5G From Space Market by Components (Hardware (Satellites, User Terminals) and Services)), Application(Enhanced Mobile Broadband (Embb), Ultra-Reliable and Low Latency Communication (Urllc), Massive Machine-Type Communications (Mmtc)), Vertical and Region - Global Forecast to 2028
The 5G from Space Market size is projected to grow from USD 300 million in 2023 to USD 3,693 million by 2028, growing at a CAGR of 65.1% from 2023 to 2028. 5G from space is a revolutionary technology that combines the power of satellite communication with the capabilities of 5G networks. It provides global connectivity and high-speed, low-latency communication services from space, offering numerous benefits from various perspectives.
From a global connectivity standpoint, 5G from space technology has the potential to bridge the digital divide by extending high-speed internet access to remote and underserved areas. Traditional terrestrial networks often struggle to reach these regions, but with satellites deployed in low Earth orbit (LEO), 5G from space can provide seamless connectivity on a global scale.
5G From Space Market Forecast to 2028
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5G From Space Market Dynamics
Driver: Development of new applications and services
The potential for innovative applications and services is a key driver behind the demand for 5G from Space Industry. Unlike existing satellite technologies, 5G from space has the capability to support advanced functionalities that were previously not feasible. This opens up possibilities such as real-time video streaming to aircraft and ships, allowing for enhanced communication and entertainment options. Additionally, the high-speed and low-latency connectivity provided by 5G from space can enable autonomous driving in remote areas, transforming transportation and expanding the reach of self-driving technologies. The ability of 5G from space to unlock these new applications and services is a significant motivating factor for businesses and industries seeking to leverage the potential of advanced satellite connectivity.
Restraints: Global chip shortage
The global chip shortage has emerged as a significant constraint for the 5G from the Space market. The shortage has presented challenges in the manufacturing of satellites, making it more difficult to meet the demand for satellite deployment. The limited availability of essential chips has led to delays and increased costs associated with building satellite constellations. As a result, the industry is grappling with supply chain disruptions and uncertainties, hindering the pace of progress in expanding the 5G from Space infrastructure. The chip shortage serves as a major constraint, impacting the market's growth potential and posing obstacles to the timely and cost-effective implementation of satellite-based 5G connectivity solutions. The demand for semiconductors has been increasing steadily in recent years. In 2021, the global semiconductor market was valued at $555.9 billion, and it is expected to reach $650.6 billion by 2026. This growth is being driven by the increasing demand for electronic devices, such as smartphones, laptops, and cars. As well as Geopolitical tensions have also contributed to the shortage. The trade war between the United States and China has led to increased uncertainty in the semiconductor market, which has made it more difficult for companies to secure supplies.
Opportunities: Growing adoption of the Internet of Things (IoT)
The growth of the Internet of Things (IoT) presents significant opportunities for 5G from space. As the IoT market expands at a rapid pace, 5G from space can play a crucial role in connecting and supporting IoT devices. The high-speed and reliable connectivity offered by 5G from space opens up new possibilities for seamless communication and interaction among IoT devices, enabling efficient data exchange and real-time decision-making. This creates a surge in demand for 5G from space as businesses and industries seek to leverage the potential of IoT technologies in various sectors, such as smart cities, industrial automation, agriculture, and healthcare. The integration of 5G from space with IoT applications not only drives innovation but also enhances productivity, efficiency, and resource management. With its capacity to provide robust and scalable connectivity, 5G from space holds immense opportunities to fuel the growth and expansion of the IoT market, revolutionizing industries and transforming the way we live and work.
Challenges: The latency of 5G signals from space is higher than the latency of terrestrial 5G signals.
The latency, or the time delay in transmitting data, is generally higher for 5G signals from space compared to terrestrial 5G signals. This increased latency can pose difficulties for applications that require real-time responsiveness, such as real-time gaming, virtual reality, or remote control of critical systems. The higher latency can result in noticeable delays and affect the overall user experience in these applications. While efforts are underway to minimize latency in satellite communications through technological advancements and optimization techniques, addressing this challenge remains a priority to ensure that 5G from space can effectively support latency-sensitive applications and meet the expectations of users who require instant and seamless interactions.
5G From Space Market Ecosystem:
Scientific research & development and Business forces lay a vital role in the 5G from space. As well as such, customers are engaged in procuring newly launched 5G Satellite internet for applications in national defense infrastructure.
Based on Components, the Service segment is estimated to lead the 5G from the space market in 2028.
Based on Components, the service segment is estimated to lead the 5G from Space market from 2023 to 2028. service providers offer system integration services, which involve integrating 5G from space solutions with existing infrastructure. This service ensures seamless interoperability and compatibility between different systems and networks. System integration allows organizations to maximize their investments, leverage their existing assets, and create a cohesive ecosystem that integrates various technologies and applications.
