Market Overview:
Air defense systems provides protection against cruise, tactical and strategic ballistic missiles, unmanned aerial vehicles, and aircraft. They consist of radar systems, interceptor missiles, command and control systems and fire control systems. Air defense systems helps detect incoming enemy planes, and intercept missiles and other threats before they reach their targets using air-to-air, surface-to-air and man-portable missiles.
Market key trends:
One of the major trends in the air defense systems market is the increasing adoption of augmented reality and artificial intelligence. Augmented reality offers 3D digital interfaces to air defense operators and commanders and overlays geographical data and combat intelligence information onto real world combat scenarios. This enhances situation awareness, minimizes fatigue and improves decision making. It is increasingly being incorporated into command and control systems, fire control radars and other air defense technologies to provide better targeting and threat assessment capabilities. The use of artificial intelligence also helps automate threat detection, identification and interception tasks to maximize response time against missile and aircraft attacks.
The global Air Defense Systems Market Demand is estimated to be valued at US$ 16.94 Mn in 2023 and is expected to exhibit a CAGR of 13.% over the forecast period 2023 to 2030, as highlighted in a new report published by Coherent Market Insights.
Segment Analysis
The global air defense systems market is segmented based on type, platform, range, and geography. Based on type, the surface-to-air missiles segment dominates the market and is expected to continue its dominance over the forecast period. This is owing to its effectiveness in detecting and destroying airborne threats such as airplanes, helicopters, cruise missiles, and UAVs.
Key Takeaways
The global air defense systems market is expected to witness high growth, exhibiting a CAGR of 13% over the forecast period, due to increasing security threats from ballistic and cruise missiles as well as air-to-surface missiles globally.
North America dominates the market currently, owing to high defense spending and ongoing upgrades of air defense capabilities in the US and Canada. However, Asia Pacific is expected to grow at the fastest pace during the forecast period due to rising tensions with neighbors and increasing defense budgets in China and India.
Key players operating in the air defense systems market are Hanwha Defense, Raytheon Company, Aselsan AS, Israel Aerospace Industries Ltd., The Boeing Company, Rheinmetall AG, Northrop Grumman Corporation, Thales Group, Kongsberg Gruppen, Lockheed Martin Corporation, Leonardo SpA, and SAAB AB. These players are focusing on new product launches and contracts to gain a competitive edge in the market. For instance, in 2022, Kongsberg Gruppen secured a contract to upgrade Norway’s air defense systems with NASAMS.
Read More: https://www.dailyprbulletin.com/the-growth-of-air-defense-systems-market-size-and-share-analysis/
The global air defense systems market size was valued at $34,956.8 million in 2019 and is projected to reach $42,879.2 million by 2025, registering a CAGR of 3.25% during the forecast period.
The U.S. is one of the prominent countries in the world and recorded the highest market revenue of $12,146.6 million in 2019 and is expected to reach $15,105.8 million by 2025.The global air defense systems market is expected to witness a moderate growth during the forecast period 2020-2025, owing to the implementation of advanced technologies and modernization of air defense systems.
Moreover, threats and affordability are the two main factors that are expected to influence the defense spending of countries in the coming years.
Although the COVID-19 pandemic has changed the dynamics of various industries, it has not shown any immediate effect on the defense sector, apart from some supply chains disruption.
Governments are anticipated to calibrate their defense budgets according to situation prevail in terms of threats due to ongoing conflicts or to reallocate the budget for health measures.Asia-Pacific, which includes China, India, Japan, and South Korea, among others, is the second most prominent region for the air defense systems market.
This region is growing at a much faster rate as compared to North America and Europe due to constant efforts by the governments of Asia-Pacific countries for strengthening their defense forces with advanced air defense systems.Europe, including major countries such as Russia, the U.K., Germany, and France, is the third-most prominent region for the air defense systems market.
