Global Satellite Propulsion Market Research Report: Forecast (2023-2028)

Market Definition

Satellite Propulsion is a system used to give thrust to the satellite so that it can move. Under the propulsion system, the working liquid fuel is accelerated, creating a force on the system, thereby adding momentum for the artificial satellites & spacecraft.

Market Insights & Analysis: Global Satellite Propulsion Market (2023-28)

The Global Satellite Propulsion Market is projected to grow at a CAGR of around 6.7% during the forecast period, i.e., 2023-28. A major factor attributing to its growth is the increase in the number of satellite launches, both by government space agencies as well as private companies. Various companies in the private sector, such as SpaceX, Virgin Galactic, etc., have entered into the satellite manufacturing as well as satellite launch industries in the historical years, which has revolutionized the satellite industry leading to the adoption of new technologies to reduce the cost. This phenomenon has subsequently, attracted a large number of industries to opt for the economical space launch solution for their satellite, further promoting the satellite industry & the market of satellite propulsion systems.

Additionally, the emergence of 5G and long-distance data transfer via satellite has marked its presence in a large number of countries, promoting the need for satellite communication systems. In line with the growing demand for satellite communication and data transfer requirements, many private sector companies have started the launch of satellites in Low Earth Orbit (LEO) to provide all-weather communication services to customers. For instance,

• In 2022, Hughes Communication India launched its satellite communication services in India using Indian Space Research Organisation (ISRO)’s Geosynchronous Satellite (GSAT)-11 and GSAT-29 satellites. However, with the enhancing consumer base in India for data services the company is expected to expand its services through the potential launch of new satellites in the coming years.
• In 2023, the Falcon 9 rocket of SpaceX launched 51 ‘Starlink’ satellites into space under the satellite communication services providing project of the company. SpaceX, a US-based spacecraft manufacturing company, started the launch of its communication satellites in LEO to provide internet access coverage globally. The intended mega constellation of 42,000 satellites of 260 kg, each would help the company to provide internet services across the globe.

Blue Origin is another prominent company that announced to launch of satellite services under its ‘Project Kuiper’ in 2019. With the growing focus on satellite communication services the demand for new satellite manufacturing as well as using various types of geostationary and geosynchronous satellites would thrive in the coming years subsequently, leading to promote the demand for satellite propulsion systems which are crucial for the satellite movement in space to follow the intended orbit.

Global Satellite Propulsion Market Key Driver:

Growing Launches of Navigation & Telecommunication Satellites to Promote the Satellite Propulsion Market - Navigation & Communication both play a crucial role in the majority of the services being availed by the customers. This has led many developing countries, such as China, India, South Korea, Japan, etc., to implement their domestic navigation satellite systems & expand telecommunication services through satellite communication. Navigation and telecommunication satellites require onboard propulsion systems for effective operational life, which necessitates course correction in orbit as well as pacing the satellite in the graveyard orbit at the end of the lifecycle.

With the growing focus on reducing the dependence on other countries for navigation & communication satellites, the focus of developing countries towards home-grown satellite systems would enhance in the coming years, leading to the massive demand for satellite propulsion systems in the coming years.

Global Satellite Propulsion Market Key Trend:

Rising Usage of Electric Propulsion Systems - The burgeoning research & development in the space field has resulted in the discovery of electric propulsion systems to be used in satellites. These electric propulsion systems are convenient to be used in comparison to the traditional chemical propulsion system because it reduces the fuel load capacity to be carried in the spacecraft, as with the use of an electric propulsion system, thrust can be created in ions using electricity. This, in turn, generates force and causes the satellite to move.

The ion propulsion system is an emerging technology that can be used in communication satellites. As communication satellites are generally lightweight, using an ion propulsion system reduces their overall weight, saving a lot of fuel costs while launching these satellites into Low Earth Orbit.

With the growing focus on weight reduction & effective usage of thrust for the longer lifecycle of the satellites, it is anticipated that the adoption of electric ion propulsion would assist the growth of the Global Satellite Propulsion market in the forecast years.

Global Satellite Propulsion Market Possible Restraint:

High Cost of Satellite Launch & Rising International Sanctions to Hinder the Market - The Satellite launch is an expensive endeavor due to the cost involved with various non-reusable components & structures. The majority of countries around the world use single-launch vehicles for satellite launches, which raises the cost of a satellite launch. Furthermore, countries with the capability of launching a large number of satellites into space, such as the United States, India, and China, are limited, which results in higher expenses per satellite launch due to a lack of cost distribution among various clients.

Moreover, many countries have faced international sanctions, reducing the effective launch time of the satellite. This has also resulted in fewer space and satellite launches by several agencies, affecting the satellite launch market and contributing to the Satellite Propulsion market. In 2022, the Russian Federation faced sanctions, forcing many European and Asian countries to either find alternative satellite launch platforms or reduce their launch programs. The European Union launched 11 satellites in 2021, however, that number was reduced to 5 in 2022 due to restrictions imposed on the Russian Space Agency ROSCOSMOS.

Hence, taking the factors into account, the satellite launch is expected to experience challenges in the coming years, subsequently affecting the global market during 2023-2028.

Global Satellite Propulsion Market Growth Opportunity:

Surging Inclination Towards Internet Application Satellites Across the Globe - Satellite communication systems have greatly expanded in response to the rising demand for communication and data transfer services. With the launch of various satellite constellations to effectively offer mobile and internet services through SATCOM for a wider user base in multiple regions, numerous private companies have flagged their presence in the industry.

