Cloud computing via satellite adoption triggers multi-segment transformation
As adoption of cloud computing continues, NSR’s latest report, Cloud Computing via Satellite, 2nd Edition (CCvS2) forecasts US$21 billion cumulative cloud services revenues by 2030 across four key market segments. The impending wave of both LEO, MEO and GEO-HTS satcom services is set to significantly boost long-term cloud adoption and enhance market engagement opportunity, with 233 exabytes of traffic projected.
"The transformation brought about by the adoption of cloud computing is only beginning to impact the satellite sector," states Shivaprakash Muruganandham, NSR Senior Analyst and report author. "Numerous verticals from cloud-hosted applications to cloud storage/processing by geospatial analytics providers, will see change and development."
Partnership with large IT and cloud players drives market capture and growth opportunity across multiple segments. Within those core segments, satellite communications will continue to lead traffic via satellite, while Earth observation data downlinks lead in revenues, representing a US$10 billion opportunity, as ground station and data relay services enter the downlink market.
“While growth opportunity is forecast for both existing and nascent markets, cost scalability remains a challenge,” added NSR Analyst and Report co-author, Arthur Van Eeckhout. “However, cloud adoption is dramatically decreasing the legacy knowledge requirements for engagement, lowering the barriers to entry for space-derived data services. Today, start-ups born in the cloud have greater opportunities available to them than in the past.”