Procurement Market Intelligence Report

Satellite & Earth Communication Systems Services
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Satellite & Earth Communication Systems Services Global Overview

Definition

Summary

Satellite and earth communication systems (SECS) services use satellite technology to transmit and receive signals for various applications such as global telecommunications, broadcasting, internet connectivity, remote sensing, and emergency communications for consumers and businesses that do not have access to wired or cellular networks. The services are offered through large companies and small resellers that do not operate their own satellites but make satellite communication systems available to buyers. Buyers include businesses operating abroad and military agencies.

This Report Includes:

  • Satellite Communications Systems Services
  • Earth Communications Systems Services

Not in this Report:

  • Direct-to-Home Satellite Television Services
  • Internet Services

Global Satellite & Earth Communication Systems Services Procurement Trends

Discover the top international trends affecting procurement in the global Satellite & Earth Communication Systems Services market.

Warning Trends


Public sector demand slumps as the government enters shutdown

  • On October 1, the US federal government entered a shutdown after negotiations for a new appropriations bill failed.
  • During a government shutdown, essential federal government operations, such as law enforcement, air-traffic control, and social security, persist, while nonessential operations are paused and workers involved in these operations are furloughed. Thus, the current shutdown is expected to result in 750,000 federal workers being furloughed, representing a $400 million reduction in daily expenditure by the federal government.
  • This significant reduction in federal spending and operations will affect the entire US economy, weakening aggregate demand and slowing economic growth. For example, the 35-day government shutdown in Q1, 2019, reduced aggregate demand in both the public and private sectors, resulting in a 0.2% reduction in GDP growth that quarter.
  • The effects of the shutdown are likely to be most acute in markets where the public sector is a major buyer segment, weakening demand and increasing average vendor risk by destabilizing important revenue streams.
  • As negotiations for a new appropriations bill to reopen the government remain ongoing, ProcurementIQ will continue to monitor the situation and update this story with the latest information.

Global Satellite & Earth Communication Systems Services Market - Suppliers by Region

Country/Region Number of Suppliers
#1 Oceania & Southeast Asia 5,055
#2 India 1,755
#3 Europe 1,570

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  • Canada
  • United States
  • Mexico
  • Latin America
  • South America
  • India
  • China
  • Europe
  • Africa & Middle East
  • Australi & New Zealand
  • Oceania & Southeast Asia

2

Geography Drilldown - US

Average Cost of Satellite & Earth Communication Systems Services

United States

2026 Market Pricing
$0.99 to $XX.XX
per minute

Average Price

Prices in the Satellite & Earth Communication Systems Services market range from $0.99 to $XX.XX, depending on Number of Minutes Purchased, Coverage, Call Quality and Internet Data Services. For example, lower prices are associated with 100-minute plans ($0.50 to $5.00 per minute), whereas higher prices are associated with 200-minute plans ($1.00 to $7.00 per minute).

Need the scoop on international price trends?

Between our Europe and Canada collections, we provide price data for 350 markets so you can instantly compare prices across borders. Or, use our custom research services for intel on prices in any region across the globe.

Satellite & Earth Communication Systems Services Category Price Trends

Pricing trends are indicated by the compound annual growth rate (CAGR) during a set period of time. For the Satellite & Earth Communication Systems Services market, prices in the US have declined -1.1% from 2022 to 2025. Subscribers can access price trend forecasts, price driver projections and forward-looking cost structure data. Learn more

United States (2022-2025)

-1.1%
Compound Annual Growth Rate
United States (2025-2028)

Compound Annual Growth Rate

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Price trend forecasts are available to subscribers, along with price driver projections and forward-looking cost structure data.

Cost Analysis - Total Cost of Ownership for Satellite & Earth Communication Systems Services

Total cost of ownership is Low in the Satellite & Earth Communication Systems Services market. The average cost of ownership differs depending on the contract but generally includes costs negotiated before the contract begins, costs billed during the contract period and unforeseen costs.

Negotiated Before

Installation

Depending on the scale of the satellite communication services required, a significant amount of hardware may need to be installed. The setup costs can represent a significant part of the total cost of standard contracts, which start at one year.

Billed During

Additional Fees

Lastly, buyers that use more than the purchased plan of minutes may face additional charges and a higher per-minute or per-megabyte fee for the additional data used. Buyers that make calls outside of the region designated in the contract may also face financial penalties.

