Satellite-Based Earth Observation Market Entering Phase of Impressive Growth
EO Satellite Manufacturing, Commercial Data and Value Added Services to Generate $6.2 Billion in 2018, According to NSR
| Source: NSR
CAMBRIDGE, MA--(Marketwire - November 19, 2009) - According to NSR's new report, "Global
Satellite-Based Earth Observation (EO)," the EO industry is in the midst of
a significant growth phase slated to generate revenues for many segments of
the satellite industry. With an expected increase in the total number of
players (government and commercial), advancements in technology, both in
sensors and image processing, and a greater political will by governments
to embrace EO, the future holds much promise for this market.
NSR estimates that more than 180 new EO satellites will be launched by both
government and commercial operators in the next decade. The commercial EO
data market is expected to grow more than twice from its current level to
reach US$2.2 billion in 2018, while EO Value Added Services (VAS) are
projected to reach US$2.3 billion in 2018. NSR expects the high resolution
optical imagery market will remain strong, but lower cost mid-resolution
imagery will grow at a faster rate.
"EO players today are concentrating mostly on scarce government contracts
with high resolution data and timely delivery," said Christopher Baugh
President of NSR. "But the expected increase in the number of commercial
operators and service providers will augment the array of available
applications and will lead to reduction in costs for customers as more of
them start using EO data. To counterbalance free or low cost government
data solutions, commercial operators must adapt and change their business
model by maintaining a balanced portfolio and expanding their service
offerings by providing complete geo-information solutions to meet new and
unmet demand," he added.
EO programs and applications have attracted wide attention through homeland
and food security, environmental and climate change programs, as well as
through the emergence of free web portals featuring powerful satellite
imagery. The largest EO data clients are still governments, which represent
more than 50% of total sales of satellite operators, but there are prime
industrial users in the energy and agricultural sectors. Looking into the
future, NSR expects the most promising applications to be in the areas of
environmental monitoring, land management, natural disaster response,
insurance and real estate, and tourism.
The associated expected increase in the number of satellites in-orbit will
boost satellite manufacturing revenues, which are forecast to reach $1.7
billion in 2018, buoyed by the rising tide of demand from developing
countries like Vietnam, Malaysia, Kazakhstan, and South Africa. However,
NSR expects spacecraft to become somewhat commoditized as lower cost mini-
and small-EO satellites are launched.
About the Report
"Global Satellite-Based Earth Observation" is a multi-client report now
available from NSR. The report provides updated data to evaluate the EO
market around the world while giving proper attention to drivers,
restraints and trends to all regional and vertical markets. All potential
market segments in the supply and the demand side of the EO business have
been sized while giving attention to the emerging trends. For additional
information on this report, including a full table of contents, list of
exhibits and executive summary, please visit www.nsr.com or call NSR at
+1-616-576-5771.
About NSR
NSR is an international market research and consulting firm specializing in
satellite and wireless technology and applications. NSR's primary areas of
expertise include emerging technology, IP applications, and broadcast
services. With extensive expertise in all regions and a number of telecom
sectors, NSR is a leading provider of in-depth market insight and analyses.