Industry & Research Networks Geoff Sawyer EARSC Secretary General ConnectinGEO: ENEON 1st Workshop: Observing Europe

Industry & Research NetworksGeoff Sawyer

EARSC Secretary General

ConnectinGEO: ENEON 1st Workshop: Observing Europe

EARSC @ ENEON workshop September 2015

EARSC is a trade association (non-profit Belgian company), founded in 1989, which represents European companies: offering and undertaking consulting and other services or supplying equipment / data in the field of remote sensing.

Our mission is:

• to foster the development of the European Geo-Information Service Industry

• to represent European geo-information providers, creating a sustainable network between industry, decision makers and users

Our focus is on remote sensing from space-based platforms (satellites) but we also have members which are aircraft and RPAS operators.

Today we have 76 members from 22 countries in the EU and beyond.

What is EARSC?


Network

67 full members, 9 observers

Members: any commercial company providing services (including consultancy) or supplying equipment in the field of remote sensing shall be eligible for full membership.based in a European country which contributes to the European Space Agency or which is a member of the European Union

Observer: any organisation engaged in the supply or use of Remote Sensing which does not qualify to become a full member of the Association


Provide information to our members on programmes, policy and the sector; (business intelligence)

Maintain a knowledge of the industry, i.e. statistics, market information, etc. Promote professional standards within the industry Promote the industry and its capabilities by:

Creating links between EO services sector and other business sectors, e.g. oil & gas, insurance, public institutions e.g. the World Bank

Organising events offering networking opportunities as well as focused information

Advocacy towards policy makers on issues of concern Awareness and media. e.g. eomag

What does EARSC do?

EARSC focus is on enabling the development of new business

EARSC @ ENEON workshop September 2015EARSC meeting with ESA DG – 5th October 2015

Strategic Context - US

• Many changes taking place in the market:

• US lifts ITAR restrictions to allow sale of DigitalGlobe imagery down to 25cm resolution.

• Start-ups with new business models entering the market; Skybox Imaging, Planet Labs, Urthecast, Spire, Satelogic etc….. and offering high resolution images/videos.

• Some consolidation starting amongst the operators:

• Google acquires Skybox Imaging

• Planet Labs acquires Blackbridge

• Urthecast acquires Deimos Imaging

• Google, ESRI, Amazon developing offers of geospatial services.


Number of EO Service Companies in Europe and Canada

389

451

196


Current Situation- Europe

• Sector is dominated by micro (<10 employees) and small (<50 employees) companies


Geographical distribution

• Companies are distributed throughout europe with 10 countries having 20 or more companies

• This is a strength to serve local needs but is not a good position from which to address the global market


Industry Employment Profile

Number of employees has grown from 3000 in 2006 to nearly 7000 in 2014

8 year growth rate of 10.8% p.a. (cagr)2012:2014 = 7.2%

Large and medium companies employee 47% of the workforce

6811

5928

3149


Industry Revenue Profile

€419m

€786m

€911m

Total revenue has grown from €419m in 2006 to €911m in 2014

8 year growth rate of 11.8% p.a. (cagr)2012:2014 = 7.6%

Large and medium companies account for 60% of revenues.


Percentage Revenues by Activity

European Companies are active throughout the value chain

Data selling activities represent a 29% share of the market at €270m.

This represents a growth of 5% since 2012

The information services part of the business represents 51% of the market or €462m.

This represents a growth of 72% since 2012 (31% per annum).


Types of Customer

50% of revenues are coming from public sector operational customers at different levels (plus 15% R&D).

Around 4% comes from International organisations.

Around 30% of revenues is coming from sales to other industrial customers.

This shows an aggregate picture of 2012 & 2014 as a few large contracts are changing the year-to-year picture quite significantly.


In Summary

• European industry is present in all sectors of the market but is extremely fragmented with a strong dominance of micro and small companies.

• US (DigitalGlobe) presently lead the very high resolution market as a result of ITAR changes and the anchor tenancy contract.

• There is a strong growth in the number of US satellite operators mostly with new, disruptive business models and backed by “new” money.

• Recently, 2 of the new US companies have acquired the 2 independent European operators.

• US IT platforms eg Google, Amazon, ESRI are increasing their offer for geospatial services.

A European infrastructure can provide the tool to allow service providers to improve their offer both in Europe and to address the growing global market.


“ConnectinGEO’s primary goal is to link existing coordinated Earth observation networks with

science and technology (S&T) communities,

the industry sector and

the GEOSS and Copernicus stakeholders”

Industry linking through ENEON:

Networking of the stakeholders to develop better understanding

Focused R&D actions with a strong industrial interest

Development of a Marketplace to promote and do business

European Industry can benefit from ENEON

Sustainability is key!

ConnectinGEO & ENEON


Why Industry and ENEON?

ENEON • will stimulate a more harmonized

and coherent coverage of the (European) (EO) networks

• will help companies identify where to invest (avoid duplication and multiplication efforts)

• will enable industry to focus its R&D activities.

• will create opportunities to commercialise research results

INDUSTRY • will bring sector engagement as

suppliers and users of data & information

• will provide innovative approaches to commercialise EU R&D actions and develop business

• will act as a bridge to other industrial sectors (energy, agriculture, transportation,..)

EARSC objective: to bring the industry network represented by EARSC into contact with the R&D community with the goal to commercialise results.


Agreement and alignment with the research networks and stakeholders:

Focus on Services - with a pan-European or global dimension require a strong collaboration amongst all players irrespective of national boundaries and interests.

Coming together of industry, academia and public sector bodies into R&D teams and consortia: mix of skills, knowledge, data and competences will be an essential contribution to deliver first class geo-services.

GEOSS is stimulating significant R&D activities which can be used to help meet European goals (science and business)

There is a need to find ways to test industry interest to take on and commercialise these R&D products.

Industry networks coordination with EO Networks


Growing the Market:

•Develop the uptake of services into the public sector as well as commercial and export markets.

Collaborate and connect with ENEON networks:

•Harness EU R&D actions in the context of GEOSS (DG-RTD) to support the European industry (Science and Business)

Develop a Marketplace

• Overcome fragmentation while maintaining diversity (supply & demand)

• Provide common/easy access to data/information for all users

• Move public sector from defining solutions in favor of defining information needs

A Marketplace for EO services


Improve communication exchange on what the members of ENEON can offer (and gain from working together):

meetings in suitable locations and planned with collaboration in mind

respecting the rules and modalities of the very different sector needs

suitable governance structure

common language!

Culture and common goals (science and business)

The European way – preservation of individual values

How can industry engage with ENEON?


ConnectinGEO has the goal to identify gaps:

the biggest gap is between Research and Industry

ENEON can help fill that gap


For Information on EARSC:

www.earsc.eu / www.eomag.eu / [email protected]

For more information on the remote sensing industry:

www.eopages.eu

For information on EO applications:

www.earsc-portal.eu

For links to the O&G Community

www.ogeo-portal.eu

For more Information


Industry profile

63% = Proportion of companies with less than 10 EO employees:96% with less than 50 employees

451 companies in Europe6811 direct employees€910m revenue

Total Industry Revenue in 2014

Total Industry Employment in 2014

Documents

Industry & Research Networks Geoff Sawyer EARSC Secretary General ConnectinGEO: ENEON 1st Workshop: Observing Europe