“With Smallcells, it is now possible to set up a Base Station with CAPEX under $20K. This translates into extraordinary new opportunities for satcom as MNOs can expand coverage into the most ultra-rural communities. Combining lower capacity prices, enhanced ground segment, and Smallcells, MNOs can now find positive returns even in these challenging deployments,” states Lluc Palerm, report author. “Thousands of Smallcells are being deployed in Latin America and Africa alone.”
The multiple M&As in the VSAT platform space are particularly relevant for the Backhaul market. The combination of Comtech/Gilat/UHP will create a very dominant actor in this market while iDirect/Newtec clearly sees Backhaul and 5G one of their primary growth engines. Additionally, as MNOs are increasingly willing to outsource network management, multiple groups are moving into offering end-to-end services, including new entrants like Towercos.