The changing Earth Observation (EO) market has been a topic of office conversation this week at Pixalytics. Weâ€™re currently in the final stage of developing our own product portal, and it was interesting to see that some of our thoughts were echoed by reports from last weekâ€™s World Satellite Business Week event in Paris.
Unsurprisingly, speakers at the event agreed that the EO sector has huge growth potential. This is something we regularly see highlighted in various emails and press releases. For example, in the last few weeks weâ€™ve had:
- Annual Growth of 14.11% for the next three years in the Global Satellite-based Earth Observation Market Research Report 2016-2020.
- On a similar time span the Satellite based EO Market Growth Opportunities, Growth, Drivers, Trends, Demand, Share and Analysis to 2022 report predicates annual growth of 16.79%.
- Whereas, global annual growth will only be 5.59% according to a Global Remote Sensing Satellite Market 2017-2021 report.
At a few thousand dollars for access to each report, weâ€™ve said before that one of the products we should develop is an annual report on the EO market!
As weâ€™ve been working towards our portal, one of issues weâ€™ve identified is how difficult some portals are to navigate, particularly if you are not an EO expert. This was also recognised at the Paris event, with an acknowledgement that EO companies need to understand what customers want and then provide a user friendly experience to deliver those needs.
As reported by Tereza Pultarova in Space News, there was also discussion on the need to move away from simply selling data, and instead provide answers to the practical questions about the planet that businesses and consumers have. It is only through this transformation that new sectors and markets for EO will open which will be the key for the aforementioned future growth. The Paris event also highlighted some of the key trends that will be the backbone of this transformation:
- Providing as close as possible to near real time data.
- Increased data analytics, particularly through machine learning and artificial intelligence platforms to analyse data and highlight anomalies and changes faster.
- Bringing satellite data together with social media information to rapidly enable context to be added to images.
- Vertical integration within the industry within satellite firms acquiring with data processing and analytics companies; for example, Digital Globe acquired The Radiant Group earlier this year.
- Processing data onboard satellites, so users download the information they want, rather than reams of data.
There was a really interesting analogy with the navigation industry given by Wade Larson, president and CEO of Urthecast. He said â€śNavigation became kind of embedded infrastructure in a much larger industry called location-based services. We think that this is happening with geoanalytics.â€ť
This is the direction of travel for the industry, and some players are moving faster than others. Last week Airbus confirmed their four satellite very high-resolution-imaging constellation, PlĂ©iades Neo, is on schedule for launch in 2020. This will have 30 cm spatial resolution and will utilise the Space Data Highway, also known as the European Data Relay System (EDRS), to stream the images into an online platform. The ERDS uses lasers to transfer up to 40 terabytes a day at a speed of up to 1.8 Gbits per second, meaning users will have access to data in near real time.
This evolution of the EO market needs to be recognised by every company in the industry from the Airbus down to the small companyâ€™s trying to launch their own product portal. If you donâ€™t move with the changing market, you wonâ€™t get any of the market.