Satellite Solar Cell Materials Market

Updated on : June 11, 2024

Satellite Solar Cell Materials Market

The global satellite solar cell materials market was valued at USD 44 million in 2024 and is projected to reach USD 96 million by 2030, growing at 13.7% cagr from 2024 to 2030. The market is primarily propelled by support and investments by the Government. As countries increasingly recognize the strategic importance of space exploration, communication, and Earth observation, governments worldwide are channeling significant resources into satellite programs, solar cell, which convert sunlight into electricity, are integral components of satellite systems. Additionally increasing satellite deployments and rise in space exploration are also driving the solar cell materials market.

Attractive Opportunities In The Satellite Solar Cell Materials Market

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Satellite Solar Cell Materials Market Dynamics

Driver: Rising Space Exploration and Satellite Deployment

The rising tide of space exploration and satellite deployment is a major driver of the satellite solar cell materials market. A 2023 blog published by the Union of Concerned Scientists stated, in 2022, the global count of operational satellites orbiting Earth reached 6,718, signifying a remarkable surge of nearly 2,000 satellites within a single year. As more nations and commercial groups invest in space exploration, the need to launch satellites for communication, navigation, Earth observation, and scientific study grows. This boom in satellite deployments closely correlates with increased demand for solar cell materials, which serve as the major power source for satellites in orbit. Furthermore, advances in satellite technology and propulsion systems make launches more frequent and cost-effective, increasing demand for solar cell materials. Furthermore, the rise of new applications such as satellite-based internet services and remote sensing increases the need for efficient and reliable power production systems, increasing increased demand for solar cell materials.

Restraint: Regulatory and Compliance Standards

The satellite solar cells material market operates within a stringent regulatory and compliance framework to ensure the safety, reliability, and performance of materials used in space applications. Regulatory standards, often set by international organizations and government agencies, encompass various aspects crucial for satellite solar cells.

Space agencies like NASA, ESA (European Space Agency), and others establish guidelines and standards that dictate the materials' quality, durability, and functionality in the harsh space environment. These regulations cover aspects such as radiation tolerance, thermal stability, mechanical resilience, and electrical performance. Materials used in satellite solar cells must comply with these rigorous standards to withstand extreme conditions such as high radiation levels, vacuum, temperature variations, and micrometeoroid impacts.

Moreover, international treaties and agreements govern space activities, emphasizing the need for environmental sustainability and space debris mitigation. Satellites and their components, including solar cells, must adhere to guidelines to minimize the generation of space debris during launch, operation, and end-of-life disposal.

Opportunity:  Increasing Investment in Space based Infrastructure

Increased investment in space-based infrastructure creates a substantial opportunity for the satellite solar cell materials market. NewSpace India Limited (NSIL) has unveiled plans for a substantial USD 1.2 billion investment over the coming five years, aiming to bolster industry participation and foster commercial ventures within the sector. The landscape of India's space sector reflects a remarkable surge in space entrepreneurial enthusiasm

As governments, private enterprises, and international organizations increase their investments in space-related programmes, there is an increasing demand for dependable and efficient power production systems to support these efforts. Satellite solar cell materials, as the principal source of power for satellites in orbit, stand to benefit tremendously from this trend. The infusion of financing into space-based infrastructure projects not only increases demand for solar cell materials, but it also promotes innovation and breakthroughs in solar cell technology. Furthermore, as space-based infrastructure grows to incorporate additional satellites for communication, Earth observation, navigation, and scientific research, the demand for solar cell materials is likely to increase even more. This presents a ripe opportunity for manufacturers and suppliers in the satellite solar cells materials market to capitalize on the growing market demand and establish themselves as key players in the burgeoning space industry.

Challenge: Harsh Space Environment & Limited Supply of Space Grade Solar Cells

Beyond Earth's insulating atmosphere, space presents an incredibly harsh environment. Spacecraft encounter extreme temperature fluctuations, ranging from intense heat to bitter cold, and face a substantially heightened risk of radiation exposure. The prolonged exposure of solar cells to the harsh and unforgiving conditions of space poses a significant challenge in ensuring consistent power generation over a satellite's operational lifespan. Radiation, extreme temperatures, vacuum, and the constant threat of micrometeoroid impacts are among the numerous space-related factors that contribute to the degradation of solar cells. Radiation in space, including solar and cosmic radiation, can cause cumulative damage to solar cell materials. Ionizing radiation can introduce defects in the semiconductor materials, impacting their ability to efficiently convert sunlight into electricity. This degradation over time leads to a decline in the overall performance and power output of the solar cells. On the other hand, the demand for satellite or space-grade solar cells has witnessed a surge in recent years due to the increasing number of satellites launches and space exploration missions. However, this growing demand is met with a significant challenge, as there are limited number of companies that specialize in manufacturing components meeting the stringent requirements for space applications.

