Demand for Earth Observation Systems to Surge for Defence and Infrastructure Applications: Fact.MR
Published : 27 Apr 2021 Industry: Technology
North America accounts for a majority market share in earth observation systems, followed by Europe. This is due to its highly developed space technology such as reusable rockets. Also, the main use of earth observation systems is defence, which is another reason for North America’s dominance of the global market. Key players are functioning actively and investing heavily in infrastructure development, resulting in increased data efficiency, reliability, and flexibility. Advancements in technological architecture are critical to market expansion.
As per a revised report published by Fact.MR, the earth observation system (EOS) market is anticipated to surpass US$ 5 Bn valuation in 2021, and is poised to expand at a CAGR of around 9% over the next ten years.
Key Takeaways from Market Study
- The global EOS market is expected to grow 2.4X in value by 2031.
- Value-added services as a solution capture the highest share of more than half of the global market, and are set to create an absolute $ opportunity of around US$ 3 Bn by 2031.
- Among the applications, infrastructure has been the fastest-growing segment, owing to rise in penetration of EOS across multiple industries over the past decade. Defence holds the highest market share with more than 40%, and is expected to expand at around 9.5% CAGR through 2031.
- North America is set to dominate market revenue in 2021, and is expected to gain 180 BPS points by the end of 2031.
- Europe is the second-largest market for EOS, with more than 22% global market share, but is expected to lose 56 BPS by the end of 2031.
“Investments infrastructure applications can be highly beneficial to EOS suppliers over the coming years,”says a Fact.MR analyst.
Key players in this market are continuously investing in technological advancements and research & development to come up with improved and efficient equipment and cost reduction. For instance, SpaceX has made a significant contribution to reusable rockets, which drastically reduced the costs of remanufacturing. This allows companies to perform their space programs and launches with better efficiency, lower costs, and improved flexibility of data acquired. These advancements will propel market growth in the medium- to long-term forecast period.
More Valuable Insights
Fact.MR, in its new offering, presents an unbiased analysis of the global earth observation system market, presenting historical demand data (2016-2020) and forecast statistics for the period of 2021-2031. The study divulges essential insights on the market on the basis of solution (commercial data and value-added services) and application (defence, infrastructure, environment and natural resource monitoring, power & energy, location-based services, maritime, disaster management, and others), across six major regions of the world (North America, Latin America, Europe, East Asia, South Asia & Oceania, and the Middle East & Africa).
About the ICT Division at Fact.MR
Expert analysis, actionable insights, and strategic recommendations of the highly seasoned Industrial team at Fact.MR helps clients from across the globe with their unique business intelligence needs. With a repertoire of over thousand reports and 1 million-plus data points, the team has analysed the automotive industry across 50+ countries for over a decade. The team provides unmatched end-to-end research and consulting services. Reach out to explore how we can help.
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Sr. Consultant - ICT