From November 26–30, the second China International Supply Chain Expo (CISCE) took place in Beijing. Billed as the world’s first national-level exhibition dedicated to supply chains, the event highlighted a variety of innovative applications. Among these was the smart automotive chain pavilion, which featured industry leaders like Volvo. However, it was Geespace, a commercial aerospace company, that became the center of animated discussions.
Why would a commercial aerospace company participate in an automotive supply chain pavilion? This question intrigued many attendees, prompting them to explore the links between satellite technology and the automotive industry. What role could satellite applications play in advancing the intelligent transformation of mobility?
To understand the answer, one must first delve into the trends shaping intelligent transformation and the demands of a rapidly evolving global market.
Intelligent transformation has become an essential strategy for industries worldwide, and the automotive industry is no exception. With a global fleet exceeding 1.5 billion vehicles, the industry is experiencing stagnation in traditional growth avenues. As one of China’s most critical economic pillars, the automotive industry has embraced innovation as a new growth engine.
The intelligent and connected vehicle (ICV) market is expanding rapidly. Between January and May 2024, ICV penetration in China surpassed 50%, reflecting a surge in consumer interest in smart driving technologies. According to McKinsey, the global ICV market is projected to reach USD 1.5 trillion by 2030, with smart features like autonomous driving spearheading this transformation.
However, achieving true autonomy requires the ability to process vast amounts of real-time data efficiently. Satellite internet, with its global reach and unique capabilities, addresses the limitations of terrestrial networks, particularly in remote areas. By providing low latency and wide coverage, satellite systems enable seamless data transmission between vehicles and the cloud, bolstering advanced functionalities for autonomous driving.
The demand for robust communication networks is further fueled by expanding mobility use cases. In October 2024, Hurricane Helene caused widespread devastation across the US, triggering an influx of requests for Starlink services. In response, Elon Musk offered 30 days of free broadband to aid disaster relief, underscoring the indispensable role of satellite technology in maintaining connectivity during crises. Beyond emergencies, satellite communications enhance everyday mobility experiences, supporting real-time tracking, in-car entertainment, and social engagement, transforming vehicles into versatile hubs for modern living.
This convergence of satellite applications and the automotive industry mirrors the broader synergies driving intelligent transformation across industries. For example, the smartphone industry, grappling with its own growth challenges, is leveraging satellites as well. Direct-to-satellite technology for smartphones offers a compelling solution by eliminating the coverage gaps inherent in conventional mobile networks. This innovation promises seamless global connectivity, reaching users in remote deserts and bustling cities alike. By 2027, the global market for direct-to-satellite services is expected to serve over a billion users annually, with a projected value scaling to tens of billions of dollars.
From vehicles to mobile devices, satellite communications are becoming a standard feature of next-generation intelligent products. Industry forecasts estimate that the global satellite communications market will reach USD 159.6 billion by 2030, driven by a compound annual growth rate (CAGR) of 9.7% from 2023.
As the demand for satellite applications grows, significant investment in upstream industries becomes necessary. Activities like rocket launches and satellite manufacturing are labor-intensive and time-consuming, requiring careful long-term planning. Elon Musk founded SpaceX in 2001, but it wasn’t until 2015 that Starlink’s design began. Those years were spent developing and test-launching the Falcon rocket series, laying the foundation for Starlink’s deployment.
The design and deployment cycles of satellite constellations typically follow a clear pattern. Global satellite projects like OneWeb and Starlink illustrate this trajectory. OneWeb spent five years designing its constellation and another four years deploying 648 satellites, achieving profitability in 2022. Starlink began its design phase in 2015, completed its first-generation deployment of 4,700 satellites by 2019, and transitioned into its second-generation deployment phase by the end of 2023. Profitability for such projects is often realized within a few years after the full deployment of the first- or second-generation constellations, usually spanning 10–15 years from initial design to profitability.
Geespace, the commercial aerospace arm of Geely, follows a similarly strategic path with its Geesatcom project. Launched in 2019, the project’s first phase involves deploying 72 satellites over three years to enable global real-time data communication. Geespace expects to serve over 200 million users and achieve profitability by 2027.
Geespace CEO Wang Yang has frequently highlighted the critical need for satellite connectivity to complement terrestrial networks. While 94% of the planet still lacks adequate coverage, satellites extend communication capabilities into uncharted territories, from remote deserts and isolated islands to potential future interplanetary travel.
In September 2024, Geespace reached a milestone when its third orbit of 10 satellites was successfully launched from the Taiyuan Satellite Launch Center. With a total of 30 satellites deployed across three orbital planes, the Geesatcom constellation now provides 24-hour coverage to 90% of the world’s regions. This marked the first time a Chinese commercial aerospace company delivered low-orbit satellite communication services to global users.
Geesatcom is already transforming mobility solutions. Its LEO satellite communication services address network blind spots, ensuring stable data transmission in remote areas. Furthermore, its proprietary high-precision positioning (PPP-RTK) technology enhances navigation accuracy to the centimeter level, enabling safer and more reliable autonomous driving. These advancements have been integrated into passenger vehicles for mass production.
Beyond the automotive industry, Geespace’s innovations extend to smartphones. The company has developed a direct-to-satellite communication chip for mobile devices, providing uninterrupted connectivity in diverse environments. In tests conducted in the Middle East, Geespace achieved a 99.15% communication success rate and over 99.97% network availability, even under severe electromagnetic interference.
From smart cars to smartphones, satellite technology is emerging as a cornerstone of next-generation intelligent products. Industry projections estimate the global satellite communication market will grow to USD 159.6 billion by 2030, propelled by a compound annual growth rate (CAGR) of 9.7% from 2023 onward.
Looking ahead, Geespace is positioned to provide communication services in regions where traditional infrastructure remains impractical or cost-prohibitive. These services will include remote monitoring, data transmission, and emergency communication solutions tailored for critical industries such as oil and gas production.
Geely’s expansive global strategy further reinforces Geespace’s international ambitions. With annual global sales exceeding three million units—10% of which come from overseas markets—Geely’s resources provide a strong foundation for Geesatcom’s growth. In the coming years, the constellation will deliver satellite communication services to global users, amplifying Geely’s competitiveness and influence in international markets.
Both consumers and industries will reap the benefits together. By enabling next-generation mobility in vehicles and driving intelligent upgrades across industries, they pave the way for a future without connectivity blind spots—a world where seamless communication transcends borders.
This article was written by Xiao Xi and was originally published by 36Kr.
