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The Global Military Satellites Market 2012-2022

Strategic Defence Intelligence
Published Date » 2013-01-28
No. Of Pages » 163

Product Synopsis

This report is the result of SDI's extensive market and company research covering the global military satellite industry. It provides detailed analysis of both historic and forecast global industry values, factors influencing demand, the challenges faced by industry participants, analysis of the leading companies in the industry, and key news. 

Introduction and Landscape

Why was the report written?

The Global Military Satellite Market 2012-2022 offers the reader detailed analysis of the global military satellite market over the next ten years, alongside potential market opportunities to enter the industry, using detailed market size forecasts.

What are the key drivers behind recent market changes?

The demand for military satellites is anticipated to be driven by the need for enhanced communication capabilities and Intelligence, Surveillance and Reconnaissance (ISR) requirements for armed forces across the world. The market is expected to be dominated by North America, followed by Europe and Asia Pacific.

What makes this report unique and essential to read?

The Global Military Satellite Market 2012-2022 provides detailed analysis of the current industry size and growth expectations from 2012 to 2022, including highlights of key growth stimulators. It also benchmarks the industry against key global markets and provides detailed understanding of emerging opportunities in specific areas.

Key Features and Benefits

  • The report provides detailed analysis of the market for military satellites during 2012-2022, including the factors that influence why countries are investing or cutting defense expenditure. It provides detailed expectations of growth rates and projected total expenditure.
  • Boeing, Northrop Grumman, Israel Aerospace Industries, Telespazio, QinetiQ, Thales, Raytheon, Astrium, Mitsubishi Electric Corporation, ISS-Reshetnev, Lockheed Martin, Intelsat General Corporation, ITT Exelis, Harris Corporation
  • With the increasing usage of Commercial-Off-The-Shelf (COTS) equipment in the military sector lately, the bandwidths of military satellites are being increased through hosted payloads from commercial satellite providers. Hosted payloads are components attached to commercial satellites, which are designed to function independently of the host satellites, while at the same time sharing its resources. These enhancements can be used for numerous applications of satellites mainly including military communication and ISR.

Key Market Issues

  • The current situation of defense budget cuts across most of the countries is expected to persist during the forecast period. In this scenario, the defense departments around the world are exploring and inviting new alternatives for reducing their costs. Apart from pushing back their project timelines, utilization of COTS equipment is a potential choice for the government. Thus, the military satellite industry is gradually undergoing a transition towards selecting commercial providers against defense suppliers for its programs.
  • The North American and European regions account for an estimated 80% of global defense spending. These countries were, however, among the hardest hit by the global financial crisis. This has led to austerity measures being introduced by national governments, which in turn have resulted in reduced defense budgets and the cancellation and indefinite delay of various military satellite programs. The countries such as the US, France, Germany among others, which contribute significantly to the global military satellites market, are experiencing substantial defense budget cuts. This is forcing the defense departments of these countries to realign their spending strategies on satellites.

Key Highlights

  • The industry is rapidly adopting strategies such as Public-Private Partnerships (PPPs) and Private Finance Initiatives (PFIs) owing to the huge capital requirements and post deployment assistance required for these projects. Moreover, governments are increasingly adopting the capacity leasing approach on privately owned satellites, rather than deploying own systems.
  • In the current scenario of defense budget cuts in many countries around the world, Private Financing Initiative (PFI) is gaining significant importance, through which the satellite project will be built and owned by a private company. In return, the governments agree on guaranteed contracts for the satellite services throughout the satellites' lifetime.
Table of Content

1 Introduction
1.1 What is this Report About?
1.2 Definitions
1.3 Summary Methodology
1.4 About Strategic Defence Intelligence 

