New research from CCS Insight brings attention to a significant development in the telecommunications industry: the integration of satellite capabilities in mass-market smartphones. The research firm’s report, Spotlight: Direct Satellite-to-Device Mobile Services, sheds light on the nascent market as basic satellite communication services reach more and more people.
The report reveals new opportunities for enhanced global connectivity, with projected growth in satellite-connected devices and the introduction of new satellite constellations that can fill connectivity gaps in remote areas.
CCS Insight forecasts that 92 million phones will have built-in satellite messaging functionality by the end of 2023, a significant rise from just under 2 million devices in 2021. This remarkable shift in accessibility is driven by Apple’s tie-up with Globalstar for the Emergency SOS feature in the iPhone 14 range, as well as Qualcomm’s partnership with Iridium, which is bringing similar capabilities to Android phones.
Satellite communication services were previously limited to a niche market of users with specialised handsets, but they are becoming available to more and more people, bringing connectivity to remote locations with limited traditional network coverage.
“Bringing satellite capabilities to mass-market smartphones marks a milestone in the telecom industry,” said Luke Pearce, Senior Analyst at CCS Insight. “This development creates exciting opportunities for consumers, manufacturers and operators and promises to help bridge the digital divide. The projected growth in revenue and subscribers highlights the potential this integration holds for expanding connectivity options — we’re witnessing the start of a new era where satellite services become an integral part of everyday smartphones.”
According to the research firm, the integration of satellite connectivity on mobile devices will soon no longer be reliant on hardware modifications. With commercial services expected to launch later in 2023, new low-Earth-orbit satellite constellations led by AST SpaceMobile, Lynk and SpaceX will work alongside terrestrial mobile networks to provide satellite connectivity to all unmodified phones.
CCS Insight believes that initially, these enhanced satellite networks will offer basic messaging functions like Apple’s Emergency SOS service, but the capability could grow to deliver voice and data services as the constellations evolve. Network operators will be able to offer these satellite services as add-ons to existing subscription packages, catering to the growing demand for ubiquitous connectivity.
