5G in Defense Market by Solution (Chipsets, Communication Network, Core Network), Operational Frequency (High, Low, Medium), Network Type, Platform, End User - Global Forecast 2024-2030

5G in Defense Market by Solution (Chipsets, Communication Network, Core Network), Operational Frequency (High, Low, Medium), Network Type, Platform, End User - Global Forecast 2024-2030

The 5G in Defense Market size was estimated at USD 948.55 million in 2023 and expected to reach USD 1,096.99 million in 2024, at a CAGR 16.55% to reach USD 2,772.06 million by 2030.

The 5G in the Defense market encompasses technologies, systems, and services that utilize advanced fifth-generation wireless communication networks to bolster military capabilities across all branches of the armed forces. Key applications include surveillance, intelligence gathering, communication, command & control systems, combat operations, and logistics support. Market expansion is influenced by increasing demand for low latency, reliability, and high data transmission rates in defense operations. Increasing government spending in the defense sector for communication technologies also fuels market growth. However, limitations such as high infrastructure costs, security concerns regarding data breaches and espionage activities, regulatory complexities, spectrum allocation issues, and compatibility with legacy systems may hinder growth. Technological advancements in the 5G network for homeland security are expected to expand the number of connected devices and help realize IoT on a massive scale. In addition, the rising adoption of autonomous and connected devices in the aircraft and military sector is creating lucrative opportunities for market growth. Businesses focus on innovative research and development initiatives in resilient network security against cyberattacks, AI-driven analytics combined with edge computing, and advancements in energy-efficient networking technologies suitable for deployment in remote or hostile environments.

Regional Insights

In the Americas, the United States is pioneering developing and deploying 5G technology within its defense sector. Canada is collaborating with NATO allies to strengthen its national security through joint research projects and best practice sharing related to 5G implementation in defense systems. The country's investment in military modernization programs underscores its commitment to incorporating advanced technologies. European Union countries are constructing secure communication networks for their defense sectors by capitalizing on the capabilities of 5G technology. Initiatives such as EuroDRONES and ESSOR aim to bolster interoperability among European armed forces through next-generation communication systems based on cutting-edge technologies. In the Middle East, nations, including Israel, Saudi Arabia, and the United Arab Emirates, invest heavily in their respective defense sectors, focusing on advanced technologies like 5G for improved command-and-control capabilities, real-time intelligence gathering, and remote surveillance. African countries are exploring opportunities provided by emerging technologies, including artificial intelligence (AI) and 5G, for enhancing their military prowess. Asia Pacific showcases immense potential for growth in terms of demand for integrating 5G technology within its defense sector. Countries such as China have rapidly advanced their military modernization programs through significant investments in novel technologies like artificial intelligence (AI) and quantum communications powered by 5G networks. India has also embarked on an ambitious roadmap to deploy 5G-enabled communication networks for its armed forces in the coming years.

Market Insights

Market Dynamics

The market dynamics represent an ever-changing landscape of the 5G in Defense Market by providing actionable insights into factors, including supply and demand levels. Accounting for these factors helps design strategies, make investments, and formulate developments to capitalize on future opportunities. In addition, these factors assist in avoiding potential pitfalls related to political, geographical, technical, social, and economic conditions, highlighting consumer behaviors and influencing manufacturing costs and purchasing decisions.

Market Drivers

• Requirement of low latency, reliability, and high data transmission rates in defense operations
• Increasing governments spending in defense sector for communication technologies

Market Restraints

• High initial cost associated with implementation of 5G technologies

Market Opportunities

• Technological advancements in 5G network for homeland security
• Rising adoption of autonomous and connected devices in aircrafts and military sector

Market Challenges

• Security concerns and interference with 5G networks

Market Segmentation Analysis

• Solution: Proliferation of core network for modern telecommunication system in defense
• Operational Frequency: Growing importance of high-frequency for real-time information exchange in critical situations
• Platform: increasing usage of airborne platforms for high-speed data transfer and real-time communication capabilities
• End User: Rising adoption of 5G technology in homeland security

Market Disruption Analysis

• Porter’s Five Forces Analysis
• Value Chain & Critical Path Analysis
• Pricing Analysis
• Technology Analysis
• Patent Analysis
• Trade Analysis
• Regulatory Framework Analysis

FPNV Positioning Matrix

The FPNV positioning matrix is essential in evaluating the market positioning of the vendors in the 5G in Defense Market. This matrix offers a comprehensive assessment of vendors, examining critical metrics related to business strategy and product satisfaction. This in-depth assessment empowers users to make well-informed decisions aligned with their requirements. Based on the evaluation, the vendors are then categorized into four distinct quadrants representing varying levels of success, namely Forefront (F), Pathfinder (P), Niche (N), or Vital (V).

