STMicroelectronics sees LEO satellite internet subscribers topping 100 million by 2028
Updated
Updated · PCMag · May 4
STMicroelectronics sees LEO satellite internet subscribers topping 100 million by 2028
11 articles · Updated · PCMag · May 4
President Remi El-Ouazzane told investors the market could exceed 200 million users by 2030, up from about 10 million today, driven by Starlink, Amazon Leo and Chinese constellations.
The chipmaker said it has shipped more than 7.5 billion integrated chips for Starlink and cut terminal component costs to several tens of dollars, helping turn satellite broadband into a mass-market product.
STMicroelectronics projects satellite chip revenue rising to nearly $3 billion from $650 million last year, while its current market share above 90% is expected to decline as new rivals expand.
As SpaceX plans to make its own chips, will its main supplier be left behind in the market it helped create?
With millions of new satellites planned, is the promise of global internet worth the risk of irreversible orbital pollution?
As China’s LEO ambitions face rocket hurdles, can it truly challenge the West’s dominance in the new commercial space race?
STMicroelectronics Nears $1 Billion in LEO Satellite Chip Revenue Amid 90% Market Dominance
Overview
STMicroelectronics has rapidly grown its Low Earth Orbit (LEO) satellite chip business, driven by a strong partnership with SpaceX that secures nearly 90% market share and fuels soaring revenues projected to reach $1 billion in 2026 and over $3 billion by 2028. This growth is supported by rising global demand for satellite internet, technological advances lowering costs, and expanding applications beyond consumer broadband, including defense and IoT. Despite export restrictions limiting access to China, STM’s expertise in space-grade semiconductors and innovation in miniaturization and radiation resilience position it well for future markets like orbital data centers. However, challenges such as orbital congestion, regulatory complexity, and financial risks remain significant as the LEO ecosystem evolves.