cellular backhaul @5g world...cellular backhaul @5g world lluc palerm serra june 2019 2 2 about nsr...
TRANSCRIPT
2
2
About NSRIndustry Leading Market Research & Consulting Services in Satellite and Related Industries to Clients Around the World.
Clients Across the Value-Chain
Satellite Operators
Service Providers
End-Users
9 Major International Hubs of business and government
• USA• Canada• Argentina• France• Spain• Philippines• Hong Kong• India• South Africa
NSR features the most global presence of any satellite
consulting/research company.
Our multi-cultural and multi-lingual team provides industry-
leading telecom market research and consulting delivering
unique, actionable intelligence.
Team Members Located In
3
Global in Reach. Local in Knowledge.
Satellite Operators
Service Providers
Ground Segment Providers
Finance Industry (PE, VC,
Institutional, etc)
End Users (Airlines,
Cruise, Energy, Video, Military)
Satellite Manufacturers
and Primes
Emerging Space Players
Space Agencies
Software and Platform Providers
Earth Observation
Players
IoT and 5G Satcom
Companies
All Companies Active in
Satellite & Space
NSR: Serving Clients in All Regions and All Markets
4
© 2019 Northern Sky Research – NSR.com
2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028Delta
Net Growth
Capture
NAM 1.22% 1.60% 2.06% 2.60% 3.14% 3.59% 3.88% 4.04% 4.16% 4.36% 4.39% 3.2% 22.97%
LAM 4.30% 4.99% 5.45% 5.97% 6.29% 6.47% 6.33% 6.17% 5.90% 5.63% 5.37% 1.1% 7.15%
WEU 0.48% 0.76% 1.05% 1.39% 1.74% 1.96% 2.13% 2.24% 2.34% 2.44% 2.49% 2.0% 14.37%
CEEU 0.66% 0.78% 0.95% 1.15% 1.40% 1.68% 1.92% 2.13% 2.27% 2.37% 2.44% 1.8% 11.36%
MENA 1.85% 1.85% 1.89% 1.95% 2.03% 2.14% 2.27% 2.42% 2.62% 2.94% 3.20% 1.3% 6.94%
SSA 5.85% 5.98% 6.13% 6.28% 6.44% 6.61% 6.80% 7.00% 7.19% 7.31% 7.52% 1.7% 8.90%
ASIA 1.06% 1.24% 1.43% 1.66% 1.87% 2.07% 2.28% 2.40% 2.55% 2.78% 2.96% 1.9% 9.04%
TOTAL 1.48% 1.72% 1.96% 2.23% 2.49% 2.72% 2.91% 3.04% 3.18% 3.39% 3.54% 2.1% 9.50%
Note: % of In-Service Units
Source: NSR
• Expanding Satcom’s footprint in the telecom ecosystem• Satellite’s share will more than double in the next 10 years.
Satellite Backhaul Becoming Mainstream
5
Satellite Backhaul Share
© 2019 Northern Sky Research – NSR.com
• Trends converging for this market to take off
• Negative Satcom perceptions and educating MNOs on the new capabilities key to unlock growth
The Pieces of the Puzzle Are Coming Together
6
Deeper Integration in the Telecom Ecosystem
•Key role in extending broadband coverage
•Demand Elasticity•Emerging new use cases•End-to-end services
Demand Drivers
•Seeking new sources of revenue
•Focus on core services•Minimize CAPEX and Risk exposure
•Expansion of Broadband
Infrastructure Drivers
•Competitive Capacity Pricing•Advanced Ground Segment•Terrestrial Backbone Saturation•Low-end Mobile Radios
© 2019 Northern Sky Research – NSR.com
• Satellite is the most cost-effective option when there is no direct line of sight
• As Satellite TCO continues declining, the crossover point at which Satellite is more cost effective than terrestrial grows rapidly
• Data traffic is highly concentrated. Improving the crossover point will significantly expand the market capture
Satellite (Finally) Has a Compelling Product
7
© 2019 Northern Sky Research – NSR.com
• Installed base will grow at double-digit rates over the next 10 years.
• 2G/3G still dominate the installed base, but 4G starts generating the highest installs.
• Regardless of 5G, 4G will pay the bills for the next 10 years
Backhaul Is a Key Driver For Satellite Industry Growth
8
© 2019 Northern Sky Research – NSR.com
• Expansion of the installed base and adoption of Broadband services drive exponential capacity demand growth.
• Satellite needs to do a better job in adjusting pricing to meet real market needs.
• MNOs are de-investing in non-core assets and focusing on Urban areas. Growing demand for Network-as-a-Service solutions into rural areas.
Looking Beyond Capacity Leases
9
2018 2028
104.3 Gbps
3,2
03.2
Gbp
s
X30.7
Data Traffic
in 10 years
© 2019 Northern Sky Research – NSR.com
• Being part of the mainstream telecom ecosystem
• Satellite needs to be a transparent and very easy to adopt solution
• 4 core segments: Backhaul, Trunking, Mobility & Hybrid Networks
• 1 of every 3 new $ in capacity revenues for Backhaul will come from direct 5G apps
Integrating Satellite into 5G
10
$-
$500
$1,000
$1,500
$2,000
$2,500
$3,000
$3,500
$4,000
$4,500
$5,000
2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028
USD
Mill
ion
s
Satellite Backhaul: Capacity Revenues Breakdown
Non-5G Capacity Revenues 5G Capacity Revenues
Source: NSR
Northern Sky Research, LLCOne Mifflin Place, Suite 400
Cambridge, MA [email protected]
+1 (617) 674 - 7743
@NSR_Satcom