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Satellite-based Earth Observation - Market Share Analysis, Industry Trends & Statistics, Growth Forecasts 2019 - 2029

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  • 120 Pages
  • February 2024
  • Region: Global
  • Mordor Intelligence
  • ID: 4591265
The Satellite-based Earth Observation Market size is estimated at USD 12.55 billion in 2024, and is expected to reach USD 20.73 billion by 2029, growing at a CAGR of 10.56% during the forecast period (2024-2029).

Key Highlights

  • Earth observation satellites facilitate resource management, environmental monitoring and protection, humanitarian assistance, and sustainable development. Also, this includes satellites used for environmental monitoring, meteorology, cartography, and other non-military purposes. These sensors assess air quality, agricultural health, ice thickness, salinity, and other factors.
  • One of the major factors promoting the expansion of the satellite-based earth observation business worldwide is the increasing use of satellites for environmental monitoring. Observing and tracking GHG emissions, deforestation, polar ice changes, wildfires, and coral bleaching are just a few of the uses for satellite-based earth observation. Superior observation satellites for environmental monitoring have been developed due to recent advances in sensing and imaging technologies. These satellites deliver photos with a better resolution and enable the measurement of many indicators.
  • The growth of satellite-based data in agriculture will significantly drive the market. For instance, In March 2022, EarthDaily Analytics, a Canadian earth observation startup spun out of UrtheCast's bankruptcy less than a year ago, is making tremendous progress toward getting back in business. The firm announced the rebranding of Geosys, its agtech segment, to EarthDaily Agro. It also stated that a next-generation software platform would be available in the first quarter of this year. Geosys is the new name for the new platform. EarthPipeline's completely automated SaaS data processing platform converts raw satellite data into ultra-high quality image products ready for direct-to-algorithm processing and fuel AI-based analytics products and services.
  • One of the main satellite-based earth observation (EO) industry trends fostering market expansion is the rising demand for small satellites. Small satellites, sometimes called SmallSats or CubeSats, can range in size from that of a shoebox to that of a washing machine and weigh as little as 10 kilograms. These satellites' compact size, low price, and minimal initial investment are major factors boosting demand for them in various applications. SmallSats were initially employed as proof of concept and teaching tools. But thanks to developments in satellite technology, it is now possible to equip these satellites with various scientific measuring and communication devices. During the forecast period, these factors are anticipated to fuel market expansion.
  • Furthermore, several market leaders are focusing on improving their capabilities and expanding the market reach to gain a competitive edge in the market. For instance, in May 2023, Bayanat, a leading provider of AI-powered geospatial solutions, and AI Yah Satellite Communications Company PJSC (Yahsat), the UAE's flagship satellite solutions provider, announced a comprehensive Space Program. The Program aims to build national satellite remote sensing and Earth Observation (EO) capabilities within the UAE. Through this expansion, both companies aim to explore commercial opportunities across the UAE space ecosystem as well as the global EO market.
  • On the flip side, the multi-band terminals used by the Navy, which come with Advanced-EHF satellites, are quite expensive. Furthermore, the cost of purchasing and installing the terminals can be anywhere from 20 to 30 times that of the rockets and spacecraft. The fact that satellite and terminal development initiatives are carried out separately has long been a source of waste and cost overruns. For example, the Air Force may oversee spacecraft, while the Army may oversee radios. Rarely do earth-bound communication equipment and satellites reach the conclusion of their development cycles at the same time. The high cost of satellite communication services is limiting the market's expansion.
  • Moreover, NASA stated that, at least in the short term, economic and social shutdowns in response to the COVID-19 pandemic had resulted in noteworthy changes in Earth's ecosystem. NASA researchers track these consequences on air, land, water, and climate using satellite and ground-based observations. These data sets were compiled in an online dashboard that is free and open to the public. The NASA COVID-19 Dashboard displayed data from Earth-observing satellites, International Space Station equipment, and sensitive ground-based networks. Various observable change categories, including economic indicators like shipping and construction activities and environmental elements like water quality and climatic changes, can search the global maps.