Buyer Power in Procurement Negotiations

In 2026, buyer power amounts to 0.6 in the United States. Buyer power is most positively impacted by Recent Developments. It is most negatively impacted by Forecast Price Trend. Subscribers can access details on eight other factors that impact buyer power. Learn more

United States

0.6

Buyer power forecasts: your glimpse into the future

Develop strategies for the upcoming year and identify unforeseen opportunities for buying now

  • Actionable "Buy Now" and "Buy Later" insights
  • Near-real-time updates to current and forecast Buyer Power Scores
  • Methodology and weightings for Buyer Power Score Components

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Supply Chain Risk

The average level of supply chain risk is assessed as High, which has a negative impact on buyer power. The level of supply chain risk is affected by industry volatility, barriers to entry, competition, import penetration, regulation and industry financial risk. Buyers in this market can mitigate procurement and supply chain management risks by monitoring risk levels for individual first and second tier suppliers:

1st

Tier Suppliers

  • Telecom Networking Equipment Manufacturers
  • Wired Telecom Carriers
  • Satellite Manufacturers

2nd

Tier Suppliers

  • Semiconductor Manufacturers
  • Computer & Server Manufacturers
  • Circuit Board & Electronic Component Manufacturers
  • Wire & Cable Manufacturers

Biggest Satellite & Earth Communication Systems Services Suppliers in the US by Revenue

The largest Satellite & Earth Communication Systems Services vendors by revenue in the US are SpaceX, At&T Inc. and Echostar Corporation. Subscribers can sort and filter by market share concentration, profit level and other factors. Learn more

Supplier Operational Size Headquarters Number of Employees Market Share (%) Market Share Performance (3yr trend) Total Revenue ($ million) Profit Level (%) Risk Level
L3Harris Technologies Inc. International MELBOURNE >10,000 10-15
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Boeing Co Global ARLINGTON, WA >10,000 25+
Thuraya Telecommunications Company Global Dubai, AE 501-1,000 25+
Cobham Plc Global Bournemouth, UK 1,001-5,000 5-10
SpaceX 5-10
At&T Inc. Global DALLAS, TX >10,000 < 5
Echostar Corporation National ENGLEWOOD, CO 1,001-10,000 < 5
ViaSat Inc. International CARLSBAD, CA 1,001-10,000 < 5
Ses, Llc Global Betzdorf, LU 1,001-10,000 < 5

Looking for a list of suppliers by country?

Subscribers can access vendor information on Canadian and European suppliers, too. We also offer custom research services to help with vendor sourcing anywhere in the world.

Profit Analysis

The average profit margin across vendors in the Satellite & Earth Communication Systems Services market is 9.1% and steady. Profit levels shift depending on suppliers' spend on wages, purchases and overhead. The highest cost component for vendors is Purchases. The cost trend for this component is falling, when considering movement between 2025 and 2026. To understand cost forecasts for 2027 and uncover the implications on profit, start your subscription. Learn more

Vendor & Supply Chain Analysis

The average vendor risk is moderate, as there is a stable number of vendors participating, with others influencing a larger percentage of the market. This is compensated by other smaller vendors, which influences high competition.

Market share concentration for satellite and earth communication systems services is high. High concentration results from the substantial capital investments required to start a satellite communications company and high barriers to entry, giving established suppliers an advantage by reducing the ability of new providers to enter the market and compete.

Supply chain risk in the satellite and earth communication systems services market has been high. Risks mostly involve the initial purchase of inputs required to build the infrastructure that allows for the delivery of the services, which are readily available.

The United States is a net importer of data transmission devices, showing a high degree of market competition from international suppliers. This comes with the benefit of access to cutting-edge technology but also introduces supply chain risks, especially given the sensitive nature of data transmission products.

Supplier Information

L3Harris Technologies Inc.

