Micro VSAT Market Analysis

Global Micro VSAT Market Overview

Micro VSAT Market Size was valued at USD 425.62 million in 2022. The Micro VSAT market industry is projected to grow from USD 478.33 Million in 2023 to USD 1,585.70 million by 2032, exhibiting a compound annual growth rate (CAGR) of 14.2% during the forecast period (2023 - 2032). Micro VSAT, rising adoption of maritime VSAT and demand for broadband data connections from government and business sectors are the key market drivers boosting the growth of the Micro VSAT market.  

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

Micro VSAT Market Trends

• Rising need for VSAT systems to enable telemedicine in remote locations is expected to drive market growth.

The Telemedicine system is made up of an interface between hardware, software, and a communication channel that eventually connects two geographical locations in order to exchange information and enable tele consultancy. Telehealth can assist rural providers in providing better health care by connecting rural providers and their patients to services at remote locations and promoting patient-centred health care. Telehealth links rural providers and their patients to services at a remote location. Telecommunications technologies are an important part of the telemedicine process. For connectivity, various terrestrial and satellite communication media are used. One of the most important components of telemedicine is video conference, which allows for real-time interaction between participants. The quality of a video conference is determined by several factors, out of which the type of connectivity and bandwidth attributes to successful outcome. Video conferencing is an interactive synchronous visual communication process. Video conferencing is similar to a phone call, except that the other end has a video picture as well as audio. A VSAT is a small, software-driven station with an antenna (typically 0.9-1.8 meters in length) used for data, video, or voice transmission via a communication satellite. The VSAT equipment is simply plugged into a computer or phone. The common Ethernet and TCP/IP protocols are supported by the equipment.

Micro VSAT Market Platform Segment Insights

Micro VSAT Sourcing Type Insights

Based on Frequency, the Micro VSAT Market segmentation includes Ku-Band, Ka-Band, X-Band, and Others. The Ka-Band held the majority share in 2022, contributing around ~49% to the market revenue. The Ka-band includes the frequencies of 26.5 to 40 GHz. The Ka-band is part of the K band of the microwave band of the electromagnetic spectrum. The symbol "Ka" stands for "K-above," meaning the band directly above the K-band. Many are choosing Ka-band systems because of its increasing capacity availability. Ka bands are less congested than other systems. It is highly efficient with lower bandwidth cost. One of the key advantage of Ka band is that it delivers high-speed services to customers beyond the reach of terrestrial networks.

FIGURE 1: MICRO VSAT MARKET, BY FREQUENCY, 2022 VS 2032 (USD MILLION)

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

Micro VSAT Application Insights

Based on application, the Micro VSAT Market segmentation includes airborne, maritime, and land. The land held the majority share in 2022. The increasing use of VSAT systems on land-based platforms for effective connectivity is expected to drive the land VSAT segment during the forecast period. VSATs provide high-speed connectivity and broadband solutions on land and land-based platforms. Detecting, tracking, and reporting are a few basic functions of land based VSAT terminals. These terminals also help in detecting unexploded ordinances and tunnels. Movement near exterior walls, as well as critical infrastructures and buildings, can also be traced using land based VSAT.

Micro VSAT Antenna Technology Insights

Based on antenna technology, the Micro VSAT Market segmentation includes parabolic and flat panel. The parabolic held the majority share in 2022. A parabolic antenna is an antenna that uses a parabolic reflector, a curved surface with the cross-sectional shape of a parabola, to direct the radio waves to the receiver in its focal point. The most common form is shaped like a dish and is popularly called a dish antenna or parabolic dish.

Micro VSAT Industry Vertical Insights

Based on the Industry Vertical, the Micro VSAT Market segmentation is aviation, energy & power, government, military & defense, maritime, oil & gas, construction & infrastructure, media & entertainment, mining, others. Military & defense dominated the market in 2022. Due to the competition for bandwidth from more platforms, ISR missions, video, and devices, modern military operations have an increasing demand for capacity and speed. The specially designed VSAT components enable the use of wideband Ka-networks, ranging from commercial Ka-band (29 ~ 30 GHz) and Military Ka-band (30 ~ 31 GHz). Such factors drive the demand for VSAT in military & defense segment.

Micro VSAT Regional Insights

By Region, the study provides market insights into North America, Europe, Asia-Pacific, Middle East & Africa and South America. The North America Micro VSAT market accounted for ~37% in 2022. It is expected to exhibit a significant CAGR growth during the study period. owing to rapid adoption of satellite communication technology and increasing research & development activities for reducing antenna size. The market is further driven by increasing demand for maritime communication and growing adoption of wireless communication in many industries in North America region. Furthermore, the demand for micro VSAT is increasing in these regions owing to increasing number of fixed network and cellular communications. For instance, in April 2020, The Federal Communication Commission (FCC) announced the rise of 20% to 35% on fixed networks and 10% to 20% in cellular network post pandemic as compared to previous situations.

