Market Trends of Situational Awareness Systems Industry
This section covers the major market trends shaping the Situational Awareness Systems Market according to our research experts:
The Vehicle Situational Awareness Systems Segment is Expected to Register the Highest CAGR During the Forecast Period
During the last decade, many countries have developed and fielded their autonomous weapon systems to bolster their military capabilities and strengthen their troops in several conflicts around the world. The proliferation of innovations in sensor technologies, weapon firing systems, and other auxiliary systems enhances the accuracy and performance capabilities of the current generation of vehicles through the integration of sophisticated vehicle situational awareness systems. The emphasis on increasing the autonomy of vehicles has given rise to unmanned weapon technologies such as RWS and CIWS that can effectively neutralize a target without human intervention with the help of vehicle situational awareness systems. The new variants of such onboard weapons feature advanced optronics that renders them exceptionally suitable for urban warfare and reduces the casualties during a war. Thus, the increasing induction of military vehicles equipped with vehicle situational awareness systems is driving the demand for such systems.
North America is Expected to Dominate the Market During the Forecast Period
In terms of geography, North America was estimated to be the largest market in 2020. The region is also expected to be the fastest-growing market during the forecast period. The North American situational awareness systems market is mainly dominated by demand from the United States. The market growth in this region can be attributed to the increased use of situational awareness in industries such as military and defense, aviation, maritime security, and homeland security applications. The massive spending by the military to enhance military situational awareness systems is responsible for driving the demand in the market. Over the next five years, the US Army is planning to spend more than USD 8.5 billion to modernize the service's battlefield networks. Network modernization is one of the top six modernization priorities for the US Army, as this will facilitate rapid data sharing and improvements in situational awareness architecture. In tandem with the plans mentioned above, in February 2020, L3Harris was awarded a 10-year USD 1.2 billion contract by the US Space Force's Space and Missile Systems Center to maintain and modernize the military's network of space surveillance sensors. Such developments may bolster the market prospects in the region during the forecast period.