Market Share Analysis

The market share analysis is a comprehensive tool that provides an insightful and in-depth assessment of the current state of vendors in the 5G in Defense Market. By meticulously comparing and analyzing vendor contributions, companies are offered a greater understanding of their performance and the challenges they face when competing for market share. These contributions include overall revenue, customer base, and other vital metrics. Additionally, this analysis provides valuable insights into the competitive nature of the sector, including factors such as accumulation, fragmentation dominance, and amalgamation traits observed over the base year period studied. With these illustrative details, vendors can make more informed decisions and devise effective strategies to gain a competitive edge in the market.

Recent Developments

NATO to test 5G capabilities in Latvia with virtual reality, drones

NATO's Allied Command Transformation has entered into an agreement with Latvia, enabling member nations to evaluate new capabilities at the country's 5G military test bed. This experiment aims to assess the alliance's latest research and development initiatives, as well as the tactical 5G capabilities of the site.

US Navy teams with Qualcomm to research 5G, artificial intelligence

The Naval Postgraduate School (NPS) entered into a cooperative research agreement with Qualcomm Technologies, a wireless specialist, to analyze the potential of 5G, artificial intelligence, and cloud computing. This collaboration aims to support the digital initiatives of the Navy and Marine Corps by engaging with professional scientists and engineers in the private sector. The partnership, facilitated through a CRADA, focuses on the military's interests in achieving seamless connectivity and enhancing computer-based decision-making.

European Commission to fund 5G research for defence applications

The European Defence Fund has recently launched a 5G COMPAD (5G Communications for Peacekeeping and Defence) project, with a total budget of USD 40 million (€37.1 million), co-funded by the EDF. A consortium consisting of Saab, Ericsson, Bittium, Nokia, Thales, Leonardo, Eightbells, Intracom Defense, CAFA Tech, and Telenor has been formed for this project. The primary objective of this initiative is to equip European armed forces with robust and resilient communications systems while simultaneously developing new and improved functionalities and enhancing the overall lifecycle costs.

Strategy Analysis & Recommendation

The strategic analysis is essential for organizations seeking a solid foothold in the global marketplace. Companies are better positioned to make informed decisions that align with their long-term aspirations by thoroughly evaluating their current standing in the 5G in Defense Market. This critical assessment involves a thorough analysis of the organization’s resources, capabilities, and overall performance to identify its core strengths and areas for improvement.

Key Company Profiles

The report delves into recent significant developments in the 5G in Defense Market, highlighting leading vendors and their innovative profiles. These include AKKA Technologies SE, Analog Devices, Inc., AT&T Inc., Cisco Systems, Inc., Cubic Corporation, Deutsche Telekom AG, Fujitsu Limited, General Electric Company, Honeywell International Inc., Huawei Technologies Co., Ltd., Intelsat S.A., L3Harris Technologies, Inc., Lockheed Martin Corporation, Nokia Corporation, QUALCOMM Incorporated, Raytheon Technologies Corporation, Rohde & Schwarz GmbH & Co. KG, Samsung Electronics Co., Ltd., Tech Mahindra Limited, Telefonaktiebolaget LM Ericsson, Telefónica S.A., Thales Group, Verizon Communications Inc., Viasat, Inc., and Wind River Systems, Inc..

Market Segmentation & Coverage

This research report categorizes the 5G in Defense Market to forecast the revenues and analyze trends in each of the following sub-markets:

• Solution
• Chipsets
• Application-Specific Integrated Circuit (APSIC) Chipset
• Millimetre Wave (MMWAVE) Chipset
• Radio Frequency Integrated Circuit (RFIC) Chipset
• Communication Network
• Macro Cell
• Small Cell
• Core Network
• Fog Computing (FC)
• Mobile Edge Computing (EDC)
• Network Function Visualization (NFV)
• Software-Defined Networking (SDN)
• Operational Frequency
• High
• Low
• Medium
• Network Type
• Enhanced Mobile Broadband (eMBB)
• Massive Machine Type Communications (MMTC)
• Ultra-Reliable Low-Latency Communications (URLLC)
• Platform
• Airborne
• Land
• Naval
• End User
• Homeland Security
• Military
• Region
• Americas
• Argentina
• Brazil
• Canada
• Mexico
• United States
• California
• Florida
• Illinois
• New York
• Ohio
• Pennsylvania
• Texas
• Asia-Pacific
• Australia
• China
• India
• Indonesia
• Japan
• Malaysia
• Philippines
• Singapore
• South Korea
• Taiwan
• Thailand
• Vietnam
• Europe, Middle East & Africa
• Denmark
• Egypt
• Finland
• France
• Germany
• Israel
• Italy
• Netherlands
• Nigeria
• Norway
• Poland
• Qatar
• Russia
• Saudi Arabia
• South Africa
• Spain
• Sweden
• Switzerland
• Turkey
• United Arab Emirates
• United Kingdom

Please Note: PDF & Excel + Online Access - 1 Year