Military Communication Market

Increased procuring of modern communication systems to improve defense communication security supports market growth

The defense sector's two fundamental requirements are protecting sensitive information and maintaining constant communication. Assume crucial data needs to be properly protected or real-time data needs to be sent correctly. In that instance, citizens' safety may be jeopardized, or disagreements between countries may arise. In addition, defense communication encompasses all aspects of the armed force transfer of information and data for efficient operation, military surveillance, command, and control.

Moreover, communication relies on a complex and wide network of hardware components and software to transmit information across geographic boundaries. Besides, the escalating conflicts among countries worldwide would raise military investments. These substantial military investments are utilized to acquire modern communication technologies that allow secure, accurate, and confidential real-time data transfer. As a result, the increased purchase of communication systems with greater security and privacy features will likely drive the military communication market CAGR growth over the forecast period.

For secure data transfer and network architecture, evolving technologies such as Satellite Communication SATCOM , high-frequency communication, and ultra-high-frequency communication are replacing old, wired communication systems. The US Army's Warfighter Information Network-Tactical program (WIN-T) delivers secure phone and data communications to its soldiers on the battlefield without needing permanent infrastructure. Furthermore, the US military is working on Joint All-Domain Command and Control (JADC2), a complete, unified, and interoperable wireless networking system. The system is powered by 5G. It will combine Army, Air Force, Navy, Space Force, and Marine Corps sensors into a single network.

Thus, adopting such advanced technologies fuels the expansion of the military communication market revenue.

Emerging markets are playing a pivotal role in the expansion of the Global Military Communication Market Industry. Countries in Asia-Pacific and the Middle East are investing heavily in modernizing their military communication systems to enhance their defense capabilities. For instance, nations like India and Saudi Arabia are prioritizing the development of secure and efficient communication networks. This trend is expected to contribute to a compound annual growth rate of 3.63% from 2025 to 2035, as these regions seek to bolster their military readiness and operational effectiveness through advanced communication technologies.

The rise in cybersecurity threats poses a critical challenge for the Global Military Communication Market Industry. As military operations become increasingly reliant on digital communication, the risk of cyberattacks grows. This has led to a heightened focus on developing secure communication systems that can withstand potential breaches. Governments are investing in advanced cybersecurity measures to protect sensitive information and maintain operational integrity. The emphasis on cybersecurity is likely to drive market growth, as military organizations seek to implement robust solutions that safeguard their communication networks against evolving threats.

In recent years, many countries have significantly increased their defense budgets, which directly impacts the Global Military Communication Market Industry. Nations are recognizing the necessity of robust communication systems to ensure national security and operational readiness. For example, the United States has allocated substantial funds for upgrading its military communication infrastructure. This trend is expected to continue, with projections indicating a market growth to 29.4 USD Billion by 2035. This increase in funding allows for the procurement of advanced communication technologies, thereby enhancing the capabilities of military forces globally.

The Global Military Communication Market Industry is projected to experience substantial growth in the coming years. With a market valuation of 19.8 USD Billion in 2024, it is anticipated to reach 29.4 USD Billion by 2035. This growth trajectory indicates a compound annual growth rate of 3.63% from 2025 to 2035. Factors contributing to this expansion include increasing defense budgets, technological advancements, and the rising need for secure communication systems. As military organizations worldwide prioritize effective communication, the market is likely to witness significant investments in innovative solutions.

The Global Military Communication Market Industry is experiencing rapid technological advancements that enhance communication capabilities. Innovations in satellite communication, secure data transmission, and artificial intelligence are transforming military operations. For instance, the integration of advanced encryption methods ensures secure communications, which is crucial for operational success. As of 2024, the market is valued at 19.8 USD Billion, reflecting the increasing investment in cutting-edge technologies. These advancements not only improve the efficiency of military operations but also facilitate real-time decision-making, thereby enhancing overall mission effectiveness.

International collaborations among military forces are becoming more prevalent, influencing the Global Military Communication Market Industry. Joint exercises and operations necessitate interoperable communication systems that can function seamlessly across different platforms. For example, NATO's initiatives to standardize communication protocols among member countries highlight the importance of collaborative efforts. Such partnerships not only enhance operational efficiency but also drive the demand for advanced communication technologies. As nations work together to address common security challenges, the market is poised for growth, reflecting the need for integrated communication solutions.

By Region, the report provides market insights into Europe, North America, Asia-Pacific, and the Rest of the World. The North American military communication market accounted for USD 8.38 billion in 2022 and will likely exhibit a significant CAGR growth in the study period. The largest defense budget, an increasing focus on strengthening military communication capabilities, and procuring next-generation communication devices are ascribed to the market growth. In 2022, the United States was the world's largest defense spender. 

