Naval Smart Weapons Market Size
| Study Period | 2020 - 2029 |
| Base Year For Estimation | 2023 |
| CAGR | > 5.00 % |
| Fastest Growing Market | North America |
| Largest Market | North America |
| Market Concentration | Low |
Major Players
*Disclaimer: Major Players sorted in no particular order |
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Naval Smart Weapons Market Analysis
The Naval Smart Weapons Market is expected to grow at a CAGR greater than 5% during the forecast period.
There was a widespread disruption in the naval manufacturing sector as the supply chain crisis escalated due to the imposed lockdowns on a global scale. Major ship manufacturing units utilize a global sourcing strategy to enable the integration of advanced materials into the ships' critical systems, such as hull, navigation, and weapon systems. The growing demand for sea-based warfare, along with the increasing fleets of naval vessels of countries around the world, is propelling the procurement of sea-based smart weapons. The market is primarily driven by the growing demand for precision strike weaponry. However, the R&D of smart weapons requires high capital investment and with the rapid pace of innovations in different parts of the world, technologies are also becoming obsolete at a very rapid pace. This market also faces strict regulatory norms regarding the sharing of technology with other countries.
Naval Smart Weapons Market Trends
Laser Guidance Segment Holds the Highest Share in the Market
Based on the technology, the laser guidance segment currently accounts for the highest market share, and it is expected to dominate the market during the forecast period. The laser guidance systems are integrated into missiles, rockets, and other weapons, to strike both stationary or moving targets. The rising demand to decrease the number of friendly fatalities and damages to assets, even from a distance of 8-12 km, is propelling the use of laser guidance technology in various missile programs. For instance, in February 2022, the US Navy tested an all-electric, high-energy laser weapon by using it on a target representing a subsonic cruise missile in flight. And in August 2022, Lockheed Martin Corporation delivered the first High Energy Laser with Integrated Optical-Dazzler and Surveillance (HELIOS) system to the US Navy, as part of the 2018 contract worth USD 150 million.
With the advancement in technology, these laser-guided weapons can find their way in even bad weather conditions. Other than missiles, laser guidance is currently being integrated into ammunitions to precisely kill the intended targets with high accuracy. For instance, in November 2022, the UK test-fired its first high-powered, long-range, laser weapon, named DragonFire. The targets during the test-fire included drone and metals such as the ones that are used in ship hulls. Such developments are expected to further propel the demand for laser guidance weaponsduring the upcoming period.
North America to Dominate Market Share
In terms of geography, North America currently holds a major market share. The US accounts for the largest share in North America, owing to factors, such as high spending by the government on the modernization of military equipment, R&D by major players to enhance the military power, and the increasing procurements of naval vessels, like frigates, destroyers, and aircraft carriers, among others. For instance, in November 2022 the US Navy awarded a contract worth USD 397.7 million to Raytheon Technologies Corporation for building next-generation shipboard missiles capable of targeting a variety of aircraft and missile threats with active radar guidance. The US Navy announced collaborating with the US Army for developing hypersonic missiles by 2023, post which they would initiate the phase of designing and testing the integration between the missile and USS Zumwalt's hull and combat system by 2025. Moreover, the presence of several smart weapons manufacturers and increasing government investments are accelerating the development of new and enhanced weapons.
Naval Smart Weapons Industry Overview
The naval smart weapons market is fragmented, with several players accounting for significant amounts of shares in the market. Some of the prominent companies in the market are BAE Systems plc, Lockheed Martin Corporation, Raytheon Technologies Corporation, and General Dynamics. Most major players have formed long-term partnerships with the armed forces to upgrade and enhance battlefield capabilities. Also, companies are investing heavily in the R&D of advanced products and technologies that may help develop tactical advantages over rivals. For instance, in February 2021, the US Navy and the US Air Force jointly awarded a USD 414 million contract to Lockheed Martin Corporation for Long Range Anti-Ship Missile (LRASM) production. The LRASM is a precision-guided anti-ship standoff missile, designed to detect and destroy specific targets within a group of ships by employing advanced technologies that reduce dependence on intelligence, surveillance, and reconnaissance (ISR) platforms. The modernization of navigation kits and aids to upgrade the existing missiles is anticipated to support the growth of companies.
Naval Smart Weapons Market Leaders
Lockheed Martin Corporation
Raytheon Technologies Corporation
General Dynamics Corporation
The Boeing Company
BAE Systems plc
*Disclaimer: Major Players sorted in no particular order
Naval Smart Weapons Market News
- In February 2023, the US Navy placed an order worth USD 92 million for weapon assemblies for LAIRCM missile-defense systems with Northrop Grumman Corporation.
