Operators can use satellite direct-to-device as a new feature to defend premium prices
"Operators should view satellite connectivity as an insurance-like service rather than a traditional connectivity service."
Satellite direct-to-device (D2D) may prove more valuable as a tool to defend premium mobile plans than as a source of new standalone revenue.
Around 20 operators worldwide currently offer satellite D2D services. The experience of these early adopters suggests that take-up remains limited and that relatively few customers are currently willing to pay separately for satellite connectivity.
However, this limited usage does not necessarily undermine the commercial case for satellite D2D. Its value may lie less in direct monetisation and more in helping operators defend premium pricing. Satellite connectivity can become one of several features that differentiate premium mobile plans and help established operators justify a price premium amid growing competition from low-cost challengers and MVNOs.
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