In June 2022, the US Department of Defense revealed plans to spend roughly USD 13 billion over the following five years developing and acquiring military communication satellites. This significant investment will help meet the growing demand for connectivity and secure data networks among the United States military services and national security agencies. Besides, rising investment in modern communication systems and rising defense spending by the Canadian defense forces boost market expansion. The Canadian Armed Forces (CAF) inked a deal with L3Harris Technologies in November 2021 to deliver more than 1,000 compact team radios and support kits.

These devices will improve tactical communications for battlefield operators and command centers.

Also, the major countries studied in the market report are the U.S., German, Canada, France, the U.K., Italy, Spain, China, Japan, India, Australia, South Korea, and Brazil.

Figure 2: Military Communication Market SHARE BY REGION 2022 (%)

Source: Secondary Research, Primary Research, MRFR Database, and Analyst Review

The European military communication market accounts for the second-largest global market share. One of the major drivers is the increasing focus on modernizing the defense forces and improving their communication capabilities to enhance operational efficiency and effectiveness. European countries invest in advanced military communication technologies, such as satellite communication systems, secure communication networks, and command and control systems, to enable seamless communication across different military branches and allied forces. 

Moreover, the increasing adoption of advanced communication technologies in defense applications, such as unmanned systems, autonomous vehicles, and battlefield digitization, drives the demand for military communication solutions in Europe. Further, the German military communication market held the largest market share, and the U.K. military communication market was the fastest-growing market in the European region.

The Asia Pacific Military Communication Market is expected to grow at the fastest CAGR from 2023 to 2032, owing to a large increase in commercial aircraft deliveries in developing nations such as India and China. The region's adoption of network-centric warfare will result in long-term market growth. In addition, growing military spending by countries such as China and India to develop cutting-edge military equipment and enhance the defense sector is expected to fuel market growth in the Asia Pacific region. As per the SIPRI (Stockholm International Peace Research Institute), the United States and China contribute 50% of global military spending.

Moreover, the China military communication market held the largest market share, and the Indian military communication market was the fastest-growing market in the Asia-Pacific region.

Leading market players are focusing on innovation and technology-driven solutions to address the evolving communication needs of modern military operations. They invest in cutting-edge technologies such as advanced encryption, satellite communication, and software-defined radios to enhance communication capabilities for military personnel in the global military communication industry. Key market developments in the military communication sector include new product launches, contractual agreements, mergers & acquisitions, strategic partnerships, and increased investments in research and development.

Government contracts and tenders for military communication projects are critical for key market participants as they provide a significant source of revenue and market share. As a result, for military communication industry participants, actively pursuing and getting government contracts is a top priority. Customization and integration are also key focus areas for military communication industry companies, as they offer customizable and integrated communication solutions that can be tailored to the specific requirements of military forces. 

This includes interoperability with existing communication systems, modular designs, and scalable solutions that can be integrated into various military platforms. Major players in the military communication market, including Lockheed Martin Corporation, Raytheon Technologies Corporation, Northrop Grumman Corporation, Harris Corporation, Thales Group, and General Dynamics Corporation, are actively investing in R&D operations to enhance their communication solutions and increase market demand.

Lockheed Martin Corporation is a global aerospace and defense firm based in Bethesda, Maryland. It was established in 1995 and is now one of the world's top defense contractors. Lockheed Martin has a global presence with production sites, research and development centers, and customer service locations across the United States, Europe, Asia, and the Middle East. Lockheed Martin provides various aerospace, defense, and technology goods and services, including military communication systems. Lockheed Martin launched a new multi-domain communication network known as Project Hydra in October 2021.

This network combines numerous communication capabilities, such as satellite communication, high-frequency transmission, and modern networking technology, to enable secure and robust communication for military operations in difficult settings.

Raytheon Technologies Corporation is a major aerospace and defense business based in Waltham, Massachusetts. It was developed in 1922 and had a long defense sector innovation history. Raytheon Technologies is a global company with manufacturing sites, R&D centers, and customer support offices in the United States and other nations. 

Advanced communication solutions for terrestrial, aerial, and maritime applications, satellite communication systems, secure communication networks, radar systems, and electronic warfare systems are among its offerings in the military communication industry. Raytheon Technologies successfully tested a new upgraded high-frequency satellite communication system called Protected Tactical Waveform in November 2021. This waveform provides secure, jam-resistant, and high-bandwidth communication capabilities for military missions in hostile areas.