L3Harris Technologies, Inc. /DE/ is an end-to-end technology solutions provider for the defense industry. It organizes its business into four reportable segments: the Space & Airborne Systems segment, which designs, develops, integrates, produces, and sustains weapon systems for the national and international... Subscribe to learn more

Boeing Co

Boeing Co is a public company operating globally in the manufacturing sector. The company's offerings include unmanned aerial vehicles, aircraft maintenance & repair and aeronautical engineering services. Founded in 1916, the company is currently headquartered in Seattle, Washington, United States of America... Subscribe to learn more

Thuraya Telecommunications Company

Thuraya Telecommunications Company is a private company operating globally in the manufacturing and information sectors. The company's offerings include satellite phones and satellite & earth communication systems services. Founded in 1997, the company is currently headquartered in Dubai, United Arab Emirates... Subscribe to learn more

Cobham Plc

Cobham plc is a private company operating in the manufacturing sector. The company's offerings include spectrum analyzers. Founded in 2016, the company is currently headquartered in United States of America. Subscribe to learn more

SpaceX

Space Exploration Technologies Corp is a public company operating globally in the information sector. The company's offerings include satellite & earth communication systems services. Founded in 2002, the company is currently headquartered in Brownsville, Texas, United States of America with an estimated Subscribe to learn more

At&T Inc.

At&T Inc. is a public company operating globally in the manufacturing, information and professional, scientific and technical services sectors. The company's offerings include electronic logging devices, smartphones, office phones, air cards, mobile enterprise application platforms. Founded in 1885, the company... Subscribe to learn more

Echostar Corporation

Echostar Corporation is a public company operating nationally in the information sector. The company's offerings include satellite & earth communication systems services. Founded in 1980, the company is currently headquartered in ENGLEWOOD, Colorado, United States of America with an estimated 2300 employees.... Subscribe to learn more

Globalstar Inc.

Globalstar, Inc. is a mobile satellite services (MSS) provider to areas not served or underserved by conventional wireless and wireline networks or with service interruptions due to disasters. It offers two-way voice communication and data transmission, one-way or two-way communication and data transmissions... Subscribe to learn more

Intelsat S.A.

Intelsat SA is a satellite technology company operating an advanced satellite fleet and connectivity infrastructure. It provides diversified communications services to media companies, fixed and wireless telecommunications operators, data networking service providers to enterprise and mobile applications Subscribe to learn more

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Procurement Management KPIs for the Satellite & Earth Communication Systems Services Market

Managing vendor performance throughout the contract period is easier when tracking specific key performance indicators (KPIs). For example, buyers should monitor Customer Acquisition Cost and Customer Satisfaction (CSAT). Buyers may experience better performance throughout their contracts if they establish service level agreements (SLAs) based on Pricing and other factors.

KPI Level of Importance (1-5) Measurements Key Considerations
Customer Acquisition Cost

Total marketing costs

Total sales cost

Number of customers acquired

Determining how much it costs to establish a customer relationship is essential in negotiation and price planning for satellite communications systems services.

Using customer acquisition cost can be used to determine the efficiency of customer acquisition process.

Customer Satisfaction (CSAT)

Number of positive customer responses

Number of customer responses

Overall customer satisfaction with a vendor is indicative of how cooperative and sympathetic they are to customer needs.

Positive customer satisfaction shows that the vendor cares for customer success rates by using their satellite and earth communications systems services.

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Questions to Ask During Procurement Negotiations

How can I gain leverage during negotiations?

Experience and Expertise

How long have you provided satellite communication services to your longest tenured client?

Who are your five largest clients?

Competition

How does your company maintain a competitive edge over other satellite communication services companies?

What is your reputation like among clients and peers, and how have you developed it?

Service Performance

What advantages do your experience and knowledge give you in the marketplace?

How often do you find errors after systems have been implemented?

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Satellite & Earth Communication Systems Services RFP Guidelines

What should my RFP include?

Organizational Overview

Buyers should provide an overview of their organization, including their industry, number of employees and locations where they operate.

Buyers should clearly state their intended use of satellite and earth communication services.

Statement Of Need

Buyers should state their reasons for procuring the satellite equipment and services and should specify which type(s) of equipment they wish to have installed.

Buyers should specify where, throughout their facility or land, the satellite terminal equipment should be installed.

Project Budget

Buyers should specify the maximum budget for the project.

Buyers should request a breakdown of any additional costs beyond the cost per line, per minute.

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  • Price environment and market pricing
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  • Cost structure benchmarks and analysis
  • Supply chain and vendors
  • Global supplier breakdown
  • Market share concentration
  • Regulation and business requirements
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