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Market Shift: HTS and O3b Satellites on the Rise

Satellite Technology

Satellite Technology Feature Article

July 18, 2012

Market Shift: HTS and O3b Satellites on the Rise

By Nick Ruble, TMCnet Contributing Writer

According to NSR’s release of Wireless Backhaul via Satellite, 6th Edition, there’s a wellstrung-outmarketshift going on from the older SCPC and TDMA setups to the more up-to-date High Throughput Satellites (HTS) and O3b systems.

While this transition might not have companies using legacy satellites jumping for joy, on a broader spectrum the global satellite backhaul market is expected to triple in value – jumping from the current annual revenue of about $800 million to a whopping $2.3 billion by 2021.

Wireless Backhaul via Satellite, 6th Edition covers industry-leaders in the tracking and analysis of the wireless backhaul market. Equipment forecasting, transponder and bandwidth demand and HTS capacity, among others, are all explained in detail to paint as clear an image as possible of where the wireless industry is headed.

Senior Analyst at NSR and author of this particular study, Jose Del Rosario, explained how both bandwidth costs as well as global penetration levels will improve, stating, "OPEXconsiderations, which have hampered market adoption of satellite solutions due to high bandwidth costs, will see a big drop.

(Image credit: NSRResearch)

This, along with the needs of the mobile workforce, will lead to higher penetration levels in key markets for both developing and developed countries,"

Additionally, Del Rosario noted that more affordable picocells with smaller form-factors are also on the rise, lowering CAPEX and leading to higher adoption among on-ground towers, maritime vessels and commercial aircraft.

Companies are going more mobile with their employees – devices like the iPad and Android (News - Alert) tablets are more appealing to the on-the-go worker, but mobile connectivity is still largely unavailable in a ton of areas.

After the widespread implementation of more affordable picocells, HTS and O3b systems however, ground towers will be closer than ever to meeting the demand of consumers.

So when the satellite market begins to delve deeper into said technologies, bandwidth and connectivity will not only be much more cost-effective, but more readily available as well.

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Edited by Braden Becker

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