Satellite Earth Observation Market Size, Share & Trends Analysis Report By Services (Earth Observation (EO) Data, Value-Added Services), By Technology (Synthetic Aperture Radar (SAR), Optical, Others), By Applications (Defence & Intelligence, Infrastructure & Engineering, Power & Energy, Maritime, Data Acquisition and Mapping, Sustainable Development and Environment Management, Disaster Management, Surveillance and Security, Location-Based Service, Others), By End User (Government and Defence, Archaeology and Civil Infrastructure, Energy and Natural Resources, Agriculture, Forestry, Maritime and Fishery, Others) and By Region(North America, Europe, APAC, Middle East and Africa, LATAM) Forecasts, 2024-2032

Market Overview

The global satellite earth observation market size was valued at USD 8,809.30 million in 2023 and is predicted to reach USD 16,086.88 million by 2032, increasing at a CAGR of 6.92% from 2022 to 2032.

Monitoring and protecting our environment, managing our resources, responding to global humanitarian emergencies, and enabling sustainable development are all made possible by Earth Observation satellites (EO satellites). This includes spy satellites and similar satellites that are used for non-military purposes such as environmental monitoring, meteorology, cartography, etc. All kinds of vital data, from ocean salinity to ice thickness to agricultural health to air quality can be gleaned from these instruments.

Satellites for Earth Observation travel in a variety of orbits, providing a variety of views of the planet. Due to power and memory constraints, most satellites are unable to continuously collect data. While some collect large amounts of data on a regular basis, others collect smaller amounts over time. Once the satellite has come into view of a ground station, the data can be downlinked. As technology advances, the time duration for a photograph to get downloaded has declined from weeks to seconds. There are a variety of data sources because satellites are controlled by different companies. Earth-imaging satellites are the most prevalent, taking satellite photos similar to aerial photography. However, some EO satellites can provide remote sensing without taking pictures, such as in GNSS radio occultation. High demand for applications including disaster management, agriculture, mapping, and natural resources survey is driving the satellite Earth Observation market's rapid expansion.

Market Dynamics

Market Drivers

Satellite Imagery Has Benefited from Recent Advances in Technological Capabilities

The quality of images obtained via satellite-based earth observation has significantly improved as a result of the incorporation of high-resolution cameras and other forms of cutting-edge remote sensing technology onboard the satellites that perform this type of observation. These kinds of high-quality photographs and the data that goes along with them are in extremely high demand in a variety of fields, including science, research and development, and defiance. As a result, technical advancements have led to an increase in the need for satellite data and, as a consequence, have contributed to the expansion of the market for satellite-based earth observation worldwide.

More And More Environmental Monitoring Is Being Carried Out Using Satellites

Satellites are widely employed to monitor the environment because of their ability to monitor the macroscopic environment and forecast weather occurrences over the short and long term. To put it another way, ground-based observations can't accurately predict such events. A number of the most important challenges of the twenty-first century will be addressed by earth observation satellites, including climate change mitigation, natural resource management, and natural catastrophe prevention. Since satellites intended for earth observation are increasingly put to use, the market for satellites for this purpose is expanding, as a result of this growth of uses for satellites all across the globe.

Market Restraints

Getting Started Is Expensive, And Requires Highly Trained Workers

Systems for monitoring the Earth are a complex endeavor that requires a large amount of time and resources and requires the use of highly-trained personnel to meet its needs. Obtaining encrypted data from outer space requires a high level of programming expertise. There should also be a thorough grasp of big data, as well as any other related issues, among the staff members Investing a large amount of money is necessary for firms to stay relevant and profitable in the current industry. This is a drawback that could limit the potential benefits of earth observation to a certain extent.

Market Opportunites

Space And Rocket Technology Advances Have Led to A Dramatic Increase in Satellite Production

Advances in space and rocket technology, as well as the use of reusable rockets, have benefitted the aerospace business. Reusable satellites have significantly reduced launch costs. Reusable rockets cut the cost of launching a satellite from $200 million to $60 million, which was previously the norm. Earth observation systems now offer more possibilities thanks to the decrease in satellite launch costs.

In the aerospace sector, the mass manufacture of satellites has become a common practice. The utilization of mass production has significantly reduced the cost of making a satellite. Initially, it was projected that each satellite would cost roughly $500 million to produce. If mass production is adopted, each satellite is expected to cost US$ 500,000. As a result of these mass production satellite analytics and low-cost manufacturing satellites, EOS manufacturers are expected to discover promising prospects in the coming years.

