Viasat’s headquarters in Carlsbad, California. Photo: Viasat

Viasat has released a report looking at the burgeoning direct-to-device (D2D) satellite connectivity market. The inescapable conclusion of the report is that customers are willing to pay a bit more to have satellite-based connectivity, showcasing the potential of this market for satellite players. Viasat released details of the report, Dec. 3.

The report, titled: ‘The Great Connectivity Convergence: NTN in Consumer Mobile’ was conducted by GSMA Intelligence and surveyed more than 12,000 mobile phone users across 12 markets.

There are some interesting findings from the report. For example, the report states more than 60 percent of consumers globally are prepared to pay extra for satellite-enabled services on their smartphones. It says appetite varies by market, with high-growth regions like India (89 percent) and Indonesia (82 percent) more willing to pay than those in more developed economies such as the U.S. (56 percent) and France (48 percent).

The report states that on average, globally, consumers who are willing to pay more would be happy to spend 5-7 percent more on their current phone bill per month. Of all countries surveyed, India presents a particularly compelling case: with an average willingness-to-pay of 9 percent more on current monthly spend. According to the report, despite a lower Average Revenue Per User (ARPU) of $2.35 in India – contrasting with the U.S.’s $45.57, and this remains a crucial opportunity for MNOs. The report says you have to take into account larger population sizes and higher willingness to pay, and this means lower-ARPU markets could represent substantial growth opportunities if commercial strategies are tailored effectively.

“This data highlights frustration with mobile blackspots and shows that consumers are willing to pay or even switch providers for reliable coverage. This means the industry is reaching an inflection point – MNOs need to move fast to harness the excitement over satellite services to secure loyalty and generate revenue. This is about more than providing a feature upgrade – it can be an essential tool for digital inclusion, safety, and economic growth. We’re excited to be forging partnerships within the ecosystem to help make it a reality for millions more users,” Andy Kessler, Vice President Viasat Enterprise, said in a statement.