© SpaceX (illustration purpose only) Business | September 08, 2021
Global satellite revenue for 2022 to reach $295B, SpaceX leads
In the global satellite market, LEO (low earth orbit) satellites currently hold the most significant advantage in terms of developmental potential due to their closer proximity with earth and their relatively lower latency, radiation, and cost compared to HEO (high earth orbit) and MEO (medium earth orbit) satellites, according to TrendForce.
Furthermore, not only do LEO satellites not require base stations, but they can also receive signals in difficult-to-reach and rural areas. As their signal coverage is not constrained by such geographical features as mountainous regions, oceans, and deserts, LEO satellites can synergize with 5G mobile communications by reaching areas that lack 5G coverage. After SpaceX generated much attention for LEO satellites, an increasing number of satellite operators have, in succession, applied to launch their own satellites. TrendForce expects annual satellite revenue for 2022 to reach USD 295 billion, a 3.3% YoY increase. With Europe, the US, China, Japan, and Korea participating in LEO satellite and 5G development, challenges still remain with respect to costs and long-term prospects Regarding the deployment of LEO satellites by country, Asian countries, including China, differ from other major countries in terms of primary applications. Whereas non-Asian countries generally adopt LEO satellites for commercial purposes, Asian countries primary gear their deployment toward “national security” purposes. Some of the major developments in national security applications include AviChina’s Hong Yun project and CASC’s Hongyan constellation, both of which are expected to complete periodic missions in 2022. While policies relevant to the Chinese satellite industry are set by the Ministry of Industry and Information Technology, the industry itself is regulated by the Radio Association of China. In Japan, NTT DoCoMo oversees the development of 6G communication, with an emphasis on NTN technology, which works in tandem with LEO satellites. Finally, Korea’s MSIT recently unveiled its “6G R&D implementation plan”, which includes the launch of 14 LEO satellites by 2031. Between LEO satellites and 5G telecommunications, the European and US markets are prioritizing ground-based 5G telecommunications first and finalizing the release of all frequency ranges in the 5G spectrum. While the number of ground stations and residents located in regions with 24.75-25.25GHz frequency bands are limited, LEO satellites shoulder the responsibility of preventing signal disruption. On the other hand, certain European organizations, such as the ESA and the European Commission, have established the SaT5G (Satellite and Terrestrial Network for 5G) consortium in order to drive forward the application of and integration between satellite and 5G communications. In the industry’s current infancy, major satellite operators have launched more than a thousand small LEO satellites. In consideration of these satellites’ less-than-five years’ lifespans, operators will most likely focus on low-cost manufacturing and launching solutions in order to minimize CAPEX, in turn accelerating the pace of satellite adoption and lowering the overall cost of satellites. More specifically, not only have SpaceX and Amazon respectively engaged in vertical integration and streamlined their corporate structures, but they are also aligned with the demands of clients ranging from enterprises, governments, and consumers. As a result of these efforts, SpaceX and Amazon have effectively lowered the costs involved with collaborating with other suppliers. Satellite recycling and space materials are two major sources of revenue auxiliary to the LEO satellite industry The 3GPP recently announced that it will finalize Release 17, which for the first time will include NTN (non-terrestrial networks), in 2022. Prior to this, mobile communications and satellite communications had been two separate, independently developing industries. That is why companies working across the two industries in the upstream, midstream, and downstream supply were generally different as well. After 3GPP includes NTN in its upcoming release, the two industries are likely to generate more opportunities for collaboration. At the moment, Tesla subsidiary SpaceX has applied to launch the most satellites among all satellite operators, which include Amazon, Britain-based OneWeb, and Canada-based Telesat, among others. Notably, US operators have launched more than 1,000 satellites, which represent more than 50% of the global total. Signal transmission and reception between satellites and ground stations are relatively limited. As such, four major satellite technologies, including collision prevention, management, communications, and ground base-satellite transmission, represent four major areas in which potential suppliers can participate. However, given the intense competition among satellite operators, once LEO satellite deployment reaches a global scale in the future, issues such as light pollution may begin to adversely affect planetary and other astronomy research. TrendForce therefore believes that companies capable