Electronically Scanned Array Radar Market Size & Share Analysis - Growth Trends & Forecasts (2025 - 2030)

Global Electronically Scanned Array Radar Market Trends and Insights

Military Modernization Programs Accelerating AESA Procurement

AESA capability has shifted from desirable to mandatory for next-generation assets. The US Air Force fielded Northrop Grumman’s AN/TPS-80 G/ATOR, combining five legacy functions into one platform.^{[1]“AN/TPS-80 G/ATOR Programme,” armyrecognition.com} European states follow, with the UK integrating an advanced Typhoon radar and Estonia procuring Thales GM400α systems. Procurement velocity reflects recognition that legacy mechanically scanned radars cannot support multi-domain operations. AI-enabled modes further magnify mission value. Consequently, defense agencies now treat AESA as foundational infrastructure for network-centric warfare.

Demand for Multi-Function 4D Situational-Awareness Radars

Operators require instantaneous azimuth, elevation, range, and Doppler data. Thales’ NS200 offers full digital beam-forming up to 400 km while supporting swarm defense and missile guidance.^{[2] “NS200 4D Radar,” thalesgroup.com} Lockheed Martin’s Long-Range Discrimination Radar tracks targets beyond 2,000 km for ballistic-missile defense.^{[3]“Long Range Discrimination Radar,” lockheedmartin.com} Civil aviation’s NextGen program similarly propels demand for advanced surveillance. Convergence of military and civilian needs lowers per-unit cost. The ability to cover multiple missions with one aperture transforms platform design economics.

Geopolitical Tension–Fueled Defense Budget Expansion

Regional flashpoints accelerate spending. Japan raised its defense allocation by 16%, Germany 28 28% in 2024, and Israel lifted outlays by 65% amid active conflict. China placed counter-stealth radar on South China Sea reefs, prompting allied investments. NATO interoperability requirements reinforce standardised AESA procurement. High outlays create virtuous volume effects, pushing system prices down and widening market access.

Transition to GaN T/R Modules Lowering Lifecycle Cost

GaN devices deliver double the power density of GaAs while tolerating higher operating temperatures. Raytheon supplied the first GaN-equipped AN/TPY-2 to the Missile Defense Agency in May 2025.^{[4]“AN/TPY-2 GaN Upgrade,” raytheon.com} India’s Uttam radar boasts a 25% range uplift thanks to GaN modules. Improved thermal efficiency eases cooling and enables smaller form factors. Commercial automotive radar volumes further compress semiconductor costs, though gallium supply dependence on China remains a strategic concern.

High Program CAPEX Versus Legacy Systems

AESA upgrades carry steep upfront costs. The B-52 radar replacement has surpassed initial estimates and slowed schedules. Northrop Grumman’s USD 121.5 million contract to refurbish B-1 antennas highlights the investment intensity. Complex integration work on power, cooling, and data buses inflates budgets. Smaller defense agencies defer adoption, sustaining a two-tier market.

ITAR and Export-Control Constraints

US export rules classify electronically scanned array radar as Category XI. Licences, technical-assistance agreements, and compliance audits extend project timelines and raise transaction costs. Allies often face delays in replenishing stocks during crises. Restrictions open doors for non-US suppliers, potentially fragmenting technology standards across theatres.

Segment Analysis

By Type: AESA Dominance Drives Innovation

AESA technology accounted for 63.56% revenue in 2024 as distributed T/R modules eliminated single-point failure, while the segment promises a 9.55% CAGR through 2030. The electronically scanned array radar market benefits as each module scales independently, allowing graceful degradation under battle damage. Passive electronically scanned arrays (PESA) persist in cost-sensitive ground roles, yet falling GaN device pricing narrows the cost gap. AI-driven waveform agility further widens AESA’s performance edge.

Growing demand for resilience against sophisticated jamming favours AESA configurations that can hop frequency and steer beams within microseconds. As volumes rise, manufacturing economies drive unit pricing closer to PESA equivalents, reshaping procurement calculus. Software-defined updates lengthen service life and accelerate capability upgrades. Consequently, the electronically scanned array radar market size for AESA platforms is forecast to reach USD 9.1 billion by 2030, reinforcing its position as the baseline architecture across airborne, maritime, and ground systems.

Note: Segment shares of all individual segments available upon report purchase

By Platform: Naval Surge Outpaces Traditional Domains

Land-based systems held a 45.67% share in 2024, yet naval installations are tracking an 11.0% CAGR, the highest across platforms. New-build destroyers, frigates, and amphibious vessels integrate SPY-6, CERETRON, and GhostEye systems, replacing mechanically scanned arrays. Raytheon’s USD 1.18 billion SPY-6 series contract exemplifies volume potential.^{[5] “SPY-6 Naval Radar Production,” govconwire.com}

The maritime up-cycle reflects Indo-Pacific fleet modernization and the need for distributed missile-defense coverage. Onshore, counter-UAS demand sustains ground segment sales, while airborne upgrades to F-15EX and Gripen E remain robust. Space and high-altitude pseudo-satellites add incremental demand, albeit from a small base. Altogether, the electronically scanned array radar market share for naval platforms is projected to rise five percentage points by 2030 as sea-based ballistic-missile defense becomes a top priority.