Regional Analysis

The global satellite earth observation market share is segmented by geography into North America, Europe, Asia Pacific, Latin America, and the Middle East & Africa.

When it comes to earth observation systems, North America is the most prominent region in the world. After the conclusion of the projected period, it is anticipated that the market share held by North America will amount to more than a quarter of the total. This pre-eminence can be attributed to a number of different factors, one of which is the rapid development of space technology, which has resulted in the creation of reusable rockets and other innovations. In addition, as the former president of the United States of North America, Donald Trump, has formally emphasized, the support that the government provides for the aerospace industry is substantial. This area has gained notoriety as a result of the United States Air Force's Space Force, which is a division of the United States Armed Services. It is also anticipated that the Space Force would bring lucrative prospects for producers of earth observation systems.

Because of the highest number of ongoing research studies and investments in the market, the presence of a sophisticated infrastructure to undertake space programs, and the quickest and highest adoption of commercial satellite imaging across various industries in the region, North America is dominating the market. It is expected that the market that has been analyzed would grow even further in the region as a result of the robust assistance offered by the federal government in the form of grants to academic institutions and businesses for the purpose of developing highly advanced satellite imaging systems. New and innovative satellite operators are entering the market, particularly in the United States; new data sources are emerging, including unmanned aircraft systems (UAS) and crowd or citizen sources using mobile technologies; and large information technology companies such as Google and Amazon are seeking to establish global footholds.

In the Asia Pacific region, with the assistance of earth observation satellites, a number of businesses are currently operational in commercial verticals including media and entertainment as well as disaster management. This puts the Asia Pacific region in second place on the global market for earth observation satellites, behind only the North America region.

Segmental Analysis

The global satellite earth observation market share is divided into different segments according to the services, technology, application and end-user.

By Services, the Earth Observation (EO) Data market and the Value-Added Services market are the two submarkets that make up the Global Satellite Earth Observation market. Value-Added Services, often known as VAS, are currently the most important service that is contributing to the expansion of the worldwide satellite earth observation business. The companies that make up the Earth observation satellite VAS market are the ones that obtain the images from the midstream players and then use the technology to give space-related services to the customers who have come to the end of the supply chain.

By Technology, Synthetic Aperture Radar (SAR), Optical, and Other Technologies constitute the Global Satellite Earth Observation Market's Technology-Based Segmentation. A wide variety of industries, including urban planning, agriculture, and the evaluation of damage caused by natural disasters, make use of optical technology in satellites. Optical satellites are equipped with sensors that can collect data from both visible light and near-infrared radiation. The horizontal spatial resolution of this nadir observing equipment ranges from one hundred to three hundred meters. This is anticipated to provide a significant uptick in demand for optical technologies.

By Application, Data Acquisition and Mapping, Sustainable Development and Environment Management, Disaster Management, Surveillance and Security, Location-Based Service, and Others are the segments that make up the Application-based division of the global market for satellite earth observation. It is anticipated that the application for sustainable development and environmental management will be the front runner in the global market for satellite earth observation. This is due to the ability of data and services to provide information regarding wildlife trends, land use patterns, tracking biodiversity, and managing natural resources, amongst other things; and to assist in achieving social, environmental, and economic sustainability.

By End User, the global satellite earth observation market can be broken down into the following categories: Government and Defense, Archaeology and Civil Infrastructure, Energy and Natural Resources, Agriculture, Forestry, Maritime and Fishery, and Others. It is predicted that the government and defense end-user segment would dominate the global satellite Earth observation market because of the growing demand for precise weather forecasting, pictures of Earth, and various other activities.

Recent Developments

• January 2022 - For the demonstration of Capella Space's synthetic aperture radar (SAR) photography capabilities, the National Reconnaissance Office (NRO) signed a contract in January 2022. These capabilities include synthetic aperture radar data visualization and modeling; theatre downlink and regional imagery demonstration; and data imagery.
• November 2021 - A contract with the National Oceanic and Atmospheric Administration (NOAA) was signed in November 2021 by ICEYE with the purpose of assisting with the response to and monitoring of marine environmental threats.
• October 2021 - The National Geospatial Agency (NGA) awarded a contract to Maxar Technologies in October 2021 for the provision of high-resolution imaging data to the United States Department of Defence.