The global 5G NTN market is projected to generate USD 25,184 million revenue by 2030, witnessing 28.0% CAGR during 2022–2030. The key drivers for the market include the growing need for reliable communication and internet access in remote and isolated areas, requirement for backup or additional communication infrastructure during equipment failures or disasters, demand for low-latency connectivity, mounting importance of secure and reliable communication in the military and government sectors, and high R&D investment by industry giants.
Based on location, the remote category will witness the fastest growth during the prediction period, with a CAGR of around 29%. This can be ascribed to the growing trend of remote education, remote working, and remote patient monitoring, for which high-speed and reliable internet is the basic requirement.
The government category, based on industry, contributes significant revenue to the market. This is due to the growing need for high-speed, high-quality, and reliable communication to accomplish several government operations, high capital investment, and various critical missions where the availability, continuity, and scalability of the network make a huge difference.
Based on component, the services category will grow significantly during the prediction period, due to the mounting deployment of 5G infrastructure, high investment by industry players, and burgeoning count of satellite communication service providers.
The enhanced mobile broadband (eMBB) category, based on application, held the largest revenue share in 2022, and the situation will remain unchanged over the years. 5G NTN mainly supports eMBB implementation, to offer high bandwidth with a mild latency and a high mobility of around 500 kmph and handle 10,000 times more traffic. Moreover, the use cases related to eMBB referenced in 3GPP release-18 include MIMO, mobility enhancement, and network power savings. Additionally, 5G NTN’s eMBB services offer excellent broadband connectivity in remote and underserved locations, on mobile platforms, such as planes and ships.
Geographically, APAC will witness the highest growth rate during the forecast period. This is due to the rising mining activities and the implementation of modern automation technologies to advance operations here, increasing spending by regional governments on the aerospace and defense sector, and mounting number of satellite launches. Moreover, numerous industries, such as maritime, aerospace and defense, and mining, are implementing satellite-based and integrated 5G solutions to improve network coverage in various locations.
North America was the highest revenue contributor in 2022, and it will keep being the most-profitable region for the market players till at least 2030. This is due to the rising need for hybrid network architectures, including high-altitude platforms (HAPs); high government spending for creating a well-established infrastructure for 5G, and rising need to extend network coverage to non-terrestrial locations. Moreover, the U.S. contributed the majority of the revenue to the regional market in 2022.
In addition to providing connectivity to rural communities that currently have no or limited internet access, this technology may benefit remote areas, such as mines, oil and gas fields and rigs, and research stations, with a significant increase in both coverage and capacity.
Some of the major players in the 5G NTN market are Qualcomm Technologies Inc., SoftBank Group Corporation, Thales Group, Rohde & Schwarz GmbH & Co KG, Keysight Technologies Inc., MediaTek Inc., ANRITSU CORPORATION, SES S.A., EchoStar Corporation, AST & Science LLC, Omnispace LLC, ZTE Corporation, Nelco Limited, Inmarsat Global Limited, and Spirent Communications plc.