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The GNSS and Positioning technology segment is fundamental to the growth of the entire geospatial industry. A constellation of satellites, the GNSS transmits signals from space to users with a compatible device, determining their position aka location, and velocity at a specific time. As the ‘location’ element becomes pervasive in our day-to-day lives, the market share of the GNSS and Positioning market will also continue to grow. Comprising of GNSS upstream (satellite manufacturing & satellite launch), GNSS downstream (devices and value-added services), surveying, and indoor mapping; the GNSS and Positioning segment is globally the fastest-growing geospatial technology segment.
The GeoBuiz-18 report, an exclusive study by Geospatial Media and Communications, broadly segments the geospatial technology ecosystem into four categories, namely, GNSS and Positioning, GIS and Spatial Analytics, Earth Observation, and 3D Scanning. Further on, the report shares a harmonized view of the global market size, regional market size and growth, technology drivers, industry segment drivers, and recent technology and business innovations for the four technology segments respectively.
“The growing demand for precise location information, in combination with the ongoing evolution of GNSS technology, means that today’s GNSS market is bigger than ever. With an estimated 5 billion GNSS devices in use around the world – a number expected to grow to 8 billion by 2020 – GNSS has become a ubiquitous technology.”
Carlos des Dorides, Executive Director, the European GNSS AgencyThe GeoBuiz-18 report estimates the GNSS and Positioning industry to be the largest of the geospatial universe. It estimates the market size to grow at a CAGR of 13.5% to reach US$260.8 Billion in 2018-2020. In the GSA’s GNSS Market Report 2017, Carlos des Dorides, Executive Director, the European GNSS Agency, advocates the growing trend, “The growing demand for precise location information, in combination with the ongoing evolution of GNSS technology, means that today’s GNSS market is bigger than ever. With an estimated 5 billion GNSS devices in use around the world – a number expected to grow to 8 billion by 2020 – GNSS has become a ubiquitous technology.” The report also establishes that the global GNSS market is expected to grow from 5.8 billion devices in use in 2017 to an estimated 8 billion by 2020.
In sub-categorization, it is revealed that the downstream of GNSS (inclusive of GNSS chips/devices) accounted for nearly 71.5% (in revenue) of the total segment in 2017 which is expected to increase to 74.4% by 2020. The market size of the surveying segment is expected to touch approx., US$49 Billion by 2020 as the application domains (Infrastructure, Cadaster, Utilities, Mining, etc.) and customer base significantly widens. Fastest growing of all, the Indoor Mapping segment is extremely diverse having the power to improve many aspects of day-to-day lives, and is estimated to touch US$14.0 Billion in 2020.
The GeoBuiz-18 report highlights that the Asia-Pacific region had the largest market share of 33.3% in 2017; followed by Europe and North America at 27.8%, and 27.6% market share respectively. A large share of the market revenue generated by this segment is accredited to the downstream segment of GNSS – inclusive of value-added services- thus, the market is expected to continue its gravitation towards the Asia-Pacific region. The region is largely dominated by populous nations such as China and India so much so that the rapidly expanding market for GNSS-enabled solutions, applications, etc., is largely driven by the proliferation of smartphones and mobile devices, and government initiatives. Furthermore, the high penetration of consumer electronic devices and growing focus on the development of smart cities shall drive the GNSS and Positioning market in this region. Between 2017-2020, the Asia-Pacific GNSS and Positioning market is expected to expand at a CAGR of 16.7%; such that the region’s market share by 2020 is estimated to be approximately 36.1%.
The matured markets of North America and Europe are expected to sustain their growth trajectory till 2020. Technology evolutions in autonomous driving, telematics applications, and the rise in demand and innovations in wearables and connecting devices in these regions shall continue driving the demand for GNSS and positioning chips/ equipment. The market share of North America and the European region is estimated to be 25.7% and 26.6% respectively.
In this era of the 4th Industrial Revolution (industry 4.0), new technologies have a crucial role to play in expanding the GNSS and Positioning market. According to the GeoBuiz-18 report, Consumer Internet of Things or Consumer IoT comes across as the most prominent technology driver. This is largely due to the presence of GNSS in most consumer devices. As these devices become interconnected, the demand for the GNSS and Positioning segment will be on the rise. Following Consumer IoT is Big Data Analytics since businesses require accurate data to fulfill spatial analytics and develop value-added application services. Further on, Cloud, onboard storage, and processing capabilities, and Industrial IoT are other key drivers of this segment.
The GNSS and Positioning market segment is evolving due to the impending needs of the various application domains. These innovations and advancements are enabling new business models like, ‘positioning-as-a-service’ rather successfully. Compact & Miniature GNSS chipsets embedded in clothes, watches, shoes, etc., to track location; Smart Dust Devices capable of detecting everything from light to vibrations; Multi-constellation Capable receivers to ensure enhanced performance for GNSS applications (GPS/GLONASS/NAVIC); and 3D GNSS to provide reliable indoor situational awareness; are key innovations of this technology segment
Also Read: The top 5 GNSS trends in 2018
The opportunities available in the GNSS and Positioning market segment are limitless. Advances in technology such as powerful processors, better batteries, and even better satellite signal processing, will continue driving the market growth of this segment in the future. Assigning a location to action to further create information is inevitable. The numerous application programs in place and the rising capability of the GNSS and Positioning segment in IT and engineering firms are contributing largely to this growth. However, the segment is going to continue seeing a heavy reliance on civil applications i.e. the traditional applications of precision farming, surveying, navigation, and tracking, among many others. GNSS products are expanding exponentially as opportunities are rising for Original Equipment Manufacturers (OEMs) and in consumer volume implementations. Also, the integration of GNSS and Positioning technology with sensors and other information is only expected to simplify and accelerate work processes in the future.
To sum up, the GNSS and Positioning market segment is poised for growth. A crucial part of the geospatial technology ecosystem, this segment is going to continue growing at an accelerated rate leading to exponential geospatial uptake. To understand in detail the global market size, regional market size, technology drivers, benefits and challenges, and recent business innovation and trends of the four crucial technology segments of the geospatial ecosystem, download your FREE copy of GeoBuiz 2018 now.
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