Market Trends of Land Based C4ISR Industry
C4 Systems Are Anticipated to Showcase Highest Growth Rate During the Forecast Period
The C4 Systems segment is expected to grow significantly during the forecast period. The growth is due to increased defense spending and the rising procurement of command, control, and advanced communications systems for various military operations. Owing to the rising military aggression by China, the US has been investing in improving its C4ISR capabilities. Furthermore, the political disputes among neighboring countries, the ongoing Russia-Ukraine war, and the growing tension between China and Taiwan led to increased defense expenditure from European and Asian countries. These countries are focusing on enhancing their defense capabilities through the procurement of next-generation weapons systems. For instance,
In April 2022, Northrop Grumman Corporation, a US-based defense manufacturer, entered into a partnership with AT&T to develop a new digital battle network using 5G communications technology to support the transfer of critical information across military services and domains. The communication systems are anticipated to aid the Joint All-Domain Command and Control (JADC2) system.
Earlier in February 2022, Lockheed Martin Corporation was awarded a prototype project agreement (PPA) from the US Department of Defense to develop a 5G communications network infrastructure testbed.The testbed will aim to field and integrate 5G technology rapidly across the land, water, air, space, and cyber domains. Also, ongoing territorial conflicts necessitate the procurement of armored vehicles and ground force equipment, which, in turn, is expected to generate more demand for better and more advanced tactical communication links, along with land-based electronic warfare equipment and systems. Hence, investments in such technologies are anticipated to propel the growth of the segment in the forecast period.
Asia-Pacific is Anticipated to Lead the Market During the Forecast Period
Asia-Pacific is projected to show the highest growth during the forecast period. Countries in Asia-Pacific are undergoing a radical transformation driven by the rapid modernization of their defense forces. China and India are taking huge strides toward strengthening the current capabilities of their defense forces and are thereby expending significant financial and other resources to empower and integrate their armies with modern technologies, including land-based C4ISR systems. For instance, China continues to place a high priority on modernizing the People's Liberation Army's (PLA's) command, control, communications, computers, intelligence, surveillance, and reconnaissance (C4ISR) system as a response to trends in modern warfare that emphasize the importance of rapid decision-making and information sharing and processing. The PLA is seeking to improve its technological capabilities and organizational structure to command complex joint operations on near and distant battlefields with increasingly sophisticated weaponry. The PLA is currently fielding advanced automated command systems, such as its Integrated Command Platform, with units at lower echelons across the force. Similar programs have been undertaken by other armed forces in the region, thereby driving the market into focus during the forecast period.