The Global Market for Oilfield Communications is Projected to Reach US$4.0 Billion by 2020

The Rise of the Digital Oilfield Concept Spurs Interest in Oilfield Communications, According to a New Report by Global Industry Analysts, Inc.

GIA launches comprehensive analysis of industry segments, trends, growth drivers, market share, size and demand forecasts on the global Oilfield Communications market. The global market for Oilfield Communications is projected to reach US$4.0 billion by 2020, driven by the continuous rise in energy demand, the end of the era of easy oil, new oil drilling projects in extreme environments and the ensuing reliance on digital technologies to improve oilfield recovery, productivity and communication.    

Oil & gas is a crucial industry that helps meet close to 55% of the world’s daily energy needs. As oilfields are spread across several offshore and onshore locations and involve challenging environments, demand for unique communications technologies remains robust. Oilfield communication includes all communication technologies used in oilfields for providing support to oil & gas companies that need advanced monitoring, automation, and reporting technology. With most of the world’s largest oil fields drying up, companies are turning to explore into oil & gas trapped beneath more challenging and deeper basins, which are remotely located from places where a significant proportion of the world’s oil & gas expertise resides. This creates the need for efficient communication networks/solutions for meeting the ever-growing demand for robust, scalable, and collaborative environments in the oil & gas industry.

The ongoing digitization of operations in the O&G sector, from onshore and offshore oil and gas platforms to remote exploration is further driving the demand for efficient communication technologies. Besides satellite services, fixed fiber and wireless technologies are increasingly finding place for communication. Wireless solutions are gaining interest as against wired infrastructure due to beneficial attributes such as low cost, reduced power consumption, high level of reliability, and ease of deployment and maintenance. Adoption of new operational technologies and the ensuing growth in data volumes is further leading to increased demand for new high throughput satellite (HTS) technologies across C/Ku/Ka bands that offer high capacity and low latency connectivity and improved data capabilities to operations in ultradeepwater. The recent years have witnessed growing number of companies in the oil and gas industry adopting cloud technology due to benefits such as improved collaboration across the dispersed workforce and ensuring security while exchanging data. The growing emphasis on well-planned investments on productivity-enhancing technologies and equipment in the oil & gas sector is poised to benefit automation technologies such as Supervisory Control and Data Acquisition (SCADA). Wireless machine-to-machine solutions continue to rise in popularity in oil & gas applications driven largely by regulatory compliance, environmental and safety concerns, and growing demand for enhanced operational efficiency.

As stated by the new market research report on Oilfield Communications, the Middle East & Africa represents the largest market worldwide. The United States ranks as the fastest growing market with a CAGR of 9.0% over the analysis period.

Key players covered in the report include Alcatel-Lucent S.A., ERF Wireless, Inc., Halliburton, Harris CapRock Communications Inc., Hermes Datacommunications International Ltd., Huawei Technologies Co., Ltd., Hughes Network Systems LLC, Inmarsat plc, ITC Global, Redline Communications Group, RigNet, Inc., and Weatherford International, among others.

The research report titled “Oilfield Communications: A Global Strategic Business Report” announced by Global Industry Analysts Inc., provides a comprehensive review of market trends, issues, drivers, mergers, acquisitions and other strategic industry activities of major market participants. The report provides market estimates and projections for all major geographic markets such as the US, Canada, Europe (UK, Russia, Norway, and Rest of Europe), Asia-Pacific (China, India, and Rest of Asia-Pacific), Middle East & Africa (Iran, Saudi Arabia, and Rest of Middle East & Africa), and Latin America (Brazil, Mexico, and Rest of Latin America). Major types of Oilfield Communications analyzed in the report include Solutions and Services.

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