Based on the Application, Enhanced Mobile Broadband (EMBB) is estimated to account for the larger share of the 5G from Space market in 2023
EMBB in 5G from space technology revolutionizes global mobile broadband connectivity. It enables ubiquitous coverage, provides high-speed data rates, supports data-intensive applications, and empowers users across industries. With its transformative capabilities, eMBB in 5G from space technology is driving global connectivity, bridging the digital divide, and opening up new possibilities for communication, collaboration, and innovation on a global scale.
The Asia Pacific market is projected to grow at the highest CAGR during the forecast period in 2028 in the 5G from space market.
Governments in the Asia Pacific region are actively investing in infrastructure development and digital initiatives. They are recognizing the importance of advanced connectivity and digital transformation for economic growth and competitiveness. These initiatives create a conducive environment for the adoption and deployment of 5G from space technology, further fueling its growth in the region.
Considering these factors, the Asia Pacific region is poised for significant growth in the 5G from space market, with a strong projected CAGR. The region's diverse landscape, urbanization trends, consumer demands, industrial growth, and government support contribute to this growth, positioning the Asia Pacific region as a key player in leveraging the benefits of 5G from space technology.
5G From Space Market by Region
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Key Market Players
The 5G from space companies are dominated by a few globally established players such as Oneweb (UK), Omnispace(US), Qualcomm (US), Ericsson (Sweden), and Rohde & Schwarz (Germany) among others, are the key manufacturers that secured 5G from space. A major focus was given to the contracts and new product development due to the changing requirements of commercial, homeland security, and defense & space users across the world.
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Report Metric |
Details |
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Growth Rate |
65.1% |
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Estimated Market Size in 2023 |
USD 300 Million |
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Projected Market Size in 2028 |
USD 3,693 Million |
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Market size available for years |
2020–2028 |
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Base year considered |
2022 |
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Forecast period |
2023-2028 |
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Forecast units |
Value (USD Million) |
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Segments Covered |
By Components, By Verticals, By Application, And By Region. |
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Geographies covered |
North America, Europe, Asia Pacific, and ROW, including Middle East & Africa, and Latin America |
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Companies covered |
OneWeb (UK), Omnispace(US), Qualcomm (US), Ericsson (Sweden), Rohde & Schwarz (Germany), Lynk Global, China Aerospace Science and Technology Corporation (CASC), Echostar Corporation, SES S.A., Lockheed Martin Corporation, keysight technologies, Inc., Telesat, Thales Alenia Space, Gilat Satellite Networks, Sateliot |
5G From Space Market Highlights
The study categorizes the 5G from the space market based on components, vertical, application, and region.
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Segment |
Subsegment |
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By Component |
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By Vertical |
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By Application |
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By Region |
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Frequently Asked Questions (FAQ):
Which are the major companies in the 5G from the Space market? What are their major strategies to strengthen their market presence
Some of the key players in the 5G from Space market are Oneweb (UK), Omnispace(US), Qualcomm (US), Ericsson (Sweden), and Rohde & Schwarz (Germany), among others, are the key manufacturers that secured 5G from Space contracts in the last few years. Contracts were the key strategies adopted by these companies to strengthen their 5G from Space market presence.
What are the drivers and opportunities for the 5G from Space market?
The demand for global connectivity, high-speed and low-latency connectivity, and ubiquitous coverage is increasing rapidly. Industries undergoing digital transformation seek advanced communication solutions, and 5G from space technology enables seamless integration and IoT connectivity. The market offers vast potential for innovation and collaboration, with governments investing in development and deployment. Emerging markets and industries present untapped opportunities, while enhanced user experiences drive the demand.
Which region is expected to grow at the highest rate in the next five years?
The market in Asia Pacific is projected to grow at the highest CAGR from 2023 to 2028, showcasing strong demand for 5G from Space in the region. One of the key factors driving the market in Asia Pacific is the rising demand for launch & early orbit support, TT&C services, and data handling & processing services.
Which type of 5G from Space is expected to lead significantly in the coming years?
The EMBB segment of the 5G from Space market is projected to witness the highest CAGR due to IoT and the increasing need for the fastest, most secure, and widest coverage of international and intercontinental data networks for enterprise systems between 2023 to 2028.
Which are the key technology trends prevailing in the 5G from Space market?