2 Executive Summary

3 Global Military Satellite Size and Drivers
3.1 Military Satellite Market Size and Forecast 2012-2022
3.1.1 Global military satellite market to show positive growth during the forecast period
3.2 Global Military Satellite Market - Regional Analysis
3.2.1 North America dominates the global military satellite market
3.2.2 Demand for communication satellite in the US to support the global military satellite market
3.2.3 Military satellite market in the European region expected to grow at a CAGR of XX %
3.2.4 Military satellite market expected to grow at a CAGR of XX % in the Asia Pacific region
3.2.5 Expenditure on ISR segment expected to lead the military satellites market in the Middle East
3.2.6 Brazil expected to be the highest spender in the military satellite sector in the Latin American region
3.2.7 Markets in Africa expected to increase over the forecast period
3.3 Military Satellite Sub-Sector Market Size Composition
3.3.1 Communication satellite market to record strong CAGR growth
3.3.2 ISR to account for the second largest segment in this sector
3.3.3 Market for navigation satellites to grow at a CAGR of XX %
3.4 Demand Drivers and Growth Stimulators
3.4.1 Increasing reliance on military satellites as capability enhancers
3.4.2 Need for additional bandwidth for communication
3.5 Defense Budget Spending Review
3.5.1 European capital expenditure expected to increase during the forecast period
3.5.2 Asian defense budgets expected to increase at a robust pace
3.5.3 North American defense expenditure projected to decline marginally during the forecast period
3.5.4 Modernization programs likely to drive defense expenditure in South American countries
3.5.5 Military budgets of African countries expected to increase during the forecast period
3.5.6 Defense budgets of Middle Eastern countries likely to increase during the forecast period
3.6 Defense Modernization Review
3.6.1 Financial constraints causing delays in European defense modernization programs
3.6.2 Defense budgets of Asian countries likely to be driven by competitive arms acquisitions
3.6.3 Global economic slowdown leading to defense budget cuts in the North American region
3.6.4 Need to replace aging equipment driving South American defense expenditure
3.6.5 Security threats increasing the defense budget of African countries
3.6.6 Demand for air defense systems is likely to increase in the Middle East

4 Industry Trends, Recent Developments and Challenges
4.1 Technological Developments
4.1.1 Self Awareness Space Situational Awareness System (SASSA)
4.1.2 DARPA's Space Enabled Effects for Military Engagements
4.1.3 Membrane Optic Imager Real Time Exploitation (MOIRE)
4.2 Market Trends
4.2.1 Shift towards smaller and cheaper systems
4.2.2 Increasing adoption of commercial satellite communication systems by government and military users
4.2.3 Increasing number of public private partnerships expected to take place in the future
4.3 Industry Consolidation
4.3.1 Joint ventures expected to increase over the forecast period
4.3.2 Private financing to be mutually beneficial for the government and private sector
4.4 Key Challenges
4.4.1 Military satellites market growth suffers from budgetary challenges
4.4.2 Satellite manufacturers experiencing decline in profit margins

5 SWOT Analysis of the Military Satellite Market
5.2 Strengths
5.2.1 Rapidly increasing need for space based solutions for communication, ISR and navigation
5.2.2 Public Private Partnership approach supporting military satellite expenditure
5.3 Weaknesses
5.3.1 Large investment and resources needed by the companies for military satellite projects
5.3.2 Complete satellite technological know how limited to large multinational companies
5.4 Opportunities
5.4.1 Low cost and disposable satellites to emerge as an alternative to large satellites
5.4.2 Defense departments to take the assistance of commercial suppliers to boost bandwidth through hosted payload
5.5 Threats
5.5.1 Persistent Unmanned Air Vehicles capable to capture growth areas of satellites
5.5.2 Transition towards commercial satellite providers to depreciate the market shares of military suppliers

