Aerospace and Defense

Aerospace & defense industry is broadly categorized into general aviation & commercial aircrafts, military aircrafts, space & missiles, ground defense, shipbuilding and satellites, electronics & communications. Industry portfolio encapsulates the broad portfolio including the commercial planes, jet fighters, private planes, traffic helicopters, space shuttles, mission control software, radar systems, rocket guidance systems, missiles, submarines, aircraft carriers, tanks, satellites, flight simulators, munitions and countless small electronic devices.

Growth factors

Increasing number of air travelers, over the past few years, have led to exponential growth of commercial aviation industry., Growing safety concerns  has led to increased investments in providing high end security to passengers for commercial applications. Therefore, this segment creates lucrative revenue opportunities for participants offering passenger security solutions.

The spending in defense industry has significantly declined in 2017, as compared the past couple of years.  However, geopolitical issues existing across several international and national boundaries are projected to provide significant growth through 2024. For instance, conflicts existing between Syria & Iraq, tension between the U.S. and Mexico, Russia intervention in Ukraine, border disputes in South East Asia, among many others are likely to substantially influence increased defense budgets in 2017.

Trends such as utilization of man-portable military electronics for military force modernization programs, X band radar systems for pinpointing, averting and ceasing threats from enemy attacks, C4ISR systems and many other advanced technologies are expected to present considerable demands. Such systems enable advanced awareness and in turn lead to minimum fatality rates. Countries that include China, India, Korea, Saudi Arabia, Russia, France, are projected to increasingly invest in such advanced technologies to enhance their defense forces capability.

Growth inhibitors

Existing geopolitical issues existing across international borders are likely to present considerable growth challenge to the commercial aerospace industry. Moreover, increasing competition in the commercial aviation industry has led to lower average revenue passenger kilometers and narrow profit margins for industry participants. Major industry entry barriers that include high initial capital and incessant approval requirements are projected to present significant growth barrier to the industry growth,

Small and medium suppliers are increasingly opting out of the business segments owing to the conflicts over intellectual property licensing, trade control regulations, and technology transfer requirements and other political risks. Increasing regulatory stringency limiting the utilization of materials used for manufacturing (such as lead), increasing fuel prices, and tightening military expenditures  in major economies such as the U.S., UK, Italy, and Japan are expected to hamper the aerospace & defense market over the forecast timeframe. Moreover, intervention of defense departments in the strategic initiatives of the major country partnering companies will also hinder the overall growth. For instance, Lockheed Martin’s proposition for acquisition of Northrop Grumman, in 1998, and General Dynamics’ merger proposal with Newport News shipbuilding, in 1999, was ceased by the U.S. Defense Department.

Growth Opportunity

Commercial aviation is projected to offer better growth prospects in relation to defense, as our study forecasts predict around 3% growth in the defense segment, with commercial aviation registering gains at over 5% year-on-year till 2020. This can be attributed to mega infrastructure investments in emerging economies and exponential growth in global passenger traffic. According to International Air Transport Association (IATA), international air passenger traffic witnessed 6.7% increase in comparison to the 2015 statistics with highest revenue passenger kilometers (RPK) reported in the Middle East.

Industry competitors are striving to provide portfolio with faster speeds, high end designs, increased carrying capacity, and sustainable fuel technologies to strengthen their foothold in the aerospace and defense market segment. For instance, in May 2017, China Russia Commercial Aircraft International Corporation (CRAIC) announced plans to build next generation jumbo jets that can seat up to 280 passengers. The announcement plan is to be followed by the investment of over US$ 33 billion jointly in the project. Furthermore, incorporating utilization of 3-D printing technologies in manufacturing & product designing will provide the flexibility and opportunity to enhance the profit margins.

Regional Overview

U.S held the largest overall aerospace & defense market share in 2016 is expected to continue its dominance through the forecast timeframe of 2016 to 2024. Annual defense expenditure accounting for around 35% of the global share. Additionally, three of the world’s largest companies are based in the U.S., which cater to national and international businesses. North America was followed by Asia Pacific that includes emerging economies such as China, India, Singapore, Malaysia, Philippines and Vietnam. According to Boeing’s forecast, China is projected to invest around US$ 340 billion in the next two decades and will enhance its position to be the largest market for commercial aircrafts outside U.S,

Owing to significant increase in oil prices in the 2009 to 2014 timeframe, revenue of the Middle East countries witnessed exponential increase. Strong cash positions of the economies that are part of the Gulf Cooperation Council, undertook multibillion dollar program to upgrade their aerospace and defense equipment. Geopolitical conflicts such as Saudi Arabia’s involvement in the Syria and Yemen, and UAE’s requirement of advanced surveillance, naval and missile products are expected to drive the industry demands. Europe aerospace and defense equipment market is likely to witness flat growth trend owing to flat defense spending. Moreover, players in the region are increasingly focusing on opportunities in China, Middle East, India, and Russia.

