NSR report sees satellite capacity pricing stabilizing, yet increasingly complex period for pricing negotiations
NSR’s report Satellite capacity pricing index, 8th edition finds satellite operators sitting at a crossroads of multiple macro-economic headwinds, external competitive pressures, and supply chain challenges, driving need for innovative strategies. As pricing stabilises in Q2 2022, technology efficiencies, supply-demand gap and macro-economic factors trigger increasingly complex pricing negotiations.
For some service providers, such as SpaceX, inflation pressure enables an increase in end-user pricing; however, due to competitive pressures, many wholesale capacity providers do not have the bargaining power to significantly increase pricing.