6 Country Analysis - Military Satellite Market
6.1 United States Market Size and Forecast 2012-2022
6.1.1 Communication expected to account for the largest share of US military satellite expenditure
6.1.2 ISR segment expected to register a CAGR of XX % over the forecast period
6.1.3 Navigation segment to account for the third largest share of investment during the forecast period
6.1 Russia Market Size and Forecast 2012-2022
6.1.1 Russian communication satellite market to witness highest spending during the forecast period
6.1.2 Navigation satellites expected to account for the second largest segment
6.1.3 ISR satellite market to register a CAGR of XX % during the forecast period
6.2 France Market Size and Forecast 2012-2022
6.2.1 Communication satellites to account for the largest area of expenditure by France on military satellites
6.2.2 ISR satellites segment is expected to account for the second largest share
6.3 Italy Market Size and Forecast 2012-2022
6.3.1 Italy to spend significantly on communication satellites during the forecast period
6.3.2 Italy to establish its foothold in ISR segment during the forecast period
6.4 Chinese Market Size and Forecast 2012-2022
6.4.1 Military navigation satellite segment is expected to constitute the largest market share in China
6.4.2 ISR satellite segment is expected to register a CAGR of XX % during the forecast period
6.4.3 Spending on military communication satellite to account for the third largest segment in China
6.5 Indian Market Size and Forecast 2012-2022
6.5.1 Military communication satellite segment is expected to constitute the largest market share
6.5.2 ISR satellite segment is expected to account register a CAGR of XX % during the forecast period
6.5.3 Spending on navigation satellite to account for the third largest segment in India
6.6 Australia Market Size and Forecast 2012-2022
6.6.1 Spending on military communication satellites to account for the largest segment in Australia
6.6.2 ISR satellite segment is expected to register a CAGR of XX % during the forecast period
6.7 Brazil Market Size and Forecast 2012-2022
6.7.1 Communication expected to be the most important segment of expenditure by Brazil on military satellites
6.7.2 ISR expected to be account for the second largest segment of expenditure by Brazil on military satellites
6.1 Israel Market Size and Forecast 2012-2022
6.1.1 ISR to account for the largest segment during the forecast period
6.2 Iran Market Size and Forecast 2012-2022
6.2.1 Spending on ISR satellites to lead the market during the forecast period
6.3 South Africa Market Size and Forecast 2012-2022
6.3.1 South Africa's military communication satellite market accounts for the largest expenditure

7 Major Military Satellite Programs
7.1 Communication
7.1.1 US procurement of Advanced Extremely High Frequency (AEHF) satellites
7.1.2 India - Military communication satellite (GSAT 7 and GSAT 7A) program
7.1.3 French Italian - ATHENA FIDUS program
7.2 ISR
7.2.1 Fifth and sixth satellites in the US' Space Based Infrared System (SBIRS) missile warning constellation program
7.2.2 France - Optical Space Component program
7.2.3 US National Polar Orbiting Operational Environmental Satellite System (NPOESS) program
7.3 Navigation
7.3.1 US' GPS III satellite program
7.3.2 European Union - Galileo Program
7.3.3 China - Compass Navigation Satellite System (CNSS) - Beidou II program

8 Competitive Landscape and Strategic Insights
8.1 Competitive Landscape overview
8.1.1 Boeing: Overview
8.1.2 Boeing: Products and Services
8.1.4 Boeing: Recent Contract Wins
8.1.5 Boeing: Financial Analysis
8.1.6 Northrop Grumman: Overview
8.1.7 Northrop Grumman: Products and Services
8.1.8 Northrop Grumman: Alliances
8.1.9 Northrop Grumman: Recent Contract Wins
8.1.10 Northrop Grumman: Financial Analysis
8.1.11 Israel Aerospace Industries: Overview
8.1.12 Israel Aerospace Industries: Products and Services
8.1.13 Israel Aerospace Industries: Alliances
8.1.14 Israel Aerospace Industries: Recent Contract Wins
8.1.15 Telespazio: Overview
8.1.16 Telespazio: Products and Services
8.1.17 Telespazio: Recent Contract Wins
8.1.18 QinetiQ: Overview
8.1.19 QinetiQ: Products and Services
8.1.20 QinetiQ: Recent Contract Wins
8.1.21 Qinetiq: Financial Analysis
8.1.22 Thales: Overview
8.1.23 Thales: Products and Services
8.1.24 Thales: Alliances
8.1.25 Thales: Recent Contract Wins
8.1.26 Thales: Financial Analysis
8.1.27 Raytheon: Overview
8.1.28 Raytheon: Products and Services
8.1.29 Raytheon: Recent Contract Wins
8.1.30 Raytheon: Financial Analysis
8.1.31 Astrium: Overview
8.1.32 Astrium: Products and Services
8.1.33 Astrium: Alliances
8.1.34 Astrium: Recent Contract Wins
8.1.35 Astrium: Financial Analysis
8.1.36 Mitsubishi Electric Corporation: Overview
8.1.37 Mitsubishi Electric Corporation: Products and Services
8.1.38 Mitsubishi Electric Corporation: Recent Contract Wins
8.1.39 Mitsubishi Electric Corporation: Financial Analysis
8.1.40 ISS Reshetnev: Overview
8.1.41 ISS Reshetnev: Products and Services
8.1.42 ISS Reshetnev: Alliances
8.1.43 ISS Reshetnev: Recent Contract Wins
8.1.44 Lockheed Martin: Overview
8.1.45 Lockheed Martin: Products and Services
8.1.46 Lockheed Martin: Alliances
8.1.47 Lockheed Martin: Recent Contract Wins
8.1.48 Lockheed Martin: Financial Analysis
8.1.49 Intelsat General Corporation: Overview
8.1.50 Intelsat General Corporation: Products and Services
8.1.51 Intelsat General Corporation: Recent Contract Wins
8.1.52 Intelsat General Corporation: Financial Analysis
8.1.53 ITT Exelis: Overview
8.1.54 ITT Exelis: Products and Services
8.1.55 ITT Exelis: Recent Contract Wins
8.1.56 ITT Exelis: Financial Analysis
8.1.57 Harris Corporation: Overview
8.1.58 Harris Corporation: Products and Services
8.1.59 Harris Corporation: Recent Contract Wins
8.1.60 Harris Corporation: Financial Analysis

