OPINION
Jane Egerton-Idehen is MD/ CEO at Nigerian Communications Satellite (NIGCOMSAT)
“I am at the SAT SOW 2024. It has given me a lot of time to reflect on the industry and its evolutionary changes.
One question I have been asking is, “Did satellites make progress in closing the digital divide?”
There have been some changes:
◼ The current Evolution has seen more software-driven innovation (SDS), significant strides in propulsion and launch technologies ( e.g. Space X with its Starship and Falcon),
◼ The miniaturization of satellites, coupled with the consolidation in the space sector we have seen in the past couple of years, is moving the needle.
◼ We have companies like Space X and Amazon focused on vertical integration, which streamlines operations, reduces redundancies, and enhances efficiency .
◼ We have seen horizontal consolidation, like the ViaSat acquisition of Inmarsat, with SES publicly acknowledging interest in merging with Intelsat, Eutelsat, and OneWeb merging all to achieve economies of scale, leading to cost savings.
◼ We have also seen the impacts of investors flocked to infrastructure companies rather than application category
This is bringing about new business models, Space and satellite companies that can capitalize on market trends, foster strategic alliances, and engage in public- Private collaborations can create the much needed breakthrough in this industry.
Million-dollar question: Why are all these changes not translating to aggressively driving down the cost of satellites’ services and customer acquisitions? To bridge the digital divide, the technology needs to be affordable and truly ubiquitous in a manner that can be interoperable to produce scale.
Watch out for my session tomorrow on “New Business Models in the Satellite Industry.”
#JustThinking