YOU ARE AT:5G5G satellite to generate $17bn through 2023: Juniper Research

5G satellite to generate $17bn through 2023: Juniper Research

The research predicts that the first commercial launch of a 5G satellite network will occur in 2024

Telecom operators will generate $17 billion of additional revenue from 3GPP-compliant 5G satellite networks between the 2024-2030 period, according to a new research report from Juniper Research.

The report urges operators to sign partnerships with satellite network operators (SNOs), which will enable carriers to launch monetizable satellite-based 5G services to their subscribers. Juniper Research highlighted that SNOs possess the capabilities to launch next-generation satellite hardware into space, as well as being responsible for the operation and management of the resulting networks.

The research predicts that the first commercial launch of a 5G satellite network will occur next year, with over 110 million 3GPP‑compliant 5G satellite connections in operation by 2030.

Also Juniper Research urged operators to prioritize immediate partnerships with SNOs that can launch Geostationary Orbit (GEO) satellites. These satellites follow the rotation of the earth to always be located above the country that the operator serves, providing consistent connectivity, the research firm explained.

Additionally, the research firm noted that telecom operators must leverage their pre-existing billing relationship with mobile subscribers and enterprises as a platform to grow 5G satellite connectivity revenue over the next seven years. The report anticipates that this existing billing relationship will enable operators to rapidly drive the adoption of satellite connectivity by integrating satellite services into existing terrestrial networks.

However, Juniper Research predicts that operators will increasingly rely on SNOs for service provision as 6G development accelerates.

“Operators must not only think of 5G satellite services when choosing an SNO partner, but also the forward plan for 6G networks, including coverage and throughput capabilities,” said research author Sam Barker.

Earlier this year, the GSMA and the European Space Agency (ESA) signed a Memorandum of Intent (MOI) that outlines plans to jointly develop new satellite and terrestrial network technologies that allow for better integration with 5G and 6G systems.

The GSMA Foundry innovation accelerator is at the center of this partnership. The Foundry facilitates cross-industry collaboration and business development to advance the mobile communication field. Under the terms of this collaboration, the GSMA Foundry will work with ESA’s 5G/6G Hub, which is located at the Agency’s European Centre for Space Applications and Telecommunications (ECSAT) in Oxfordshire and brings together the satellite industry to collaborate on new programs.

“From our 5G/6G Hub, we are fostering industry partnerships to advance the 5G digital transformation of society and industry,” said Antonio Franchi, head of the ESA’s Space for 5G and 6G Strategic Program, adding that the agency looks forward to uncovering “the huge potential of next-generation satellite-enabled connectivity” in partnership with the GSMA. 

ABOUT AUTHOR

Juan Pedro Tomás
Juan Pedro Tomás
Juan Pedro covers Global Carriers and Global Enterprise IoT. Prior to RCR, Juan Pedro worked for Business News Americas, covering telecoms and IT news in the Latin American markets. He also worked for Telecompaper as their Regional Editor for Latin America and Asia/Pacific. Juan Pedro has also contributed to Latin Trade magazine as the publication's correspondent in Argentina and with political risk consultancy firm Exclusive Analysis, writing reports and providing political and economic information from certain Latin American markets. He has a degree in International Relations and a master in Journalism and is married with two kids.