of supplying materials that can lower satellite reflectivity are likely to experience considerable growth going forward. In addition, small LEO satellites’ lifespan of less than five years will also result in space debris issues. Hence, effectively recycling satellites back to earth is yet another potential commercial opportunity in the space industry. Starlink is partnering with Taiwanese telecom companies for the first time and is expected to expand these companies’ services areas starting from ground stations At the moment, one of the pain points associated with LEO satellites is the difficulty for ground stations’ antennas to track satellite signals. Hence, Taiwanese companies that primarily specialize in base station building are therefore likely to benefit from potential partnerships with LEO satellite operators. Although satellite-related companies in Taiwan traditionally focused on manufacturing equipment and components for MEO and HEO satellites, the rise of the LEO market has now persuaded these companies (including MTI, WNC, Kinpo, UMT, Tong Hsing, GPI, WIN, Chicony, EMC, Compeq, and Shenmao) to become suppliers for SpaceX’s Starlink satellite internet system. Having taken notice of Taiwan’s strategic position that connects northern Asia with Southeast Asia, US-based SpaceX has reached out to Taiwan’s National Communications Commission (NCC) and Chunghwa Telecom, with the latter subsequently confirming its partnership with SpaceX. Chunghwa Telecom is now looking to extend this partnership to a comprehensive business relationship that goes beyond base stations. As the Starlink internet service is expected to be available in Taiwan next year, Chunghwa Telecom will become the sole distributor of Starlink in Taiwan. Now that SpaceX has launched more than 1,800 satellites, Chunghwa Telecom will likely facilitate increased internet connection speed for Starlink via its 18,000 base stations located throughout Taiwan, which synergize with the satellites for better, more comprehensive coverage.
Nexperia uses Aixtron equipment as it enters the SiC market Semiconductor manufacturer Nexperia, is using Aixtron's production technology to enter the high performance SiC device market.
Micron and UMC team up to strengthen supply chains Micron says it is expanding its business relationship with United Microelectronics Corporation (UMC), which will provide "Micron opportunities to secure supply for automotive, mobile and critical customers into the future."
Sponsored content by OMRON EuropeInvest in advanced solutions from OMRON, Industry-leader. Achieving flawless operation takes ongoing investment in technologies such as 3D AOI. The Omron VT-S1080 3D AOI delivers value through advanced, stable, and accurate 3D capabilities. The AI-assisted and IPC-correlated Solder Joint Inspection is ideal for today’s more dynamic assemblies.
Global Semiconductor equipment billings jump 38% YoY in Q3 Global semiconductor equipment billings increased a robust 38% year-over-year to US D26.8 billion in the third quarter of 2021, an 8% rise from the prior quarter to register their fifth consecutive quarter-over-quarter record high, SEMI reports.
Littelfuse completes its acquisition of Carling Littelfuse has completed its previously announced acquisition of Carling Technologies.
Amphenol acquires Halo Technology Amphenol Corporation announces that the company has acquired Halo Technology Limited for approximately USD 715 million. Separately, Amphenol also announced the closing of the sale of the MTS Test & Simulation business to Illinois Tool Works Inc.
Jenoptik completes the acquisition of BG Medical and SwissOptic With these acquisitions, Jenoptik continues to focus on its core competency in photonics while speeding up profitable and sustainable growth.
TouchNetix gains automotive qualification for family of touchscreen controller ICs UK manufacturer of high-performance touchscreen controller ICs, TouchNetix, announces that its aXiom AX112 user interface chip has gained qualification to the Automotive Electronics Council’s AEC-Q100-6 standard, validating the device’s use in applications such as the central information display in passenger cars and other types of vehicles.
Mercury Systems acquires RF module manufacturer Mercury Systems announces that the company has acquired Norcross, Georgia based RF module manufacturer, Atlanta Micro.
Syntronixs Asia becomes part of Infineon German semiconductor manufacturer, Infineon, has via its subsidiary Infineon Technologies (Malaysia) Sdn. Bhd. acquired Syntronixs Asia Sdn. Bhd., a Melaka-based electroplating company.
Sponsored content by Shenzen Kinwong ElectronicThe development trend of printed circuit board products and Kinwong's solution With the rapid development of electronic technology in recent years, printed circuit board (PCB) products are pursuing higher heat dissipation capabilities, with high voltage and high current characteristics, and are developing towards high-density interconnection technology (HDI).
Intel’s EU investment: Details to be expected soon Earlier this year US chip manufacturer Intel launched a USD 20 billion expansion plan which would see the construction of two new chip plants in Arizona – as well as an expansion in Europe.
