With the implementation of major national strategies such as new infrastructure and digital economy, spatio-temporal big data, urban and rural digital bases, unmanned systems, intelligent information services, etc. are booming, further expanding the vast market for Beidou spatio-temporal information applications and services, and promoting the satellite The in-depth application of navigation and location services in various industries and fields.
Definition of satellite navigation and location services
The Global Navigation Satellite System is an air-based radio navigation and positioning system that can provide all-weather positioning, navigation, and timing for any location on the Earth's surface or near-Earth space. The satellite navigation system is an important space infrastructure that provides all-weather precise spatiotemporal information services for human production and life, and is an important information guarantee for economic and social development.
At present, the mature global satellite navigation systems in the world mainly include the American GPS system, the Russian GLONASS system, the Chinese Beidou system, and the European Galileo system. In addition, there are two regional satellite navigation systems: the Japanese Quasi-Zenith System (QZSS) and the Indian Regional Navigation Satellite System (IRNSS).
Global Positioning System (GPS)
In December 1973, the U.S. Department of Defense approved the joint development of a new satellite navigation system by the Navy, Army and Air Force - NAVSTART/GPS, referred to as GPS. The first operational prototype satellite was launched in 1978. GPS has omnipotent, global, all-weather, continuous and real-time navigation, positioning and timing functions, and can provide users with precise three-dimensional coordinates, speed and time information. GPS currently has 31 satellites in orbit.
GLONASS satellite navigation system (GLONASS)
GLONASS is a second-generation military satellite navigation system independently developed and controlled by the former Soviet Union’s Ministry of Defense. This system is the second global satellite navigation system with full operational capabilities after GPS. The emergence of GLONASS broke the United States' monopoly on satellite navigation systems, but its civilian and commercial users are still few. Currently, there are 23 GLONASS satellites in orbit and operating normally.
Beidou Navigation Satellite System (BDS)
The Beidou satellite navigation system is built in China and provides all-weather, all-weather, high-precision positioning, speed measurement and timing services to users around the world. In July 2020, the Beidou-3 system was launched. The space segment of the Beidou-3 system consists of a number of geosynchronous and orbiting satellites (GEO), inclined geosynchronous orbiting satellites (IGSO) and medium earth orbiting satellites (MEO) to form a hybrid navigation constellation.
Galileo satellite navigation system (Galileo)
The Galileo satellite navigation system is a global satellite navigation and positioning system developed and established by the European Union. The plan was announced by the European Commission in February 1999. Galileo currently has a total of 22 available satellites in orbit, and the planned constellation consists of 24 satellites (Walker24/3/1), including 6 spare satellites.
Industry development status
Gross output value
In recent years, the Beidou satellite navigation system has increasingly played an important role in promoting my country's economic and social development. The depth and breadth of its application have continued to expand, and the scale of my country's satellite navigation and location services industry has maintained a steady growth trend. According to the "2023 China Satellite Navigation and Location Services Industry Development White Paper", the overall output value of my country's satellite navigation and location services industry will reach 500.7 billion yuan in 2022, an increase of 6.76% compared with 2021. It is expected that the total industry output value will reach 573 billion yuan in 2023.
Figure 1: Forecast trend of total output value of China’s satellite navigation and location services industry from 2017 to 2023 (*Data source: China Business Industry Research Institute)
core output value
From the perspective of core output value, the core output value of the industry, including chips, devices, algorithms, software, navigation data, terminal equipment, infrastructure, etc. directly related to the research and development and application of satellite navigation technology, will increase by 5.05% year-on-year to 152.7 billion in 2022 yuan, accounting for 30.50% of the overall output value. It is expected that the core output value of China's satellite navigation and location services industry will reach 169.7 billion yuan in 2023.