In order to achieve this goal, SpaceX has begun the deployment of its Starlink mobile and data transfer satellite constellation, consisting of over 3,000 satellites by 2022. These satellites move in space using krypton-fueled Hall thrusters, which are presumed to grow in the coming years as the company plans to launch around 42,000 satellites to complete its global constellation.

• In 2020, the government of India opened up its space sector for the entry of private players & to promote startups in the space industry. For it, the government created a dedicated commercial authority, ‘InSpace’, to attract private players, resulting in the entry of private players within the Indian space sector & the launch of small satellites by private players. Like in 2022, Pixxel launched its small satellite Sakuntala in collaboration with SpaceX.

Various other companies, such as Blue Origin, Eutelsat, Hughes, etc., are expected to enter the telecom & data, offering the market with the planned launch of their satellites in the coming years, upscaling the market growth.

Global Satellite Propulsion Market (2023-28): Segmentation Analysis

The Global Satellite Propulsion Market study of MarkNtel Advisors evaluates & highlights the major trends & influencing factors in each segment & includes predictions for the period 2023–2028 at the global, regional, and national levels. Based on the System Type, and Application the market has been further classified as:

Based on the System Type:

• Bipropellant Propulsion System
• Monopropellant Propulsion System
• Ion-Thruster Propulsion Systems
• Pulsed Plasma Thrusters
• Solar Sail Propulsion
• Others (VASMIR, Amphipolar Thrusters, etc.)

Bipropellant Propulsion System, in particular, has captured a significant market share in the Global Satellite Propulsion System market. Due to its higher efficiency in generating thrust & suitability for operating medium to large satellites in space, the bipropellant is a well-established technology among many space agencies. Besides, given the accessibility of both oxidizers & fuel in separate tanks, the technology has an effective mechanism for regulating the flow of thrust.

However, space agencies are increasingly adopting electric propulsion & solar sail propulsion for space applications due to the burgeoning need for a smaller category of satellites suitable for a limited period & minimal transmission requirement. These technologies also aid to reduce the overall weight of the payload as a result of a decrease in the size of the satellite due to the use of the mechanism of accelerating the ion and using solar energy to fulfill the thrust requirement. This transitional shift would assist the demand for respective propulsion technologies to operate small and medium-sized satellites in Low Earth Orbit that are more suitable for satellite communication and earth observation purposes. 

With the opening up of the space sector, many more private players & startups are projected to come up and launch their own small & medium satellites. This would generate more demand for bipropellant propulsion systems, thus creating a conducive environment for the progression of the market.

Based on the Application:

• Application Satellite
  • Communication & Broadcasting
  • Weather
  • Navigation
  • Others
• Science Satellite
• Technology Experiment Satellite

Of them all, the Application Satellite, which includes satellites for navigation, communication, or mapping activities, dominates the application of satellite propulsion systems. Access to the internet has grown in tandem with technological advancement & device integration. This has prompted a need for faster internet connections, which necessitate low latency rates, which can be achieved by launching small communication satellites into Low Earth Orbit (LEO). Moreover, several private players have announced plans to launch multiple LEO satellites in order to create a satellite network & provide faster internet connectivity. For instance:

• SpaceX announced the launch of 61 satellites in 2022, up from 31 in 2021. The majority of the satellites in the launch fall into the satellite communication category, indicating that the segment would grow more rapidly in the coming years.
• In 2022, India launched GSAT 24 satellites in collaboration with the French space company Arianespace from French Guiana in South America. These satellites would provide PAN India coverage for DTH services.

Additionally, satellite launches are scheduled for the coming years, which would further create the demand for the propulsion systems, to launch the satellite in the intended orbit on the right trajectory. These developments are creating a conducive market outlook for the growth of the Global Satellite Propulsion market during the forecast period.

Global Satellite Propulsion Market Regional Projection

Geographically, the global market expands across:

• Americas
• Europe
• Asia-Pacific
• Rest of the World

Of them all regions, the Americas region dominates the Global Satellite Propulsion System market due to the dominance of NASA & SpaceX within the space sector globally. The active participation of both private & government space agencies aided in the expansion of the satellite business in the region. Due to NASA's ongoing underdevelopment of the space launch vehicle project Orion, the Americas has a higher share of global satellite launches, the majority of which are conducted by SpaceX.

Aside from North America, Europe is a dominant region for satellite propulsion systems due to the continent's two major space agencies, the European Space Agency & ROSCOSMOS. Apart from that, private players are also actively involved in the space sector, which has resulted in a notable rise in the number of satellite launches for space exploration, leading to an enormous requirement for propulsion systems to be installed in satellites. To counter American influence, the number of satellite launches in the coming years will ramp up, particularly by ROSCOSMOS in the communication and terrain mapping domains. This is envisioned to end up in a favorable market outlook for the Global Satellite Propulsion System market over the next decade.

Global Satellite Propulsion Industry Recent Developments 

• 2023: In support of the USSF-67 mission, Northrop Grumman Corporation launched the Long Duration Propulsive ESPA (LDPE)-3A. ESPA Star is an orbit command & control space technology that would support satellites throughout their entire lifecycle.
• 2022: Airbus SAS selected Ariane Group for its first liquid hydrogen technology for its zero-emission obligations to be used in aerospace applications.

Gain a Competitive Edge with Our Global Satellite Propulsion Market Report

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