5G from space is an integral part of Non-Terrestrial Networks (NTNs), which encompass various satellite communication systems. As part of NTN design, 5G technology is being adapted and extended to provide connectivity and advanced network capabilities beyond terrestrial boundaries. The integration of 5G from space in the industrial sector opens new opportunities for enhanced automation, improved operational efficiency, and enhanced safety measures. Real-time connectivity enables smooth coordination between robotic systems, machinery, and sensors, resulting in streamlined workflows, minimized downtime, and informed decision-making. The low-latency capabilities of 5G from space also facilitate the implementation of emerging technologies like edge computing and the Internet of Things (IoT), enabling real-time data processing and analysis for various industrial applications. As this technology continues to evolve and mature, the industrial sector can anticipate even more transformative changes, unlocking new possibilities for growth, efficiency, and innovation
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The study involved four major activities in estimating the current size of the 5G FROM SPACE MARKET Market. Exhaustive secondary research was done to collect information on the 5G from the space market, its adjacent markets, and its parent market. The next step was to validate these findings, assumptions, and sizing with industry experts across the value chain through primary research. Demand-side analyses were carried out to estimate the overall size of the market. Thereafter, market breakdown and data triangulation procedures were used to estimate the sizes of different segments and subsegments of the 5G from the space Market.
Secondary Research
The market ranking of companies was determined using the secondary data made available through paid and unpaid sources and by analyzing the product portfolios of major companies. These companies were rated on the basis of performance and quality of their products. These data points were further validated by primary sources.
Secondary sources referred to for this research study include financial statements of companies offering 5G from space and information from various trade, business, and professional associations. The secondary data was collected and analyzed to arrive at the overall size of the 5G from the space market, which was validated by primary respondents.
Primary Research
Extensive primary research was conducted after acquiring information regarding the 5G from the space market scenario through secondary research. Several primary interviews were conducted with market experts from both the demand and supply sides across major countries of North America, Europe, Asia Pacific, ROW, including the Middle East & Africa, and Latin America. Primary data was collected through questionnaires, emails, and telephonic interviews.
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Market Size Estimation
The market sizing of the market was undertaken from the demand side. The market was upsized based on procurements and modernizations in the land fixed, land mobile, airborne, naval, and portable platforms at a regional level. Such procurements provide information on the demand aspects of 5G from space, products, and services in each platform. For each platform, all possible application areas where 5G from space is integrated or installed were mapped.
The global market is a summation of the usage of 5G from space in commercial and government & defense verticals.
Note: An analysis of technological, military funding, year-on-year launches, and operational cost were carried out to arrive at the CAGR and understand the market dynamics of all countries in the report. The market share for all components, verticals, and applications was arrived at based on the current and upcoming launches of 5G from space products and services in every country from 2020 to 2028.
5G From Space Market Size: Top-Down Approach
Data Triangulation
After arriving at the overall size from the market size estimation process explained above, the total market was split into several segments and subsegments. The data triangulation and market breakdown procedures explained below were implemented, wherever applicable, to complete the overall market engineering process and arrive at the exact statistics for various market segments and subsegments. The data was triangulated by studying various factors and trends from both the demand and supply sides. Along with this, the market size was validated using the top-down and bottom-up approaches.
Market Definition
5G from space (LEO) is a cutting-edge integration of 5G cellular technology with Low Earth Orbit (LEO) satellite constellations, offering advanced mobile communication capabilities and global broadband coverage. The business aspects of this innovative solution can be categorized into hardware and service segments. The hardware segment encompasses the manufacturing of LEO satellites, ground stations, and user terminals. The service segment focuses on delivering satellite-based 5G connectivity services, data plans, and tailored
Applications for industries and end-users, enabling high-speed broadband access, loT connectivity, and other mission-critical applications.
Market stakeholders
- Manufacturers of 5G from Space Chips
- System Integrators
- Original Equipment Manufacturers (OEM
- Service Providers
- Research Organizations
- Investors and Venture Capitalists
- Ministries of Defense
Report Objectives
- To define, describe, and forecast the size of the 5G from space market-based components, verticals, applications, and regions.
- To forecast the size of the various segments of the 5G from space market based on Four regions—North America, Europe, Asia Pacific, and ROW, including the Middle East & Africa, and Latin America—along with key countries in each of these regions
- To identify and analyze key drivers, restraints, opportunities, and challenges influencing the growth of the market
- To identify industry trends, market trends, and technology trends prevailing in the market
- To analyze micromarkets with respect to individual technological trends, prospects, and their contribution to the overall market
- To provide a detailed competitive landscape of the market and analyze competitive growth strategies such as product launches and developments, contracts, partnerships, agreements, and collaborations adopted by key players in the market
- To identify the detailed financial positions, product portfolios, and key developments of leading companies in the market
- To strategically profile key market players and comprehensively analyze their market rank analysis and core competencies
Available Customizations
MarketsandMarkets offers the following customizations for this market report:
- Additional country-level analysis of the 5G from Space Market
- Profiling of additional market players (up to 5)
Product Analysis
- Product matrix, which provides a detailed comparison of the product portfolio of each company in the 5G from space Market
Growth opportunities and latent adjacency in 5G From Space Market