Global Satellite Bus Market Extends at a Healthy CAGR of 3.9% by 2030

Introduction

The satellite bus, also called the satellite's body, houses all satellite components and associated scientific equipment. Satellite buses are essential because they are in charge of safely putting the satellite equipment into orbit. Due to the increasing commercial demand for small satellites, satellite platforms, also known as satellite buses, are becoming increasingly significant. A satellite bus is a centralized power or data distribution network that includes a propulsion system, an electric power system, an attitude control system, telemetry tracking and command, and thermal control. Based on the specifications supplied by the customers and the type of payload it transports, it is built by the manufacturers. The ability of a satellite bus to carry payloads and complete missions determines its capacity. 

The satellite business has advanced significantly over the last ten years. It is highly required by several scientific fields and the communication, navigation, and earth observation industries. Throughout the projection period, this will likely increase demand for more satellites, increasing demand for satellite buses. The need for satellites has risen recently in the civil/government, industrial, and military sectors. The United States, Russia, China, India, Japan, and a few European countries have sufficient capacity to produce satellite buses. However, with the growing trend toward manufacturing smaller satellites, it is anticipated that the production of satellite buses will spread to several countries worldwide.

Market Dynamics

Adoption of Small Satellites Stimulates the Market Demand

The advantages of small satellites have led to a significant increase in deployment. They cost less to manufacture and are simpler to mass-produce. Electronics can now be miniaturized due to technological advancements, which have sped up the development of smart materials and, over time, enabled manufacturers to create more compact and lightweight satellites. Due to the numerous start-ups in the aerospace and space industries that have a keen interest in satellite research and design, there is also a demand for small satellites and miniature rockets.

Over 40,000 satellites will be launched in the coming years, according to plans announced by several companies, including OneWeb, Amazon, Telesat, and SpaceX. Around 1,443 Starlink satellites, which are all small communication satellites, had been deployed as of 2021, according to SpaceX. Similar to this, the use of tiny satellites for defense has increased. Due to increased spending on satellite constellation launches, it is predicted that the demand for small satellites will increase. This will, in turn, drive the satellite bus market's expansion.

Increased Spending in Space Technology Gives Rise to Lucrative Market Opportunities

All over the world, government spending on space technology has significantly increased. Many nations witness government investments as a way to address social issues, promote independence from imports and ultimately become a global source of solutions in a field like space. This is especially true of investments in R&D and start-ups. For instance, Japan recently unveiled the Impulsing Paradigm Change by Disruptive Technologies Program (IMPACT) and the Innovation Network Corporation of Japan (INCJ), both of which can assist start-ups in the space industry.

The Chinese government promised to invest USD 339 billion in new companies across the country. These improvements demonstrate how the government is addressing the shortfall in private funding. In addition, UrtheCast planned to receive USD 13 million from the Industrial Technologies Office of the Canadian government to support the company's ongoing development of an X- and L-band synthetic aperture radar (SAR) constellation on a small-sat platform. Thus, increasing government spending offers the satellite bus market a significant opportunity for growth.

Regional Insights

North America will command the leading market share, expanding at a CAGR of 3.51% during the forecast period. This market expansion can be attributed to essential producers like Northrop Grumman Corporation and Lockheed Martin Corporation. Additionally, a growing interest in space technology has led to the establishment of numerous businesses in the area, including SpaceX and Virgin Orbit, which supports the growth of the regional market. It is anticipated that NASA and other space agencies will launch more satellites in the region, which will help the regional market growth. These satellites will be used for various purposes, including navigation, communication, internet connectivity, broadcasting, and other things.

Europe will reach a market value of USD 3 billion by 2030, expanding at a CAGR of 4.2%. It is anticipated that technological developments and factors like rising defense industry spending will fuel regional market expansion. The regional government established the National Space Council to develop a national space strategy and carry out an integrated assessment of security, defense, and development policies to create the conditions, resources, and environment for a strong, secure, and innovative space sector. The regional government aspires to become a globally competitive space power. Additionally, it is anticipated that the region's nations' increasing reliance on surveillance and communication satellites to improve safety and communication for their armed forces will spur regional market expansion and raise demand for satellite buses.

Key Highlights

• The global satellite bus market had a revenue holding of USD 8.65 billion in 2021. It is expected to reach USD 11.7 billion by 2030, growing at a CAGR of 3.9% during the forecast period (2022–2030).
• Based on subsystem, the global satellite bus market includes Structures, Thermal Control, Electric Power System (EPS), Telemetry/Tracking & Command (TT&C), Command & Data Handling (C&DH), Attitude Determination & Control Subsystem (ADCS), and The Electric Power System (EPS) section is projected to advance at a CAGR of 6.61% and hold the largest market share over the forecast period.
• Based on satellite size, the global satellite bus market includes Small Satellites (up to 500 kg) and Large Satellites (above 500 kg). The Large Satellite section is projected to advance at a CAGR of 1.4% and hold the largest market share over the forecast period.
• Region-wise, the global satellite bus market includes North America, Europe, Asia-Pacific, and the Rest of the World. North America is the largest shareholder.

Competitive Players

Competitive Players in the Market

• Thales Group
• Lockheed Martin Corporation
• Northrop Grumman Corporation
• Airbus SE
• OHB SE
• Israel Aerospace Industries
• Honeywell International Inc.
• Nano Avionics
• Ball Corporation
• Sierra Nevada Corporation

Recent Developments

Market News

• In 2022, Lockheed Martin Corporation launched the third Low-Rate Initial Production (LRIP) CH-53K helicopter to the United States Marine Corps ahead of schedule. The CH-53K is the sole heavy-lift helicopter that will continue to be produced until 2032 since its heavy-lift capabilities surpass those of all other rotary-wing platforms used by the US Department of Defense.

• In 2022, Northrop Grumman Corporation collaborated with Firefly Aerospace to develop a new medium launch vehicle and an American-built first-stage upgrade for the Antares rocket to serve the commercial, civil, and national security space launch industries.

Segmentation

Global Satellite Bus Market: Segmentation

By Subsystem

• Structures
• Thermal Control
• Electric Power System (EPS)
• Telemetry, Tracking, & Command (TT&C)
• Command & Data Handling (C&DH)
• Attitude Determination & Control Subsystem (ADCS)
• Propulsion

By Satellite Size

• Small Satellites (up to 500 kg)
• Large Satellites (above 500 kg)

By Regions

• North America
• Europe
• Asia-Pacific
• Rest of the World