Figure 2: Forecast of core output value of China’s satellite navigation and location services industry from 2017 to 2023 (*Data source: China Business Industry Research Institute)
End product sales (shipments)
The domestic satellite navigation and location service market will be overall stable in 2022. According to research and analysis by the China Satellite Navigation and Positioning Association, the total sales volume of domestic satellite navigation and positioning terminal products in 2022 will be approximately 376 million units/set. Among them, the shipment volume of smartphones with satellite navigation and positioning functions reached 264 million units, and the sales volume of various positioning terminal equipment including Internet of Things, wearable, vehicle-mounted, high-precision, etc. was approximately 100 million units/set, and the car navigation system market Terminal sales were approximately 12 million units.
Figure 3: Domestic satellite navigation and positioning terminal product sales in 2022 (*Data source: China Business Industry Research Institute)
Industry regional development
In 2022, the five major industrial regions and key industrial development cities with traditional development advantages will actively combine the development needs of major national strategic regions and their own characteristics to further increase their efforts in the satellite navigation and location service industry, make a comprehensive layout, and consolidate the unique advantages of regional development. , maintaining stable growth overall. According to research statistics, in 2022, the five major regions will achieve a comprehensive output value of approximately 377.8 billion yuan, accounting for 75.44% of the country's overall output value.
Figure 4: Regional output value of China’s satellite navigation and location services industry in 2022 (*Data source: China Business Industry Research Institute)
Number of listed companies in the industry
Currently, the total number of enterprises and institutions in the field of satellite navigation and location services in my country remains at around 14,000, with more than 500,000 employees. As of the end of 2022, the total number of related companies in the industry listed domestically (including the New Third Board) is 92, and the output value of listed companies involving satellite navigation and location services accounts for about 9.02% of the country's overall output value.
Figure 5: Statistics on the number of listed companies in the domestic satellite navigation and location services industry from 2018 to 2022 (*Data source: China Business Industry Research Institute)
Key enterprises in the industry
Aerospace electronics
The main business of Aerospace Times Electronic Technology Co., Ltd. is the research and development, production and sales of aerospace electronics, unmanned systems and high-end intelligent equipment, wires and cables and other products. The products mainly include integrated information systems, inertial navigation, integrated circuits, electromechanical components, etc. Aerospace Electronics is the earliest research unit in China engaged in measurement and control technology and satellite navigation technology. Its main product "Beidou Experimental Satellite Engineering Ground Operation Control System Monitoring Receiver" won the first prize of the China Satellite Navigation and Positioning Association's Science and Technology Progress Award. In 2022, Aerospace Electronics achieved operating income of 17.476 billion yuan and net profit attributable to the parent company of 611 million yuan, a year-on-year increase of 9.30% and 11.17% respectively.
Figure 6: Aerospace electronics experience from 2018 to 2022 (*Data source: China Business Industry Research Institute)
China satellite
China Dongfanghong Satellite Co., Ltd. focuses on the development of the integrated industry of satellite communications, navigation, and remote sensing, relying on two national-level platforms: the "National Engineering Research Center for Small Satellites and Their Applications" and the "National Key Laboratory of Space-Earth Integrated Information Technology". It has relatively strong research and development capabilities in key core technology research, satellite and satellite application equipment manufacturing, etc. In 2022, China Satellite successfully obtained the task of developing on-board test parts for multi-mode navigation receivers for commercial aircraft, and the development of tracking and monitoring terminals for general aviation aircraft and UAVs. The further expansion of Beidou navigation applications in the aviation field has achieved practical results. In 2022, China Satellite achieved operating income of 8.242 billion yuan and net profit attributable to the parent company of 286 million yuan, an increase of 15.26% and 21.89% respectively over the previous year.
Figure 7: China’s satellite operations from 2018 to 2022 (*Data source: China Business Industry Research Institute)
CTI Navigation
CTI Navigation has always focused on the development, manufacturing, integration and industrialization of core technologies related to high-precision navigation and positioning applications and its products. It has formed core algorithm capabilities with technical barriers, including high-precision GNSS algorithms, three-dimensional point cloud and aerial survey, GNSS With complete algorithm technology capabilities such as signal processing and chip processing, autonomous driving perception and decision-making control, it is one of the leading companies in the domestic high-precision satellite navigation and positioning industry. In 2022, CTI Navigation achieved operating revenue of 2.236 billion yuan, a year-on-year increase of 17.50%, of which high-precision positioning equipment achieved revenue of 1.093 billion yuan.
