5G Satellite Communication Market Report 2025

The 5G satellite communication market size has grown exponentially in recent years. It will grow from $5.43 billion in 2024 to $6.8 billion in 2025 at a compound annual growth rate (CAGR) of 25.2%. The growth during the historic period is driven by the increasing demand for seamless broadband access, rising needs for disaster recovery communication, expanded use of mobile backhaul solutions, heightened demand for maritime and aviation connectivity, and an increased emphasis on secure communication channels.

The 5G satellite communication market size is expected to see exponential growth in the next few years. It will grow to $16.52 billion in 2029 at a compound annual growth rate (CAGR) of 24.9%. The anticipated growth during the forecast period is driven by the rising demand for greater network capacity, increased adoption of smart city technologies, a growing need for real-time data transmission, expanding use of autonomous vehicles, and a stronger focus on global Internet of Things (IoT) integration. Key trends expected include advancements in low-earth orbit satellite deployments, the development of hybrid 5G-satellite networks, innovations in beamforming techniques, enhancements in satellite payload capabilities, and the creation of secure communication protocols.

The growth of the 5G satellite communication market is being driven by a surge in mobile data consumption, primarily due to increasing demand for video streaming. Mobile data consumption refers to the volume of internet data used by mobile devices when accessing online services such as browsing, streaming, downloading, and app usage over cellular networks. This consumption is rising rapidly because high-definition videos, live streaming, and short-form content require significant amounts of data to provide smooth and uninterrupted viewing experiences. 5G satellite communication supports this rise by delivering high-speed connectivity in remote and underserved areas, enabling users to reliably access and transmit large amounts of data where traditional cellular networks are unavailable. For example, GSMA, a UK-based trade association, reported that monthly global mobile data traffic per connection increased from 10.2 GB in 2022 to 12.8 GB in 2023. This growing mobile data usage is therefore fueling the expansion of the 5G satellite communication market.

Leading companies in the 5G satellite communication market are developing advanced technologies, such as combining terrestrial and satellite networks, to improve coverage, reduce latency, and provide seamless global connectivity. The integration of terrestrial and satellite networks involves merging ground-based communication infrastructure with satellite systems to create a unified network that ensures continuous, high-speed connectivity in both urban and remote locations. For instance, in January 2024, Skylo Technologies, a US-based satellite connectivity firm, introduced its Direct-to-Device service. This service delivers seamless satellite connectivity directly to standard smartphones, tablets, and IoT devices without the need for special antennas or additional hardware. It allows users to stay connected in remote, rural, or maritime areas where traditional networks are unreliable or unavailable, supporting critical uses such as emergency communication, asset tracking, and real-time monitoring.

In April 2024, SES S.A., a Luxembourg-based satellite communications and multi-orbit connectivity service provider, acquired Intelsat S.A. for $3.1 billion. Through this acquisition, SES aims to strengthen its position as a multi-orbit operator, improving global coverage, resilience, and capabilities in high-growth segments to compete more effectively. Intelsat S.A. is a US-based provider specializing in 5G satellite communication services.

Major players in the 5G satellite communication market are Amazon.com Inc., The Boeing Company, Airbus SE, Qualcomm Incorporated, Thales Group, Space Exploration Technologies Corp., Singapore Technologies Engineering Ltd., Viasat Inc., SES S.A., Eutelsat Group, OHB SE, Iridium Communications Inc., Space42 PLC, Telesat Corporation, Avanti Communications Group Plc, AccelerComm Ltd., Omnispace LLC, Gatehouse Satcom A/S, Lynk Global Inc., and AST SpaceMobile Inc.

North America was the largest region in the 5G satellite communication market in 2024. Asia-Pacific is expected to be the fastest-growing region in the forecast period. The regions covered in 5G satellite communication report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East and Africa. The countries covered in the 5G satellite communication market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Russia, South Korea, UK, USA, Canada, Italy, Spain.

Note that the outlook for this market is being affected by rapid changes in trade relations and tariffs globally. The report will be updated prior to delivery to reflect the latest status, including revised forecasts and quantified impact analysis. The report’s Recommendations and Conclusions sections will be updated to give strategies for entities dealing with the fast-moving international environment.

The sharp hike in U.S. tariffs and the associated trade disputes in spring 2025 are notably impacting the aerospace and defense sector by raising costs for titanium, carbon fiber composites, and avionics materials largely sourced from global suppliers. Defense contractors, locked into fixed-price government contracts, absorb these added costs, while commercial aerospace firms face airline pushback on higher aircraft prices. Delays in component shipments due to customs bottlenecks further disrupt tight production schedules for jets and satellites. The industry is responding by stockpiling critical materials, seeking waivers for defense-related imports, and collaborating with allied nations to diversify supply chain.

5G satellite communication involves utilizing satellite networks to provide fifth-generation (5G) wireless connectivity, delivering fast and low-latency communication across vast and remote areas. By merging 5G’s speed and efficiency with the extensive coverage offered by satellites, it ensures consistent network access in locations where traditional terrestrial networks are unavailable, guaranteeing reliable and uninterrupted data transmission.

The primary components of 5G satellite communication encompass hardware, software, and services. The hardware includes tangible elements such as satellites, ground terminals, antennas, and base stations that facilitate the transmission and reception of 5G signals via satellite networks. This technology offers a range of satellite solutions such as backhaul and tower feed, trunking and head-end feed, communication-on-the-move, and hybrid multiplay, and operates across various frequency bands including S-band, C-band, Ku band, Ka band, and others. It finds applications in sectors such as telecommunications, defense and government, transportation and logistics, media and entertainment, among others.

The 5G satellite communication market research report is one of a series of new reports that provides 5G satellite communication market statistics, including 5G satellite communication industry global market size, regional shares, competitors with a 5G satellite communication market share, detailed 5G satellite communication market segments, market trends and opportunities, and any further data you may need to thrive in the 5G satellite communication industry. This 5G satellite communication market research report delivers a complete perspective of everything you need, with an in-depth analysis of the current and future scenario of the industry.

The 5G satellite communication market consists of revenues earned by entities by providing services such as network infrastructure integration, data transmission, and managed communication services. The market value includes the value of related goods sold by the service provider or included within the service offering. The 5G satellite communication market also includes sales of satellite antennas, transceivers, signal amplifiers, and network routers. Values in this market are ‘factory gate’ values, that is the value of goods sold by the manufacturers or creators of the goods, whether to other entities (including downstream manufacturers, wholesalers, distributors and retailers) or directly to end customers. The value of goods in this market includes related services sold by the creators of the goods.

The market value is defined as the revenues that enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD unless otherwise specified).

The revenues for a specified geography are consumption values that are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.

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