Asia-Pacific Maritime Satellite Communication Market - Growth, Trends, and Forecasts (2023 - 2028)

The Asia-Pacific maritime satellite communication market is expected to register a CAGR of approximately 11.32% during the forecast period. The major factor driving the market growth is increased sea-borne threats and ambiguous maritime security policies in the region.

Key Highlights

• With the ship traffic in the Asia-Pacific region increasing significantly, it has become crucial to improve safety and security and safeguard the environment. Per the IBEF, two years ago, cargo traffic increased by 1.69% year-on-year to 1561.0 million tons in India. Major Indian ports handled 720.29 million tonnes of freight volume in the current year. India's exports of goods were USD 417800.0 million in the current year, an increase of 40% from the previous year.
• Commercial vessels, like container ships, need reliable satellite communications to stay connected to their main offices and support crew welfare activities. Satellite services can also offer coverage and an effective communication channel to help relief operations during emergencies. ​
• Maritime satellite communication will play a crucial role in autonomous ships, which seek to make ships self-driven to boost competency and productivity, thus allowing efficient task performance. It minimizes human mistakes by lowering the labor needed to operate the ship. These ship designs are now the subject of experiments, but they appear promising in the long run. These ships will be largely crewless and equipped with various new and improved technologies, including tracking systems, sophisticated sensors to avoid obstacles, positioning systems to keep them informed about alternate routes, and control systems so that teams on the shore can operate the ships in specific emergencies. These ships maintain a constant connection with the team ashore and, as a result, need sophisticated tools and systems.
• India intends to spend USD 8200.0 million on port construction projects by 2035. Adani Group stated that it aims to have all of its data centers powered by renewable energy by 2030 and that Adani Port will have zero carbon emissions by 2025. These factors will further act as secondary driving factors for the maritime satellite communication device and service growth in the forecast period.

APAC Maritime Satellite Communication Market Trends

Government Agencies are Expected to Have the Largest Market Share in the Region

• Increased spending on marine products and services by various governments across the region, increased security threats, increased water transport and trade numbers, and other tracking are critical drivers of market growth.
• Moreover, many government agencies face an ongoing challenge in providing essential telephony services throughout their countries. Many governments worldwide have turned to VSAT networks for a low-cost, reliable public telephony solution to meet this challenge. Very Small Aperture Terminal (VSAT) networks represent the most cost-effective solution for communities where public service telephone network (PSTN) services are unavailable, overloaded, or too expensive.
• Further, emerging countries, such as India, China, Japan, and South Korea, continuously increase their defense budgets year-over-year to strengthen their national security. The government of India is planning to handle the issue of threats by implementing a national automatic identification system for India's coastline safety and security.
• A uniform communication strategy for coastal security was adopted this year by the Indian Ministry of Home Affairs (MHA). It calls for connecting marine law enforcement organizations to a single network for improved coordination and seamless sharing of mission-critical data. With a designated spectrum for the purpose, the scheme will be able to combine all coastal security agencies into a single communication network. A "major stride" in enhancing coastal security, the specialized spectrum will make use of a common frequency.
• Also, the China Belt and Road Initiative and Pearl River Delta expansion projects undertaken by the government are further expected to boost the market's growth during the forecast period.

China Expected to Dominate the Market

• Due to the substantial trade influx, China is expected to lead the maritime satellite communication market in the Asia-Pacific region. China is an essential market for passenger vessels in the area.
• Moreover, countries like China are vital in promoting maritime security since the naval industry adds to the region's economic growth. The Chinese central government took the initiative to encourage intelligent shipping development in the country. Under this initiative, the government mentioned working in collaboration with various government agencies to complete the strategy design for intellectual shipping development by the end of 2020, further improve brilliant shipping service, safety, environment protection level, and efficiency by 2035, and establish a high-quality smart shipping system by 2050.
• This year, in November, China launched a high-power communications satellite to connect travelers on airplanes, ships, and other users in China, Southeast Asia, and remote routes connecting the Asia-Pacific area and North America. A Long March 3B rocket carrying the Chinasat 19, or Zhongxing 19, communications satellite launched from the Xichang launch site in the Sichuan province of southwest China. A hazardous hydrazine-fueled core stage and booster engines propelled the Long March 3B into space. Within the first three minutes of flight, the rocket dropped its strap-on boosters and core stage, and a second stage subsequently took over to continue the rocket's ascent into space.
• Furthermore, the companies in the country are witnessing strategic collaborations as a lucrative path toward growth. For instance, Gilat Satellite Networks and China Satellite Communications collaborated to deploy Gilat's DVB-S2X technologies throughout China to jointly provide satellite communication services covering aeronautical, terrestrial, and maritime fixed and mobility applications.

APAC Maritime Satellite Communication Market Competitor Analysis

The competitive landscape of the maritime satellite communication market in the Asia-Pacific region is expected to move toward moderate fragmentation. The market players in the region and the governments of various countries in the region are taking several initiatives for innovation to improve the maritime security of the nations. Also, the market players are forming strategic partnerships and collaborations to boost their market presence in the Asia-Pacific region and globally. For instance,

• In March 2022, shipyards can use Fleet Xpress, a market-leading maritime broadband service from mobile satellite communications company Inmarsat. Fleet Xpress for Shipyards, which is installed during new construction, saves time-consuming and expensive installation tasks at ports by providing owners with a pre-fitted very small aperture terminal (VSAT) solution included in the vessel's initial purchase price.
• In January 2022, Network Innovations (NI) acquired STS Worldwide Inc., one of the most established global ground systems integrators in the satellite business, which provides turnkey network systems and engineering design. With services to link clients in distant regions, send vital data, provide secure networks, and more, STS Global has made sure that dependable services are available everywhere on Earth.
• In May 2022, Thaicom Public Company Limited offered its premier end-to-end satellite communications solutions for a range of clients, including the Nava Global Maritime Broadband Platform and Thaicom Express Wi-Fi, a high-speed broadband hotspot service.

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