Market Size of Artificial Intelligence and Robotics in Aerospace and Defense Industry
Study Period | 2019 - 2029 |
Market Size (2024) | USD 31.90 Billion |
Market Size (2029) | USD 45.80 Billion |
CAGR (2024 - 2029) | 7.50 % |
Fastest Growing Market | Asia-Pacific |
Largest Market | North America |
Major Players*Disclaimer: Major Players sorted in no particular order |
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AI and Robotics in Aerospace and Defense Market Analysis
The Artificial Intelligence and Robotics in Aerospace and Defense Market size is estimated at USD 31.90 billion in 2024, and is expected to reach USD 45.80 billion by 2029, growing at a CAGR of 7.5% during the forecast period (2024-2029).
The global aerospace and defense manufacturing sector is undergoing an unprecedented disruption due to the COVID-19 pandemic. Also, in the commercial airline industry, the revenue of airport operators and airlines decreased in 2020 and 2021 due to the restrictions on domestic and international travel to attenuate the spread of COVID-19. Consequently, the market for artificial intelligence and robotics in aerospace and defense witnessed a slight decline as the revenues of end users declined.
Nevertheless, some of the major airlines and airport authorities have invested in the implementation of artificial intelligence in various passenger processes at airports to enhance their safety and efficiency during the COVID-19 pandemic.
The ever-increasing application of AI-based technologies in the A&D sector and increasing investments being funneled to develop and integrate AI and machine learning (ML) into the end-user sectors are anticipated to drive the market in focus during the forecast period. However, the associated technical and operational challenges that are often observed during the initial stages of development and adoption of a nascent technology are hindering the adoption of AI-based technologies.