PUBLISHER: The Business Research Company | PRODUCT CODE: 1669380
PUBLISHER: The Business Research Company | PRODUCT CODE: 1669380
Artificial intelligence (AI) in modern warfare involves the development and deployment of various technologies that leverage AI to enhance accuracy and safety in military operations. This includes enabling autonomous decision-making, improving intelligence collection, and enhancing capabilities in surveillance, targeting, logistics, and cybersecurity. The goal is to create and use AI-driven machines and systems to support human military troops, thereby improving overall effectiveness and efficiency on the battlefield.
The main types of AI in the modern warfare include weaponized AI, defensive AI, offensive AI, assisting AI, and autonomous AI. Weaponized AI involves using AI to develop or enhance military capabilities, often for autonomous or semi-autonomous systems capable of engaging in combat. Various types of equipment fall under this category, including unmanned aerial vehicles, unmanned ground vehicles, combat systems, recovery and maintenance vehicles, reconnaissance and surveillance vehicles, and medical evacuation vehicles. These applications span tactical defensive and military offensive operations.
The artificial intelligence in the modern warfare market research report is one of a series of new reports from The Business Research Company that provides artificial intelligence in the modern warfare market statistics, including artificial intelligence in the modern warfare industry global market size, regional shares, competitors with artificial intelligence in the modern warfare market share, detailed artificial intelligence in the modern warfare market segments, market trends, and opportunities, and any further data you may need to thrive in the artificial intelligence in the modern warfare industry. This artificial intelligence in the modern warfare market research report delivers a complete perspective of everything you need, with an in-depth analysis of the current and future scenario of the industry.
The artificial intelligence in modern warfare market size has grown exponentially in recent years. It will grow from $6.27 billion in 2024 to $8.74 billion in 2025 at a compound annual growth rate (CAGR) of 39.4%. The growth in the historic period can be attributed to military modernization programs, geopolitical tensions, increased use of unmanned systems, evolving threat landscapes, and growing demand for autonomous systems in warfare
The artificial intelligence in modern warfare market size is expected to see exponential growth in the next few years. It will grow to $31.27 billion in 2029 at a compound annual growth rate (CAGR) of 37.5%. The growth in the forecast period can be attributed to the development of autonomous weapons systems, emphasis on cyber warfare capabilities, rising investment in defense AI research, adoption of AI for decision support, and increasing focus on data analytics in warfare. Major trends in the forecast period include the development of explainable AI in military applications, the use of AI for predictive maintenance in defense systems, the integration of AI in military training programs, the growth of ai-powered command and control systems, deployment of AI for logistics and supply chain optimization in the military.
The burgeoning threat of cyberattacks is poised to drive the expansion of the artificial intelligence (AI) in modern warfare market. Cyberattacks, characterized by attempts to gain unauthorized access to computer systems or networks for malicious purposes, necessitate advanced AI applications for defensive cybersecurity measures. These AI technologies are crucial for fortifying defense systems against cyber threats, ensuring the safety and efficacy of AI-enabled defense systems. Notably, the Internet Crime Complaint Center's 2022 Statistics, released by the Federal Bureau of Investigation, reported a substantial 847,376 complaints as of 2021 related to diverse online frauds, resulting in a cumulative loss of $6.9 billion. This underscores the urgency and significance of incorporating artificial intelligence in modern warfare to counter the escalating threat of cyberattacks.
The continual increase in military expenditure is anticipated to be a driving force behind the growth of the artificial intelligence in modern warfare market. Military expenditure denotes the financial resources allocated by a government for its military forces and related activities. A surge in military spending fosters the advancement and integration of cutting-edge AI technologies to bolster military capabilities and effectiveness. As evidenced by the Stockholm International Peace Research Institute's findings in April 2023, world military spending experienced a notable 3.7% increase in 2022, reaching a substantial $2,240 billion in real terms. This upward trajectory in military spending is a pivotal factor propelling the growth of the artificial intelligence in modern warfare market.
A prominent trend shaping the artificial intelligence in modern warfare market is the prevalence of technological advancements. Major companies operating in this market are actively adopting innovative technologies to maintain their competitive edge. In a noteworthy development, Milrem Robotics, an Estonia-based robotics and autonomous systems developer, unveiled the THeMIS Observe in May 2022. This autonomous Intelligence, Surveillance, and Reconnaissance (ISR) Unmanned Ground Vehicle (UGV) integrates advanced systems such as the Rapid Obscuring System (ROSY), Z Sparrowhawk camera, Squire radar, Metravib Defense Pearl acoustic shot detection, and a mast. These sophisticated systems enable units to conduct multi-sensor identification on a single platform, facilitating quicker responses to emerging targets.
