Skip to main content

Internet of Things Connectivity Solutions via Satellite

New satellite constellations are being launched to improve the connectivity options for the Internet of Things (IoT) market. Many application segments will benefit from these new constellations due to the larger range of coverage they offer when compared to terrestrial communication networks.

Different IoT application segments require different types of communication connectivity. Some IoT apps will require real-time connectivity to have a constant flow of data and information, yet some will only require near real-time.

IoT App Connectivity Market Development

By 2024, there will be 24 million IoT connections made via satellite, according to the latest worldwide market study by ABI Research. Their analysis unveils the long-term opportunity within the satellite space for the growth of IoT deployments, particularly in application verticals, such as agriculture and asset tracking.

"Terrestrial cellular networks only cover 20 percent of the Earth’s surface, while satellite networks can cover the entire surface of the globe, from pole to pole," said Harriet Sumnall, research analyst at ABI Research.

The application segments that are expected to see significant growth include agriculture, asset tracking, maritime tracking, and aviation tracking. Maritime and aviation tracking are two important markets for the satellite space due to the lack of terrestrial infrastructures available within their location.

Vendors such as Aerial & Maritime (A&M) provide cost-effective aircraft ADS-B surveillance and ship AIS tracking from constellations of nano-satellites. This technology is a game-changer in this industry space, and recent initiatives demonstrate the high-end tracking capabilities from large satellites in multi-constellations.

According to the ABI assessment, though this is yet to be considered a cost-efficient process, it is expected to become more so with upcoming Software Defined Radio technology, as it is possible to use nano-satellites for these actions.

The larger and more traditional satellite providers are facing new competition from many new start-up constellations from vendors like Amazon and SpaceX, which are launching Low Earth Orbit (LEO) satellites.

LEO satellites, though, are costly in the set-up of the constellations as many satellites are required to give the coverage that vendors are offering.

Outlook for Satellite Communication Growth

LEO satellites are more cost-effective than the larger traditional satellites for these IoT applications. The conventional satellite providers will not only have to consider driving their prices down to become more competitive than the newcomers but also be sure they stay relevant within the market.

"Once the market becomes more successful and has matured, the pricing strategies will drop overall, allowing the satellite IoT connectivity options to compete against terrestrial connectivity options," Sumnall concludes.

Popular posts from this blog

Global Digital Business and IT Consulting Outlook

Across the globe, CEOs and their leadership teams continue to seek information and guidance about planned Digital Transformation initiatives and the most effective enterprise organization change management practices. Worldwide IT and Business Services revenue will grow from $1.13 trillion in 2022 to $1.2 trillion in 2023 -- that's a 5.7 percent year-over-year growth, according to the latest market study by International Data Corporation (IDC). The mid-term to long-term outlook for the market has also increased -- the five-year CAGR is forecast at 5.2 percent, compared to the previous 4.9 percent. Digital Sevices & Consulting Market Development IDC has raised the growth projection despite a weak economic outlook, because of vendor performances across 2022, growth indicators from adjacent markets, increased government funding, and inflation impacts. The actual 2022 market growth was 6.7 percent (in constant currency), which was 87 basis points higher than forecast last year, alth

Digital Talent Demand Exceeds Supply in Asia-Pac

Even the savviest CEO's desire for a digital transformation advantage has to face the global market reality -- there simply isn't enough skilled and experienced talent available to meet demand. According to the latest market study by IDC, around 60-80 percent of Asia-Pacific (AP) organizations find it "difficult" or "extremely difficult" to fill many IT roles -- including cybersecurity, software development, and data insight professionals. Major consequences of the skills shortage are increased workload on remaining digital business and IT employees, increased security risks, and loss of "hard-to-replace" critical transformation knowledge. Digital Business Talent Market Development Although big tech companies' layoffs are making headlines, they are not representative of the overall global marketplace. Ongoing difficulty to fill key practitioner vacancies is still among the top issues faced by leaders across industries. "Skills are difficul

Mobile Device Market Still Awaiting Recovery

The mobile devices market has experienced three years of unpredictable demand. The global pandemic, geopolitical pressures, supply chain issues, and macroeconomic headwinds have hindered the sector's consistent growth potential. This extremely challenging environment has dramatically affected both demand and supply chains. It has led to subsequent inflationary pressures, leading to a worsening global cost of living crisis suppressing growth and confidence in the sector. In tandem, mobile device industry stakeholders have become more cautious triggering market uncertainties. Mobile Device Market Development Operating under such a backdrop, the development of mobile device ecosystems and vendor landscapes have been impacted severely. Many of these market pressures persisted throughout 2022 and now into 2023, borne chiefly by the smartphone market. According to the latest worldwide market study by ABI Research, worldwide smartphone shipments in 2022 declined 9.6 percent Year-over-Year