Maritime Satellite Communication Market Analysis And Forecast To 2032: By Component (Hardware, Software, Services), By Type (Very Small Aperture Terminal (VSAT), Mobile Satellite Services (MSS)), By End-use (Naval Vessel, Commercial Vessels, Leisure Vesse

Maritime Satellite Communication Market Analysis And Forecast To 2032: By Component (Hardware, Software, Services), By Type (Very Small Aperture Terminal (VSAT), Mobile Satellite Services (MSS)), By End-use (Naval Vessel, Commercial Vessels, Leisure Vessels, Offshore Oil Rigs), And Region

The global Maritime Satellite Communication market was valued at USD 3.0 Billion in 2022 and it is anticipated to grow up to USD 13.4 Billion by 2032, at a CAGR of 16.1% during the forecast period.

Maritime Satellite Communication (MSC) is a type of satellite communication that is used by ships and other vessels at sea. MSC allows these vessels to communicate with each other and with land-based systems, such as navigation aids, weather stations, and search and rescue services. MSC can also be used for voice and data communications, and for broadcasting.

Global Maritime Satellite Communication Market Scope and Report Structure

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Market Trends and Drivers

The growing need for applications like voice communications in the industry like passenger ships, fishing, and marine shipping is expected to fuel the satellite communication industry's expansion. Maritime satellite communication systems help in effective operations of these industries along with that it also enhances the security and surveillance system. The rising adaptation of advanced satellite systems and big data computing applications, along with the increasing awareness about the benefits of the cloud solution, are among the primary factors driving the market further. Moreover, an increase in the integration of satellite and mobile communication technologies is expected to create new opportunities for the market.

Market Restraints and Challenges

Customers are facing difficulties running satellite systems as the use of technology in maritime satellites rises. The vendors of maritime satellites fail to deliver reliable communication solutions, resulting in communication equipment and services being unable to function properly in adverse weather conditions. As a result, satellite communication network operators face a challenge in providing better service to their consumers regardless of weather conditions.

Global Maritime Satellite Communication Market Segmental Overview

The report analyses the global Maritime Satellite Communication market based on component, type, end-user, and region.

Global Maritime Satellite Communication Market by Component

By component, the market is segmented into hardware, software, and services. In 2022, Hardware was the dominant segment, accounting for more than 30% of market share in terms of revenue, and is expected to maintain its dominance over the forecast period. Hardware components are utilized in large volumes and the cost associated with them is very high. This high cost is likely to positively impact revenue generation over the forecast period. A rise in the installation of VSAT broadband equipment in new as well as existing marine vessel fleets is anticipated further fuel the market growth. Technological innovations, such as the reduced size of dish and cost of data usage is expected to drive the demand for the installation of new VSAT services over MSS services.

The software segment is poised to witness moderate growth during the forecast period, attributed to the accessibility of a wide range of application-specific software that suits the interests and requirements of marine vessels. For instance, satellite tracking and prediction, simulations and graphical interfaces, radio tuning with automatic Doppler correction, antenna steering through popular interfaces, and navigational and entertainment software. Increasing adoption of marine satellite communication equipment in defense vessels, cruise ships, luxury yachts, and others is anticipated to further drive the segment.

Global Maritime Satellite Communication Market by Type

By type, the Maritime Satellite Communication market is classified into Very Small Aperture Terminal (VSAT), and Mobile Satellite Services (MSS). In 2022, the Very Small Aperture Terminal (VSAT) segment captured a higher market share and is expected to witness considerable growth during the forecast period. This growth is attributed to the advantages of VSAT over Mobile Satellite Services (MSS), such as reduced time lag, global coverage, and others. A Broadband VSAT network is used for establishing onboard VPN networks that cover fleets and connect ships to shore. This connectivity supports critical business applications, carries VoIP traffic, and increases ships access to information. VSAT provides regular access to the Internet for email, file sharing, and instant messaging, among others.

VSAT has also provided the option of unlimited data usage at a fixed monthly payment. This enables the crew to stay in touch with friends and family, manage personal affairs, and consume entertainment content at a reasonable rate. Although the market is undoubtedly heading toward an era of enhanced marine connectivity, research suggests that MSS will continue finding a place on vessels and platforms where data usage is minimal. For instance, fishing boats, are expected to adopt VSAT solutions at a slower rate and will continue with existing MSS equipment in the forthcoming years. Furthermore, if Arctic Circle once again recedes to open up northern shipping passages, MSS L-band will be the only feasible satellite connectivity solution in such extreme geographical locations. Furthermore, L-band is exceptionally reliable, outperforming some VSAT solutions in adverse climatic conditions, and will, therefore, be used as a backup for several years to come. This is owing to the frequency of VSAT causing the signal to be attenuated during rain showers and adverse climatic conditions at the water.

Global Maritime Satellite Communication Market by End-user

The end-use segment of the market is bifurcated into Naval Vessel, Commercial Vessels, Leisure Vessels, and Offshore Oil Rigs. In 2022, the commercial vessel segment accounted for revenue, owing to the rising trade activities using commercial vessels; in key emerging countries such as China, Brazil, and India among others. The international shipping industry is responsible for the carriage of around 90% of world trade. Maritime trade continues to expand, bringing benefits for consumers across the globe through competitive logistics costs. With rising manufacturing and global trade, there has been a rise in the number of marine vessels added to the existing fleet. An increase in the number of ships and naval vessels is expected to fuel the market over the forecast period.

