Digital Radar Global Market Insights 2025, Analysis and Forecast to 2030, by Market Participants, Regions, Technology, Application

Digital Radar Market Overview

The digital radar market is poised for significant growth from 2025 to 2030, driven by advancements in radar technology and increasing demand across various industries such as automotive, aerospace, and military & defense. Digital radar systems offer enhanced accuracy, reliability, and efficiency compared to traditional radar systems, making them indispensable in modern applications. The market is expected to grow at a compound annual growth rate (CAGR) of 7.5%-9.2% during the forecast period, reaching a market size of approximately $12.5 billion to $15.8 billion by 2030.

Market Size and Share Analysis

The digital radar market is segmented by product type, process, application, end-use, and region. In terms of product type, the market is dominated by solid-state radar systems, which account for 45%-50% of the total market share. This is followed by phased-array radar systems, which hold a share of 30%-35%. The remaining market share is distributed among other radar types, including continuous-wave radar and pulse-Doppler radar.

By application, the automotive sector is the largest contributor, accounting for 40%-45% of the market share. This is primarily due to the increasing adoption of advanced driver-assistance systems (ADAS) and autonomous vehicles. The aerospace sector follows closely, with a market share of 25%-30%, driven by the need for advanced radar systems in commercial and military aircraft. The military & defense sector accounts for 20%-25% of the market, with growing investments in radar systems for surveillance, reconnaissance, and missile defense.

Key Players in the Digital Radar Market

The digital radar market is highly competitive, with several key players dominating the industry. Some of the leading companies include:

• Lockheed Martin
• Thales
• Indra
• Leonardo
• Advanced Micro Devices
• Magna International
• NXP Semiconductors
• Saab
• Uhnder
• Israel Aerospace Industries
• BAE Systems
• Elbit Systems
• Vayyar
• Arbe
• Ainstein Radar Systems
• Teledyne FLIR

These companies are focusing on strategic partnerships, mergers and acquisitions, and product innovations to strengthen their market position. For instance, Lockheed Martin recently announced a partnership with Advanced Micro Devices to develop next-generation radar systems with enhanced processing capabilities.

Market Trends and Drivers

Several trends are driving the growth of the digital radar market:

• Increasing Demand for Autonomous Vehicles: The automotive sector is witnessing a surge in demand for radar systems, particularly for ADAS and autonomous vehicles. This is expected to drive the market growth at a CAGR of 8.5%-10% during the forecast period.
• Advancements in Radar Technology: Technological advancements, such as the development of solid-state radar systems and phased-array radar systems, are enhancing the performance and reliability of digital radar systems. These advancements are expected to contribute to a market growth rate of 7%-8%.
• Growing Investments in Military & Defense: Governments worldwide are increasing their defense budgets, leading to higher investments in radar systems for military applications. This is expected to drive the market growth at a CAGR of 6.5%-7.5%.

Regional Analysis

The digital radar market is segmented into key regions, including North America, Europe, Asia-Pacific, Latin America, and the Middle East & Africa. North America dominates the market, accounting for 35%-40% of the total market share. This is primarily due to the presence of major players such as Lockheed Martin and BAE Systems, as well as high defense spending in the region.

Europe follows closely, with a market share of 25%-30%, driven by the increasing adoption of radar systems in the automotive and aerospace sectors. The Asia-Pacific region is expected to witness the highest growth rate, with a CAGR of 9%-11%, due to rapid industrialization and increasing defense budgets in countries such as China and India.

Market News on Policy and Companies

Recent developments in the digital radar market include:

• Policy Changes: Governments worldwide are implementing regulations to promote the adoption of radar systems in autonomous vehicles. For instance, the European Union has mandated the inclusion of ADAS in all new vehicles by 2025, which is expected to drive the demand for digital radar systems.
• Company News: Thales recently announced the launch of its new solid-state radar system, which offers enhanced performance and reliability. Similarly, Saab has entered into a partnership with NXP Semiconductors to develop advanced radar systems for military applications.

Segment Forecasts (2025 - 2030)

The digital radar market is expected to witness significant growth across all segments during the forecast period:

• By Product Type: Solid-state radar systems are expected to dominate the market, with a CAGR of 8%-9%. Phased-array radar systems are also expected to witness strong growth, with a CAGR of 7%-8%.
• By Application: The automotive sector is expected to grow at a CAGR of 8.5%-10%, driven by the increasing adoption of ADAS and autonomous vehicles. The aerospace sector is expected to grow at a CAGR of 7%-8%, while the military & defense sector is expected to grow at a CAGR of 6.5%-7.5%.
• By Region: North America is expected to maintain its dominance, with a CAGR of 7%-8%. The Asia-Pacific region is expected to witness the highest growth, with a CAGR of 9%-11%.

Conclusion

The digital radar market is set for robust growth from 2025 to 2030, driven by technological advancements, increasing demand from the automotive and aerospace sectors, and growing investments in military & defense. Key players such as Lockheed Martin, Thales, and Saab are leading the way with innovative products and strategic partnerships. With a projected market size of $12.5 billion to $15.8 billion by 2030, the digital radar market presents significant opportunities for growth and innovation.