Market Trends of America Intelligence, Surveillance, And Reconnaissance Industry
The Sea Segment is Expected Witness Significant Growth During the Forecast Period
The sea segment of the market studied is expected to witness growth during the forecast period owing to the increasing investments toward enhancing the capabilities of maritime surveillance. The procurement of patrol vessels and USVs, as well as the modernization of existing enemy detection and threat-warning systems with advanced, newer-generation systems onboard naval vessels, is anticipated to drive the growth of the segment.
In April 2022, the Brazilian Navy accepted the delivery of its last A-4 Skyhawk, modernized by Embraer. The Brazilian Navy’s modernized aircraft got new power generation, navigation, weapons, tactical communication, computers, sensor systems, state-of-the-art multi-mode radar, and the latest operating system.
Currently, the US Navy is looking for a common combat system connecting ships in the future. With this development, the US Navy could achieve a common combat system for all its surface combatants, field and integrate new capabilities across the entire fleet faster, and manage the combat system for less cost. The US Navy has implemented measures in this dimension. For instance, in September 2023, the US Navy awarded Lockheed Martin USD 23 million to begin creating the Integrated Combat System that can connect the US Navy’s and US Coast Guard’s surface fleets. The award can be extended up to USD 1.1 billion if all options are exercised through fiscal 2030. Such factors are expected to accelerate the growth of the sea segment of the market studied during the forecast period.
North America to Continue its Dominance During the Forecast Period
The North American region currently dominates the market and is expected to continue its domination during the forecast period. This is mainly due to the procurement of various land, air, sea, and space ISR systems by the US and Canadian governments.
In March 2022, the Canadian Department of National Defense selected Elbit Systems UK to provide a TORCH-X-based solution as part of the Airspace Coordination Centre Modernization (ASCCM) Project. Under the project, Elbit Systems UK will supply a joint-air version of its TORCH-X-based Battle Management Application (BMA) that will provide situational awareness by constantly displaying a local or recognized air picture, thus enabling effective coordination of air assets into complex land and joint battlespace. The system will be operated utilizing Elbit Systems’ E-CIXTM open architecture framework that will enable connectivity to the Canadian Armed Forces’ legacy applications and tactical datalinks while allowing future integration of new applications in support of the Canadian Armed Forces digital transformation plan. The solution to be supplied will be provided to the Canadian Military Headquarters for both Land and Joint Command to support air missions and joint-task force operations.
For FY 2023, the US Pentagon allocated USD 12.7 billion for command, control, communications, computers, and intelligence systems. The US armed forces are modernizing their special mission aircraft fleet, Electronic Warfare aircraft (EC-37B), Battlefield Airborne Communications Node aircraft (E-11A), and Maritime Patrol Aircraft (P-8A) on order. Between 2022 and 2029, a total of 12 P-8A and 5 E-11A are expected to be delivered. Such investments in the development of advanced communication and situational awareness systems are expected to accelerate the growth of the market studied.