Satellite-Based Earth Observation Market Trends

Increasing Need to Generate Big Data to Offer Accurate Insights into Earth Observation

  • The amount of data collected and shared has grown and is continually growing. The same phenomenon is observed regarding space technology, and the rising sensitization and digitalization of various sectors of society cause it. The information obtained from space offers a distinct perspective on the information obtained from other sources. Big data files and related data exchange generate a lot of market value. Effective decision-making and higher productivity are made possible by the intelligent and effective utilization of this data from space-based systems. This point of view from industries and governments is driving the market.
  • In recent years, there has been a rise in the use of geographic information systems (GIS) and satellite technologies for a more thorough understanding of the landscape and the identification, mapping, and analysis of environmental conditions. The availability of very high and high-resolution satellite data has increased, enabling the management and mitigation of disasters. Additionally, it can identify details about a wide range of commodities sold on a global scale, including agricultural products, metals, minerals, and oil and gas. In risk prediction and detection, post-disaster rescue and recovery activities, infrastructure planning, urban development utilities, and national mapping agencies, the earth observation (EO) market is anticipated to expand.
  • In March 2023, L3Harris Technologies announced that it had received USD NASA awarded a 765 million contract for the design and construction of a next-generation, high-resolution imager for the Geostationary Extended Observation System of the National Oceanic and Atmospheric Administration. The GeoXO Imager will offer advanced apparent and infrared imagery, more accurate observations, and enhanced water vapor measurements to greatly enhance the precision and promptness of weather forecasting in the Western Hemisphere.
  • Similarly, in July 2022, Satellogic Inc. announced a strategic collaboration with OHB SE to explore collaborative opportunities to develop advanced EO data-based services and leverage the company's growing constellation of high-resolution EO satellites. Through this collaboration, the companies aim to support the use of EO data and products for a greener and more sustainable planet, including applications for day-to-day decision-making in the fields of forestry, critical infrastructures, agriculture, energy, and climate change mitigation.
  • Earth observation satellites fly in orbits, offering a range of world perspectives. Most satellites cannot continually collect data due to power and memory limitations. Others gather smaller amounts over time, while some regularly collect enormous amounts of data. The data can be downlinked once a ground station can see the satellite. With the development of technology, the time it takes to download a picture has decreased from weeks to seconds. Because different companies manage satellites, there are numerous data sources.
  • Furthermore, crises such as climate change, covid pandemic, and the war in Ukraine are fueling the demand for geospatial information, further creating new demands for intelligence. For instance, in April 2022, Tesla announced to opening of a new assembly plant in Austin, Texas. To keep a closer eye on activities at the plant, financial firms and investor company has turned to Earth observation companies like BlackSky that utilizes satellites to monitor locations for customers.
  • BlackSky's constellation of 14 satellites can capture the same image 15 times a day. The company employs artificial intelligence algorithms to analyze images and merge them with external data sources like radio frequency and radar imagery. Such implementations by the companies will further support the market growth.
  • The deployment of various analytics tools will enable satellite-based earth observation firms to generate insights from the data they have received. For instance, according to Datanyze Inc., With a market share of 13.5%, MATLAB will likely be one of the prominent players in the world's advanced analytics and data science market in 2021. It was closely followed by Alteryx and HubSpot Analytics, which had respective market shares of 9.92 and 9.21%.

North America to Hold the Largest Market Share

  • North America will witness high growth during the projected period. The growth is attributed to rising investments and an increasing number of ongoing research studies in the market and developed infrastructure for the space program. Additionally, North America has the fastest and highest rate of adoption of commercial satellite imaging in various industries.
  • To command and control forces, monitor opponent actions, and uncover threats that could jeopardize the United States and its allies, the US Department of Defense (DoD) relies on the advantages afforded by satellites for nearly every military mission. As per the Union of Concerned Scientists, out of 4,852 active artificial satellites orbiting the Earth, 2,944 belong to the United States as of January 2022. The United States Space Force (USSF) operates the USD 6.8 billion Satellite Control Network (SCN) for military warfighters, which provides a global ground network of fixed antenna points at seven locations that can be controlled by over 190 defense and government satellites.
  • For the last 25 years, images from RADARSAT-1, RADARSAT-2, and the RADARSTAT Constellation Mission (RCM) have been incredibly beneficial to the people of Canada. Satellite information offers vital data to guarantee the well-being and protection of the country, oversee and safeguard the surroundings and the Arctic, and administer our natural assets.
  • NASA's Land, Atmosphere Near real-time Capability for EOS (LANCE) Earth Observing System (EOS) data and imagery enables users to get a picture of the Earth in near-real-time (NRT). This timely data can be used to track smoke, detect fires, ash, and dust plumes; monitor aerosols, carbon monoxide (CO), and Sulphur dioxide (SO2), which can be used to assess air quality; and determine the extent of snow, sea ice, and flooding, which can help support shipping in the polar regions and allow rapid assessment of areas worst affected by snow or flood water.
  • In April 2022, (DARPA) was looking for recommendations on improving satellite imagery technology. Proposals for three efforts focused on upgrading synthetic aperture radar(SAR) technology in satellites will be accepted by the Defense Advanced Research Projects Agency. Governments and businesses are expanding their investments in satellite images, especially SAR. Unlike traditional electro-optical systems, SAR sensors can provide images of the Earth at night and in all weather situations since they rely on the radar. The capacity is precious for tracking ground movements or changes, and it was in high demand during Russia's invasion of Ukraine.
  • In March 2022, The Canadian Space Agency (CSA) awarded MDA Ltd., the firm behind the Canadarm, a USD 269 million contract to begin the third stage of designing the latest iteration of Canada's most prominent contribution to international efforts to occupy space. MDA plans to commercialize space robotics solutions by leveraging its world-class technical capabilities, mission expertise, and advanced Canadarm3 technology.
  • Furthermore, in March 2023, the Canadian government announced USD 6.8 million to Canadian companies to help satisfy the country's future needs for satellite imagery. Key technologies have been developed through 10 R&D contracts, which will further increase the power of radar, enable higher resolution images and intelligent anomaly detection, improve sea-ice thickness measurements, and more.
  • Moreover, Canada is enhancing its status as a global leader in satellite technology by progressing capabilities that will improve the efficiency of Canadian Earth observation (EO) satellites: quicker at providing superior images and superior at gathering accurate data to improve climate forecasting and aid navigation in ice-infested waters.