By Fit: Retrofit Market Accelerates Modernization

Line-fit deliveries represented 68.95% of 2024 revenue owing to F-35, Type 26, and Constellation-class procurement pipelines. Retrofit activity, however, grows faster at 10.65% CAGR as forces extend legacy fleet life. The APG-79 integration on F/A-18 and SPY-6 back-fit for Nimitz-class carriers illustrates scale.

Modular arrays and common back-end processors simplify insertion, curbing downtime. Digital-through-digital interfaces reduce cabling while embedded cooling plates lower structural modification needs. Retrofitting, therefore, offers near-new performance without the capital outlay of platform replacement, bolstering the electronically scanned array radar market through mid-decade.

By Frequency Band: C and X Band Versatility Prevails

C and X band units generated 55.65% of revenue in 2024. They are prized for their multi-mission flexibility and minimal rain fade. They enable single-aperture execution of air-to-air and surface-search tasks, streamlining topside real estate.

Ku/Ka band arrays expand at 8.45% CAGR on the back of high-resolution imaging and small-drone tracking. Higher frequencies shorten antenna length, allowing mast-mounted or podded solutions on space-constrained platforms. L and S bands remain relevant for long-range early warning. Collectively, the electronically scanned array radar market size for Ku/Ka variants should exceed USD 2 billion by 2030 as tactical-UAV proliferation continues.

Note: Segment shares of all individual segments available upon report purchase

By Application: Electronic Warfare Capabilities Surge

Surveillance and early warning contributed 42.56% of revenue in 2024, yet electronic warfare (EW) applications clock a 10.39% CAGR through 2030. AESA enables simultaneous radar and jamming, with each module addressing different frequencies. Jane's reports multi-role arrays disrupting adversary data links while retaining search capacity.

Fire-control systems adopt AESA for improved track-while-scan, supporting networked shooters. Civil air traffic control transitions to digitally networked systems under the FAA NextGen roadmap.^{[6]“FAA NextGen Programme,” faa.gov} Growing EW demand ensures the electronically scanned array radar market maintains double-digit growth despite cyclical defense budgets.

By End-User: Homeland Security Adoption Accelerates

Military organizations accounted for 49.89% of revenue in 2024, but homeland security stakeholders expanded fastest at 9.32% CAGR. Border agencies deploy gap-filling radars with unmanned integration to counter low-slow-small threats.

Dual-use procurement leverages common logistics between defense and civil authorities, aiding budget approval. As drone incursions intensify, coastal and critical-infrastructure operators procure cost-efficient AESA units, lifting the electronically scanned array radar industry’s non-military share yearly.

By Component: Digital Processing Drives Innovation

Antenna and radome elements generated 38.75% of the 2024 turnover. However, demand for high-throughput processors positions the DSP segment for an 8.33% CAGR, reflecting AI insertion.

GaN T/R modules remain a pivotal investment area. Supply-chain localization projects in the US, Japan, and India target resilience despite raw-material constraints. Improved thermal-interface materials and direct-to-liquid cooling are under development, ensuring the electronically scanned array radar market remains at the forefront of semiconductor innovation.

Geography Analysis

North America retained a 35.65% share in 2024, buoyed by the world’s largest defense budget and a mature industrial base. Multi-year production of SPY-6 and TPY-4 systems underpins regional demand, while artificial-intelligence upgrades to legacy radars lock in aftermarket revenue. Canadian NORAD modernization and Mexican border-security programs provide supplemental orders. Continuous investment in GaN fab capacity positions the region to secure export competitiveness despite rising global rivalry.

Asia-Pacific posts the strongest 9.98% CAGR to 2030. China’s KJ-3000 AEW platform and phased-array coverage on reclaimed South-China-Sea outposts spur neighbours to accelerate buys. Japan’s transfer of FPS-3ME radars to the Philippines and Mongolia demonstrates deepening defense cooperation. India’s indigenously developed Uttam radar showcases ambitions for sovereignty, while South Korea’s Hanwha Systems equips FFX-III frigates with domestic GaN arrays. These combined initiatives elevate the electronically scanned array radar market across the region.

Europe continues to grow steadily as NATO’s integrated-air-and-missile-defense strategy mandates the adoption of standardised AESA. HENSOLDT’s EUR 6.929 billion (USD 8.06 billion) backlog exemplifies continental scale. The EISNET consortium integrates multi-sensor data for real-time command, emphasising software-defined interoperability. Influenced by the Ukraine conflict, Eastern European states prioritise ground-based air-defense radar, while the UK’s Eurofighter upgrades anchor airborne spending. Collectively, European procurement sustains the electronically scanned array radar market share above 25% through the forecast window.