Satellite Telecommunications Activities in the UK: Industry Market Research Report Now Updated by IBISWorld

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Consumers' continued adoption of smartphones and tablets and the associated growth in demand for mobile data are anticipated to offer significant growth opportunities for the Satellite Telecommunications Activities industry over the next five years through 2017-18. For these reasons, industry research firm IBISWorld has updated its report on the Satellite Telecommunications Activities industry.

IBISWorld industry market research
The continuing adoption of smartphones and tablets offer significant growth opportunities for the industry.

The performance of the UK Satellite Telecommunications Activities industry has traditionally been volatile, and in the five years through 2012-13 revenue is forecast to grow at a compound annual rate of 3.6% to £1.38 billion. Revenue is however expected to fall 1.0% in 2012-13. Companies in the industry operate and provide access to satellite infrastructure, and also purchase network access to resell to telecommunications operators, other businesses and government. The bulk of industry revenue is derived from communications activities (73.7% of annual revenue), with support services, navigation and earth observation and other services accounting for the remainder.

Demand for telecommunications services has proved robust despite the recession in UK economic activity. According to IBISWorld industry analyst Andrew Johnson, “the growing importance of internet connectivity to people's lives and the switch from analogue to digital TV has driven demand for satellite capacity”. The key to success in the industry over the past five years has been to develop ties with similar industries. Industry operators not in a position to do so have benefited less from technological improvements and have been more exposed to tough market conditions. The recession has had an effect on smaller industry players and some owners of satellite infrastructure with high debt levels. Overall revenue growth has also been affected by the development of competing services, including fibre optic and wireless services.

Over the next five years, consumers' continued adoption of smartphones and tablets and the associated growth in demand for mobile data are anticipated to offer significant growth opportunities for the industry. Johnson adds, “in particular, the development of high-speed mobile internet technologies and the market's insatiable desire for data downloads will create a significant market for satellite capacity”. Earth observation and navigational systems are also expected to be key areas of growth. Industry revenue is forecast to increase modestly through to 2017-18. Revenue volatility is expected to decline as the industry matures. The focus on the digital economy and the UK Space Agency's role in this will be supportive of the industry.

The UK Satellite Telecommunications Activities industry exhibits a medium level of market share concentration, with the top four participants anticipated to account for 55.4% of industry revenue in 2012-13. Major companies include Paradigm Secure Communications, SES Astra, Eutelsat Communications Group and Inmarsat.

For more information on the Satellite Telecommunications Activities industry, including latest industry trends, statistics, analysis and market share information, purchase the full report from IBISWorld, the nation’s largest publisher of industry research.

IBISWorld industry Report Key Topics

Industry participants operate, maintain and provide access to satellite infrastructure for the transmission of voice, data, text, sound and video using satellite systems. Industry operators may also transmit visual, aural or textual programming to consumers via direct-to-home satellite systems. The industry excludes the provision of satellite TV broadcasting.

Industry Performance
Executive Summary
Key External Drivers
Current Performance
Industry Outlook
Industry Life Cycle
Products & Markets
Supply Chain
Products & Services
Major Markets
Globalisation & Trade
Business Locations
Competitive Landscape
Market Share Concentration
Key Success Factors
Cost Structure Benchmarks
Barriers to Entry
Major Companies
Operating Conditions
Capital Intensity
Key Statistics
Industry Data
Annual Change
Key Ratios

About IBISWorld
Recognised as the nation’s most trusted independent source of industry and market research, IBISWorld offers a comprehensive database of unique information and analysis on many UK industries. With an extensive online portfolio, valued for its depth and scope, the company equips clients with the insight necessary to make better business decisions. Headquartered in London, IBISWorld serves a range of business, professional service and government organisations through more than 10 locations worldwide. For more information, visit or call (020) 3008 6568.

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Gavin Smith
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