FIGURE 2: MICRO VSAT MARKET SIZE BY REGION 2022 VS 2032

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

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

Asia Pacific market accounts for the second-largest market share. The region comprises some fastest-growing economies, including China, India, Japan, South Korea, and Indonesia. Government initiatives have aided manufacturing facilities in China and economical, skilled labor are the major factors attracting global industry players. Increasing marine transportation and development of new oceanic trade routes from India and China to rest of the world have positively impacted the logistics of micro VSAT.

Europe is predicted to witness the third-fastest growth, due to rising demand for telecommunication, live broadcasting services, and private networks by corporates. Major industry players operating in the market are providing open architecture customizable micro VSAT solutions, increasing their scope of application and making them more user friendly. The European micro VSAT market revenue is likely to surpass USD 305 million by 2030, growing at more than 15% CAGR between 2022 and 2030. Presence of major industry players within the region and innovative solutions provided by range of service providers is assisting market competitiveness. Germany dominates in Europe region owing to growing demand for secure communication for maritime and airborne IoT applications. As IoT becomes more mainstream, the related technology becomes cheaper and therefore more accessible to people and companies in European region. Due to the considerable increase in the number of IoT devices, the micro VSAT market continues to grow.

Micro VSAT Key Market Players & Competitive Insights

With a strong presence across different verticals and geographies, the Micro VSAT market is highly competitive and dominated by established, pure-play vendors. Over 30 vendors cater to this market, and they continually innovate their solutions to meet the evolving needs of businesses by adopting new technologies. These vendors have a robust geographic footprint and partner ecosystem to cater to diverse customer segments. The Micro VSAT market is highly competitive, with many vendors offering similar products and services.

The major players in the market include L3Harris Technologies, Inc., General Dynamics Corporation, Ultra, KVH Industries, Inc., and Thales Group. Ultra employs R&D to create creative, mission-specific, customized technology solutions to its customers' most difficult problems. It collaborates with the world's leading prime contractors and the US DoD, UK MoD, and Australian DoD. It is diverse, with the top ten contracts accounting for 21% of 2020 revenue.

Thales Group has adopted various strategic initiatives to sustain its long-term revenue growth. The group has fast-tracked its research & development by employing about 40% of its total headcount. It continues to dominate the digital revolution through numerous strategic partnerships with innovative technology companies. Additionally, with the acquisition of Gemalto, it has enhanced its product portfolio while adding three major technologies, including digital security, biometrics, and digital identity, and secure connectivity for IoT and data protection and encryption.

The Micro VSAT Market is consolidated, increasing competition, acquisitions, mergers, and other strategic market developments and decisions to improve operational effectiveness.

Key Companies in the Micro VSAT market include

• Ultra


• THALES GROUP


• ThinKom Solutions, Inc.


• Ovzon AB


• L3Harris Technologies, Inc.


• Paradigm


• Intellian Technologies, Inc.


• China Starwin Science&Technology Co.Ltd (China Starwin)


• Jonsa Technologies. Co. Ltd.


• Cobham Satcom


• General Dynamics Corporation


• KVH Industries, Inc

Micro VSAT Industry Developments

• In August 2022, Intellian Technologies, Inc., had launched new t-Series and s-Series antennas to enhance the live television (TV) experience for those onboard maritime vessels.


• In August 2022, Ovzon had received an order for the renewal of Ovzon’s SATCOM-as-a-Service from the UK MoD through the company’s partner Airbus. The 18-month renewal, valued at 1.1 MUSD, will start on September 1, 2022, and represents an extension of Ovzon’s services in specific regions worldwide.

Micro VSAT Market Segmentation

Micro VSAT Sourcing Frequency Outlook

• Ku-Band


• Ka-Band


• X-Band


• Others


• Total

Micro VSAT Application Outlook

• Airborne


• Maritime


• Land

Micro VSAT Antenna Technology Outlook

• Parabolic


• Flat Panel

Micro VSAT Industry Vertical Outlook

• Aviation


• Energy & Power


• Government


• Military & Defense


• Maritime


• Oil & Gas


• Construction & Infrastructure


• Media & Entertainment


• Mining


• Others

Micro VSAT Regional Outlook

• 
  North America
  
  
  
  • US
  
  
  • Canada
  
  
  
  


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


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


• Middle East & Africa


• South America