Satellite Solar Cells Materials Market Ecosystem

The market ecosystem for satellite solar cell materials is composed of a diverse array of entities and stakeholders that collectively contribute to the development, implementation, and advancement of satellite solar cell materials. At the core of this ecosystem are material providers who focus on research, development, and manufacturing of satellite solar cells materials. They continuously innovate and produce novel materials and their applications to meet the evolving demands of the market.

SPECTROLAB (US), AZUR SPACE Solar Power GmbH (Germany), ROCKET LAB USA (US), Sharp Corporation(Japan), CESI S.p.A (Italy), Thales Alenia Space (France), AIRBUS (France), MicroLink Devices, Inc. (US), Mitsubishi Electric Corporation (Japan), Northrop Grumman (US).

Source: Secondary Research, Interviews with Experts, and MarketsandMarkets Analysis

GaAs is the fastest sub-segment amongst the materials type segment in the satellite solar cells materials market in 2024, in terms of watt.

Gallium arsenide (GaAs) is emerging as the fastest-growing material in satellite solar cells due to its unique properties that address key challenges in space environments. GaAs solar cells offer superior efficiency compared to traditional silicon-based cells, especially in low-light conditions often experienced in space. This enhanced efficiency ensures optimal power generation even in challenging orbital settings, contributing to the reliability and longevity of satellites.

Moreover, GaAs exhibits exceptional radiation resistance, a crucial factor for satellites exposed to cosmic radiation in space. This resilience enhances the durability of solar cells, reducing the risk of performance degradation over time. Additionally, GaAs solar cells are known for their lightweight and compact design, making them ideal for space applications where minimizing payload weight is critical for launch cost efficiency.

The increasing adoption of GaAs solar cells is also attributed to advancements in manufacturing technologies, allowing for cost-effective production at scale. As space agencies and satellite manufacturers prioritize high-performance, durable, and efficient power solutions, GaAs solar cells have positioned themselves as the material of choice for the next generation of space-based solar technologies. The unique combination of efficiency, radiation resistance, and lightweight design positions GaAs as a driving force behind the rapid growth in satellite solar cell materials.

“Satellite accounted for the fastest growing application share of the satellite solar cells materials market in 2024” in terms of value.

The satellite sector stands out as the fastest-growing application in the satellite solar cell market due to a confluence of technological advancements, increasing satellite launches, and the growing reliance on space-based assets. Satellites are essential components in various domains, including communication, Earth observation, navigation, and scientific research. As the demand for satellite-based services continues to surge globally, there is a proportional need for advanced and efficient power sources to sustain these satellites in orbit.

Solar cells play a pivotal role in powering satellites, converting sunlight into electrical energy to fuel onboard systems. The robust growth in satellite deployments, driven by both government space agencies and private enterprises, amplifies the demand for cutting-edge solar cell technologies. The unique challenges of the space environment, including prolonged exposure to harsh radiation, extreme temperatures, and the necessity for lightweight, reliable power solutions, make advanced solar cells indispensable for satellite missions. As space exploration expands, satellite constellations multiply, and the commercial space industry evolves, the demand for satellite solar cells is projected to maintain its rapid growth trajectory, solidifying satellites as the key driver in the satellite solar cell market's burgeoning success.

“LEO accounted for the second largest share by orbit of the satellite solar cells materials market in 2024” in terms of value.

Low Earth Orbit (LEO) has emerged as the second-largest orbit type in the satellite solar cell market, owing to several key factors that make it an attractive choice for satellite deployments. LEO is characterized by altitudes ranging from approximately 180 to 2,000 kilometers above Earth's surface. This orbit type has gained prominence due to its strategic advantages in terms of accessibility, shorter communication latency, and increased satellite revisit times.

LEO satellites operate at lower altitudes compared to higher orbits like Geostationary Orbit (GEO), which is advantageous for reducing signal latency in communication systems. This low latency is crucial for applications such as broadband internet services, Earth observation, and real-time data transmission, making LEO an ideal choice for constellations of communication satellites.

