Global Satellite M2M Connections and Services Market 2016-2020
About Satellite M2M Technology
Satellite M2M technology enables communication of data or information between electronic devices with the help of satellite networks. Satellite M2M is widely adopted in regions where cellular networks are not available, or their reach is limited. Oil and gas firms, enterprises, and government organizations worldwide are adopting satellite M2M due to its wide reach and low cost. Satellite M2M can also fulfill several applications across transportation and logistics, oil and gas, mining, maritime, agriculture, manufacturing, energy and utilities, healthcare, and public sectors. Cellular M2M can provide video surveillance, remote diagnostics of vehicles, fleet management, and asset tracking. Satellite M2M helps industries enhance their operational efficiency and productivity by reducing their overall Capex.
Technavio’s analysts forecast the global satellite M2M connections and services market to grow at a CAGR of 14.54% and 9.95% respectively during the period 2016-2020.
Covered in this report
The report covers the present scenario and the growth prospects of the global satellite M2M connections and services market for 2016-2020. To calculate the market size, the report considers the revenue generated from equipment, retail services, value-added services, and revenue from implementation of satellite M2M.
The market is divided into the following segments based on geography:
Technavio Announces the Publication of its Research Report – Global Satellite M2M Connections and Services Market 2016-2020
Technavio recognizes the following companies as the key players in the global satellite M2M connections and services market: Globalstar, Iridium Communications, Kore, ORBCOMM, and Rogers Communications.
Other Prominent Vendors in the market are: Applied Satellite Technology, Digi International, Gemalto, Hughes Network System, Nupoint Systems, Oracle, Quake Global, Sprint, Teliasonera, and Telit.
Commenting on the report, an analyst from Technavio’s team said: “One of the key trends for market growth will be increased use of satellite M2M for event-based SCADA applications. With the growing popularity of satellite M2M devices for asset tracking, remote monitoring, and controlling, the demand for satellite M2M for event-based SCADA applications has increased significantly. In remote areas, the availability of cellular service is limited, and satellite broadband is an expensive solution for SCADA applications. In these areas, SCADA system integrators rely on satellite M2M for its reduced power consumption and minimum capital investment. While the implementation of satellite M2M for SCADA monitoring is a time-consuming process, it will likely pay off in the long term. ORBCOMM, which provides asset monitoring and messaging services and devices, is used by system integrators to monitor and control oil and gas flow meters and water meters.”
According to the report, increased demand for mobility will be a key driver for market growth. Demand for connectivity is growing rapidly, and in turn, is creating an added pressure on M2M satellite service operators to facilitate a capable satellite network infrastructure. The aviation sector is heavily depending on Satcom connectivity for automated flight operations and on-board Wi-Fi or mobile usage to cater to increasing customer demand. Hence, users have been provided robust communications-on-the-move solutions through Satcom, which gives access to a wide variety of applications and services with high efficiency. Increased installation and deployment of satellite terminals such as IP Voyager on any vehicle with autonomous tracking antenna that tracks satellite signal during movement is helping M2M satellite market to grow strongly. This satellite terminal can be effectively operated in adverse environments to attain innovative solutions with a high operational efficiency that provides versatile and reliable performance.
Further, the report states that a satellite launch involves risks such as failure during the launch stage. Therefore, organizations and companies are required to ensure the whole project covering the entire period until the launch, which adds significantly to overall costs. These factors could deter vendors with inadequate resources from foraying into the market. This factor is posing a severe challenge for existing players and also for new market entrants to obtain an estimated return on investment.
Globalstar, Iridium Communications, Kore, ORBCOMM, Rogers Communications, Applied Satellite Technology, Digi International, Gemalto, Hughes Network System, Nupoint Systems, Oracle, Quake Global, Sprint, Teliasonera, and Telit.