Defense Satellite Market Forecasts Projected $22.6 Billion

New market analysis signals a massive shift toward multi-orbit connectivity for global military operations by 2035.

Updated on Sept. 29, 2026 in Cybersecurity

Defense Satellite Market Forecasts Projected $22.6 Billion

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Should nations increase reliance on commercial satellite networks for their defense and security operations?

Novaspace has released its second edition of the Satellite Communications for Defense and Security report, projecting commercial defense satellite service revenues to exceed $22.6 billion by 2035. This growth forecast reflects a rapid industry transition toward distributed, multi-orbit network architectures.

Why it matters

Military organizations are increasingly prioritizing mobility and network resilience, driving a move away from traditional systems toward distributed, multi-orbit satellite connectivity. This transition is essential for maintaining situational awareness in contested environments.

The report projects global defense satellite demand to surpass 7.5 Tbps by 2035, with NGSO service revenues reaching $21.3 billion at a 34% CAGR. In contrast, traditional GEO revenues are expected to decline from $2.3 billion in 2025 to $1.3 billion by 2035.

The players

Novaspace

A Paris-based firm specializing in market intelligence and strategic analysis for the global space and satellite industry.

The details

The industry is shifting from static configurations to distributed satellite architectures that integrate multiple orbits for higher redundancy and bandwidth. These systems leverage multi-orbit connectivity strategies, which combine the coverage of GEO (Geostationary Earth Orbit) satellites with the low latency of NGSO constellations. By distributing data across these varied layers, military forces aim to ensure consistent communication and situational awareness even if individual orbital nodes are compromised.

Timeline

  1. 2025: GEO satellite revenues totaled $2.3 billion.

  2. September 2026: Novaspace published the second edition of its defense satellite report.

  3. 2035: Forecasted year for the $22.6 billion total market revenue and 7.5 Tbps capacity demand.

The Tech Race

This growth trajectory represents a definitive pivot away from traditional GEO models toward agile, multi-orbit constellations. While the U.S. currently leads with over 50% of global defense demand, the rapid expansion of the NGSO market is redefining how nations secure their military networks.

Defense contractors and network engineers can expect a significant increase in the procurement of high-throughput, multi-orbit satellite hardware to meet the 7.5 Tbps demand target. This shift mandates that future military communication systems adopt flexible, software-defined standards to remain compatible with evolving NGSO infrastructure.

The takeaway

The move to distributed, multi-orbit satellite architecture is no longer just a research goal but a significant, multi-billion dollar market reality. Stakeholders should track the 2035 revenue targets as a benchmark for how successfully the defense industry adapts to these decentralized network requirements.

Further reading

For broader trends in secure communications, see our coverage of Cybersecurity.

More information

Access the full analytical breakdown and industry resources on the Novaspace company website.

Source note: This article includes information reported by SpaceNews.

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Should nations increase reliance on commercial satellite networks for their defense and security operations?