Tue. Sep 26th, 2023
Operators to Generate $17 Billion in Revenue from 5G Satellite Networks by 2030

Operators are expected to generate an additional $17 billion in revenue from 3GPP-compliant 5G satellite networks between 2024 and 2030. To tap into this revenue potential, operators are urged to form partnerships with Satellite Network Operators (SNOs), who can help launch satellite-based 5G services to subscribers.

SNOs possess the necessary capabilities to deploy advanced satellite hardware into space and manage the resulting networks. The first commercial launch of a 5G satellite network is predicted to take place in 2024, with over 110 million 3GPP-compliant 5G satellite connections expected to be in operation by 2030.

To maximize growth opportunities, operators are advised to prioritize partnerships with SNOs that can launch Geostationary Orbit (GSO) satellites. GSO satellites are positioned above the countries served by operators, ensuring consistent connectivity as they follow the rotation of the Earth.

Furthermore, operators should leverage their existing billing relationship with mobile subscribers and enterprises as a means to drive revenue from 5G satellite connectivity over the next seven years. By integrating satellite services into their terrestrial networks, operators can quickly promote the adoption of satellite connectivity.

However, as the development of 6G networks accelerates, operators are anticipated to increasingly rely on SNOs for service provision. When choosing an SNO partner, operators are advised to consider not only their 5G satellite services but also their future plans for 6G networks, including coverage and throughput capabilities.

Overall, the collaboration between operators and SNOs in the realm of 5G satellite networks presents a significant revenue opportunity, and operators should strategically position themselves to benefit from this emerging market.