.

October 2023: OneWeb and Eutelsat signed a partnership agreement to share satellite capacity and resources. OneWeb is a low-Earth orbit (LEO) satellite constellation operator, while Eutelsat is a geostationary orbit (GEO) satellite operator. This partnership will permits the two companies to offer more comprehensive and flexible satellite services to their customers.

Commercial Satellite Launch Service Market Segmentation

Commercial Satellite Launch Service Orbit Outlook

• LEO


• MEO


• GEO


• HEO

Commercial Satellite Launch Service Application Outlook

• Navigation


• Communication


• Reconnaissance


• Weather Forecasting


• Remote Sensing

Commercial Satellite Launch Service Regional Outlook

• North America
  
  
  
  • US
  
  
  • Canada
  
  
  
  


• Europe
  
  
  
  • Germany
  
  
  • France
  
  
  • UK
  
  
  • Italy
  
  
  • Spain
  
  
  • Rest of Europe
  
  
  
  


• Asia-Pacific
  
  
  
  • China
  
  
  • Japan
  
  
  • India
  
  
  • Australia
  
  
  • South Korea
  
  
  • Australia
  
  
  • Rest of Asia-Pacific
  
  
  
  


• Rest of the World
  
  
  
  • Middle East
  
  
  • Africa
  
  
  • Latin America