Market Trends of Vehicle Intercom System Industry
This section covers the major market trends shaping the Vehicle Intercom System Market according to our research experts:
Increasing Investment and Demand of Vehicle Intercom System Will Drive the Market
In recent years, the world has witnessed political disputes, cross-border issues among neighboring countries, and growing warfare situations that lead to an increased focus on enhancing defense capabilities.
Companies are investing in the military communication system, For instance, In July 2021, the Elcom group developed the iVIS (Intelligent Vehicle Intercom System) represents a family of next-generation intercom systems and components for use in military tactical vehicles (both wheeled and tracked). The system provides intercom services between crew members and vehicle radio systems. The iVIS is a comprehensive solution for in-vehicle voice and data communication, tactical network connectivity, and battle management system interoperability.
In the military, communication between two points or crew members is very important on the battlefield, the countries are spending on the military to give the high-end product to the soldiers. For instance, In 2021 world military expenditure surpassed the two trillion US dollar mark for the first time, reaching USD 2113 billion. Global spending in 2021 was 0.7 percent higher than in 2020 and 12 percent higher than in 2012. Such development and investment in communication systems will drive the market in the coming year.
North America is Expected to Lead the Market During the Forecast Period
North America holds the largest market share in vehicle intercom systems, due to the number of active vehicles, patrolling stations, and the active presence in other disputed regions. The United States accounted for 38 percent of world military spending in 2021 i.e. 801 Billion USD in 2021.
Increasing expenditure on the procurement of advanced vehicle intercom systems and rising spending on the defense sector from the Canadian defense forces propel the market growth. In November 2021, the Canadian armed forces (CAF) signed a contract with l3harris technologies for the delivery of more than 1,000 compact team radios and related kits. These devices will improve tactical communications for operators on the battlefield and command headquarters.
United States of America is the largest defense spender on research and development of military equipment, For instance, In October 2022, The united state Army and BAE Systems are working together to identify ways to accelerate production of the new Armored Multi-Purpose Vehicle, which would let the service more quickly replace aging M113 armored troop carriers. which will come with a machine gun, automatic grenade launcher, a remote-controlled weapon system, vehicle intercom system, etc.
Thus, rising technological advancement and an increase in research and development in Vehicle Intercom systems will drive the market across North America.
