Tactical Communication Market Forecasts to 2030 - Global Analysis By Product, Component, Platform, Point of Sale, Technology, Application and By Geography

According to Stratistics MRC, the Global Tactical Communication Market is accounted for $15.7 billion in 2024 and is expected to reach $32.9 billion by 2030 growing at a CAGR of 13.1% during the forecast period. Tactical communication refers to the strategic exchange of information designed to achieve specific objectives in challenging or dynamic situations. It encompasses the concise and precise transmission of messages between individuals or groups, often in high-pressure environments such as military operations, emergency response, law enforcement, or crisis management. Effective tactical communication requires clarity, brevity, and adaptability to rapidly changing circumstances.

According to Stockholm International Peace Research Institute (SIPRI), total global military expenditure increased to $1,981 billion in 2020, an increase of 2.6% from 2019.

Market Dynamics:

Driver:

Military modernization initiatives

As armed forces worldwide prioritize enhancing their operational capabilities, the demand for sophisticated communication systems has surged. Modernization efforts focus on integrating advanced technologies like artificial intelligence, cloud computing, and encryption techniques into communication systems, enabling secure and efficient data transmission in battlefield scenarios. The growing emphasis on network-centric warfare and the proliferation of interconnected devices necessitate robust communication infrastructures capable of supporting diverse communication modes, including voice, data, and video.

Restraint:

Budget constraints

Budget constraints significantly hinder the Tactical Communication Market by limiting investment in research, development, and procurement of advanced communication systems. Governments and defense organizations often allocate finite resources to various defense priorities, including tactical communication. Constrained budgets can impede the adoption of cutting-edge technologies, hampering the development of robust and interoperable communication solutions. As a result, military forces may rely on outdated or inefficient communication systems, which can compromise operational effectiveness and personnel safety in critical situations.

Opportunity:

Increasing demand for C4ISR systems

As modern warfare becomes increasingly complex and dynamic, the need for seamless communication between various military units and command centers has intensified. C4ISR systems play a pivotal role in providing real-time data, enhancing situational awareness, and enabling swift decision-making on the battlefield. This heightened demand is driving advancements in tactical communication technologies, including robust networks, secure data transmission protocols, and interoperable systems capable of integrating diverse platforms and sensors. Furthermore, as defense budgets allocate more resources to enhance military capabilities, investment in C4ISR infrastructure, including tactical communication solutions, is expected to continue its upward trajectory.

Threat:

High power consumption

Tactical communication systems require portable and versatile solutions to enable seamless communication in dynamic and often hostile environments. High power consumption not only drains resources rapidly but also necessitates frequent recharging or replacement of batteries, thereby hindering mission readiness and effectiveness. The need for bulky power sources adds to the logistical burden, restricting mobility and increasing the risk of detection in covert operations. In an era where agility and adaptability are paramount, excessive power consumption undermines the very essence of tactical communication systems, impeding their ability to deliver timely and reliable communication in critical situations.

Covid-19 Impact:

The Covid-19 pandemic significantly impacted the tactical communication market. The increased need for remote communication solutions to adhere to social distancing measures drove a surge in demand for innovative and reliable communication technologies among military and law enforcement agencies. Disruptions in global supply chains and manufacturing operations resulted in delays in product deliveries and increased costs for procurement, affecting both suppliers and buyers. Overall, the pandemic underscored the critical importance of robust and resilient communication infrastructure in ensuring operational effectiveness and safety for tactical forces worldwide.

The high capacity data radios segment is expected to be the largest during the forecast period

High Capacity Data Radios segment is expected to be the largest during the forecast period by offering unparalleled efficiency and reliability in transmitting vast amounts of data swiftly and securely. These radios employ advanced modulation techniques and signal processing algorithms to achieve high data rates, enabling real-time exchange of critical information on the battlefield. This enhancement empowers military units with superior situational awareness, streamlined command and control operations, and rapid decision-making capabilities.

The airborne tactical communication systems segment is expected to have the highest CAGR during the forecast period

Airborne Tactical Communication Systems segment is expected to have the highest CAGR during the forecast period through its advanced capabilities tailored for airborne operations. These systems provide seamless communication channels between airborne platforms, ground troops, and command centers, ensuring real-time exchange of critical information in dynamic military environments. Airborne Tactical Communication Systems offer secure, reliable, and high-bandwidth communication links, facilitating coordinated efforts and swift decision-making processes during missions.

