5G NTN market is anticipated to grow at an exponential CAGR of 40.6% during the forecast period (2024-2031). A 5G NTN is designed to provide high speed wireless connectivity to remote and underserved locations, by leveraging a ‘space segment’ in the access side of the mobile network to deliver mobile services to users on the ground from satellites. 

Market Dynamics

Growing Demand for Data-intensive Applications and Services

5G NTN combines 5G technology with space-based communications infrastructure, like satellites or higher altitudes, to meet the increasing data demands of different applications and services. There is a growing need for high-quality, reliable connectivity with high-definition video content and increased streaming capacity. 5G NTN offers faster download and stream speeds, and allows for a smooth streaming experience, such as 4K or 8K video. Big data analytics and artificial intelligence (AI) algorithms often require fast, smooth connectivity to process data in real-time, allowing for agile analysis and AI-powered services like predictive maintenance and personalized recommendations, as well as scheduling and around-the-clock services.Low-latency connectivity is essential for autonomous vehicles and traffic management, as well as vehicle networks, to improve safety and performance. All of these factors are contributing to the growth of the 5G NTN market.

3GPP Evolution Toward NTN Interworking and Integration

An organisation called the 3rd Generation Connectivity Programme (3GPP) creates and upholds telecom standards. One of the new 5G capabilities boosting market demand is the combination of terrestrial networks with non-terrestrial networks (NTNs), such as satellites in LEO or GEO or HAPS flying in the stratosphere. The 3GPR R17 standard also requires NTN to function. As 5G-Advanced, it is still developing and is now a crucial component of the 3GPR 18 R18 Action Plan. Furthermore, a wide range of individual and end-user applications will employ direct satellite connections with mobile phones in the future, significantly increasing the utility of satellites. Strong global pushes are being made for new convergent technologies, integration chains, and cellular satellite group integration.

Market Segmentation

Our in-depth analysis of the global 5G NTN market includes the following segments by application, component, location and end user:

• Based on application, the market is sub-segmented into enhanced mobile broadband (EMBB), ultra reliable and low latency communications (URLCC) and massive machine-type communications (MMTC).

• Based on component, the market is sub-segmented intohardware, solution, and service.

• Based on location, the market is augmented into urban, rural, remote and isolated.

• Based on end-user, the market is augmented into maritime, aerospace and defense, government, mining and others.

Hardware is Projected to Emerge as the Largest Segment

Based on the component, the global 5G NTN market is sub-segmented into hardware, solution and service. Among these, theThe hardware segment of the 5G NTN has been broadly classified into User Equipment, satellite gateway stations, base stations and other hardware. These hardware elements support the 5G NTN communication. In the %G NTN architecture, UE is categorized as handheld and very small aperture terminals (VSAT). VSAT and handheld operate in the radio frequwncy of ka-band (20GHz for fownlink and 30 GHz for uplink) and S-band (2GHz), respectively. Some satellite constellations consider VSAT, which is most likely stationary devices mounted on buildings or vehicles. NTN gateway is a logical node used to connect the NTN platform with the 5G network. Satellites are used to expand the netwok coverage in 5GNTN infrastructure , such as LEO, MEO and GEO satellites that provide network coverag ranging from 300 km to 36,000 km from the Earth’s surface.The NTN system uses various satellite gateways that provide connectivity between the public network and NTN. 

MMTC Sub-segment to Hold a Considerable Market Share

MMTC is designed to efficiently support an extensive number of online devices with high-density and extended-range capabilities. In MMTC connections, devices can intermittently broadcast small amounts of traffic to communicate with each other. The utilization of LEO satellites is favored for delivering mMTC services due to their reduced path loss and lower transmission delays. Anticipated as a key application area for 5G, mMTC holds significant promise in the realm of Internet of Things (IoT) and Machine-to-Machine (M2M) communication. The broader concept of IoT involves connecting objects, sensors, appliances, and various devices for data collection, control, and analysis. This encompasses applications in smart homes, security systems, logistics and tracking, energy management, healthcare, and diverse industrial operations. The integration of mMTC in the 5G framework is poised to play a crucial role in advancing connectivity for a myriad of IoT and M2M applications across various sectors.

Regional Outlook

The global5G NTN market is further segmented based on geography including North America (the US, and Canada), Europe (UK, Italy, Spain, Germany, France, and the Rest of Europe), Asia-Pacific (India, China, Japan, South Korea, and Rest of Asia), and the Rest of the World (the Middle East & Africa, and Latin America). Growing population, expanding infrastructure, and emerging technologies all contribute substantially to the expansion of the 5G NTN market in the Asia-Pacific region. A significant factor in this region's deployment of 5G NTN technologies is the necessity to increase public safety in emergency and disaster circumstances.

Global 5G NTN Market Growth by Region 2024-2031

North America Holds Major Market Share

Among all the regions, North America holds a significant share owing to increased investment by industry players in research and development, to deliver cost-effective high-speed communication solutions and extensive adoption of 5G technology in the US. A surge in demand for 5G NTN solution in this region is propelled by several factors including the widespread use of smart connected devices, the proliferation of the industrial Internet of everything(IIoE), and the increasing commercialization of 5G services. The region has witnessed a substantial increase in the deployment of 5G services driven by a robust ecosystem and a proactive approach to technological advancements. According to the Mobile Economy report published by Global System for Mobile Communication (GSMA), North America exhibited a 14.0% penetration of 5G connections in 2022, a figure anticipatedto surge to 64% by the conclusion of 2025.

Market Players Outlook

*Note: Major Players Sorted in No Particular Order.

The major companies serving the global 5G NTN market include Keysight Technologies Inc., MediaTek Inc., Qualcomm Technologies Inc., and Thales Group., among others. The market players are increasingly focusing on business expansion and product development by applying strategies such as collaborations, mergers, and acquisitions to stay competitive in the market. In February 2023, for direct communication between smartphones and satellites, particularly in distant places, Samsung Electronics Co., Ltd. has acquired standardized 5G non-terrestrial networks (NTN) modem technology. Samsung intends to include this technology into its Exynos modem offerings, speeding up the commercialization of 5G satellite communications and laying the groundwork for the Internet of Everything (IoE) era, which will be driven by 6G.

The Report Covers

• Market value data analysis of 2023 and forecast to 2031.
• Annualized market revenues ($ million) for each market segment.
• Country-wise analysis of major geographical regions.
• Key companies operating in the global 5G NTN market. Based on the availability of data, information related to new product launches, and relevant news is also available in the report.
• Analysis of business strategies by identifying the key market segments positioned for strong growth in the future.
• Analysis of market-entry and market expansion strategies.
• Competitive strategies by identifying ‘who-stands-where’ in the market.