According to a report by Market Research Future (MRFR), the global Micro VSAT market was estimated to be worth $425.62 million. It is projected to reach $158.570 billion by 2032, growing at a compound annual growth rate (CAGR) of 14.2% between 2023 and 2032.
Micro VSAT, which stands for very small aperture terminals, are satellite ground stations that use small antennas to communicate with satellites in space. These terminals are commonly referred to as “disadvantaged terminals” because they have certain restrictions due to spectrum density constraints set by satellite operators. These restrictions are in place to avoid interference with other users and nearby satellites.
The market growth is primarily driven by rising demand and increased awareness of sustainability in the marine industry. Government support is also contributing to the expansion of the market. The availability of cost-effective options for individual end-users and the need for broadband data connections from government and business sectors are key factors driving the growth of Micro VSAT.
The emergence of competing technologies like high throughput satellite (HTS) technology is a challenge for the market. However, service providers are expected to adopt and adapt to these new technologies.
The COVID-19 pandemic had an impact on the space sector, including the Micro VSAT market. Manufacturing, supply chains, and satellite launches were disrupted, leading to a slowdown in market expansion. However, recent growth in the space industry has led to the creation of new business opportunities.
In terms of market segmentation, the Ka-Band frequency range accounted for the majority of market revenue in 2022. The land segment dominated in terms of application, driven by the rising use of ground-based VSAT systems. Parabolic antennas were the most common type of antenna, and the military and defense sector drove market growth in terms of industry vertical.
North America held a significant share in the Micro VSAT market in 2022, with efforts to produce smaller antennas and increasing wireless usage driving market growth. The Asia-Pacific region is the second-largest market, with countries like China, India, Japan, South Korea, and Indonesia experiencing rapid economic development.
Overall, the Micro VSAT market is expected to grow significantly in the coming years, driven by increasing demand and technological advancements.