Part 20
Tactical Radios Market size is expected to cross USD 66.5 Billion by the end of 2037, growing at more than 14.27% CAGR during the forecast period i.e., between 2025-2037. In the year 2024, the industry size of tactical radios is evaluated at USD 12.2 Billion. As the defense budget increases, tactical radio system modernization and improvements are likely to get greater attention.
These investments may lead to the development of more advanced and secure communication systems for the military, improving their effectiveness and adaptability in a variety of tactical settings. For example, the Bengaluru-based Indian Army has stated that it has reached a deal to purchase a "tactical LAN radio" that was built locally. The "tactical LAN radio" is state-of-the-art high-bandwidth backhaul wireless radio technology for reliable communication, according to authorities. The Army has secured its second contract under the banner of Innovations for Defence Excellence (iDEX).
Growth Drivers
Challenges
Base Year |
2024 |
Forecast Year |
2025-2037 |
CAGR |
14.27% |
Base Year Market Size |
USD 12.2 Billion |
Forecast Year Market Size |
USD 66.5 Billion |
Regional Scope |
|
Type (Vehicle Mounted, Handheld/Portable)
Handheld/Portable segment in the tactical radios market is poised to exceed USD 36.7 Billion by 2037. Recent advances in 5G technology have opened new ways of tactical communications, making it imperative that defense leaders keep pace with the rapid development and complexity of software-driven handheld and portable tactical radios.
Tactical communication has been successfully integrated using 5G technologies. To ensure a strategic advantage on the battlefield, this means that new radio technologies are constantly developed, tested, validated, and deployed.
Application (Army, Navy, Airforce, Land, Special Operation Force)
In tactical radios market, navy segment is estimated to reach USD 17.5 Billion by 2037. Factors such as piracy, border disputes, and wider political issues are driving significant investments into maritime capabilities across the tactical radio market segment targeted at military applications.
Projected to spend around USD 32 billion on naval upgrades by the U.S. Navy by FY2025, there's a notable need for cutting-edge communication technologies, such as tactical radios, to improve security at sea and the efficiency of operations.
Our in-depth analysis of the global tactical radios market includes the following segments:
Type |
|
Platform Type |
|
Application |
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North American Market Statistics
North America tactical radios market size is poised to reach USD 24.7 Billion by 2037. The United States, for example, allocates a large part of its defense spending to buying tactical radios and other cutting-edge communications equipment to increase the capability of its armed forces. The security risk is constantly evolving, and reliable and secure communication networks are of paramount importance for military, law enforcement, or homeland security authorities. Cyberwarfare and terrorism are examples of these risks. The energy sector accounts for 20 % of the cyber-attacks across North America. Human error, privilege abuse, misuse of stolen credentials, or social engineering account for around 74% of all breaches.
In order to improve military capabilities, the United States devotes a large part of its resources to defense spending, including the purchase of tactical radios and other cutting-edge communications equipment.
Canada’s presence of various key players in the region and its high defence infrastructure spending have contributed to this.
APAC Market Analysis
Tactical Radios Market size for Asia Pacific region is expected to reach USD 22.1 Billion by 2037. International defense cooperation and collaboration with allies are undertaken by a number of Asia Pacific countries.
In order to improve interoperability and information sharing between partner countries, it may be part of the Government's efforts to acquire and standardize tactical radios so that they can help communicate during combined military exercises and operations. A second procurement contract made possible by Innovations for Defence Excellence has been signed by the Indian Army. When the indigenously designed "Tactical LAN Radio" was signed in New Delhi the Vice Chief of Army Staff, Lt Gen MV Suchindra Kumar, was present.
A tight security alliance between Japan and the United States, which includes cooperation in defense technologies and interoperability, is maintained. To ensure seamless communication and interoperability between Japan's personnel and the United States, it is necessary to have Tactical Radios that meet NATO and US Military Requirements.
Vietnam shares borders with several of its neighboring countries and faces challenges related to border safety, including cross-border criminal activities, smuggling, and unauthorized entry. Tactical radios allow border guards, customs officials, and law enforcement agencies to communicate and coordinate to improve border security.
Increased investment by India in improving defence infrastructure increasing demand for speedier communications and the development of mobile communication technologies are factors that lead to growth.
Author Credits: Abhishek Verma
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