Latest NSR Report Finds Consumer Satellite Broadband to Overtake Broadband VSAT Networking Services on Revenue Basis by 2013
Seventh Edition of Industry Standard "Broadband Satellite Markets" Report Released Today
| Source: NSR
CAMBRIDGE, MA--(Marketwire - June 24, 2008) - NSR LLC today released findings from its
latest report, "Broadband Satellite Markets, 7th Edition," that indicate
revenues from consumer satellite broadband services will overtake
enterprise class broadband VSAT network services by 2013. The report is a
comprehensive analysis of the global market for broadband VSAT networking,
single site satellite broadband Internet access, and satellite broadband
trunking & backhaul services in all regional markets.
For several decades, classic VSAT networking services for corporate and
governmental clients have dominated the greater satellite broadband market.
And through to the end of 2007, broadband VSAT networking services
continued to lead the market by most measures. Yet, according to Patrick
French, Senior Analyst for NSR and the report's author, "It is NSR's view
that the promises first made for satellite broadband Internet access
services in the late 1990s dot.com heyday are now finally on the verge of
being fulfilled."
NSR anticipates that by the end of 2008, total subscribers to single site
satellite broadband Internet access services, mainly but not exclusively
found in North America, will surpass the global installed base of broadband
VSAT sites in the corporate and government market. Also by the end of 2008,
satellite capacity dedicated to single site satellite broadband Internet
access services will exceed that used by corporate and governmental VSAT
networks. Most importantly, NSR projects by 2013 total global revenues
generated by satellite broadband Internet access services will top those
coming from corporate and government broadband VSAT clients. By 2017, NSR
anticipates that global satellite broadband Internet access revenues will
hit US$3.86 billion, up from US$823 million in 2007.
"NSR fully expects that in late 2008 or early 2009, subscribers to
satellite broadband Internet access services in North America alone will
break the psychological one million mark, and global subscribers should
easily exceed four million by 2016," stated French. "This is no small
achievement for the satellite industry because after years of effort, the
dividends from the large satellite broadband Internet access investments
are finally about to be paid out." The industry has also learned what it
must do to maintain momentum, with investments in frequency reuse spot beam
satellites playing no small part, and NSR expects that additional major
capital outlays needed to guarantee the success of satellite broadband will
be announced in the coming months and into early next year.
Still, slipping to the number two position does not spell an end to the
broadband VSAT networking market. "Quite the contrary, the two markets are
intimately linked especially on the technology development level, and gains
made in one area are often easily transferred to the other," said French.
NSR predicts that revenues from the global broadband VSAT networking market
will climb from an estimated US$1.5 billion in 2007 to in excess of US$2.6
billion in 2017. Government-backed projects for rural Internet
connectivity, educational networks, and universal telephony service
obligation programs are a strong force behind forecasted growth in many
developing markets like Latin America, Asia and Central & Eastern Europe.
Further, steady demand from corporate clients in all regions of the world
is contributing more than its fair share to future growth as well.
About the Report
"Broadband Satellite Markets, 7th Edition" provides an in-depth assessment
of the broadband satellite market, including key trends in seven different
regional markets. The report also provides the satellite industry with
timely and pertinent data regarding growth of one-way and two-way broadband
VSAT sites, subscribers to single site satellite broadband Internet access
services, trends in the broadband trunking & backhaul markets, projected
service revenues, revenues from sales of customer premises equipment,
bandwidth demand, and leased commercial C-, Ku- and Ka-band satellite
capacity. Further, the study is completely integrated with NSR's "Global
Assessment of Satellite Demand, 5th Edition" and "Wireless Backhaul via
Satellite, 2nd Edition" studies such that they offer a library of detailed
analysis of demand for commercial satellite services for the industry. 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 +1 617-576-5771.
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 satellite technology, IP applications, wireless
convergence and broadcast services. With extensive expertise in all
regions and a number of broadband sectors, NSR is a leading provider of
in-depth market insight and analyses.