NSR: NSR Report sees Satellite Capacity Pricing Stabilizing, yet Increasingly Complex Period for Pricing Negotiations

CAMBRIDGE, Mass., May 31, 2022 (GLOBE NEWSWIRE) -- NSR's Satellite Capacity Pricing Index, 8th Edition finds Satellite Operators sitting at a crossroads of multiple macro-economic headwinds, external competitive pressures, and supply chain challenges, driving need for innovative strategies. As pricing stabilizes in Q2 2022, technology efficiencies, supply-demand gap and macro-economic factors trigger increasingly complex pricing negotiations. For some service providers, such as SpaceX, inflation pressure enables an increase in end-user pricing; however, due to competitive pressures, many wholesale capacity providers do not have the bargaining power to significantly increase pricing. In addition, the geopolitical crisis in Europe, C-band repurposing in many regions, currency devaluation in emerging markets and general economic slowdown all contribute to increased uncertainty for sustained demand growth in video and connectivity markets. Competitive threat from OTT and dwindling TV advert revenues continue to plague the Video/DTH market. However, delays in high throughput satellite launches help operators drive up fill rates from 40-55%, recorded in 2019-2020 (traditional widebeam ...Full story available on Benzinga.com