9 Appendix
9.1 Methodology
9.2 About SDI
9.3 Disclaimer

List of Tables


Table 1: Global Military Satellite Market Overview
Table 2: Global Military Satellite Market Overview
Table 3: SWOT Analysis of the Military Satellite Market
Table 4: Leading Military Satellite Markets and Top Three Segments
Table 5: US Military Satellite Market Overview
Table 6: Key Military Satellite Programs
Table 7: Russian Military Satellite Market Overview
Table 8: Key Russian Military Satellite Programs
Table 9: French Military Satellite Market Overview
Table 10: Major French Military Satellite Programs
Table 11: Italian Military Satellites Market Overview
Table 12: Major Italian UAV payload Programs
Table 13: Chinese Military Satellite Market Overview
Table 14: Key Chinese Military Satellite Programs
Table 15: Indian Military Satellite Market Overview
Table 16: Key Indian Military Satellite Programs
Table 17: Australian Military Satellite Market Overview
Table 18: Brazilian Military Satellites Market Overview
Table 19: Israeli Military Satellite Market Overview
Table 20: Iranian Military Satellite Market Overview
Table 21: South African Military Satellite Market Overview
Table 22: Program Details - World-Wide Satellite Systems (WWSS) program
Table 23: Program Details - Military communication satellite (GSAT-7 and GSAT-7A) Program
Table 24: Program Details - ATHENA-FIDUS Program
Table 25: Program Details - Fifth and sixth satellites in the Space Based Infrared System (SBIRS) missile warning constellation program
Table 26: Program Details - Optical Space Component Program
Table 27: Program Details -National Polar Orbiting Operational Environmental Satellite System program
Table 28: Program Details - GPS III satellite program
Table 29: Program Details - Galileo Program
Table 30: Program Details - Compass Navigation Satellite System-Beidou-II Program
Table 31: Key Global Military Satellite Manufacturers and Capabilities
Table 32: Boeing - Recent Contract Wins
Table 33: Northrop Grumman - Alliances
Table 34: Northrop Grumman - Recent Contract Wins
Table 35: Israel Aerospace Industries - Alliances
Table 36: Israel Aerospace Industries - Recent Contract Wins
Table 37: Telespazio - Recent Contract Wins
Table 38: QinetiQ - Recent Contract Wins
Table 39: Thales - Alliances
Table 40: Thales - Recent Contract Wins
Table 41: Raytheon - Recent Contract Wins
Table 42: Astrium - Alliances
Table 43: Astrium - Recent Contract Wins
Table 44: Mitsubishi Electric Corporation - Recent Contract Wins
Table 45: ISS Reshetnev - Alliances
Table 46: ISS Reshetnev - Recent Contract Wins
Table 47: Lockheed Martin - Alliances
Table 48: Lockheed Martin - Recent Contract Wins
Table 49: Intelsat General Corporation - Recent Contract Wins
Table 50: ITT Exelis - Recent Contract Wins
Table 51: Harris Corporation - Recent Contract Wins

