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The global space electronics market was valued at USD 3.3 Billion in 2021 and is projected to reach USD 5.4 Billion by 2031, growing at a CAGR of 5.04% from 2022-2031.
Major factors driving the growth of the space electronics market:
The development of a communication satellite constellation in LEO, the acceptance of space tourism in the coming years, and an increase in investment in space enterprises are some of the reasons that are propelling the growth of the space electronics market.
The space electronics market is changing due to the increase in the use of satellites for a variety of purposes, including surveillance, real-time imaging, communication, navigation, weather forecasting, broadband and connectivity, research, development, and testing, and IoT integration for different government, commercial, and civil-military domains.
Trends Influencing the Growth of the Space Electronics Market:
Today, satellites are used for a variety of fundamental and necessary tasks, including tracking the weather, connecting to the internet, transmitting mobile phone signals, broadcasting television shows, conducting research and development, and setting up secure communication networks. Electronic components are being used more frequently in the space segment as a result of the increasing automation of satellite operations. Demand for various electronic components and other ancillary systems has increased as a result of the increase in satellite launches, forcing industry participants to look into new strategies to meet the demand. Deep space operations and increasing satellite launches are propelling the space electronics market's expansion.
A surge in demand for communication satellites has been caused by the commercial sector's increasing reliance on goods and services provided by space economies, including mobile communications, mobile asset tracking, data connections, broadband connections, and television to homes, among others. This has supported the need for space electronics. To meet the growing business need, private firms are investing significantly in the space sector. This will further drive the growth of the space electronics market.
Integration of SATCOM in the communication Industry will further fuel the space electronics market. One-third of the world can be covered by one satellite's beyond-line-of-sight communications, which makes satellite communication (SATCOM) essential for military operations. An aircraft can interact with air traffic control and other ground-based facilities via satellite while it is in the air thanks to satellite communications.
Over the projection period, the global market is expected to rise as a result of significant mechanical advancements in microprocessors, significant investments in the satellite manufacturing industry, and an increase in the number of space activities worldwide. Along with this, the influx of numerous new materials for better space electronics fabrication and the rising demand for reconfigurable satellite payloads are projected to open up attractive growth potential for the space electronics market in the years to come.