South America CubeSat Market Size, Share & Trends Analysis Report By Size (25U to 1U, 1U to 3U, 3U to 6U, 6U to 12U, 12U and Above), By Application (Earth Observation and Traffic Monitoring, Science, Technology, and Education, Space Observation, Communication), By End-Users (Government and Military, Commercial, Non-profit Organizations), By Subsystem (Payloads, Structures, Electrical Power Systems, Command and Data Handling, Propulsion Systems, Attitude Determination and Control Systems) and By Country(Brazil, Argentina, Rest of South America) Forecasts, 2023-2031

Market Overview

The South America CubeSat market size was valued at USD 1 million in 2021 and is projected to reach USD 6 million by 2031, registering a CAGR of 11.8% during the forecast period (2022-2031).

A CubeSat is a compact satellite with a cubical shape that measures 10x10x10 cm3 - roughly the size of the popular Rubik's cube - and weighs approximately 1 kg. A CubeSat can be utilized as a single unit (1 U) or in groups of multiple units (1U, 2U, 3U, 6U, and 12U, among others). Cost-effective solutions have simplified the launch of missions into low-Earth orbit for commercial companies, non-profit organizations, and academic institutions.

These miniaturized satellites enable several scientific studies and technology demonstrations to be conducted in space cost-effectively, timely, and relatively simple.

CubeSats are extensively utilized by researchers and experts worldwide for space exploration. CubeSats' small and lightweight dimensions suit them for rapid production and testing, making them an ideal and inexpensive tool for exploring emerging technologies and concepts. 

Market Dynamics

South Africa CubeSat Market Drivers:

Smaller and Lighter than Traditional Satellites

The document that describes the characteristics of the nanosatellite class known as CubeSats is the CubeSat Design Specification (CSD), sometimes known colloquially as the CubeSat standard. Standard measurements are used to create CubeSats, which are 10 centimeters by 10 centimeters by 10 centimeters in size. Each unit is often built in the shape of a 1U, 2U, 3U, 6U, 12U, or other size configuration and weighs less than 1.33 kilograms. The popularity of CubeSats has increased significantly since its launch, which helps to overcome the obstacles to researching space.

Additionally, a CubeSat can be created and launched into orbit based on the requirements, adding very little to the overall expenditures compared to missions for traditional satellites. Because CubeSats are smaller than traditional satellites, this is the case. One CubeSat may be built relatively quickly, which is its main benefit. This benefit also exists along with the advantages brought on by lesser weight and size. A CubeSat can be created and placed in the desired orbit in less than eight months, whereas a conventional or large satellite takes five to fifteen years. Compared to a traditional or huge satellite, this is how long it takes. These elements are projected to fuel the worldwide CubeSat market's expansion during the projection.

South Africa CubeSat Market Restraints:

CubeSat Payload Capacity

CubeSats are low-cost alternatives launched into space more often for commercial and scientific purposes. Since CubeSats are built more quickly and inexpensively than traditional satellites, mission disaggregation is made possible and deployable structures and intricate systems are used less frequently. One of the main challenges to the variety of missions that Cubesats can perform is their capacity to carry payloads. Due to their compact size, CubeSats are subject to rigorous limitations on their payload capacity, propellant, and other subsystems. The amount of fuel necessary for missions requiring a higher V (impulse needed to make a maneuver) decreases the capacity available for scientific payloads and payloads intended to travel aboard the CubeSat. Due to their small interior volume, CubeSats cannot transport crucial subsystems required to carry out complicated missions. Because of their small size, CubeSats generate very little power. CubeSats come in sizes that are multiples of the conventional U cube (about 4 x 4 x 4 inches). The capacity or information that can be gathered is constrained by the CubeSats' lack of a propulsion system for on-orbit maneuvering, reliable attitude determination and control systems, and power generation.

South Africa CubeSat Market Opportunities:

Rising Demand for Space Data

The range and depth of services that satellites might be able to offer are virtually limitless. The need for satellite services, including telecommunication, navigation and positioning, vehicle monitoring, and surveillance for military, environmental, or public safety applications, is rising quickly globally. The greatest demand is anticipated from the telecommunications sector, which has been employing space for its operations for several years and is a crucial part of the global infrastructure for communications, commercial and government data transfer, and applications. Additionally, there is a rising need for data from Earth observation (EO) for various applications. For instance, environmental and scientific research and metrology are becoming increasingly dependent on data from Earth observation. The need to ensure safety in military operations and money transfer applications drives increased demand for data gathered from space. Throughout the timeframe under consideration, it is anticipated that the growing demand for space data will drive the demand for efficient CubeSats in terms of their cost.

Regional Analysis

The South America CubeSat market is segmented based on the country into Colombia, Chile, Ecuador, Brazil, Rest of South America. The Rest of South America segment dominates the market and is expected to grow at a CAGR of 10.9% during the forecast period. 

As a low-cost option for launching satellites and carrying out technical demos, scientific research, and other missions, CubeSats have drastically altered the space exploration industry. CubeSats have been widely used in various sectors, including commercial enterprises, government and military organizations, and nonprofit groups.

They are inexpensive for facilitating missions launched into low-Earth orbit by commercial firms, nonprofits, and academic institutions. Numerous scientific investigations and technology demonstrations are now feasible in space thanks to the miniaturization of satellites. Many scientists and engineers worldwide use CubeSats to further their space exploration efforts. Due to their compact size and lightweight, CubeSats are easily manufactured and tested, making them a cost-effective tool for investigating new technologies and concepts.

Segmental Analysis

The South Africa CubeSat market is segmented based on size and application.

The market is segmented based on size into 0.25U to 1U, 1 to 3U, 3U to 6U, 6U to 12U, and 12U and above.

The 1 to 3U holds the major share of the market and is expected to grow at a CAGR of 9.2% during the forecast period. Manufacturers are increasingly turning to 1U to 3U CubeSats for use in space missions due to the growing demand for increased volume and aperture. Compared to a 1U CubeSat, a 3U CubeSat has three times as much power and improved pointing and communication capabilities. There is more room to place panels and antennas with greater packing factors in a 3U since the typical mechanisms, connectors, and other components are smaller. The extensive rollout of IoT-based services is anticipated to rely heavily on CubeSats. Many players in this scenario are releasing constellations of 0.25U satellites into orbit.

Based on application, the market is segmented into Earth Observation and Traffic Monitoring, Science, Technology and Education, Space Observation, and Communication.

Earth Observation and Traffic Monitoring holds the major share of the market and is expected to register a CAGR of 9.4% over the forecast period. Due to the increasing number of CubeSats equipped with spectral, spatial, and radiometric sensors for tracking and analyzing forests, landscapes, and soil, earth observation and traffic monitoring accounted for the largest market share.

Recent Developments

• January 2023- Planet Labs Inc. launched 36 SuperDove satellites, Flock 4y, on a SpaceX Falcon 9 rocket. Flock 4y is planned to launch on SpaceX's Transporter-6 mission from Space Launch Complex 40 in Cape Canaveral, Florida.

• November 2019- Tyvak was one of five companies selected to be eligible to bid for the NASA Commercial Lunar Payload Services (CLPS).