Satellite revenue strong, but oversupply looms

(September 3, 2013) NSR’s Global Assessment of Satellite Supply & Demand, 10th Edition report, projects commercial satellite operator revenues from transponder and bandwidth leasing will top $18.8 billion in the coming ten years, up from $11.2 billion in 2012.

This strong growth comes from a mix of C, Ku and widebeam Ka-band transponder leasing gains in such diverse markets as DTH, video distribution and VSAT networking, generating some $4.5 billion in new revenues by 2022. A rapid emergence in HTS and MEO-HTS provisioned services like broadband access, backhaul and mobility should also add another $3.1 billion in wholesale capacity revenues. Even with the positive growth projections, NSR raises real concerns about the potential negative impact of sustained supply growth on certain regional markets.

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