Global Enterprise VSAT Market Research Report: By Type (Hardware, Services), By Organization Size (Small and Medium Enterprises, Large Enterprises), By Region - Forecast till 2030

Market Analysis 

Global Enterprise VSAT Market is likely to touch USD 13.61 Billion at an 9.24% CAGR between 2020- 2030, reveals the latest Market Research Future’s (MRFR) enterprise VSAT market forecast report. The strong growth of the market can be accredited to the increasing adoption in the BFSI sector.

COVID-19 Analysis

The on-going COVID-19 outbreak has cast its shadow across the world, with a maximum number of industries across different sectors falling prey, with the global enterprise VSAT market being no exception. The increasing spread of this deadly virus in the APAC region, the United States, and Europe has led to a fall in demand for enterprise VSAT solutions across the globe, with a considerable fall in the revenue for different service providers and suppliers of VSAT. Shortage of equipment, shortage of staff in manufacturing facilities, manufacturing shutdown, and late delivery due to worldwide lockdown and social distancing treads have created a negative impact on the global enterprise VSAT market growth. It is, however, expected to return to normalcy by 2022.

Market Dynamics

Drivers

Increased Adoption in Maritime Industry to Bolster Market Growth 

VSAT systems are widely equipped in ships to offer speedy broadband connections both for personal communication and business activities alike. In business activities, it is used in video conferencing and ERP, while in personal communications, it is used in streaming, video calling, and email. Enterprise VSAT are used in surveillance apps too to assist defense forces in the naval operation that demand equipment that is portable, lightweight, and small, and also safeguard coastal areas. Ships during long voyages should be well connected with the world to enable passengers and crew to communicate with loved ones to access port and weather information. It is here where VSAT systems help. This will help to bolster the enterprise VSAT market during the forecast period. 

Other factors adding to the enterprise VSAT market size include increased use in the oil and gas sector, demand for a broadband data connection from business and government sectors, demand for high VSAT bandwidth speed, increased enterprise VSAT application, technological advances in enterprise VSAT system, reduced operating and investment costs, increased adoption of USATs for on-the-move applications, and increasing use of Ka and Ku band VSATs.

Opportunities

Rising Number of LEO-HTS Constellations to Offer Robust Opportunities 

The rising number of LEO-HTS constellations will offer robust opportunities to market players. Besides, the growing need for connected and autonomous cars and an increased need to help telemedicine in various remote locations are also likely to offer good opportunities for market growth.

Restraints

Sea Connectivity Issues May Restrain Market Growth 

Connectivity issues in the sea due to restrictions in coverage and bandwidth may restrain the enterprise VSAT system market growth over the forecast period. Besides, maritime platforms at the time of catering to marine applications also face various issues such as long delays, lapses in service, lack of coverage, and unstable connections.

Apart from these, other factors that may limit market growth include the high price to replace satellites, the complex installation process and the high installation price of VSAT equipment.

Challenges

Cybersecurity Issues to Challenge Market Players 

Cybersecurity issues, coupled with radio spectrum availability issues, can be a major challenge for industry players.

Market Segmentation

Global Enterprise VSAT Market as per the MRFR’s enterprise VSAT market research report has been segmented based on Organization Size and Type.

Type-based Service Segment to Lead the Market

By type, the global enterprise VSAT market is segmented into services and hardware. Among these, the services segment is predicted to lead the market over the forecast period. It is likely to grow at a 9.1% CAGR over the forecast period. Enhancement in DVB S2X technology is adding to the growth of the segment.

Organization Size-based Large Enterprises Segment to Dominate Market Growth

By organization size, the global enterprise VSAT market is segmented into large enterprises and SMEs (small & medium enterprises). Of these, the large enterprises' segment is predicted to dominate the market over the forecast period, and the small & medium enterprises segment is predicted to grow at a 9.8% CAGR over the forecast period. Various applications of enterprise VSAT in large enterprises like drive-aways for TV broadcast systems, data security and integrity, and private intranet services are adding to the growth of the large enterprises' segment. When data and transactional information is secured, it helps to cater to the financial industry's finest practices and corporate requirements like PCI-DSS (Payment Card Industry Data Security Standards).

Regional Analysis

North America to Command Largest Share in the Market

By region, the global enterprise VSAT market covers opportunities and recent trends across Europe, North America, the Asia Pacific (APAC), Middle East and Africa, and South America. Of these, North America will command the largest share in the market over the forecast period. The presence of renowned market players in this region such as Skycaster LLC, Gigasat, VT iDirect, and Hughes Network Systems LLC, high adoption of satellite services for different applications like disaster management and volcano monitoring during hurricanes and storms, vegetation identification, and inspection of historical monuments. Additional factors adding to the enterprise VSAT market growth in the region include rising penetration of mobile broadband, technological advances, and increasing adoption in aerospace and defense are adding to the enterprise VSAT market growth in this region. The maximum market share is grabbed by the United States.

APAC to Hold Second-Largest Share in the Market

In the APAC region, the global enterprise VSAT market is predicted to hold the second-largest share over the forecast period. The rising number of SMEs, advances in digital technology like IoT technology and Machine-to-Machine (M2M), and presence of leading market players such as Shanghai VSAT Network Systems Co., Ltd, Asia Satellite Telecommunications Co. Ltd, Nelco, ABS, Inmarsat PLC, Inmarsat PLC, and Syntelix Avances Tecnológicos SL is adding to the global enterprise VSAT share in the region. Additional enterprise VSAT drivers include the growing adoption in the maritime industry, favorable initiatives undertaken by the government for promoting the adoption of VSAT services and connecting colleges and schools in Australia, China, and India, and changing political landscape are adding to the global enterprise VSAT market growth in the region. China will command the largest share in the market, followed by South Korea, South-East Asia, Japan, and India.

Competitive Landscape

Key industry players are laying emphasis on different organic growth strategies such as product launches, product approvals, and patents and events. Besides, they have also incorporated several inorganic growth strategies like collaborations, partnerships, and mergers and acquisitions. These activities have opened new doors for the development of the client and business base of industry players. Industry players are likely to have healthy growth opportunities in the forthcoming years following the burgeoning demand for the market.

Key Players

• Omniaccess (Spain)


• Skycaster LLC (US)


• Gigasat (US)


• Comtech Telecommunications Corporation (US)


• Global Eagle (US)


• Viasat Inc (US)


• Newtec (Belgium)


• VT iDirect (US)


• Gilat Satellite Networks (Israel)


• Singtel (Singapore)


• Hughes Network Systems LLC (US)

Recent Developments

• December 2020- Marlink will offer connectivity solutions for Manta Shipping in Turkey. Marlink will offer Ka-band VSAT of high-throughput with L-Band back-up services that will equally benefit from the company’s improved network transparency that offers shore staff and users prompt information on the type of networks used for specific tasks. In fact, this tool will help shore staff and ship staff in analyzing usage and prioritizing downloads that are data-intensive in the strongest areas of VSAT coverage. 


• June 2020- Global leader in satellite services, solutions, and networking technology, Gilat Satellite Networks Ltd. has announced the accessibility of Capricorn PLUS, its flagship VSAT.