List of Figures


Figure 1: Global Military Satellite Market (US$ Billion), 2012-2022
Figure 2: Military Satellite Market Breakdown by Region (%), 2012-2022
Figure 3: North American Military Satellites Market (US$ Billion), 2012-2022
Figure 4: European Military Satellite Market (US$ Billion), 2012-2022
Figure 5: Asia-Pacific Military Satellite Market (US$ Million), 2012-2022
Figure 6: Middle East Military Satellite Market (US$ Million), 2012-2022
Figure 7: Latin American Military Satellite Market (US$ Million), 2012-2022
Figure 8: African Military Satellite Market (US$ Million), 2012-2022
Figure 9: Military Satellite Market Breakdown by Segment (%), 2012-2022
Figure 10: Communications Market Size (US$ Billion), 2012-2022
Figure 11: ISR Market Size (US$ Billion), 2012-2022
Figure 12: Navigation Market Size (US$ Billion), 2012-2022
Figure 13: Defense Capital Expenditure of Top Three European Defense Spenders (US$ Billion), 2012-2022
Figure 14: Defense Capital Expenditure of Top Three Asian Defense Spenders (US$ Billion), 2012-2022
Figure 15: Defense Capital Expenditure of Top North American Defense Spenders (US$ Billion), 2012-2022
Figure 16: Defense Capital Expenditure of Top Three South American Defense Spenders (US$ Billion), 2012-2022
Figure 17: Defense Capital Expenditure of Top Three African Countries (US$ Billion), 2012-2022
Figure 18: Defense Capital Expenditure of Top Three Middle Eastern Defense Spenders (US$ Billion), 2012-2022
Figure 19: Military Satellite Market in the US (US$ Billion), 2012-2022
Figure 20: Military Satellite Market Split By Category in the US (%), 2012-2022
Figure 21: Communications Market Size in the US (US$ Billion), 2012-2022
Figure 22: ISR Market Size in the US (US$ Billion), 2012-2022
Figure 23: Navigation Market Size in the US (US$ Billion), 2012-2022
Figure 24: Military Satellite Market in the Russia (US$ Billion), 2012-2022
Figure 25: Military Satellite Market Split By Category in Russia (%), 2012-2022
Figure 26: Communication Satellites Market Size in Russia (US$ Million), 2012-2022
Figure 27: Navigation Satellite Market Size in Russia (US$ Million), 2012-2022
Figure 28: ISR Satellite Market Size in Russia (US$ Million), 2012-2022
Figure 29: Military Satellite Market in France (US$ million), 2012-2022
Figure 30: UAV Payload Market Split by Sector in France (%), 2012-2022
Figure 31: Communication Satellites Market Size in France (US$ Million), 2012-2022
Figure 32: ISR Satellite Market Size in France (US$ Million), 2012-2022
Figure 33: Military Satellites Market in Italy (US$ Million), 2012-2022
Figure 34: Military Satellites Market Split by Sector in Italy (%), 2012-2022
Figure 35: Communication Satellites Market Size in Italy (US$ Million), 2012-2022
Figure 36: ISR Satellite Market Size in Italy (US$ Million), 2012-2022
Figure 37: Military Satellite Market in China (US$ Million), 2012-2022
Figure 38: Military Satellite Market Split by Sector in China (%), 2012-2022
Figure 39: Navigation Satellite Market Size in China (US$ Million), 2012-2022
Figure 40: ISR Satellite Market Size in China (US$ Million), 2012-2022
Figure 41: Communication Satellite Market Size in China (US$ Million), 2012-2022
Figure 42: Military Satellite Market in India (US$ Million), 2012-2022
Figure 43: Military Satellite Market Split by Sector in India (%), 2012-2022
Figure 44: Communication Satellite Market Size in India (US$ Million), 2012-2022
Figure 45: ISR Satellite Market Size in India (US$ Million), 2012-2022
Figure 46: Communication Satellite Market Size in India (US$ Million), 2012-2022
