Enjoy complimentary customisation on priority with our Enterprise License!
The military communication market size is estimated to increase by USD 8.5 billion at a CAGR of 4.34% between 2023 and 2028. The market's expansion hinges on various factors, including the heightened procurement of advanced military communication systems to bolster defense communication security. This trend is driven by the increasing adoption of wireless communication technology, including wireless sensor networks, within military operations. Furthermore, the rising military expenditure worldwide plays a pivotal role in fostering market growth, as nations prioritize enhancing their communication capabilities. These investments are crucial for ensuring secure and efficient communication among military personnel and units. Additionally, the growing complexity of modern warfare and the need for seamless communication across different branches of the military are propelling the demand for advanced systems, including rugged equipment. Overall, the market is poised for growth due to these key factors driving the adoption of advanced military communication technologies.
To learn more about this report, View Report Sample
The market share growth by the hardware segment will be significant during the forecast period. The hardware segment of military-grade communication devices includes handheld, man-portable, and vehicle-mounted radios, wireless digital intercoms, and radios. The hardware segment is expanding rapidly due to the rising need for secure and dependable transmission in the defense sector. In the last decade, the segment has grown significantly due to the rising demand for lightweight and portable communication devices.
Get a glance at the market contribution of various segments View Free PDF Sample
The hardware segment showed a gradual increase in the market share of USD 17.20 billion in 2018. The segment is notably driven by the growing demand for better safety and transmission for military personnel and the need for highly sophisticated features such as remote weapon systems. The segment is also being spurred by the growing popularity of digital radios and the increasing number of market players that sell land mobile radio tactical transmissions. Hence, rising investments in satellite transmission systems and satellite modems are expected to grow the demand in the segment and drive the growth of the market in focus during the forecast period.
In the army segment, a continuously evolving battlefield requires better and more advanced communication systems. This results in the demand to not only protect the lives of soldiers but also to help in identifying and communicating enemy-related information. As a result, countries are collaborating with market players to develop new and more advanced systems. Moreover, for example, in March 2023, the Indian Army signed a contract with NewSpace India Limited to deliver an advanced communications satellite for USD 365 million. This is a technologically advanced five-ton class communication satellite for land forces like the army. The satellite enhances the communication capabilities of the Indian Army by providing mission-critical, beyond-line-of-sight communication to troops. Such factors are expected to have a positive impact on the army segment and lead to accelerated growth of the market during the forecast period.
The air force segment in the global market will grow significantly compared with other end-user segments during the forecast period. Owing to the rising adoption of connectors and growing investments in UAVs. They provide complete protection against electromagnetic interference and electromagnetic compatibility and radio frequency interference during operation. Developed and developing countries such as the US, India, and China are investing in the development of UAVs for military purposes. Hence, the rising investment in UAVs and the increasing adoption of military connectors are expected to drive the growth of the market during the forecast period.
For more insights on the market share of various regions Download PDF Sample now!
North America is estimated to contribute 48% to the growth of the global market during the forecast period. Technavioâs analysts have elaborately explained the regional trends and drivers that shape the market during the forecast period. The US military continues to maintain its military base in various other regions, such as Iraq, and their involvement is expected to increase in the future amid the Middle East and IS crisis. In North America, the US is the largest military power and has the largest number of military aircraft, naval vessels, and military land vehicles in the world.
Moreover, the US has further invested in many programs aimed at the modernization of its military capabilities. Thus, this drives the growth of the regional military. The growth rate in the aerospace industry in the region is expected to increase due to the need for enhanced military capabilities like high-security communications systems and satellite transmissions. North American countries are rapidly investing in satellite communication. These rising investments in satellite communication are expected to grow the demand for military communication systems in the region during the forecast period.