- In November 2022, the German Navy has tested its first high-energy laser weapon, the frigate Sachsen against drones in the Baltic near Putlos military training area. The laser weapon demonstrator was developed by the High-Energy Laser Naval Demonstrator working committee.
Naval Smart Weapons Market Report - Table of Contents
1. INTRODUCTION
1.1 Study Deliverables
1.2 Study Assumptions
1.3 Scope of the Study
2. RESEARCH METHODOLOGY
3. EXECUTIVE SUMMARY
4. MARKET DYNAMICS
4.1 Market Overview
4.2 Market Drivers
4.3 Market Restraints
4.4 Porter's Five Forces Analysis
4.4.1 Threat of New Entrants
4.4.2 Bargaining Power of Buyers/Consumers
4.4.3 Bargaining Power of Suppliers
4.4.4 Threat of Substitute Products
4.4.5 Intensity of Competitive Rivalry
5. MARKET SEGMENTATION
5.1 Weapon Type
5.1.1 Missiles
5.1.2 Ammunition and Other Products
5.2 Technology
5.2.1 Laser Guidance
5.2.2 Radar Guidance
5.2.3 Satellite Guidance
5.2.4 Infrared Guidance
5.3 Geography
5.3.1 North America
5.3.1.1 United States
5.3.1.2 Canada
5.3.2 Europe
5.3.2.1 United Kingdom
5.3.2.2 France
5.3.2.3 Germany
5.3.2.4 Rest of Europe
5.3.3 Asia-Pacific
5.3.3.1 India
5.3.3.2 China
5.3.3.3 Japan
5.3.3.4 South Korea
5.3.3.5 Rest of Asia-Pacific
5.3.4 Rest of the World
6. COMPETITIVE LANDSCAPE
6.1 Vendor Market Share
6.2 Company Profiles
6.2.1 The Boeing Company
6.2.2 Lockheed Martin Corporation
6.2.3 Raytheon Technologies Corporation
6.2.4 BAE Systems plc
6.2.5 Rheinmetall AG
6.2.6 THALES
6.2.7 L3Harris Technologies Inc.
6.2.8 Northrop Grumman Corporation
6.2.9 Textron Inc.
6.2.10 General Dynamics Corporation
6.2.11 MBDA
6.2.12 Leonardo S.p.A.
7. MARKET OPPORTUNITIES AND FUTURE TRENDS
Naval Smart Weapons Industry Segmentation
Smart weapons are also known as precision-guided munition, intended to precisely hit a specific target, minimize collateral damage, and increase lethality against intended targets.
The Naval Smart Weapons Market is segmented by Weapon Type, Technology, and Geography. By weapon type, the market is segmented into Missiles, Ammunition and Other Products. By Technology, the market is segmented into Laser Guidance, Radar Guidance, Satellite Guidance, and Infrared Guidance. By Geography, the market is segmented into North America, Europe, Asia-Pacific, and the Rest of the World. The report also offers market sizes and forecasts for the aviation market in major countries across all regions. For each segment, the market sizes and forecasts are represented by value (USD billion).
| Weapon Type | |
| Missiles | |
| Ammunition and Other Products |
| Technology | |
| Laser Guidance | |
| Radar Guidance | |
| Satellite Guidance | |
| Infrared Guidance |
| Geography | |||||||
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| Rest of the World |
Naval Smart Weapons Market Research FAQs
What is the current Naval Smart Weapons Market size?
The Naval Smart Weapons Market is projected to register a CAGR of greater than 5% during the forecast period (2024-2029)
Who are the key players in Naval Smart Weapons Market?
Lockheed Martin Corporation, Raytheon Technologies Corporation, General Dynamics Corporation, The Boeing Company and BAE Systems plc are the major companies operating in the Naval Smart Weapons Market.
Which is the fastest growing region in Naval Smart Weapons Market?
North America is estimated to grow at the highest CAGR over the forecast period (2024-2029).
Which region has the biggest share in Naval Smart Weapons Market?
In 2024, the North America accounts for the largest market share in Naval Smart Weapons Market.
What years does this Naval Smart Weapons Market cover?
The report covers the Naval Smart Weapons Market historical market size for years: 2020, 2021, 2022 and 2023. The report also forecasts the Naval Smart Weapons Market size for years: 2024, 2025, 2026, 2027, 2028 and 2029.
Naval Smart Weapons Industry Report
Statistics for the 2024 Naval Smart Weapons market share, size and revenue growth rate, created by Mordor Intelligence™ Industry Reports. Naval Smart Weapons analysis includes a market forecast outlook to 2029 and historical overview. Get a sample of this industry analysis as a free report PDF download.