Rising globalization and supportive trade policy, as well as some geopolitical shifts such as the emergence of China as the manufacturing hub, constitutes a rise in maritime trade in the Asia Pacific. According to the UNCTAD Maritime Transport outlook 2018, maritime trade expanded by 4% in 2017, which is the fastest growth registered in five years. It is expected to exhibit similar growth in the upcoming years. Volumes across all segments witnessed growth in 2018, with dry bulk and containerized commodities recording significant progress on account of increasing tanker volumes. UNCTAD projected an average year-on-year growth rate in total volumes of 3.8 % till 2023. The increase in global trade and rising maritime fleet to cater to the demand for logistics are expected to boost the market over the forecast period.

Geographical Analysis of Global Maritime Satellite Communication Market

Region-wise, it is studied across North America, Europe, Asia Pacific, and the Rest of the World. Europe is expected to witness the second-fastest growth over the forecast period, owing to the increased sales of luxury vessels. The demand is majorly driven by factors, such as the increasing number of High-Net-Worth Individuals (HNWI) and the rising popularity of marine tourism owing to the rising popularity of water sports and fishing. In the upcoming years, passenger traffic in marine and coastal tourism is expected to witness a substantial rise due to the attractiveness of the region. Introduction of tourism supportive policies, such as on-arrival visa is anticipated to boost investments in coastal areas for recreational activities, such as fishing, white-water rafting, kayaking, sail training adventures, one-day boating adventures, scuba diving, free diving, and snorkeling. These luxury vessels are equipped with the latest satellite communication technology. The rise in sales of these luxury vessels will positively impact the market

Asia Pacific is projected to emerge as a predominant region over the forecast period owing to the increasing adoption of VSAT technologies in the merchant and cruise ships in the region. A large-scale modernization of legacy systems, such as close-in air defense systems, radar and communication systems in defense vessels, and a rise in political tensions and border disputes in the countries, such as India and China is also driving the demand for new satellite communication technologies in the region.

Major Players in the Global Maritime Satellite Communication Market

The maritime satellite communication market is highly competitive and consists of several major players. In terms of market share, few of the major players currently dominate the market. These major players, with a prominent market share, are focusing on expanding their customer base across foreign countries. These companies are leveraging strategic collaborative initiatives to increase their market share and increase their profitability. The key players in the Maritime Satellite Communication market  are Marlink, Inmarsat Global Limited, Iridium Communications Inc., Thuraya Telecommunications Company, Hughes Network Systems, LLC, KVH Industries, Inc., Speedcast, NSSLGLOBAL, ORBCOMM, and GTMARITIME. among others.

COVID-19 Impact

The COVID-19 pandemic caused hockwaves across every industry worldwide. It significantly impacted the satellite communication industry. The industrys dependence on government contracts in various areas, including the highly reliable and survivable nature of satellite communications services that are essential for disaster communications and backup services, may insulate the industry from some of the more severe impacts of the global pandemic.

Recent Developments

In August 2022, KVH partnered with the Hellenic Broadcasting Corporation (ERT) to serve Greek seafarers with native content through KVH Link, enhancing the content service focused on a large segment of the commercial maritime crew population. The new collaboration with ERT includes video and audio content available to seafarers directly on vessels enjoying KVH Link. Video content includes a one-hour news bulletin broadcast daily, keeping Greek seafarers up to date with the happenings in Greece and across the world.

In July 2022, KVH introduces KVH ONE Hybrid Network and groundbreaking TracNet Terminals. Innovative terminals feature integrated satellite, cellular, and Wi-Fi technology with intelligent, automatic switching to keep boats connected to the best available communication option for fast, reliable connectivity at sea and at the dock.

In June 2022, WISeKey, a leading global cybersecurity company launched 7 new WISeSat FOSSA satellites in cooperation with FOSSA. This collaboration created the largest IoT constellations in European history.

In May 2022, Viasat, a global leader in the communication industry has been selected by Southwest Airlines for their in-flight connectivity. The advanced Ka-Band satellite of Viasat is anticipated to enhance internet connectivity along with the ability to watch online TV and streaming content onboard.

In February 2022, Thuraya telecommunication company, a satellite solution provider signed an agreement with Delnet International Corporation to provide and sell advanced satellite solutions. This agreement is expected to enable Thuraya to expand its customer base in emerging markets of the Philippines.



Frequently Asked Questions

Q1. How big is the Maritime Satellite Communication market?

Ans. The global Maritime Satellite Communication market was valued at USD 3.0 Billion in 2022 and it is anticipated to grow up to USD 13.4 Billion by 2032, at a CAGR of 16.1% during the forecast period.

Q2. What is the Maritime Satellite Communication market growth rate?

Ans. The growth rate of the Maritime Satellite Communication market is 16.1%

Q3. Which region holds a major market share for the market?

Ans. North America holds a major market share of the Maritime Satellite Communication market in 2021.

Q4. Which segment accounted for the largest Maritime Satellite Communication market share?

Ans. By end-user, the Commercial Vessels segment accounted for the largest Maritime Satellite Communication market share.

Q5. Who are the key players in the kidney stones management market?

Ans. The global Maritime Satellite Communication market report includes players such  Marlink, Inmarsat Global Limited, Iridium Communications Inc., Thuraya Telecommunications Company, Hughes Network Systems, LLC, KVH Industries, Inc., Speedcast, NSSLGLOBAL, ORBCOMM, and GTMARITIME., among others.

Q6. What are the factors driving the Maritime Satellite Communication market growth?

Ans. The major factors driving the growth of the market are huge investments by key maritime communication equipment manufacturers, such as iridium Communications Inc., and Inmarsat Global Limited, to introduce new and affordable equipment.

Q7. What are the key growth strategies of Maritime Satellite Communication market players?

Ans. The key growth strategies of Maritime Satellite Communication market players are product launch and product approval.

Q8. Which region will provide more business opportunities for the Maritime Satellite Communication market during the forecast period?

Ans. The Asia-Pacific region will provide more business opportunities for the Maritime Satellite Communication market during the forecast period.