X-FAB releases statement following explosion at Texas fab On November 12, 2021, an explosion occurred at X-FAB’s site in Lubbock, Texas, during maintenance work done at the deionized water system. One employee lost his life, another employee was taken to hospital with non-life-threatening injuries and was later released.
AKM provides an update on its fire damaged fab In late October last year a fire broke out at Asahi Kasei Microsystem’s (AKM) semiconductor factory in Nobeoka, Miyazaki prefecture. The fire completely ravished the fab and took a total of three days to completely extinguish. But how does the company fare today?
Micron and UMC reaches a global settlement According to the global settlement agreement, both companies will globally withdraw their complaints against the other party, and UMC will make a one-time payment of an undisclosed amount to Micron.
Sponsored content by Siemens EDADigital transformation: How Siemens EDA helps you engineer a smarter future faster We are living in an age of ever-accelerating digital innovation, where worldwide knowledge, commerce and communication are broadly accessible and literally at our fingertips. Over the past six decades, thousands of companies in the tech sector have worked diligently to bring new, ever-more sophisticated electronic innovations to market daily, culminating in today’s age of digitalization, which is rapidly changing how we live, travel, conduct business and communicate. This pace of digital transformation will accelerate even more rapidly as more companies begin to incorporate artificial intelligence (AI) and machine learning (ML) into their systems to leverage and even monetize the exponentially increasing amount of data produced by seemingly “everything digital.”
A*STAR and STMicro team up on SiC R&D for the EV market The Institute of Microelectronics (IME) at the Agency for Science, Technology and Research (A*STAR) and STMicroelectronics are launching an R&D collaboration in the field of silicon carbide for power-electronics applications in the automotive and industrial markets.
Jochen Hanebeck to succeed Reinhard Ploss as CEO of Infineon The Supervisory Board of German chip giant, Infineon, has decided that Jochen Hanebeck will take over as the new Chief Executive Officer of Infineon Technologies AG on 1 April 2022.
European Semiconductor distribution sales sets new records DMASS reports a whopping 31.8% growth in semiconductors in Q3 and +44.7% in interconnect, passive and electromechanical components. Shortages remain biggest problem for entire industry.
Jenoptik signs agreement to sell Vincorion Jenoptik AG has signed an agreement to sell the Vincorion division. It will be acquired by a fund managed by private equity firm STAR Capital Partnership LLP.
Sponsored content by ElectrolubeAre Encapsulation Resins Suitable for EV Applications? Beth Turner from Electrolube (MacDermid Alpha Electronic Solutions) discusses how and where encapsulation resins can be incorporated into electric vehicle design to protect vital electronics and improve overall efficiency.
NAND Flash revenue rises by 15% QoQ for 3Q21 The growth of the NAND Flash market in 3Q21 was primarily driven by strong demand from the data center and smartphone industries, according to TrendForce’s latest investigations.
Samsung to invest $17 billion in new Texas fab South Korean electronics giant, Samsung, has chosen Taylor, Texas to build a new, USD 17 billion, semiconductor manufacturing facility.
Qualcomm acquires Clay AIR Clay AIR, an AI powered hand tracking and gesture recognition technology company, has been acquired by Qualcomm.
AmpliTech to acquire Spectrum Semiconductor Materials AmpliTech Group, a designer, developer and manufacturer of signal-processing components, has executed a definitive agreement to acquire the assets and operations of San Jose-based Spectrum Semiconductor Materials Inc., a specialty distributor of semiconductor components.
Veeco ships first system from new manufacturing facility Veeco Instruments says that the company has shipped the first LSA101 Laser Spike Annealing System from its new San Jose, California facility to an unnamed semiconductor manufacturer.
Smith to divest its Its solar division The distributor of electronic components says that it has signed an agreement to sell its solar sales and services division, known as ONTILITY Powered by Smith, to BBB Industries, LLC under its new division, TerrePower.
TTI to acquire SMD Inc. Specialty distributor of electronic components, TTI, Inc.,has entered into a purchase agreement to acquire SMD Inc., a privately held electronic component distributor headquartered in Irvine, California.
Former GlobalFoundries executive to lead IQE Following an extensive and rigorous search process, the board of the UK supplier of compound semiconductor wafer products announces that it has appointed Americo Lemos as Chief Executive Officer, starting on 10 January 2022.Load more news