Satellite-based connectivity: a threat to MNOs?

Before the end of this decade newly-launched fleets of ‘routers in space’ circling the globe in low earth orbit (LEO) promise to boost satellite-based communications’ capacity and capability, and elevate satcoms’ position in the telecommunications market.

Launches from companies like LeoSat Enterprises, OneWeb and SpaceX aim to compete with incumbent satellite offerings relayed from constellations orbiting at higher altitudes. Their proprietors speak of providing links with low latency levels and speeds as fast as or faster than earthbound fibre. If their ambitions work out these new low orbit/high-throughput satellite (HTS) networks will offer alternative wireless communications for service retailers and intermediaries.

Mobile satellite service provider Globalstar is already ahead in the new space race, having had its LEO fleet in operation since the early 2010s. Although Globalstar’s market model varies from those of LeoSat and OneWeb, its success has demonstrated the viability of low orbit satcoms for specialised service delivery across diverse vertical sectors.