The Tactical Radio Market to 2015
On June 13, DID covered the global expansion of the tactical radio market, esp. in the USA. Analysts at Frost & Sullivan’s “Aerospace and Defense Group, U.S. Tactical Military Communications Markets” noted that U.S. Department of Defense (DoD) spending for tactical communications was $4.78 billion in 2004 and predicted $5.68 billion by 2010. Meanwhile, Harris Corp. was noting growth in the sector and orders from around the world.
Now Forecast International is projecting that defense departments worldwide will spend some $12.88 billion on 28 different surface communications development, acquisition, or maintenance programs over the next decade.
In its new study, entitled The Market for Surface-Based Communications Systems, FI further projects that defense departments will purchase nearly 261,173 individual products from this assortment of programs over the next 10 years.
According to the study, some surface communications suppliers may choose to conduct the bulk of their business within the software-operated market segment over the next decade.
Of these suppliers, some will mostly supply hardware, with others primarily providing software. Conversely, other surface communications suppliers may decide to conduct the lion’s share of their business within the traditional market segment. These suppliers will likely sell non-software-operated systems to nations that possess modest funds for purchasing military communications equipment.
Network-centric warfare is a common denominator driving many of the upgrades and trends in this sub-sector. Unsurprisingly, The U.S. Joint Tactical Radio System, the U.K’s Bowman Tactical Radio, and Harris Corp’s Falcon II Tactical Radio were singled out as having a major impact on the market. DID has also covered Israel’s Tsayad program for network-centric warfare, which goes significantly beyond radios and includes wider integration; nevertheless, its export opportunities are somewhat limited.
FI predicts that General Dynamics ($5 billion), Rockwell Collins ($590 million), and Thales ($505 million) will represent 47.17% of market share.