Figure 47: Military Satellite Market in Australia (US$ Million), 2012-2022
Figure 48: Military Satellite Market Split by Sector in Australia (%), 2012-2022
Figure 49: Communication Satellite Market Size in Australia (US$ Million), 2012-2022
Figure 50: ISR Satellite Market Size in Australia (US$ Million), 2012-2022
Figure 51: Military Satellite Market in Brazil (US$ Million), 2012-2022
Figure 52: Communication Satellite Market Size in Brazil (US$ Million), 2012-2022
Figure 53: ISR Satellite Market Size in Brazil (US$ Million), 2012-2022
Figure 54: Military Satellite Market in Israel (US$ Million), 2012-2022
Figure 55: Military Satellite Market Split by Sector in Israel (%), 2012-2022
Figure 56: ISR Satellite Market Size in Israel (US$ Million), 2012-2022
Figure 57: Military Satellite Market in Iran (US$ Million), 2012-2022
Figure 58: Military Satellite Market Split by Sector in Iran (%), 2012-2022
Figure 59: ISR Satellites Market Size in Iran (US$ Million), 2012-2022
Figure 60: Military Satellite Market in South Africa (US$ Million), 2012-2022
Figure 61: Communication Satellite Market Size in South Africa (US$ Million), 2012-2022
Figure 62: Boeing - Revenue Trend Analysis (US$ Billion), 2007-2011
Figure 63: Boeing - Operating Profit (US$ Million), 2007-2011
Figure 64: Boeing - Net Profit Trend Analysis (US$ Million), 2007-2011
Figure 65: Northrop Grumman - Revenue Trend Analysis (US$ Billion), 2007-2011
Figure 66: Northrop Grumman - Operating Profit (US$ Million), 2007-2011
Figure 67: Northrop Grumman - Net Profit Trend Analysis (US$ Million), 2007-2011
Figure 68: Qinetiq- Revenue Trend Analysis (US$ Million), 2007-2011
Figure 69: Qinetiq - Operating Profit (US$ Million), 2009-2011
Figure 70: Qinetiq - Net Profit Trend Analysis (US$ Million), 2009-2011
Figure 71: Thales - Revenue Trend Analysis (EUR Billion), 2007-2011
Figure 72: Thales - Operating Profit (EUR Million), 2007-2011
Figure 73: Thales - Net Profit Trend Analysis (EUR Million), 2007-2011
Figure 74: Raytheon - Revenue Trend Analysis (US$ Billion), 2007-2011
Figure 75: Raytheon - Operating Profit (US$ Million), 2007-2011
Figure 76: Raytheon - Net Profit Trend Analysis (US$ Million), 2007-2011
Figure 77: Astrium - Revenue Trend Analysis (EUR Billion), 2007-2011
Figure 78: Astrium - Operating Profit (EUR Million), 2007-2011
Figure 79: Mitsubishi Electric Corporation - Revenue Trend Analysis (US$ Billion), 2007-2011
Figure 80: Mitsubishi Electric Corporation - Operating Profit (US$ Million), 2007-2011
Figure 81: Mitsubishi Electric Corporation - Net Profit Trend Analysis (EUR Million), 2007-2011
Figure 82: Lockheed Martin- Revenue Trend Analysis (US$ Billion), 2007-2011
Figure 83: Lockheed Martin - Operating Profit (US$ Million), 2007-2011
Figure 84: Lockheed Martin - Net Profit Trend Analysis (US$ Million), 2007-2011
Figure 85: Intelsat General Corporation - Revenue Trend Analysis (US$ Billion), 2007-2011
Figure 86: Intelsat General Corporation - Operating Profit (US$ Million), 2007-2011
Figure 87: ITT Exelis - Revenue Trend Analysis (US$ Billion), 2009-2011
Figure 88: ITT Exelis - Operating Profit (US$ Million), 2009-2011
Figure 89: ITT Exelis - Net Profit Trend Analysis (US$ Million), 2009-2011
Figure 90: Harris Corporation - Revenue Trend Analysis (US$ Billion), 2009-2011
Figure 91: Harris Corporation - Operating Profit (US$ Million), 2009-2011
Figure 92: Harris Corporation - Net Profit Trend Analysis (US$ Million), 2009-2011

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