As the NTN ecosystem expands, so too does the opportunity for market leadership. That said, the path to success in this fiercely competitive arena is not a solitary one. Instead, we believe strategic collaboration will become a critical differentiator. By partnering with others across the value chain, businesses can accelerate their growth journey through enhanced offerings, shared resources and advanced technology that creatively embraces the new and emerging standards being put in place to create this new ecosystem.

In the latest whitepaper from Cambridge Consultants (CC), Assembling rebel alliances to compete in the new NTN economy, my colleagues and I explore why this collaborative approach is becoming so vital for driving growth and influence, along with how harnessing deep tech innovation can help differentiate your offering in a market with rapidly shifting telecommunications standards. When I say deep tech innovation, I'm talking about a bold strategy that harnesses radical science and engineering to redefine markets by achieving things no-one else can.

But why is a new strategy needed to compete and succeed in the satellite industry?

Introducing the new NTN economy

The satellite industry, which has seen incremental technological improvements over the last 60 years, has recently undergone a seismic shift as space becomes the new frontier for businesses, corporations and start-ups alike.

The convergence of lower launch costs, significant advancements in technology and the dramatic increase of satellites in Low Earth Orbit (LEO) have sparked this transformation. Major players like SpaceX, with its Starlink constellation, have led the charge, and the market is now on track to reach $124.6 billion in annual satellite services revenue by the decade's end.

In fact, from the end of 2022 to mid-2024 alone the total number of satellites launched and in orbit has risen from 6,905 to 9,900, an increase of 43% in an 18-month period. This increasingly competitive environment makes the race to market success ever more urgent – particularly as new regulations and standards are put into place to manage the sudden rise in satellite activity.

These standards, such as spectrum governance, air and space regulations and 3GPP, namely 3GPP R17 and R18 which include guidelines for NTNs, represent both the start and finish line of any project: you can’t begin without making sure you’re aware of the approved framework, and your success will be limited unless your service complies.

That said, these standards should not be seen as a barrier to innovation. Coordinating with international standards bodies, and indeed other partners who may have expertise or resources that you don’t, is the only way to create harmonized systems that can facilitate the seamless integration of NTNs worldwide and promote global interoperability – but the way you apply them remains down to you. After all, these standards are not a blueprint for implementation. It remains your choice how you implement them, leaving you free to turn them into an opportunity for differentiation and make them work for you. If harnessed creatively and collaboratively, these standards can unlock the full potential of NTNs and drive the next wave of connectivity innovation ahead of the competition.

This standardization marks a change for the satellite industry where previously proprietary protocols and technology choices have dominated. In this standards-led ecosystem, you must find new ways to differentiate and innovate. And in this new, crowded marketplace, the traditional go-it-alone strategy is far less viable than it once was.

So, how can you begin to create a new strategy that will increase your market value, influence and chances of success amongst the new competition?

In a nutshell, collaboration.  

Collaborate to innovate

In the NTN economy, successful companies will be those that forge strategic partnerships across the value chain, from satellite operators to terrestrial network providers and technology vendors. Through shared resources and expertise, these alliances can enable faster deployment of innovative, standards-led solutions, broader reach and the ability to meet diverse market demands at pace. 

We’re already seeing these strategic relationships begin to form. Take the partnership between Amazon Kuiper and Verizon – these two major organizations are working together to extend 4G/LTE and 5G services to rural areas across the U.S. through a network of LEO satellites, profiting from the integration of Kuiper’s satellite capabilities with Verizon’s terrestrial network. This partnership also allowed Verizon to support Amazon in navigating the complex regulatory environment of existing telecommunications, meaning all organizations could bring their impressive expertise and resources together to achieve their goals faster.

Meanwhile, OneWeb’s partnership with Hughes Network Systems leveraged Hughes’ expertise in satellite ground network technology alongside OneWeb’s satellite constellation to improve connectivity, reach and service quality of their low-latency broadband services. This not only expanded OneWeb’s market reach by capitalizing on Hughes’ existing customer base and distribution channels, but also hugely accelerated technological innovation thanks to a joint effort around R&D.

As these examples show, creating strategic partnerships can give your organization the edge, allowing you to address new markets, industries and use cases faster and more effectively. These partnerships could also include embracing a technology R&D partner who can offer your business the resources, technical expertise and unique skillsets that can make your goals a reality. Through a deep tech mindset that combines a wealth of multidisciplinary expertise, CC can help you unlock unique new offerings, services and opportunities for your business that embrace the latest industry standards while going beyond an off-the-shelf, one-size-fits-all approach.

All in all, for business leaders navigating this new landscape, collaboration will be key to unlocking growth, enhancing market influence and staying ahead of the competition. By aligning with partners who share your vision and compliment your strengths (and weaknesses), you can work towards common goals more quickly and effectively, bolstered and fortified by your alliance.

Of course, while collaboration will be vital to navigating the new NTN economy, it is only one piece of the puzzle. Along with finding the right partners, you also need to embrace and build the right cutting-edge technology, harnessing it creatively within the latest standards to ensure success. As the deep tech powerhouse of Capgemini, our whitepaper explores how to leverage technology advances in free space optics, beamforming and AI to gain a competitive edge, as well as advising on how to influence the market through conversations around future standards and regulations. Download Assembling rebel alliances to compete in the new NTN economy now to discover how your business can thrive in the new era of satellite connectivity.

This content is sponsored by Cambridge Consultants