Reliance on Wireless Communication and Technological Advancements will lead to Tactical Radios Market growth
The global tactical radios market is estimated to reach US$ 12.11 billion in 2023 and is expected to reach US$ 41.1 billion by 2033, growing at a CAGR of 13%. Global military operations have led to a tremendous improvement in the quality of radios in recent years. Worldwide, the military has acquired advanced tactical radios that allow better communication and cross-platform support between the ground, airborne, and naval forces.
Wireless technologies for commercial use have evolved rapidly, resulting in capabilities far exceeding those of their military counterparts. In order to meet the military's communication needs, commercial technologies and techniques are becoming increasingly significant in the market.
Several countries are enhancing their airborne, ground-based, and naval defense and offense capabilities in response to terrorism threats and border disputes. Due to this, the development, deployment, and use of tactical radios have rapidly gained momentum in recent years and are rapidly expected to continue to grow in coming years.
With many new features and developments in recent years, tactical radios have made great progress. In addition to increasing power output and range, these developments also allow users to communicate through video, data, and voice. In recent years, tactical radios have incorporated software-defined radio (SDR) technology, which has enabled greater customization and flexibility.
A GPS tracking and navigation device are also integrated into most tactical radios, which has led to an improvement in navigation and tracking capabilities. As a result of 4G/LTE capabilities, some tactical radios are capable of supporting streaming video applications.
A set of handheld voice and data radios (known as the Rifleman radios) has recently been developed by the Department of Defense's Joint Tactical Radio System program in collaboration with a range of military radio companies, including Exelis, Harris, and Thales.
Next-generation mobile tactical communication solutions would combine tactical radios and smartphones to create a powerful application, as well as a low-cost smartphone that can be used to communicate over military tactical networks, while still being affordable for soldiers.
To provide personnel with transformational capabilities, modern armed forces are seeking next-generation tactical communications devices as legacy combat net radios (CNRs) approach their end of service life. Increasingly, governments require tactical communications capabilities with wideband waveforms, high data rates, and interoperability with NATO and non-NATO partners. The FDF and Bittium signed an agreement in 2017 for the purchase of new tactical radios to ensure situational awareness in real-time.
An agreement for 1.35 billion euros for the purchase of 20,000 encrypted radios for the German military was approved by parliament on December 14. An additional 14,000 radios were purchased for 1.5 billion euros. Chancellor Olaf Scholz launched a major shift in policy following Russia's invasion of Ukraine in February by purchasing the radios as part of a broader modernization program for Germany's military.
In the future, tactical radios could become a more common tool for military and law enforcement applications with their improved communication capabilities, such as longer ranges, clearer communications, and higher security levels. The use of tactical radios with software applications is increasingly being utilized to enhance control, allocation of resources, and collaboration. Various radio systems and platforms are increasingly using radio platforms to communicate with each other.
As cognitive radio technology becomes more prevalent, power levels, frequencies, and modulation schemes are automatically adjusted for optimal performance in any situation. Tactical radio communications are increasingly being secured with advanced encryption standards such as AES-256. To reduce costs and enable faster response times, remote programming and maintenance are becoming increasingly popular.
Data Points
Key Statistics
Estimated Base Year Value (2022)
US$ 11 billion
Expected Market Value (2023)
US$ 12.11 billion
Anticipated Forecast Value (2033)
US$ 41.11 billion
Projected Growth Rate (2023 to 2033)
13% CAGR
Advancements in military communication systems have revolutionized the defence industry and the developments in defence infrastructure of various countries is playing a crucial role in bolstering the demand for tactical radio. Additionally, the increase in defence expenditure of various countries such as China, India, Germany, and France have created abundant opportunities for tactical radio market.
The demand for tactical radios is increasing as it provide an extreme level of security to protect data that may be sensitive to national security and tactical operations.
Therefore, the increasing need for communication equipment to protect information and the need for consistent communication between the military forces are the major factors fuelling the growth of tactical radios market.
Communication plays an essential role in the successful operation of any mission. Whenever any small group of troops or entity is sent on a particular mission, it is required that the troops or entity remain in contact with other forces so that they can complete their task successfully. Tactical radios are reliable and highly secured military communication system, and due to this feature, various government organizations and entities are adopting tactical radios for providing reliable and secure communication to their forces.