Furthermore, the proximity of LEO satellites to Earth allows for improved resolution and more frequent revisits in Earth observation missions. Satellites in LEO can capture detailed imagery, monitor environmental changes, and contribute to scientific research with shorter revisit times compared to satellites in higher orbits.

"North America is the largest market for satellite solar cells materials Market in 2024, in terms of watt."

North America holds the distinction of being the largest market for satellite solar cell materials, driven by a multitude of factors that underscore the region's leadership in space technology and satellite deployments. One key reason for North America's dominance in this market is its robust space industry ecosystem, comprising renowned aerospace companies, research institutions, and government agencies like NASA. These entities spearhead numerous satellite projects, ranging from Earth observation and communication to scientific exploration, necessitating the procurement of high-quality solar cell materials.

Additionally, North America boasts a thriving commercial space sector characterized by innovative startups and established players, fueling demand for satellite solar cell materials. The region's conducive regulatory environment and access to capital further facilitate the growth of space ventures, fostering a conducive market for solar cell manufacturers.

Moreover, the strategic focus on national security and defense initiatives drives substantial investments in satellite technology, including advancements in solar power generation. Military applications such as reconnaissance, surveillance, and navigation rely on satellites equipped with efficient solar cells to ensure operational capabilities in space. Furthermore, North America's leadership in satellite mega-constellations, particularly for global broadband internet coverage, significantly contributes to the demand for solar cell materials. Companies like SpaceX are deploying thousands of satellites into orbit, each requiring reliable and high-performance solar cells to sustain uninterrupted power supply throughout their operational lifespan.

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Satellite Solar Cell Materials Market Players

The key players in this market are   SPECTROLAB (US), AZUR SPACE Solar Power GmbH (Germany), ROCKET LAB USA (US), Sharp Corporation(Japan), CESI S.p.A (Italy), Thales Alenia Space (France), AIRBUS (France), MicroLink Devices, Inc. (US). Continuous developments in the market—including new product launches, mergers & acquisitions, agreements, and expansions—are expected to help the market grow. Leading manufacturers of satellite solar cells materials have opted for new product launches to sustain their market position.

Satellite Solar Cell Materials Market Report Scope

Segmentation

This report categorizes the global Satellite solar cells materials market based on material types, application, orbit and region.

On the basis of material types, the market has been segmented as follows:

• Silicon
• Copper Indium Gallium Selenide (CIGS)
• Gallium Arsenide (GaAs)
• Other Material Types

On the basis of application, the market has been segmented as follows:

• Satellite
• Rovers
• Space Stations
• Others

On the basis of orbit, the market has been segmented as follows:

• Low Earth Orbit (LEO)
• Medium Earth Orbit (MEO)
• Geostationary Orbit (GEO)
• Highly Elliptical Orbit (HEO)
• Polar Orbit

On the basis of region, the market has been segmented as follows:

• North America
• Europe
• Asia Pacific
• Rest of World

Recent Developments

• CESI S.p.A made an agreement with Italian Space Agency (August 2023): Italian multinational CESI and the Italian Space Agency have entered into a significant agreement valued at over USD 14.06 Million to support the Space Factory project. With the agreement, CESI is poised to expand its production capacity for solar cells designed for space satellites.
• Thales Alenia Space (February 2023) launches a product: Thales Alenia Space recently concluded the assembly and testing phase for an engineering model of the solar array designed for their Space INSPIRE product line.
• ROCKET LAB USA (March 2022) launches a product: Aerospace manufacturer and small satellite launch company, Rocket Lab introduced a novel space-grade solar cell derived from the cell technology pioneered by Solero, a space solar cell manufacturer acquired by Rocket Lab.
• Airbus invests in Solestial (October 2022): Solestial, a Tempe, Arizona-based company specializing in solar energy solutions for space applications, successfully concluded a funding round, securing USD 10 million in investments with Airbus Ventures taking the lead.
• ROCKET LAB USA Acquires SolAero Holdings, Inc.  (January 2022): Rocket Lab USA, Inc. successfully finalized the previously disclosed acquisition of SolAero Holdings, Inc. (SolAero).
• AZUR SPACE Power GmbH acquired by 5N Plus (November 2021): 5N Plus, a prominent global manufacturer of specialty semiconductors and performance materials, successfully completed the acquisition of AZUR SPACE Solar Power GmbH.

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