STMicroelectronics (STM) investor relations material

Market opportunity and growth outlook

• LEO satellite market is rapidly expanding, with global services spending projected to reach $15 billion in 2026 and a 24.5% year-over-year growth, alongside a projected 10x increase in downlink capacity by 2030.

• LEO broadband electronics SAM is expected to grow from $650 million in 2025 to $2.9 billion by 2030, with cumulative space business revenue anticipated to exceed $3 billion from 2026–2028.

• Over 100 million cumulative user terminals are expected to be deployed by 2028, rising to 200 million by 2030, connecting underserved populations.

• Market share is currently above 90% but expected to decrease as new entrants emerge, though a leading position is maintained.

• The market is globalizing, with new constellations from the US, Europe, and China, and a broadening customer base beyond Starlink.

Technology and product positioning

• Broad portfolio covers satellites, gateways, and user terminals, including RF/digital ASICs, MCUs, power, analog, MEMS, and secure elements.

• Key technology pillars are FD-SOI for ASICs/microcontrollers and BiCMOS for front-end modules, enabling high performance, energy efficiency, and radiation immunity.

• Panel Level Packaging (PLP) enables high-volume, cost-effective, and miniaturized production, supporting up to 9 million units per day.

• Differentiated solutions for Ka and higher bands, direct-to-cell, and global connectivity.

• Content per satellite is in the tens of thousands of EUR, per gateway in the hundreds, and per user terminal in the tens, with user terminals being the largest revenue contributor.

Strategic partnerships and deployment scale

• Over 7.5 billion ICs delivered for Starlink, supporting global broadband expansion.

• Ten years of co-designing products for user terminals and satellites with SpaceX.

• Technology at the heart of Starlink's scale, enabling capacity increases and cost reductions.

• Starlink's user terminals launched in multiple versions, with significant price reductions and expanded market reach.

• LEO credibility and viability proven by Starlink, with about 9 million active customers and new constellations being deployed.