The market is experiencing a significant evolution driven by advanced technologies. Secure data encryption, high-frequency radio systems, and advanced networking protocols ensure secure and real-time data exchange. Integration of 5G networks, software-defined radios, and AI enhances situational awareness and enables intelligence sharing. Encryption techniques, including quantum cryptography, are crucial for protecting data from enemy interception. Cloud-based solutions offer scalability, cost-effectiveness, and flexibility, ensuring reliable communication even in harsh environments.
Increasing procurement of advanced military communication systems to strengthen defense communication security is the key driver for the growth of the market. Maintaining consistent transmission and protecting highly confidential information are the two top needs of the defense industry. If important data is not carefully protected and not transmitted correctly then it can endanger the safety of citizens and also result in disputes between different countries. Additionally, defense transmission encompasses all aspects related to the transmission of information and data by the armed forces for well-organized operations such as surveillance, command, and military control. This includes secure data encryption, high-frequency radio systems, advanced networking protocols, military communication systems, real-time data exchange, intelligence sharing, situational awareness, data centralization, scalability, cost-effectiveness, and flexibility and agility.
Additionally, considerations such as disaster recovery and redundancy are essential for ensuring uninterrupted communication in critical situations. Furthermore, they commonly depend on a complex and extensive transmission network of hardware and software components to convey information throughout the geographical region and people. Besides, rising disputes between countries around the world will raise military investments. Hence, the increased procurement of these systems with enhanced security is expected to drive the growth of the market during the forecast period.
Rising demand from the aerospace and defense industry in APAC is the primary trend in the market. In the aerospace and defense industries, APAC countries have been developing all-inclusive assessments of their defense strategies and resources. Such initiatives are contributing to the rising number of designing, production, commercial research, and operational activities done by defense equipment companies in APAC.
Moreover, many countries are focusing on building a local industrial base to ensure enhanced security due to geopolitical tensions and rising economic growth. Several market players in the aerospace and defense industries have succeeded in meeting this growing demand. In addition, factor such as the presence of a skilled workforce in APAC plays an important role in the development of better radar systems and advanced technology. This trend is expected to drive the growth of the market during the forecast period.
The high cost of deployment and repair in military communication systems is the major challenge to the growth of the market. Service providers need to integrate communication test equipment to establish a network connection for military transmission, which includes oscilloscopes, spectrum analyzers, and frequency analyzers. Equipment such as amplifiers, filters, receivers, and transmitters, are used for a power network connection. In major cases, the cost of establishing a connection and its maintenance depends on customers. Based on the needs of end-users the cost of deploying equipment varies from one location to another location.
Moreover, deployment costs may depend upon the bandwidth requirements for a particular network connection. For the expansion of the network, capacity requires the existing equipment to be upgraded and replaced. If faults cases in cables occur, it becomes highly difficult to identify the point and source of faults as long-haul networks are huge. This leads to a loss of time and raises the overall cost. Therefore, the need for large investments and deployment costs is expected to impede the adoption of communication systems for the market in focus during the forecast period.
The market industry report includes the adoption lifecycle of the market, covering from the innovatorâs stage to the laggardâs stage. It focuses on adoption rates in different regions based on penetration. Furthermore, the report also includes key purchase criteria and drivers of price sensitivity to help companies evaluate and develop their growth strategies.
Global Market Customer Landscape
Companies are implementing various strategies, such as strategic alliances, partnerships, mergers and acquisitions, geographical expansion, and product/service launches, to enhance their presence in the market.
The research report also includes detailed analyses of the competitive landscape of the market and information about 20 market companies, including:
Qualitative and quantitative analysis of companies has been conducted to help clients understand the wider business environment as well as the strengths and weaknesses of key market players. Data is qualitatively analyzed to categorize companies as pure play, category-focused, industry-focused, and diversified; it is quantitatively analyzed to categorize companies as dominant, leading, strong, tentative, and weak.
The market research report provides comprehensive data (region-wise segment analysis), with forecasts and estimates in "USD Billion" for the period 2024 to 2028, as well as historical data from 2018 to 2022 for the following segments.