Satellite-Based Earth Observation Industry Overview

The Satellite-based Earth Observation Market is fragmented because of many players in the market. The major players in the market are Airbus Defense and Space, MDA Corp., UrtheCast Corp., and Harris Corporation, among others.

In June 2023, Terran Orbital Corporation announced final launch preparations for the RUNNER-1 satellite. The satellite is to be launched on a rideshare mission for Transporter 8 from the SLC-4E at Vandenberg Air Force Base in California, United States of America, using SpaceX's Falcon 9 rocket. Terran Orbital and ImageSat International Ltd jointly developed the satellite.

In March 2023, Airbus Defense and Space announced that it received a contract from Angola for Earth observation satellite Angeo-1; this satellite will likely be manufactured in France and aims to strengthen the collaboration between the two countries. The company is expected to deliver the latest-generation Earth observation satellite to support economic and social development, including a range of strategic activities such as the management of precious mineral resources and urban planning.

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Table of Contents

1.1 Study Assumptions & Market Definition
1.2 Scope of the Study
4.1 Market Overview
4.2 Industry Value Chain Analysis
4.3 Industry Attractiveness - Porter's Five Forces Analysis
4.3.1 Bargaining Power of Suppliers
4.3.2 Bargaining Power of Buyers/Consumers
4.3.3 Threat of New Entrants
4.3.4 Threat of Substitute Products
4.3.5 Intensity of Competitive Rivalry
5.1 Market Drivers
5.1.1 Increasing Need to Generate Big Data to Offer Accurate Insights into Earth Observation
5.2 Market Restraints
5.2.1 Increasing Use of Alternative Earth Observation Technologies?
5.3 Analysis of Impact of COVID-19 on the Market
7.1 Application
7.1.1 Data
7.1.2 VAS
7.2 End-user Vertical
7.2.1 Defense and Intelligence
7.2.2 Infrastructure and Engineering
7.2.3 Agriculture
7.2.4 Energy and Power
7.2.5 Other End-user Verticals
7.3 Geography
7.3.1 North America
7.3.2 Europe
7.3.3 Asia-Pacific
7.3.4 Latin America
7.3.5 Middle East and Africa
8.1 Company Profiles
8.1.1 Airbus Defense and Space
8.1.2 Satcom Technologies
8.1.3 Geo Optics Inc.
8.1.4 Image Sat International NV
8.1.5 MDA Corporation (Maxar Technologies)
8.1.6 Planet Labs Inc.
8.1.7 PlanetIQ LLC
8.1.8 UrtheCast Corp.
8.1.9 L3Harris Technologies, Inc.

Companies Mentioned (Partial List)

A selection of companies mentioned in this report includes, but is not limited to:

  • Airbus Defense and Space
  • Satcom Technologies
  • Geo Optics Inc.
  • Image Sat International NV
  • MDA Corporation (Maxar Technologies)
  • Planet Labs Inc.
  • PlanetIQ LLC
  • UrtheCast Corp.
  • L3Harris Technologies, Inc.