Figure 8: Operation status of CTI Navigation from 2018 to 2022 (*Data source: China Business Industry Research Institute)
Hager Communications
Guangzhou Higer Communications Group Co., Ltd.'s main business covers the four major fields of "wireless communications, Beidou navigation, aerospace, and digital intelligence ecology". It is an expert in Beidou navigation equipment development and electronics covering wireless communications and the entire industry chain. An information system solution provider, it is one of the key electronic information companies with the widest user coverage, widest frequency band coverage, most complete product series, and the most competitiveness in the industry. It is the leader in simulation systems in the domestic institutional market and the industry leader. A new generation of digital intelligence ecosystem builders. In 2022, Higer Communications' operating income was 5.616 billion yuan, of which Beidou Navigation revenue was 439 million yuan, a year-on-year increase of 3.39%.
Figure 9: Higer Communication’s operations from 2018 to 2022 (*Data source: China Business Industry Research Institute)
Beidou Star
Beidou Star's main business includes chip and data services, satellite navigation, ceramic components, and automotive electronics business. After more than 20 years of development, Beidou Star closely follows the construction and industrialization promotion of my country's satellite navigation system, and is in the process of domestic substitution. Playing an important role in the industry, our self-developed navigation and positioning chips, modules, boards, antennas and other basic devices/components lead the industry in an all-round way, providing excellent products, solutions and services to global users, and striving to create the world's leading "location digital base". In 2022, Beidou Star will achieve operating income of 3.816 billion yuan and net profit attributable to the parent company of 145 million yuan.
Figure 10: Beidou Star’s operations from 2018 to 2022 (*Data source: China Business Industry Research Institute)
Industry development prospects
Remote sensing technology continues to make breakthroughs, and satellite accuracy continues to improve
In recent years, remote sensing technology has continued to make breakthroughs. The number of remote sensing satellites launched has increased rapidly. The overall ability to observe ground objects and surface has been greatly improved. An all-weather, all-day, full-spectrum, and full-coverage remote sensing satellite system has been basically realized. As commercial remote sensing satellites gradually increase, the application scenarios and customized market for remote sensing data are gradually opening up. Satellite remote sensing data can be used for natural resource survey and monitoring, disaster early warning and disaster assessment, ecological environment management and protection, meteorological forecast and services, marine environmental survey, agricultural monitoring and production estimation, special regional environmental information security and other socio-economic and national defense security. Satellite remote sensing It has become an indispensable technical means for the government's fine supervision, social collaborative governance and national security. It has played an irreplaceable role in the construction and major tasks of major projects such as my country's land and resources survey, West-East Gas Transmission, South-to-North Water Diversion, and the Three Gorges Project.
The new generation of information technology is developing rapidly, and the industrial ecosystem is gradually improving.
In recent years, with the rapid development of new technologies represented by 5G, cloud computing, big data, AR, artificial intelligence, Internet of Things, etc. and the completion of the global networking of the third generation of Beidou, the development of my country's geographical information industry has entered a new historical period. The industrial ecosystem of "+Beidou" has been further enriched and improved, giving rise to more new technologies, new products, and new applications. These new technologies, new products, and new applications, together with the geographical information industry, constitute an important foundation for the development of the digital economy. Promoting the integrated development of the geographical information industry and new industries is an inherent need for the upgrading of the geographical information industry, and is also an objective requirement for high-quality social and economic development in the new era.
Empowered by the data economy, the downstream application market is vast
With the implementation of major national strategies such as new infrastructure and digital economy, spatio-temporal big data, urban and rural digital bases, unmanned systems, intelligent information services, etc. are booming, further expanding the vast market for Beidou spatio-temporal information applications and services, and promoting the satellite With the deepening application of navigation and location services in various industries and fields, market activity is expected to bottom out and the overall economic benefits of the industry will also show a stabilizing and rebounding trend.