The market is witnessing a surge in demand due to the need for robust communication systems in joint and coalition environments. Decision-makers are increasingly relying on interoperable communication systems to ensure seamless communication among military forces and allied nations. The rising adoption of new technologies such as AI (Artificial Intelligence) and the Internet of Things (IoT) is enhancing target identification and the routing of communications traffic, enabling rapid and informed decisions based on real-time information, sensor data, and intelligence feeds. However, challenges such as cyber threats and the high development and deployment costs are impacting the market. Collaborative efforts and the adoption of user-friendly software are key trends in the market. Technologies like SATCOM, Military communication shelters, and IoT-based communication are expected to drive market growth in the coming years.
Moreover, in the realm of modern defense, software-defined radios are revolutionizing military communications by addressing the complexity of military communications and enhancing data management. These radios facilitate data transmission and improve bandwidth capacity, essential for real-time updates and effective coordination within the Command and Control (C2) system. As defense budgets shift, there is a strong focus on emerging technologies such as 5G technology and Satellite Communications (SATCOM) to boost synergy and operational efficiency. Collaboration across sectors is crucial, with the telecommunication industry playing a key role in developing and deploying new technologies. The operational environment of defense, including the use of submarines, demands innovative solutions to counter threats like terrorism. This environment drives continuous advancements in software-defined radios and supports evolving data transmission strategies to stay ahead of potential challenges.
|
Market Scope |
|
|
Report Coverage |
Details |
|
Base year |
2023 |
|
Historic period |
2018 - 2022 |
|
Forecast period |
2024-2028 |
|
Growth momentum & CAGR |
Accelerate at a CAGR of 4.34% |
|
Market Growth 2024-2028 |
USD 8.5 billion |
|
Market structure |
Fragmented |
|
YoY growth 2023-2024(%) |
4.18 |
|
Regional analysis |
North America, APAC, Europe, South America, and Middle East and Africa |
|
Performing market contribution |
North America at 48% |
|
Key countries |
US, Russia, China, France, and Germany |
|
Competitive landscape |
Leading Companies, Market Positioning of Companies, Competitive Strategies, and Industry Risks |
|
Key companies profiled |
Airbus SE, ASELSAN AS, BAE Systems Plc, Bittium Corp., Cobham Ltd., Elbit Systems Ltd., General Dynamics Corp., Iridium Communications Inc., Kymeta Corp., L3Harris Technologies Inc., Leonardo Spa, Lockheed Martin Corp., Mercury Systems Inc., Nemco Ltd., Nokia Corp., Northrop Grumman Corp., RTX Corp., Spectra Group UK Ltd., Thales Group, and Viasat Inc. |
|
Market dynamics |
Parent market growth analysis, Market Forecasting, Market growth inducers and obstacles, Fast-growing and slow-growing segment analysis, COVID-19 impact and recovery analysis and future consumer dynamics, and Market condition analysis for the market forecast period. |
|
Customization purview |
If our market report has not included the data that you are looking for, you can reach out to our analysts and get segments customized. |
We can help! Our analysts can customize this market research report to meet your requirements.
1 Executive Summary
2 Market Landscape
3 Market Sizing
4 Historic Market Size
5 Five Forces Analysis
6 Market Segmentation by Component
7 Market Segmentation by End-user
8 Customer Landscape
9 Geographic Landscape
10 Drivers, Challenges, and Opportunity/Restraints
11 Competitive Landscape
12 Competitive Analysis
13 Appendix
Get the report (PDF) sent to your email within minutes.
Get lifetime access to our
Technavio Insights
Quick Report Overview:
Cookie Policy
The Site uses cookies to record users' preferences in relation to the functionality of accessibility. We, our Affiliates, and our Vendors may store and access cookies on a device, and process personal data including unique identifiers sent by a device, to personalise content, tailor, and report on advertising and to analyse our traffic. By clicking “I’m fine with this”, you are allowing the use of these cookies. Please refer to the help guide of your browser for further information on cookies, including how to disable them. Review our Privacy & Cookie Notice.
