This report is the result of SDI's extensive market and company research covering the global UAV payload industry. It provides detailed analysis of both historic and forecast global industry values, factors influencing demand, the challenges faced by industry participants, analysis of the leading companies in the industry, and key news.
Introduction and Landscape
Why was the report written?
"The Global UAV Payload Market 2012-2022" offers the reader detailed analysis of the global UAV payload market over the next ten years, alongside potential market opportunities to enter the industry, using detailed market size forecasts.
What are the key drivers behind recent market changes?
The global UAV payload market is expected to value US$43.7 billion by the end of 2012, which is estimated to increase to US$68.6 billion by 2022, representing a CAGR of 4.6% during the forecast period. Market demand is anticipated to be driven by increased UAV procurement by several countries across the world and continuous requirement formulations in areas such as persistent surveillance, suppression/destruction of enemy air defense (SEAD/DEAD), communications relays and combat search and rescue (CSAR). Another major factor which is expected to drive the market over the forecast period is the increasing incorporation of UAVs in civilian applications such as Homeland Security, disaster management and border surveillance.
What makes this report unique and essential to read?
"The Global UAV Payload Market 2012-2022" provides detailed analysis of the current industry size and growth expectations from 2012 to 2022, including highlights of key growth stimulators. It also benchmarks the industry against key global markets and provides detailed understanding of emerging opportunities in specific areas.
Key Features and Benefits
The report provides detailed analysis of the market for UAV payload during 2012-2022, including the factors that influence why countries are investing or cutting defense expenditure. It provides detailed expectations of growth rates and projected total expenditure.
Northrop Grumman, Rheinmetall, FLIR Systems, AeroVironment, BAE Systems, Elbit Systems, Denel Dynamics, L 3 WESCAM, Thales, Lockheed Martin, SAAB, General Atomics Aeronautical Systems, AAI Corporation, Israel Aerospace Industries
A low number of countries, including the US, UK, and Israel, are currently using armed drones. The US used combat UAVs with munitions in numerous missions in Afghanistan to strike suspected terrorists and insurgents. The country has recently doubled its fleet of Reaper combat UAVs in Afghanistan. The UK also performs strike missions with its UAVs in Afghanistan. However, numerous countries are undertaking strategies to equip their fleets with combat UAVs in the future, which is expected to bolster the demand for weaponry payloads.
Key Market Issues
The Europe and North America account for an estimated 80% of global defense spending. These countries were, however, among the hardest hit by the global financial crisis. This has led to austerity measures being introduced by national governments, which in turn have resulted in reduced defense budgets and the cancellation and indefinite delay of various UAV and associated payload projects. All these factors have had a detrimental effect on the growth of the UAV payload industry.
The overall industry consists of approximately 36 companies dominated by a few large firms. The new entrants and smaller firms are encountered with substantially high barriers to secure a considerable share of the market. For example, in the UAV and payload industry of the US, a major share of more than half of the total market revenue is shared by the top four companies.
Key Highlights
With the expected growth in market demand and diversity in UAV applications, there is a growing requirement for the future UAV and payload design to combine multi mission, modular, open architecture features, capable of accomplishing diverse missions. In addition, with the drive towards austerity measures in defense budgets in developed countries, the UAVs are expected to be flexible enough for diverse operations than dedicated to a single mission.
In recent times, UAVs have attracted significant attention for use in both military and homeland security. As the best substitute to the otherwise used manned aircraft for surveillance and reconnaissance missions, UAVs are now attracting significant investment by several countries. Payloads are essential systems in the UAVs which are instrumental in carrying out various missions and the demand for UAV payloads is thus expected to increase proportionally with the UAVs.
Table of Contents
Table of Contents
1 Introduction
1.1 What is this Report About?
1.2 Definitions
1.3 Summary Methodology
1.4 About Strategic Defence Intelligence (www.strategicdefenceintelligence.com)
2 Executive Summary
3 Global UAV Payload Market Size and Drivers
3.1 UAV Payload Market Size and Forecast 2012-2022
3.1.1 Global UAV payload market to show positive growth during the forecast period
3.2 Global UAV Payload Market - Regional Analysis
3.2.1 North America dominates the global UAV payload market
3.2.2 Expenditure on radars and communication in US to support the UAV payload market
3.2.3 Europe set to spend US$XX billion on UAV payload during the forecast period
3.2.4 UAV payload market in the Asia Pacific region expected to grow at a CAGR of XX%
3.2.5 Israel is expected to lead the UAV payload market in the Middle East
3.2.6 Brazil expected to lead the UAV payload sector in the Latin American region
3.2.7 Markets in Africa expected to grow as foreign defense manufacturers target the region
Figure 57: Lockheed Martin - Operating Profit (US$ Million), 2007-2011
Figure 58: Lockheed Martin - Net Profit Trend Analysis (US$ Million), 2007-2011
Figure 76: SAAB - Revenue Trend Analysis (US$ Billion), 2007-2011
Figure 77: SAAB - Operating Profit (US$ Million), 2007-2011
Figure 78: SAAB - Net Profit Trend Analysis (US$ Million), 2007-2011
The Global UAV Payload Market 2012-2022 published by Strategic Defence Intelligence in December 31, 2012. This report consists of Pages: 164 and the price starts from US $ 4800.
Press Release
Global UAV Payload Market to Reach $6 billion by 2022
January 15th, 2013
Global Information Inc. would like to present a new market research report, "The Global UAV Payload Market 2012-2022" by Strategic Defence Intelligence.
The global UAV payload market valued approximately at $3.9 billion in 2012, is estimated to increase to $6 billion by 2022, representing a CAGR of 4.3% during the forecast period. Market demand is anticipated to be driven by increased UAV procurement by several countries across the world and continuous requirement formulations in areas such as persistent surveillance, suppression/destruction of enemy air defense (SEAD/DEAD), and communications relays and combat search and rescue (CSAR). Another major factor that is expected to drive the market over the forecast period is the increasing incorporation of UAVs in civilian applications such as Homeland Security, disaster management and border surveillance. The global market is expected to achieve a cumulative value of $55.6 billion during the forecast period.
Although North America is expected to witness defense budget cuts during the forecast period, the regions expenditure on UAV payloads is expected to account for a 49% share of global spending during the forecast period. The US constitutes the largest market of the North American region and is taking substantial steps towards enhancing its UAV payload capabilities through a number of programs such as the five year contract awarded to ImSAR for the procurement of miniature Synthetic Aperture Radars suitable for small UAV applications, procurement of 174 STARLite radar systems, the US Air Forces contract awarded to Raytheon for the supply of Multi Spectral Targeting Systems for UAVs and the integration of SELEX Galileos active electronically scanned array (AESA) radars and other sensors in the MQ-9 Reaper UAVs.
The recent endeavors undertaken by a number of private and public companies in the US, to implement open architecture designs for UAV payloads are also expected to drive the growth of the UAV payload market by allowing customers the flexibility to integrate future payload capabilities into existing systems. The US market is expected to get a further boost with increasing demand from government organizations that require surveillance systems similar to military UAVs such as coast guard, border patrol organizations, and other national security organizations.