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Effect of COVID-19 on Defence Equipment Manufacturing Industries
The worldwide spread of COVID-19 is expected to impact the production/manufacturing facilities of defence equipment manufacturers and can also impact the supply chain. This further can act as one of primary challenges for the growth of tactical radio market.
Furthermore, due to corona virus pandemic the business development efforts by defence equipment manufacturing companies could be hampered and the demand for defence equipment and related services may go down for next 2-3 years. The tactical radios market was valued around US$ 9 Billion globally, and it has witnessed a CAGR of almost 9% in past 4 years.
Owing to the outbreak of COVID-19 pandemic, the growth of tactical radios market is expected to remain stagnant in the year 2020 and 2021 and as per the estimates, the tactical radios market is projected to increase merely by 3%-5% in first two quarters of 2020. Moreover, the defence equipment manufacturers have to make a tough choices that could impact finances and competencies,
which is one of the key factors due to which the growth of tactical radios market may be hampered. However, if the COVID-19 pandemic situation gets controlled during Q3-Q4, 2020, the long-term outlook for tactical radios remains positive.
Tactical Radios Market: Market Dynamics
Growing demand for mobile command systems
In the past few years, the need for mobile command systems has increased rapidly, to enable militaries operate in remote and hostile environments. Moreover, military forces are seeking solutions such as tactical radios to provide enhanced situational awareness capabilities, and allow users to quickly gather, analyse, and disseminate intelligence in order to improve mission success.
Furthermore, the need for rapidly deployable solutions that provide command and control capabilities to military, intelligence units, and disaster relief centres is driving the demand for tactical radios.
Demand for Connected Military Systems
The defence industry is coming ahead with a number of technical innovations, and various military communication solution providers are focusing on providing connected military systems. Today, applications of sensors and smart devices are penetrating into the defence industry, which is creating potential growth opportunities for the tactical radios market.
Furthermore, recent advancements in information and communication technologies is triggering significant revolutionary changes in many defence sector which is creating a positive impact on the growth of tactical radios market.
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Tactical Radios Market: Competition Landscape
Some of the key players in the tactical radios market are
General Dynamics
Harris Corporation
Raytheon Company
Rockwell Collins
Thales Group.
These leading players in the tactical radios market are continuously focusing on entering into the partnership and collaboration in order to upgrade their existing product lines and to cope up with the changing customer demands.
Tactical Radios Market: Regional overview
On the basis of geography, North America is expected to capture the significant market share in tactical radios market, owing to the presence of various key players in the region and high defence infrastructure spending by the countries of the region especially the USA
The tactical radios market in Europe and Asia Pacific is anticipated to capture high growth rates due to the increasing investment by countries of the region in improving defence infrastructure and increased demand for faster communication and advancement in the wireless communication technologies.
Furthermore, the tactical radios market in Latin America and Middle East & Africa is also expected to witness high growth as the countries in these regions are witnessing high focus towards defence modernization programs and increase in military expenditure.
The Tactical Radios market report is a compilation of first-hand information, qualitative and quantitative assessment by industry analysts, and inputs from industry experts and industry participants across the value chain.
The report provides in-depth analysis of parent market trends, macro-economic indicators, and governing factors, along with market attractiveness as per segment. The market report also maps the qualitative impact of various market factors on market segments and geographies.
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The report covers exhaustive analysis on
Tactical Radios Market Segments
Tactical Radios Market Dynamics
Tactical Radios Market Size
Supply & Demand
Current Trends/Issues/Challenges
Competition & Companies Involved in Tactical Radios Market
Technology Landscape
Value Chain of the Tactical Radios Market
Market Drivers and Restraints
Regional analysis includes
North America (USA, Canada)
Latin America (Mexico, Brazil, Rest of LATAM)
Europe (Germany, Italy, United Kingdom, Spain, France, Nordic countries, BENELUX, Rest of Europe)
East Asia (China, Japan, South Korea)
South Asia & Pacific (India, ASEAN, Australia & New Zealand)
Middle East and Africa (GCC Countries, Turkey, Northern Africa, South Africa, Rest of MEA)
Tactical Radios Market: Segmentation
The tactical radios market has been segmented on the basis of type and application
The tactical radios market is segmented on the basis of type:
Vehicle-Mounted
Handheld/Portable
The tactical radios market is segmented on the basis of application:
