Sateliot, a Spanish satellite communications company, recently launched its first low-earth orbit (LEO) satellite. With the deployment of this new satellite, the company is set to provide reliable and high-speed 5G coverage across more than 800,000 square miles, making it one of the largest satellite systems for 5G coverage in the world. Sateliot’s virtualized 5G core deal with Amazon Web Services (AWS) has helped the company to build and host its 5G core, setting the stage for the successful launch of its LEO satellite.
Sateliot’s Low-Earth Orbit (LEO) satellite has been launched for 5G coverage
The 22-pound device launched by Sateliot operates from a relatively close distance to Earth, at a height of less than 1,000 kilometers. The proximity to Earth allows the satellite to provide seamless and high-speed connectivity to devices that may be hard to reach. With the satellite in place, Sateliot can now provide 5G coverage to remote regions, including those with poor infrastructure, remote areas, and maritime environments that lack reliable communication networks.
Sateliot struck a deal with Amazon Web Services (AWS) last year to build and host its virtualized 5G core. The virtualized core enables the deployment of Sateliot’s 5G network through the cloud while reducing the complexity and costs associated with physical infrastructure. The virtualization of 5G core also provides the flexibility to customize and deploy features to optimize network performance and meet customer needs.
Sateliot’s LEO orbit means it operates relatively close to Earth, at a height of less than 1,000 kilometers. This is a critical advantage for the company, as it ensures that the satellite can operate with low latency, high data rates, and low power consumption. As a result, Sateliot’s satellite system for 5G coverage supports many applications in sectors such as agriculture, maritime, mining, transport, and logistics.
Sateliot has planned to launch four more satellites in 2021 to expand and improve its network. This is critical as it will help the company to provide high-quality, uninterrupted 5G coverage and enhance the reliability of its network to meet future demands.
Sateliot’s business model for providing satellite services.
Sateliot’s business model is unique, as it operates as a service wholesaler, providing infrastructure to operators who wish to expand their networks to remote regions. The company’s constellation serves as a “coverage extender” for operators through a “single roaming agreement,” enabling them to deliver dependable and high-speed 5G coverage to their customers.
The company’s approach helps to reduce the costs and resources that operators would incur in building their infrastructure. Instead, they can leverage Sateliot’s technology and infrastructure to extend their network coverage to remote regions, giving them a competitive advantage in the marketplace.
Sateliot’s Revenue Predictions and Sales Pipeline
Sateliot claims to have closed deals with operators and other entities, with more than $1.3 billion in its sales pipeline. The company expects to achieve sales of more than $1 billion and earnings before interest, taxes, depreciation, and amortization (EBITDA) of more than $380 million by 2026.
The revenue predictions are achievable as Sateliot’s unique business model enables operators to expand their network coverage at a lower cost than building their own infrastructure. By leveraging Sateliot’s infrastructure, operators can achieve operational savings and enhance the quality of their network services to customers.
Significance of Telecommunications-Focused Satellite Services
The world’s demand for reliable and high-speed connectivity is on the rise. This is why telecommunication-focused satellite services have garnered increased attention as a way to provide some level of connectivity to hard-to-reach places. Governments, organizations, and businesses are realizing the critical need to provide high-speed connectivity to people in remote regions.
ABI Research predicts that LEO-based satellite services could generate $141 billion in service revenues by 2030. This demonstrates that the market demand is on the rise and that satellite services for remote regions will continue to grow, creating opportunities for companies such as Sateliot.
Sateliot’s approach, which leverages virtualization technology, low-earth orbit satellites, and a unique business model, is poised to revolutionize the telecommunications industry. Sateliot is setting the pace for the future of satellite services and is well-positioned to expand its network to support more applications in sectors such as logistics, mining, agriculture, maritime, and transportation. The future of 5G coverage looks bright, and Sateliot is leading the way.
