Global C4ISR Market 2022-2028
Command, Control, Communications, Computers, Intelligence, Surveillance and Reconnaissance (C4ISR); each of these play a fundamental role within the defense group across the globe. With the C4ISR system, military leaders are provided with a common tactical picture that aids them in overseeing and understanding their operational environment. In addition, it enables them to identify mission-critical factors and control assets. C4ISR systems include battlefield sensors, night vision headsets, high-frequency radios, and mine detection sets, among others. C4ISR systems include any source of information that might be useful in the field. C4ISR system serves the needs of the National Command Authority and operating forces under all conditions of peace and war.
The rapid increase in the advancements in sensor technology, rising internet of things (IoT) and artificial intelligence (AI), and the proliferation of satellites, and unmanned aerial vehicles (UAVs) have resulted in an immense rise in the amount of imagery data available to militaries and intelligence agencies globally. This has resulted in a surging demand for companies that are capable of analyzing this data for militaries, and governmental agencies, and turning it into insights and actionable intelligence. This enhances situational awareness and improves decision-making. Geospatial analytics is one of the major aspects of C4ISR systems that serve as a critical tool in militaries and governmental agencies across the globe. The global C4ISR market is expected to reach around $120.0 billion by 2028, representing a CAGR of 3.6%, as per OMR Analysis. In addition to increased demand for situational awareness and interoperability among systems, the growth of the global C4ISR market is being driven by increased defense spending in the US and Asia-Pacific region in response to mounting geopolitical tensions.
The growth of the global C4ISR market is supported by growing defense industry across the globe. Significant funding in the form of military expenditure supports the growth of the defense industry across the globe. For instance, according to Stockholm International Peace Research Institute (SIPRI) in 2021, the total expenditure of North America was around $670 billion ($649 billion by the US and $21 billion by Canada). In addition, China spent around $249 billion on defense, and Russia spent around $61 billion. Apart from these, other countries such as Japan, India, France, UK, and Germany spent considerably in military and defense that support the growth of the defense industry globally. With the growing defense industry, the global C4ISR market is expected to grow as C4ISR systems are important aspects of the defense industry. With C4ISR systems, the military commanders are provided with valuable information by integrating data from multiple sources that aid them in making key decisions. In addition, these systems serve as a communication bridge between commanding officers and military units.
The global C4ISR market can be segmented on the basis of platform and application. Based on the platform, the market is segregated into the land, air, naval, and space. Among these, the C4ISR system is majorly deployed in the land platform in the defense system, electronic warfare system, and communication system. Further, the land-based platform is being deployed to communicate with other battlefields. Further, major companies operating in the market including BAE Systems PLC and General Dynamics Mission Systems, Inc., are majorly focusing on the C4ISR system for land-based platforms. Moreover, the government is providing funds to support land-based C4ISR system. For instance, in January 2021, Canada’s Government has awarded three contracts with a total value of $621.5 million, in support of Canadian Army’s Land C4ISR system. The contract has been provided to General Dynamics Mission Systems-Canada that would work with Calian, Scalar Decisions and DLS Technology Corporation for delivering engineering and integration, software, and cyber security engineering support. This is attributed to the dominating share of the land-based platform for C4ISR System.
Further, on the basis of application, the market is sub-segmented into communication, command & control, intelligence, and surveillance & reconnaissance. Among these, the communication segment is estimated to be dominating. The rising demand for communication systems will surge the growth of the C4ISR market during the forecast period. Communication has become an integrated part of the security system in defense and military applications owing to the increasing adoption of UAVs such as drones. In addition, communication systems allow warfighters to remain connected to each other and their command structures. It further supports organizations and aids in communicating information and maintaining situational awareness of both self and opposing forces that are critical to mission safety and success. This is attributed to the dominating share of the communication application in the C4ISR market.
The global C4ISR market is highly fragmented in nature with a huge number of market players operating in the market. The key players operating in the global C4ISR market include BAE Systems PLC, Collins Aerospace, L3 Technologies Inc., Harris Corp., Northrop Grumman Corp., Lockheed Martin Corp., and others such as Cubic Corp., Serco Inc., and General Atomics. Northrop Grumman is one of the major players that provide advanced end-to-end mission solutions and multifunction systems primarily for the US Department of Defense (DoD), intelligence community, and foreign governments. Major C4ISR products and services offered by the company include the Integrated Air and Missile Defense Battle Command System and the Battlefield Airborne Communications Node.
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