Satellite IoT connections projected to reach 198 million by 2035

Satellite Internet of Things (IoT) connections are projected to experience rapid expansion, growing from 7.7 million in 2023 to approximately 197.7 million by 2035, according to research from Omdia. This represents a compound annual growth rate (CAGR) of 31%.

Low Earth Orbit (LEO) satellite connections are expected to lead this growth with a CAGR of 88.6%, driven by rapid satellite deployment, increased bandwidth, improved service availability, and declining connectivity costs. While Geostationary Orbit (GEO) markets are also expected to grow, their projected CAGR is more moderate at 7.3%.

Key industries driving adoption include agriculture, environmental monitoring, defense, energy, utilities, and logistics. The automotive sector is identified as a primary driver; connected vehicle satellite connections are forecasted to surge from 11,000 in 2023 to over 112 million by 2035. Major automakers, including Tesla, Geely, BMW, and Stellantis, are actively testing satellite communication solutions to enable seamless switching between terrestrial and non-terrestrial networks.