May 21, 2024
Unmanned Combat Aerial Vehicle

Rising Global Security Concerns To Boost The Growth Of Unmanned Combat Aerial Vehicle Market

The global Unmanned Combat Aerial Vehicle Market is estimated to be valued at US$ 148.19 Bn in 2023 and is expected to exhibit a CAGR of 16% over the forecast period 2023 to 2030, as highlighted in a new report published by Coherent Market Insights.

Market Overview:

Unmanned combat aerial vehicles, commonly known as drone fighters, are unmanned vehicles that are able to complete missions without an onboard pilot. They have various advantages over manned fighter jets as they offer lower operating costs, reduced risk to human life, longer mission timeframes etc. They are equipped with lightweight cameras, radars, missile bays and other sensors to gather intelligence, carry out surveillance and launch attacks. With technological advancements, these UCAVs are being increasingly employed for precision strikes as well as air defense missions by military forces globally.

Market key trends:

One of the key trends in the UCAV market is the growing autonomy of these systems. Researchers are working on developing AI assistants that can help UCAVs make critical decisions related to threat identification, target engagement etc. This is expected to reduce the workload for human operators and allow them to supervise multiple autonomous drones simultaneously. Other technologies being integrated are advanced computer vision capabilities, swarm intelligence where groups of UCAVs can self-coordinate effectively and new types of low-cost, reusable munitions. As the capabilities of these autonomous combat drones increase, more militaries are expected to add them to their arsenal in the coming years, driving significant demand.

Porter’s Analysis

Threat of new entrants: The unmanned combat aerial vehicle industry requires huge capital investments into R&D for technological innovation. This makes it difficult for new companies to enter the market.

Bargaining power of buyers: Defense organizations from various countries are the major buyers in this market. As there are only a few manufacturers, buyers have moderate bargaining power.

Bargaining power of suppliers: A few key companies dominante the supply of critical components like engines, radars, and sensors. This gives them strong bargaining power over manufacturers.

Threat of new substitutes: Alternative unmanned aircraft and missile systems pose a substitute threat. However, UCAVs have specific performance advantages making substitutes a low threat.

Competitive rivalry: Being a strategic industry, competition between major manufacturers is high to gain contracts from defense organizations globally.

Key Takeaways

The Global Unmanned Combat Aerial Vehicle Market Share is expected to witness high growth, exhibiting 16% CAGR over the forecast period, due to increasing defense modernization programs and geo-political tensions worldwide.

The North American region currently dominates the market owing to significant investments by the US Department of Defense. However, the Asia Pacific region is expected to grow at the fastest pace during the forecast period with increasing procurement of UCAVs by countries like India, China and South Korea.

Key players operating in the unmanned combat aerial vehicle market are Northrop Grumman Corporation, BAE Systems plc, Israel Aerospace Industries Ltd., AeroVironment, Inc., Elbit Systems Ltd., Teledyne FLIR LLC, Raytheon Technologies, Insitu, Inc.,The Boeing Company,General Atomics,Airbus SE,Safran S.A.,Thales Group,mdGroup Germany GmbH,Lockheed Martin Corporation,Others. These manufacturers are focusing on developing new technologies like AI, IoT sensors and stealth capabilities to strengthen their product portfolio.

*Note:
1.      Source: Coherent Market Insights, Public sources, Desk research
2.      We have leveraged AI tools to mine information and compile it