The size of the satellite launch vehicle market was $6,202 million in 2021, and it will advance at a growth rate of 4% in the years to come, to reach about $8,518 million in 2030. The growing volume of satellite launches for communication purposes, forecasting the weather, earth observation, and military resolves is fueling the expansion of the industry.
The application of AI and ML in the expansion of SLVs is a key trend. AI improves efficiency of the mission by plummeting downtime, itself by hurtling up physical discovery and diagnosis. Furthermore, AI can help in abridging the assembly and testing of these vehicles, to further save cost and time and optimize the manufacturing process.
The industry is dominated by the LEO category, produced over 90% revenue share in the recent past. Satellites that are functioning in LEO bid faster transportations and low-latency networking and are easy to set up, therefore ideal for disposition. Furthermore, huge investments by private and government organizations are made to position satellites in LEO.
The commercial category dominated the industry with over 80% revenue share. This has a lot to do with the increasing number of launches of commercial satellite, in line with the commercialization of space exploration programs. The increasing commercial actions, as well as satellite television, satellite navigation and commercial satellite imagery, accompanied by the declining costs for space and launch hardware, are the main whys and wherefores for the domination of the category.
The nano and micro payload had the largest revenue share, of about 95%, in the recent past. The development in the count of nanosatellites and the incorporation of composites for reducing weight of the satellite will drive the usage of nano and micro payload launch vehicles. Because it is not feasible to carry small payloads in large vehicles, as the manufacturing and operational costs of larger rocket is high, particularly designed to carry nano and microsatellites will offer lucrative opportunities to the market players in the years to come.
Communication applications had the largest revenue share, contributing about $4 billion in the recent past. This is chiefly because of the growing need for 5G and satellite connections in more than a few commercial fields, automobiles, like logistics and shipping, and civilian airplane. Furthermore, the surge in internet users and data volume, together with the growing demand for low-latency transmission, are driving the industry.
North America is the leader of satellite launch vehicle market, having a share of about 55% in the recent past, which has a lot to do with the growing commercial launch activity. Also, the existence of main market players is contributing to the region’s ascendency. Moreover, the continent’s cutting-edge technologies and obtainability of a large pool of skilled workers are fueling growth of the regional industry.
The increasing number of satellite launches, and the growing trend of reusable launch vehicles has a lot to do with the increasing demand for satellite launch vehicles.