Industry Overview

Boeing, Airbus, Lockheed Martin, United Technologies, General Electric, Northrop Grumman, Raytheon, Safran, Finmeccanica, Rolls-Royce, BAE Systems, Honeywell, Bombardier, and General Dynamics are among the few major players in the global industry landscape. In electronics, satellites, and communications segment, Litton, Raytheon, and Honeywell are among the top contenders. Mergers & acquisition are among the major strategies adopted to strengthen the global positioning in the industry segment. For instance, in April 2017, Rockwell Collins completed the acquisition of B/E Aerospace to strengthen its global positioning in the aerospace & defense market and widen its portfolio. It also helped in improving its positioning as cockpit and cabin interior solution provider. Industry will also exhibit development of innovative IoT solutions, incorporation of smart technologies, and collaborations to provide upgraded products to enhance user experience.

Coherent Market Insights
Global Hair Removal Devices Market, by Product Type (Energy-Based Devices, Laser-Based Devices, and Intense Pulse Light (IPL) Devices), by End User (Dermatology Clinics and Beauty Clinics) and by Geography - Trends and Forecast to 2025

Published Date : Jan 2018

Global Hair Removal Devices Market - Insights Businesses catering the equipment requirement of the commercial beauty clinics and dermatology clinics for hair removal devices and treatments have gained signifi

Coherent Market Insights
Global Online Hyperlocal Services Market Report, by End Use (Individual Users and Commercial Users), by Service (Food Ordering, Grocery Ordering, Home Utility Service, Logistic Service Providers, and Others) and by Geography - Trends and Forecast to 2025

Published Date : Jan 2018

Global Online Hyperlocal Services Market - Insights Online hyperlocal services refer to online business models that cater to consumers in specifically defined geographic locations that are under the reach of

Coherent Market Insights
Cloud API Market, By Organization Size (Small and Medium Enterprises and Large Enterprises), By End Users (BFSI, Healthcare, Hospitality, IT and Telecommunication, Media and Entertainment, Retail and Others) and by Geography -Global Forecast to 2025

Published Date : Jan 2018

Global Cloud API Market- Insights Cloud Application Programming Interface is a type of API that permits for the development of services and applications used for the provisioning of cloud platforms, software

Coherent Market Insights
Virtual Reality Content Creation Market, by Content Type (Videos, 360 Degree Photos and Games), by Component (Software and Services), by End Users (Gaming and Entertainment, Engineering, Healthcare, Real state, Retail, Military and Education) and Geography - Global Trends, and Forecast to 2025

Published Date : Dec 2017

Global Virtual Reality Content Creation Market - Insights Virtual reality creates a digital environment to provide real lifelike experience to the user. Rampant growth of the gaming sector is a major factor f

Coherent Market Insights
Global Refrigerated Road Transport Market, by Transportation Modes (Light Commercial Vehicles (LCV), Medium & Heavy Commercial Vehicles (MHCV), and Heavy Commercial Vehicles (HCV), by Cooling Type (Chilled and Frozen), by Technology (Cryogenic Systems and Vapor Compression Systems), and by Geography - Trends, and Forecast to 2025

Published Date : Dec 2017

Global Refrigerated Road Transport Market - Insights Global refrigerated road transport market was valued at US$ 12.81 billion in 2016, is projected to exhibit a CAGR of 6.11% over the forecast period (2017&n

Coherent Market Insights
Electrochromic Glass Market, by Application (Windows, Mirrors, Displays, and Others), by End Use (Commercial, Residential, Transportation, and Others), and by Region - Global Trends, and Forecast till 2025

Published Date : Dec 2017

Global Electrochromic Glass Market - Insights Electrochromic glass, also known as electronically switchable glass, has various applications such as partitions, windows, skylights, mirrors, and displays. It en

Coherent Market Insights
Virtual and Augmented Reality Market by Component (Software and Hardware [Head Mounted Device, Input Systems]), by Application (Videogames, Engineering, Healthcare, Live Events, Video Entertainment, Real State, Retail, Military, and Training & Education), and Geography - Global Trends, and Forecast to 2025

Published Date : Dec 2017

Global Augmented Reality/ Virtual reality Market - Insights Augmented reality is the integration of digital and real environment in real time, whereas virtual reality creates a digital environment to provide

Coherent Market Insights
Mine Clearance System Market Report, by System Type (Flails, Tillers, combined flail and tiller system), by Mode Of Operation (Manual, Remote Controlled) and by Region - Global Trends and Forecast till 2025

Published Date : Dec 2017

Global Mine Clearance System Market - Insights Antipersonnel and anti-vehicle mines such as improvised explosive devices (IEDs) are designed to explode when in the proximity, presence or contact of person or

Coherent Market Insights
Cryptocurrency Mining Market, by Mining Enterprises, (Large Miners, Small Miners), by Revenue Source (Block Rewards, Transaction Fees), By Mining Type (Self-mining, Cloud Mining, and Remote Hosting Services), and by Geography - Global Trends and Forecast till 2025

Published Date : Dec 2017

Global Cryptocurrency Mining Market - Insights Cryptocurrency mining is a computationally intensive process, which requires network of several computers for verification of the transaction record, known as th