Region with largest share:

Asia Pacific region commanded the largest share of the market throughout the extrapolated period. As countries in the region increasingly focus on modernizing their defense infrastructure and enhancing their military capabilities, the need for seamless communication among various branches of the armed forces and with allied nations becomes paramount. Interoperable communication systems allow for real-time data sharing, coordination, and decision-making across diverse platforms and units, fostering synergy and efficiency in military operations throughout the region.

Region with highest CAGR:

The demand for next-generation IP radio systems in North America is substantially enhancing the Tactical Communication Market over the projection period. These advanced systems offer improved interoperability, security, and efficiency compared to traditional communication methods. With the increasing complexity of modern military operations and the need for seamless coordination among diverse units, there's a growing reliance on IP-based solutions across the region. Additionally, these systems provide real-time data transmission, enhanced voice clarity and robust encryption capabilities, crucial for ensuring operational success and mission effectiveness in the North America region.

Key players in the market

Some of the key players in Tactical Communication market include Cobham PLC, Datron World Communications, General Dynamics Corporation, Hanwha Corp, Huneed Technologies, Iridium Communications Inc, L3Harris Technologies, Inc, Lockheed Martin Corporation, Northrop Grumman Corporation, Raytheon Technologies Inc, Thales Group, Ultra Electronics and Viasat Inc.

Key Developments:

In March 2024, Patria and Lockheed Martin Corporation signed a Memorandum of Agreement for the production and delivery of F-35 landing gear doors. This MoA provides the contractual framework for the stand-up and qualification of a landing gear doors production line at Patria's Halli facility in Jamsa, Finland. The production line will deliver landing gear doors for the F-35 global fleet.

In September 2023, Datron World Communications, Inc., a U.S. based supplier of tactical communications products, announced its recent acquisition by Cyberlux Corporation, a leading provider of innovative defense technology systems. This milestone marks the union of two industry pioneers, creating a powerhouse of integrated technologies to meet the complex needs of modern defense and communication landscapes.

In February 2022, L3Harris Technologies Inc made next-generation secure manpack radios with integrated communications security for the U.S. Special Operations Command to enable commando teams to communicate on frequencies from 30 to 2,600 MHz with embedded communications security.

Products Covered:

• Handheld Radios
• High Capacity Data Radios
• Vehicular Inter-communication Radios
• Networking Radios
• Manpack Radios
• Multiband Radios
• Video Processors
• Other Products

Components Covered:

• Software
• Hardware
• Other Components

Platforms Covered:

• Shipborne Tactical Communication Systems
• Land Tactical Communication Systems
• Airborne Tactical Communication Systems
• Underwater Tactical Communication Systems

Point of Sales Covered:

• Upgradation
• New Installations

Technologies Covered:

• Time Division Multiplexing
• Next Generation Networks
• Other Technologies

Applications Covered:

• Routine Operations
• Intelligence, Surveillance & Reconnaissance (ISR)
• Other Applications

Regions Covered:

• North America
  • US
  • Canada
  • Mexico
• Europe
  • Germany
  • UK
  • Italy
  • France
  • Spain
  • Rest of Europe
• Asia Pacific
  • Japan
  • China
  • India
  • Australia
  • New Zealand
  • South Korea
  • Rest of Asia Pacific
• South America
  • Argentina
  • Brazil
  • Chile
  • Rest of South America
• Middle East & Africa
  • Saudi Arabia
  • UAE
  • Qatar
  • South Africa
  • Rest of Middle East & Africa

What our report offers:

• Market share assessments for the regional and country-level segments
• Strategic recommendations for the new entrants
• Covers Market data for the years 2022, 2023, 2024, 2026, and 2030
• Market Trends (Drivers, Constraints, Opportunities, Threats, Challenges, Investment Opportunities, and recommendations)
• Strategic recommendations in key business segments based on the market estimations
• Competitive landscaping mapping the key common trends
• Company profiling with detailed strategies, financials, and recent developments
• Supply chain trends mapping the latest technological advancements

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• Company Profiling
  • Comprehensive profiling of additional market players (up to 3)
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• Regional Segmentation
  • Market estimations, Forecasts and CAGR of any prominent country as per the client's interest (Note: Depends on feasibility check)
• Competitive Benchmarking
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