This afternoon, media reports indicated that relevant departments will soon issue satellite internet licenses. This is a crucial moment for China’s commercial aerospace industry. After reading this logical analysis, you will understand why the issuance of licenses is equivalent to the official acceleration of network construction in China’s commercial aerospace sector.
1. What Does the Issuance of Licenses Represent?
1.Accelerated Commercialization of the Industry: The issuance of licenses breaks down institutional barriers, allowing private enterprises to participate in satellite communication operations (previously monopolized by China Satcom), thus activating the entire industry chain. From this point on, private satellite launches officially have policy backing.
2.Accelerated Network Construction: By 2025, there are plans to launch 700-800 low Earth orbit satellites domestically (a tenfold increase compared to 2024), with licenses promoting the construction of satellite constellations such as “Star Network” and “G60 Starlink” entering a high-density launch phase.
3.Positioning in International Competition: The global capacity for low Earth orbit satellites is only 60,000, while countries have applied for over 70,000. The issuance of licenses will help China seize scarce orbital and frequency resources.
By 2025, the domestic satellite internet market is expected to reach 45 billion yuan, and by 2030, it will exceed 1.2 trillion yuan. Scenarios such as direct satellite connections for mobile phones (the Huawei Mate 80 already supports this), marine communications, and low-altitude economy are on the verge of commercialization, with the potential to cover billions of users globally. This policy will promote the localization of core technologies such as satellite payloads and baseband chips. It can also help Chinese companies capture overseas markets by leveraging cost advantages (the cost per satellite is 30%-40% lower than that of Starlink).
2. Core Beneficiary Listed Companies
1. Satellite Manufacturing and Launch
China Satellite (600118): A leading satellite assembly company, producing 200 small satellites annually, deeply involved in the Star Network/G60 constellation. Launched the world’s first AI remote sensing satellite “Smart Eye No. 1” with a tenfold increase in data processing efficiency.
Aerospace Electric (002025): A supplier of satellite energy modules, with products applied in commercial satellites such as Galaxy Aerospace.
2. Satellite Payloads
Creative Information (300366): Holds a 75% market share in satellite communication payloads, with a single satellite value exceeding 20 million yuan, a core target for Star Network bidding. Its subsidiary, Chuangzhi Lianheng, completed the first domestic space verification of low Earth orbit broadband communication payloads.
Huali Chuangtong (300045): The “national team” for baseband chips, undertaking China Mobile’s 6G testing orders and collaborating with Xiaomi on low Earth orbit satellite chips.
Shanghai Hanxun (300762): The sole supplier of G60 Starlink payloads, providing technology to the Southeast Asian market.
3. Operators and Ground Equipment
China Satcom (601698): The only satellite communication operator in China, exclusively constructing the national emergency communication network and collaborating with SpaceX for low Earth orbit services.
Changjiang Communication (600345): Its subsidiary, Dias, is responsible for the construction of overseas ground stations for the G60 constellation (with a single station value of 200-300 million yuan).
4. Terminal Applications
Three-Dimensional Communication (002115): Its subsidiary, Haiwei Tong, provides satellite broadband services for ships, covering smart ocean scenarios.
Fujida (835640): Provides RF connectors/cable components for low Earth orbit satellites, benefiting from the increase in commercial satellite launches.