Major players in the artificial intelligence in modern warfare market are placing a strategic focus on introducing next-generation solutions, including advanced AI and computer vision capabilities, to meet evolving customer needs. The integration of AI and computer vision technologies empowers machines to process and analyze visual information, enabling intelligent decision-making. In March 2023, Red Cat Holdings Inc., a US-based aircraft company, and Athena AI, a UK-based multi-channel communication platform, jointly launched the Teal 2 military drone. Designed for military applications, especially short-range reconnaissance missions, the Teal 2 features a dual-axis electro-optic (EO) and infrared (IR) gimbal system, providing users with valuable data during nighttime operations through its enhanced computer vision capabilities.
In September 2024, BAE Systems plc, a UK-based aerospace firm, acquired Kirintec Limited for an undisclosed sum. This acquisition is intended to bolster BAE Systems plc's capabilities in electronic warfare, countermeasures, and defense technology by incorporating Kirintec Limited's specialized knowledge in electronic countermeasures, explosive ordnance disposal, and intelligence solutions, thereby reinforcing its position in modern warfare solutions. Kirintec Limited is a UK-based company that focuses on advanced artificial intelligence technology solutions for defense and security applications.
Major companies operating in the artificial intelligence in modern warfare market include Microsoft Corporation, Raytheon Technologies Corporation, Boeing Co., Lockheed Martin Corporation, International Business Machines Corporation, General Dynamics Corporation, Northrop Grumman Corporation, BAE Systems plc, Thales Group, L3Harris Technologies Inc., Leonardo S.p.A, Textron Inc., Booz Allen Hamilton Holding Corporation, Science Applications International Corporation Inc., Rheinmetall AG, CACI International Inc., Elbit Systems Ltd., Rafael Advanced Defense Systems Limited, General Atomics Aeronautical Systems Inc., Qinetiq Ltd., Palantir Technologies Inc., Teledyne FLIR LLC, Shield AI Inc., SparkCognition Inc., Roboteam Inc., Stryke Industries LLC
North America was the largest region in the artificial intelligence in the modern warfare market in 2024. The regions covered in the artificial intelligence in modern warfare market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa
The countries covered in the artificial intelligence in modern warfare market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Russia, South Korea, UK, USA, Italy, Spain, Canada.
The artificial intelligence in the modern warfare market consists of revenues earned by entities by providing services such as data analysis, predictive maintenance, cybersecurity solutions, and logistics and supply chain management. The market value includes the value of related goods sold by the service provider or included within the service offering. The artificial intelligence in the modern warfare market also includes sales of AI-enabled targeting systems, autonomous drones, autonomous weapons, sensor network, edge computing device, and cybersecurity hardware. Values in this market are 'factory gate' values, that is, the value of goods sold by the manufacturers or creators of the goods, whether to other entities (including downstream manufacturers, wholesalers, distributors, and retailers) or directly to end customers. The value of goods in this market includes related services sold by the creators of the goods.
The market value is defined as the revenues that enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD, unless otherwise specified).
The revenues for a specified geography are consumption values that are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.
Artificial Intelligence In Modern Warfare Global Market Report 2025 from The Business Research Company provides strategists, marketers and senior management with the critical information they need to assess the market.
This report focuses on artificial intelligence in modern warfare market which is experiencing strong growth. The report gives a guide to the trends which will be shaping the market over the next ten years and beyond.
Where is the largest and fastest growing market for artificial intelligence in modern warfare ? How does the market relate to the overall economy, demography and other similar markets? What forces will shape the market going forward? The artificial intelligence in modern warfare market global report from the Business Research Company answers all these questions and many more.
The report covers market characteristics, size and growth, segmentation, regional and country breakdowns, competitive landscape, market shares, trends and strategies for this market. It traces the market's historic and forecast market growth by geography.
The forecasts are made after considering the major factors currently impacting the market. These include the Russia-Ukraine war, rising inflation, higher interest rates, and the legacy of the COVID-19 pandemic.