Earth Observation Market Set to Surpass $8 Billion by 2033
The global Earth Observation (EO) market is expected to grow significantly, reaching a valuation of over $8 billion by 2033, up from $5 billion today. According to a new report by Novaspace, formed through the merger of Euroconsult and SpaceTec Partners, this rapid growth is driven by advancements in EO technology and rising defence contracts.
Driving Factors Behind EO Market Growth
The report attributes the market’s expansion to improved high-resolution imaging and 3D capabilities. These advancements are enhancing the effectiveness of Earth monitoring, enabling industries like agriculture, defence, and environmental management to benefit from actionable insights.
EO technology is recognised as one of the most profitable areas in space commercialisation. It provides critical data that supports diverse industries, making it indispensable for modern applications.
Regional Market Highlights
Currently, North America dominates the global EO market, contributing 44% of its revenue in 2023. Europe holds the second-largest share at 22%. However, Asia is forecasted to experience the fastest growth, claiming 23% of the market by 2033.
This surge in Asia’s share stems from increased investment in space infrastructure, emerging procurement policies, and growing demand from Southeast Asia and the Middle East. The report noted this rise but did not specify Asia’s contribution last year.
Global Investments in EO Technology
Countries worldwide are prioritising EO technologies for applications ranging from vegetation and climate monitoring to border surveillance. For instance, India is intensifying efforts to excel in the global space race, while Canada plans to invest C$1.01 billion ($741 million) over the next 15 years. This investment will enhance satellite technology to improve monitoring of wildfires and other environmental crises.
Focus on Innovation
Alexis Conte, the report’s lead author, emphasised the importance of scaling up EO capabilities. “Market growth isn’t just about replacing aerial geolocation systems,” he said. “It’s about providing actionable insights over time. This focus on large-scale monitoring is driving both technological and market innovations.”
With inputs from Reuters