The New Broadband Satellite Revolution.
It began in 2010 and it’s already gained an unstoppable momentum. Welcome to the new era of highly broadband Internet access by satellite. Previously Internet-by-satellite was rightly regarded as the poor relation of most connections, with upload bandwidths in the hundreds of kbps regimes (or less) and download bandwidths not much higher. But this is now set to change – and change dramatically. And some of the engines enabling this change already exist: the Hylas1 and Ka-SAT spacecraft are now in orbit and Ka-SAT’s total throughput is 70 Gbps. This is a new situation and it means that many who have previously suffered being “on the wrong side of the digital divide” can now gain access to the Internet at around or above 10 Mbps bandwidths i.e. comparable with or even better than many current cabled connections. Additionally, urban or suburban subscribers who currently suffer a cable service of only a few Mpbs and are outside the economic viability zone of fiber will have the opportunity of a truly high-bandwidth service via SATCOM.
And it’s getting even better because spacecraft with transponders capable of 100 Gbps-plus (total throughput) overall bandwidths will be launched over the next few years. Examples include ViaSat1 launched in October 2011 (130Gbps), several Inmarsat satellites, Jupiter 1, MegaSat and Hylas2. Major OEMs such as Boeing, EADS Astrium and Space-Systems Loral (SS Loral) are building these spacecraft. An even more advanced concept is enshrined in the European Space Agency’s (ESA’s) proposed “TeraBit” satellite which is currently slated for launch in the 2017 to 2020 time frame. This development is planned to take place within the ARTES program and, when in place will enable subscribers to access the Internet at the blazingly fast rate of around 200 Mbps. TeraBit would utilize the Alphabus platform standard.
The K/Ka microwave and millimeter-wave bands are currently used with the downlinks centered around 20 GHz and the uplinks centered around 30 GHz – but TeraBit would use the much higher (and much more technologically demanding) Q and V-bands.
This new report from Engalco provides extensive data on shipments, average selling prices and total available market data for the ground-based (consumer) transceivers, covering the 2011 to 2019 time scale. B-SAT1A segments eleven geographic regions and also the following three overall consolidated groups:
• Sub-Saharan Africa, Middle East and N. Africa, Central Europe, Western Europe (collectively termed “”Europe, Middle East and Africa” or “EMEA”).
• South East Asia, China and N.E. Asia, South Asia, Russia and Central Asia.
• Oceana and Pacific, Latin America and North America.
Summarized, the results of Engalco’s research indicate that global shipments amounted to approximately 860,000 in 2011 and will increase to almost 3 million in 2019. The total available (global) markets added to nearly $0.6 BN in 2011 and will increase at an average annual rate of 9.6% to reach almost $2 BN in 2019. There are however substantial regional variations in terms of both absolute values and monetary growth rates. In 2011 the Americas enjoyed the bulk of the market with a share of about 60% - mainly due to the US but by 2019 Engalco predicts the pattern will have changed radically.
Annual growth rates are highest for regions such as China and N.E. Asia (often exceeding 20%) whilst some of the smaller regions see a slow decline in market values – principally due to price erosion over the years. As might be expected most volume production is through assembly operations based in China.
Methodology and Testimonials/Attestations
The research toward this report was conducted during 2011.
Engalco is responsible for generating its own market data, including forecasts, by a series of careful and robust processes. First and foremost amongst these processes is the detailed contacting we operate with key executives within the industry — international manufacturers as well as distributor companies. We also apply a rigorous appraisal of the market dynamics in terms of the influences of likely future events and trends. And we always start with obtaining details of all identifiable end-user contracts and developments, i.e. we mainly use a top-down approach. Under this activity we include the probable emergence of disruptive technologies and changes affecting end-user sectors that would impact sales of the various types of products. We took as the basis the 2010 broadband subscriber data published by Euroconsult (also by Northern Sky Research in 2011) but we modified these data to reflect more recent events. All aspects are studied and reported upon in depth.
Our most important resource — by far — is the regular contact maintained by a mixture of telephone, e-mail and physically meeting appropriate industry executives the majority of whom are well known to Engalco. Beyond this we also naturally make substantial use of various web sites — both corporate and otherwise.
Testimonials Received Regarding previous Engalco Reports:-
This is what other customers have to say about Engalco’s microwave reports. (Most of these are repeat customers of our previous studies):-
• "Engalco's reports have provided us with the comprehensive view of the very market that is strategically important to us. What is also impressive about Engalco is their commitment to meeting their clients' needs. They are very responsive to our inquiries, open to discussions and willing to share information, which is a rare attribute nowadays for a research vendor." Naoko Doi, Kyocera America, March 2008.
• "...providing in-depth knowledge relative to our marketplace. It (Microwaves North America II) is an excellent tool to assist strategic planning. I am looking forward to your new publication, Microwaves North America III, coming out later this year." Richard DeGear, Director, Sales & Marketing, STC Microwave Systems(1), Phoenix, AZ.
• "The breadth of coverage [of “The Microwave Report”] is very impressive". David Taylor — Microwave Sales Manager, e2v technologies, UK.
• “Overall the (Microwaves Global Defense and Space) report suits our needs. We have been analyzing it as a team to make some strategic decisions.” Julie Teinert, Director of Marketing, Mimix Broadband(2), Houston TX.
Notes:
(1) Now part of Crane Electronics.
(2) Now within MACOM Technology Solutions.