The satellite Internet of Things (IoT) sector is undergoing significant transformation. Historically focused on asset tracking in regions without terrestrial network coverage, satellite connectivity now supports a wide range of industrial and commercial applications. A recent white paper ‘Rethinking satellite IoT: how spectrum, architecture and technology define addressable markets’, by Transforma Insights, developed in partnership with Globalstar, examines how spectrum policy, network architecture, and technology choices shape market potential and limitations. This blog post summarizes its main findings.
A diverse set of use cases
Satellite networks have traditionally provided connectivity where cellular coverage is unavailable. As technology improves and costs decline, the number of potential applications has increased. This evolution requires a new approach to market segmentation that considers both the technical requirements of IoT use cases and the operational models of satellite providers.
Applications differ in data needs, latency tolerance, energy consumption, and coverage area. Providers vary in protocol design, spectrum strategy, and constellation structure. Evaluating these factors together helps determine which satellite systems can most effectively support specific deployment types.
Key verticals and applications
Satellite IoT now serves many sectors. In agriculture and environmental management, sensors in remote areas collect data on soil conditions, water levels, and ecosystem activity. In maritime and logistics, satellite links track ships, containers, and assets that move beyond terrestrial coverage, often within hybrid networks combining satellite and cellular connections.
The energy and utilities sectors use satellites to monitor critical sites such as pipelines, oil rigs, and renewable energy assets, improving safety and maintenance. Emergency and humanitarian operations also rely on satellite networks when terrestrial systems fail, ensuring coordination and situational awareness in crisis situations. Mining, aviation, defence, and remote infrastructure management similarly use satellite communications for secure monitoring in isolated areas.
Each application type uses satellite connectivity differently, requiring careful analysis to select the most appropriate technology.
Characteristics of IoT applications vary
Selecting a suitable satellite solution depends on several key criteria of how the IoT application will make use of the connectivity:
Geography – Some applications require global coverage, while others operate regionally. The mix of terrestrial and satellite connectivity influences provider choice, as does spectrum licensing, which varies between global and national allocations.
Data volume – IoT devices differ greatly in data transmission needs, from infrequent low-bandwidth messages to high-data applications such as video streaming. Appropriate protocols and architectures must be matched to these requirements.
Latency – Time sensitivity is critical in some applications. Geostationary satellites introduce higher latency, while low-Earth orbit systems offer lower delays but require denser constellations for continuous availability.
Cost and complexity – Economics depend on service pricing, hardware cost, and integration effort. Hybrid models that combine cellular and satellite capabilities can reduce total costs.
Energy efficiency – Battery-powered devices require low-energy communication protocols to minimize maintenance and extend operational life.
Each use case represents a distinct combination of these factors, determining the most effective technological approach.
Technology landscape
Transforma Insights distinguishes several defining aspects of satellite IoT technologies and the propositions supported by them:
Proprietary vs. standards-based – Proprietary protocols, optimized for satellite use, offer high efficiency but limit interoperability. Standards-based approaches, such as those defined by 3GPP Non-Terrestrial Networks and LoRaWAN, enhance flexibility but may involve higher costs and power consumption.
Messaging vs. IP-based models – Messaging-based systems suit low-data, event-driven applications like asset tracking, while IP-based approaches support high-throughput use cases such as video or connected vehicles. Emerging standards like NTN-NR may eventually unify these categories.
Integrating satellite and terrestrial networks – Hybrid connectivity is increasingly central to IoT deployments. The 3GPP NTN framework extends cellular technologies into satellite links, allowing devices to transition seamlessly between terrestrial and satellite coverage. Dual-mode devices and gateway-based systems also enable flexible integration, each with trade-offs in cost, energy use, and performance.
Spectrum and frequency considerations – Spectrum access defines where and how satellite IoT can operate. Operators with dedicated Mobile Satellite Service allocations benefit from consistent access, while others depend on shared or leased spectrum, which introduces cost and regulatory challenges. Divergent national spectrum rules complicate device production, though regulatory bodies are moving toward more harmonized, technology-neutral approaches.
LEO and GEO Architectures – Orbit type remains a fundamental design factor. Low-Earth orbit systems offer low latency and scalability but require numerous satellites and advanced power management. Geostationary satellites provide stable, wide-area coverage with mature infrastructure, though higher latency limits real-time use cases. The optimal choice depends on latency needs, cost considerations, and desired coverage model.
Maturity – Maturity varies widely across providers. Established operators have extensive experience and proven reliability, particularly in low-data-rate deployments. New entrants operating large constellations emphasize broadband capabilities but are still developing IoT-specific propositions. Emerging 3GPP NTN technologies show promise but remain in early stages.
Organizations must balance the benefits of innovation with operational stability. Established systems continue to dominate energy-efficient IoT deployments, while newer models expand the possibilities for hybrid and broadband use.
Conclusions
Satellite IoT is evolving rapidly as costs fall, standards mature, and integration with terrestrial networks increases. The market should no longer be viewed as homogeneous but segmented according to application characteristics and technology suitability.
Learn more on our webinar
On the 11th November 2025, Transforma Insights and Globalstar will deliver a webinar exploring several aspects of these developments. Most importantly it will examine the potential pitfalls of considering the satellite IoT as a homogenous single market. During the webinar, Matt Hatton, Founding Partner of Transforma Insights, and Martin Jefferson, Global Solutions Architect at Globalstar, will address topics including:
The diversity of use cases that comprise satellite IoT, including agriculture, logistics, mining, transportation, and energy.
The key characteristics of those use cases that dictate how they are best addressed, including geography, data volumes, latency, cost and energy efficiency.
The capabilities of satellite propositions, spanning subjects such as protocol types, spectrum access, constellations, architectures (including consideration of the bent-pipe architecture as a platform for innovation) and maturity of propositions.
Identification of which characteristics of satellite connectivity propositions are most critical for addressing the requirements of the IoT applications, and thus ensuring application/proposition fit.
We hope you can join us to learn more about this critical area of IoT.
Register here: Webinar - Rethinking satellite IoT: how spectrum, architecture and technology define addressable markets.
The Virtual Briefing will take place on 11th November at 08.00 Pacific / 11.00 Eastern / 16.00 UK / 17.00 Central Europe.