Coherent Market Insights
Microhydro-Electric Systems Market, By Component (Intake, Penstock, Turbine, Dump load, Battery bank, Main DC disconnect, Inverter, AC breaker panel, Others), By (Less than 30 kW, 20 kW to 50 kW, 50kW to 100 kW), and By Region - Global Industry Insights, Trends, Outlook, and Opportunity Analysis, 2017–2025

To Be Published : Jan 2018

Microhydro-electric systems are referred to units or plants, which are installed with the power generation capability of less than or equal to 100 kW. The installation of plant mainly include the units that are deployed on streams, water pipeline systems, and irrigati

Coherent Market Insights
Machine to Machine (M2M) Connections Market, by Technology (Wireless Technology and Wired Technology), by End User Industry (Healthcare, Automotive & Transportation, Consumer Electronics, Utilities, Retail, Security & Surveillance, and Others), and by Region (North America, Europe, Asia Pacific, Latin America, Middle East, and Africa) - Global Industry Insights, Trends, Outlook, and Opportunity Analysis, 2017 – 2025

To Be Published : Jan 2018

Machine-to-machine (M2M) technology refers to any technology that enables direct communication between network devices with the help of wired and wireless communication channel by exchanging information, interpreting data, and making decisions individually without hum

Coherent Market Insights
Tuned Passive Harmonic Filters Market, By Filter Types (Single Tuned Filter, High Pass Filters, Double Tuned Filters, Double Tuned High Pass Filters, Triple Tuned Filters, Continuously Tuned Filters, and Commercial), By Verticals (Industrial, Commercial, Residential, Government), and By Region - Global Industry Insights, Trends, Outlook, and Opportunity Analysis, 2017–2025

To Be Published : Jan 2018

Passive harmonic mitigation systems or devices are used for power factor correction and have several advantages such as low power losses, better system performances, and better power efficiency, in addition to low cost over active filters. However, owing to these afor

Coherent Market Insights
Self-Healing Grid Market, By Component (Hardware and Software) and By Region - Global Industry Insights, Trends, Outlook, and Opportunity Analysis, 2017–2025

To Be Published : Jan 2018

Self-healing grids are a part of the overall electrical power distribution that comprises of sensors, automated switchgears and controls, and advanced software. These systems are also known as smart grids, as it utilizes real-time information from the distribution net

Coherent Market Insights
Airborne Surveillance Market, by Type (LiDAR, Radar, and Imaging System), by Product Type (Manned system and Unmanned system), by Application (Military, Defense, and Security and Commercial), and by Region (North America, Europe, Asia Pacific, Latin America, Middle East, and Africa) - Global Industry Insights, Trends, Outlook, and Opportunity Analysis, 2017 – 2025

To Be Published : Jan 2018

Airborne surveillance system aims to provide early airborne unusual activities warning. It consists of antenna, airborne data processor, and integrated navigation system, which are featured to provide high accuracy navigation system. These are responsible for tracking

Coherent Market Insights
Outboard Engines Market, by Product Type (Two Stroke Engine and Four Stroke Engine), by Engine Type (Low power (>50 HP), Mid power (50 HP-150 HP), and High power (<150 HP)), by Fuel Type (Gasoline Engine and Diesel Engine), by Boat Type (Fishing, Recreational, and Special purpose), and by Region - Global Industry Insights, Trends, Outlook, and Opportunity Analysis, 2017-2025

To Be Published : Jan 2018

An outboard engine is a system used in boats. It comprises of self-contained components including gearbox and jet drive. These outboard engines are essential motorized method to drive small watercraft. It autonomously controls steering of the boat, in turn controlling

Coherent Market Insights
Remote Vehicle Diagnostics Market, by Vehicle Type (Light-Duty Vehicle and Commercial Vehicle), by Connectivity (4G LTE, 3G, Bluetooth, and Wi-Fi), by Application (Automatic Crash Notification, Vehicle Tracking, Vehicle Health Alert, and Roadside Assistance), and by Region - Global Industry Insights, Trends, Outlook, and Opportunity Analysis, 2017-2025

To Be Published : Jan 2018

Remote vehicle diagnostics solution is responsible for monitoring status of a vehicle regarding detection of any problem occurred during operation and identifying real time vehicle parameters to enhance its performance. This solution can be utilized to monitor perform

"How Can I Help You" ?

Finding it difficult to find the research that would cater to your business demands? Give us a chance to help you. One of our Research Consultants will connect to provide a customized solution.

Coherent Market Insights Benefits

  • Custom Research Solution

    Talk to our research consultant to design an exclusive report as per your research needs.

  • Customer Fulfilment

    We aim to fulfil client's research demands with tailored research solutions.

  • Quick Turnaround Time Reports

    We aim to provide research studies in quickest turnaround time and in a much cost effective manner.

  • 360-degree Approach

    We cover each industry from supply and demand side with an aim to provide a most holistic research study.

  • Assured Quality

    We strive to provide most accurate and reliable research findings in our research reports.