The Small Satellite Market size is projected to reach US$ 25.94 billion by 2031 from US$ 3.81 billion in 2023. The market is expected to register a CAGR of 27.1% in 2023–2031. The rising adoption of small satellites for military applications is likely to remain a key small satellite market trend.
Many start-ups in the small satellite market have witnessed a decline in their business growth and operations due to several challenges due to the onset of the pandemic, including delays in satellite launch projects and product deliveries owing to supply chain challenges and minimal investments in the small satellite sector. Further, the growth in the development of nanosatellites with the help of investments across the small satellite industry for future constellation launch projects is also boosting the business growth of small satellite ecosystem vendors. This growth is mainly due to the increase in demand for smallsat components such as sensors, transmitters, imaging devices, transponders, antennas, automatic identification systems, etc., for small satellite production.
The small satellite manufacturers offer a wide range of satellites such as pico satellites, nanosatellites, and microsatellites. These satellites are used for various applications, including earth observation, communication & navigation, and scientific research. Additionally, the increasing demand for satellite-based service offerings from the commercial and military sectors is further influencing the demand for small satellites. A few of the major players operating in the global small satellite market are Northrop Grumman Corporation, L3Harris Technologies Inc., Thales Group, Millennium Space Systems Inc. (a Boeing Company), Space Exploration Technologies Corp. (SpaceX), and Surrey Satellite Technology Ltd.
The growing need for small satellites encourages market players to make strategic partnerships, collaborations, and contracts. A few strategies by the players are mentioned below:
Several companies are making contracts and partnerships to provide small satellites for various applications such as communication, navigation, and earth observation. Therefore, the rising number of such initiatives bolsters the growth of the small satellite market.
Internet access, machine-to-machine communication (M2M), and the Internet of Things (IoT) are among the most important applications of a small satellite. Space has become an ideal solution to improve the efficiency of current terrestrial communication networks. According to Alén Space, by 2025, more than 25.2 billion IoT connections are predicted to exist worldwide, and the IoT market will reach US$ 1,072.08 billion (€ 950 billion). Also, small satellite constellations can play an important role in various environmental conditions, especially in remote or hard-to-reach places, where real-time data is received from all types of sensors and linked devices for IoT-based business models. Thus, a small satellite helps receive, store, and transmit real-time information to any point.
Key segments that contributed to the derivation of the small satellite market analysis are type, payload, application, and vertical.
The geographic scope of the small satellite market report is mainly divided into five regions: North America, Asia Pacific, Europe, Middle East & Africa, and South America.
In 2023, North America accounted for a major share of the global small satellite market followed by Asia Pacific and Europe. Further, Asia Pacific is likely to register the highest CAGR during the 2023-2031 period. The space industry focus across countries such as China, India, Japan, South Korea, Thailand, Vietnam, and Taiwan is expected to influence the growth of the small satellite market over the forecast period. Rapid economic development, adoption of advanced technologies in the space industry, and rising adoption of space services in the commercial sector are expected to propel the growth market in the region in the coming years.
The regional trends and factors influencing the Small Satellite Market throughout the forecast period have been thoroughly explained by the analysts at Insight Partners. This section also discusses Small Satellite Market segments and geography across North America, Europe, Asia Pacific, Middle East and Africa, and South and Central America.
| Report Attribute | Details |
|---|---|
| Market size in 2023 | US$ 3.81 billion |
| Market Size by 2031 | US$ 25.94 billion |
| Global CAGR (2023 - 2031) | 27.1% |
| Historical Data | 2021-2022 |
| Forecast period | 2024-2031 |
| Segments Covered |
By Type
|
| Regions and Countries Covered | North America
|
| Market leaders and key company profiles |
The Small Satellite Market market is growing rapidly, driven by increasing end-user demand due to factors such as evolving consumer preferences, technological advancements, and greater awareness of the product's benefits. As demand rises, businesses are expanding their offerings, innovating to meet consumer needs, and capitalizing on emerging trends, which further fuels market growth.
Market players density refers to the distribution of firms or companies operating within a particular market or industry. It indicates how many competitors (market players) are present in a given market space relative to its size or total market value.
Major Companies operating in the Small Satellite Market are:
Disclaimer: The companies listed above are not ranked in any particular order.
The small satellite market is evaluated by gathering qualitative and quantitative data post primary and secondary research, which includes important corporate publications, association data, and databases. The following is a list of developments in the market for innovations, business expansion, and strategies:
The “Small Satellite Market Size and Forecast (2021–2031)” report provides a detailed analysis of the market covering the following areas: