5G In Defense Market Size (2024 - 2029)

The 5G in Defense market is anticipated to experience significant growth, driven by the increasing reliance on big data and the need for enhanced communication capabilities. The market's expansion is fueled by the demand for real-time data transfer from advanced defense technologies, such as unmanned aerial vehicles and surveillance drones, which enhance situational awareness and tactical operations. Additionally, the ability of 5G networks to provide tailored solutions for specific defense programs, such as autonomous vehicles and automated processes, further supports market growth. However, the substantial costs associated with establishing 5G infrastructure may pose challenges to the market's expansion.

Market Size of 5G In Defense Industry

5G In Defense Market Summary
Study Period 2019 - 2029
Market Size (2024) USD 1.30 Billion
Market Size (2029) USD 3.49 Billion
CAGR (2024 - 2029) 21.77 %
Fastest Growing Market Europe
Largest Market North America
Market Concentration Medium

Major Players

5G In Defense Market Major Players

*Disclaimer: Major Players sorted in no particular order

5G In Defense Market Analysis

The 5G In Defense Market size is estimated at USD 1.30 billion in 2024, and is expected to reach USD 3.49 billion by 2029, at a CAGR of 21.77% during the forecast period (2024-2029).

Integrating 5G technology into defense operations marks a pivotal leap in military communications. This shift bolsters command and control enables real-time data sharing and supports the deployment of autonomous systems. The military's push for these cutting-edge communication technologies is driven by a pressing objective: to boost situational awareness and operational efficiency in today's intricate and swiftly evolving landscape.

5G technology surpasses its predecessors, offering reduced latency, increased bandwidth, and the ability to connect numerous devices simultaneously. These attributes are vital in defense contexts, where rapid decision-making and swift data exchange can be critical. As a result, defense agencies worldwide are actively pursuing 5G to enhance their operational capabilities.

However, the path to 5G adoption in defense is fraught with challenges. Agencies face hurdles such as cybersecurity threats, high infrastructure costs, spectrum allocation issues, and the need to ensure compatibility with existing legacy systems. Additionally, concerns about data privacy and potential vulnerabilities in the supply chain further complicate the deployment of this technology.

Demand for defense programs is set to drive interoperability in the defense market. 5G networks enable end-to-end slicing tailored for specific users. These slices can be customized to meet the performance requirements of programs like autonomous vehicles and automated process technologies.

Nonetheless, the substantial costs associated with establishing 5G infrastructure could hinder market growth in the coming years.

5G In Defense Industry Segmentation

5G or 5th-generation mobile networks can considerably increase data transfer speed and improve bandwidth over 4G or 4th-generation technology, supporting new military uses. 

The 5G in Defense market is segmented by communication infrastructure, core network technology, platform, and geography. By communication infrastructure, the market is segmented into small cells and macro cells. By core network technology, the market is segmented into software-defined networking (SDN), fog computing (FC), mobile edge computing (MEC), and network function virtualization (NFV). By platform, the market is segmented into land, naval, and airborne. The report also covers the market sizes and forecasts for the 5G in defense market in major countries across different regions. For each segment, the market size is provided in terms of value (USD).

By Communication Infrastructure
Small Cell
Macro Cell
By Core Network Technology
Software-Defined Networking (SDN)
Fog Computing (FC)
Mobile Edge Computing (MEC)
Network Functions Virtualization (NFV)
By Platform
Land
Naval
Airborne
Geography
North America
United States
Canada
Europe
Germany
United Kingdom
France
Rest of Europe
Asia-Pacific
India
China
Japan
South Korea
Rest of Asia-Pacific
Latin America
Brazil
Rest of Latin America
Middle East and Africa
United Arab Emirates
Saudi Arabia
Israel
Rest of Middle East and Africa
Need A Different Region Or Segment?
Customize Now

5G In Defense Market Size Summary

The 5G in Defense Market is poised for substantial growth, driven by the increasing reliance on big data and the need for real-time data transfer to enhance situational awareness and tactical reconnaissance. The integration of 5G technology into defense systems is expected to revolutionize communication and data processing capabilities, enabling faster and more efficient decision-making. This technological advancement is particularly significant for unmanned aerial vehicles (UAVs) and surveillance drones, which will benefit from improved data transmission speeds and reduced latency. The market is also witnessing a push towards interoperability and end-to-end slicing, allowing for customized system performance to support various defense applications, including autonomous vehicles and automated processes. However, the high costs associated with establishing 5G infrastructure may pose challenges to market expansion.

Regionally, the Asia-Pacific market is experiencing rapid growth, with countries like China, South Korea, and Japan leading the charge in 5G network deployment. This has spurred demand for 5G technology solutions, with China emerging as a strong competitor in the wireless network sector. The Indian Army's efforts to implement a 5G network for enhanced border communication and operational efficiency exemplify the region's commitment to advancing defense capabilities through 5G. The market is semi-consolidated, with key players such as Ericsson, Huawei, NEC Corporation, L3Harris Technologies, and RTX Corporation actively pursuing strategies like mergers, acquisitions, and partnerships to strengthen their market position. Notable collaborations, such as those between Lockheed Martin and Intel Corporation, highlight the ongoing efforts to integrate 5G-enabled solutions within defense operations, further propelling market growth.

Explore More

5G In Defense Market Size - Table of Contents

  1. 1. MARKET DYNAMICS

    1. 1.1 Market Overview

    2. 1.2 Market Drivers

    3. 1.3 Market Restraints

    4. 1.4 Porter's Five Forces Analysis

      1. 1.4.1 Threat of New Entrants

      2. 1.4.2 Bargaining Power of Buyers/Consumers

      3. 1.4.3 Bargaining Power of Suppliers

      4. 1.4.4 Threat of Substitute Products

      5. 1.4.5 Intensity of Competitive Rivalry

  2. 2. MARKET SEGMENTATION

    1. 2.1 By Communication Infrastructure

      1. 2.1.1 Small Cell

      2. 2.1.2 Macro Cell

    2. 2.2 By Core Network Technology

      1. 2.2.1 Software-Defined Networking (SDN)

      2. 2.2.2 Fog Computing (FC)

      3. 2.2.3 Mobile Edge Computing (MEC)

      4. 2.2.4 Network Functions Virtualization (NFV)

    3. 2.3 By Platform

      1. 2.3.1 Land

      2. 2.3.2 Naval

      3. 2.3.3 Airborne

    4. 2.4 Geography

      1. 2.4.1 North America

        1. 2.4.1.1 United States

        2. 2.4.1.2 Canada

      2. 2.4.2 Europe

        1. 2.4.2.1 Germany

        2. 2.4.2.2 United Kingdom

        3. 2.4.2.3 France

        4. 2.4.2.4 Rest of Europe

      3. 2.4.3 Asia-Pacific

        1. 2.4.3.1 India

        2. 2.4.3.2 China

        3. 2.4.3.3 Japan

        4. 2.4.3.4 South Korea

        5. 2.4.3.5 Rest of Asia-Pacific

      4. 2.4.4 Latin America

        1. 2.4.4.1 Brazil

        2. 2.4.4.2 Rest of Latin America

      5. 2.4.5 Middle East and Africa

        1. 2.4.5.1 United Arab Emirates

        2. 2.4.5.2 Saudi Arabia

        3. 2.4.5.3 Israel

        4. 2.4.5.4 Rest of Middle East and Africa

5G In Defense Market Size FAQs

The 5G In Defense Market size is expected to reach USD 1.30 billion in 2024 and grow at a CAGR of 21.77% to reach USD 3.49 billion by 2029.

In 2024, the 5G In Defense Market size is expected to reach USD 1.30 billion.

5G In Defense Market Size & Share Analysis - Growth Trends & Forecasts (2024 - 2029)