sdi - the global c2/c4isr market 2013 - 2023 - extract

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The Global C2/C4ISR Market 20132023

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Page 1: SDI - The Global C2/C4ISR Market 2013 - 2023 - Extract

The Global C2/C4ISR Market 2013–2023

Page 2: SDI - The Global C2/C4ISR Market 2013 - 2023 - Extract

The Global C2/C4ISR Market 2013–2023

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TABLE OF CONTENTS

1 Introduction ......................................................................................................................... 15

1.1 What is this Report About? ............................................................................................................. 15

1.2 Definitions ...................................................................................................................................... 15

1.3 Summary Methodology .................................................................................................................. 17

1.4 About Strategic Defence Intelligence .............................................................................................. 18

2 Executive Summary ............................................................................................................ 19

3 Global C2/C4ISR Market Size and Drivers ......................................................................... 21

3.1 C2/C4ISR Market Size and Forecast 2013–2023 ........................................................................... 21

3.1.1 Global C2/C4ISR market forecast to register a nominal increase over the forecast period ..................... 21

3.2 Global C2/C4ISR Market – Regional Analysis ................................................................................ 22

3.2.1 North America constitutes the majority share in the global C2/C4ISR market ......................................... 22

3.2.2 Surveillance and Communication products are expected to dominate overall spending on C4ISR systems in North America ..................................................................................................................................... 24

3.2.3 Demand for C2/C4ISRs systems in Europe expected to increase despite the defense budget cuts ...... 25

3.2.4 Military C4ISR market in the Asia-Pacific region is expected to maintain consistent levels of growth over the forecast period ................................................................................................................................................ 27

3.2.5 Middle Eastern C2/C4ISR market to be robust during the forecast period .............................................. 29

3.2.6 Brazil to dominate the C2/C4ISR market in Latin America ....................................................................... 30

3.2.7 African markets expected to witness a gradual increase in military C2/C4ISR spending over the forecast period 32

3.3 C2/C4ISR Sub–Sector Market Size Composition ........................................................................... 33

3.3.1 Land-based systems expected to constitute the largest share of the global C2/C4ISR market .............. 33

3.3.2 Land-based C2/C4ISR systems to witness sustained investment throughout the forecast period .......... 35

3.3.3 Airborne C2/C4ISR systems to form the second largest market segment over the forecast period ........ 37

3.3.4 Expenditure on space-based C2/C4ISR systems expected to rise at a CAGR of 1.35% over the forecast period 39

3.3.5 Market for naval C2/C4ISR systems expected to record a decline during the forecast period ................ 41

3.4 Demand Drivers and Growth Stimulators ....................................................................................... 43

3.4.1 Global need to shorten mission cycle time to fuel global demand ........................................................... 43

3.4.2 Increased importance in modern warfare to drive demand ...................................................................... 43

3.4.3 Rise in asymmetric warfare, counterinsurgencies and global terrorism ................................................... 43

3.5 Defense Budget Spending Review ................................................................................................. 45

3.5.1 European capital expenditure expected to increase during the forecast period ...................................... 45

3.5.2 Asian defense budgets expected to increase at a robust pace ................................................................ 46

3.5.3 North American defense expenditure projected to decline marginally during the forecast period ........... 47

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3.5.4 Modernization programs likely to drive defense expenditure in South American countries ..................... 48

3.5.5 Military budgets of African countries expected to increase during the forecast period ............................ 49

3.5.6 Middle Eastern defense budgets are likely to increase during the forecast period .................................. 50

3.6 Defense Modernization Review ...................................................................................................... 51

3.6.1 Debt crisis in Europe leading to the postponement of modernization plans ............................................ 51

3.6.2 Arms race in Asia reflected in modernization plans ................................................................................. 51

3.6.3 North American modernization plans marginally affected by economic recession .................................. 51

3.6.4 Modernization programs in South America driven by replacement of obsolete armaments .................... 51

3.6.5 African countries mainly spending on infantry weapons, and surveillance and monitoring equipment to slow growing crime rate ........................................................................................................................................ 52

3.6.6 Middle Eastern countries pursuing modernization of Air Force and air defense systems ....................... 52

4 Industry Trends, Recent Developments, and Challenges ............................................... 53

4.1 Technological Developments ......................................................................................................... 53

4.1.1 Smartphone solution to provide vital intelligence and communications support for military personnel in full-spectrum operations ........................................................................................................................................ 53

4.1.2 The advent of hyperspectral sensors has ushered a new category of cutting edge sensors .................. 53

4.1.3 Long Endurance Multi Intelligence Vehicle to revolutionize the intelligence, surveillance and reconnaissance weapon system ........................................................................................................................... 53

4.1.4 New surveillance radar sensing technology that enables vision through solid walls to provide real time images beyond barriers ......................................................................................................................................... 54

4.1.5 Sensor Fusion technology increasing accuracy and effectiveness of data collection modes .................. 54

4.2 Market Trends ................................................................................................................................ 55

4.2.1 Increasing demand for improved Multiband Tactical Communication Amplifiers ..................................... 55

4.2.2 Increasing need for next generation IP systems ...................................................................................... 55

4.2.3 Demand for higher frequencies and secure modulation formats.............................................................. 55

4.3 Industry Consolidation .................................................................................................................... 56

4.3.1 Joint R&D programs expected to increase over the forecast period ........................................................ 56

4.3.2 Companies making acquisitions in the C4ISR space to harness the significant opportunities ................ 56

4.4 Key Challenges .............................................................................................................................. 58

4.4.1 Need for interoperability ............................................................................................................................ 58

4.4.2 Network-centric military communications ................................................................................................. 58

4.4.3 Reduced space in naval ships and falling capacity poses key challenges for surveillance systems ....... 58

5 SWOT Analysis of the C2/C4ISR Market............................................................................ 59

5.2 Strengths ........................................................................................................................................ 60

5.2.1 Increase in digital battlespace .................................................................................................................. 60

5.2.2 Technological advancements ensure continued operational demand ..................................................... 60

5.2.3 Reforms in defense spending to favor C4ISR systems ............................................................................ 61

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5.3 Weaknesses .................................................................................................................................. 62

5.3.1 Complexity ................................................................................................................................................ 62

5.3.2 Lack of skilled personnel in cybersecurity related C4ISR systems .......................................................... 62

5.3.3 Technological know-how of satellite deployment and subsequent integration into Network Centric Warfare (NCW) doctrines limited to large multinational companies ..................................................................... 62

5.4 Opportunities .................................................................................................................................. 64

5.4.1 Growing demand in emerging nations ...................................................................................................... 64

5.4.2 Development of C2/C4ISR for unmanned platforms ................................................................................ 64

5.4.3 Increasing demand in missile defense applications ................................................................................. 64

5.4.4 Increasing need to enable soldiers on the battlefield to access data being analyzed by central commands to boost unit sales of C4ISR platforms ............................................................................................... 65

5.5 Threats ........................................................................................................................................... 66

5.5.1 Shrinking defense budgets threatening C2/C4ISR programs .................................................................. 66

5.5.2 Current military information management solutions facing technological and budgetary issues ............. 66

6 Country Analysis – C2/C4ISR Market ................................................................................ 67

6.1 United States Market Size and Forecast 2013–2023 ...................................................................... 68

6.1.1 Land C2/C4ISR systems expected to be the largest spend category in the US ...................................... 71

6.1.2 Airborne C2/C4ISR systems expected to constitute the second-largest market share in the US ............ 73

6.1.3 Space based C2/C4ISR systems expected to constitute the third-largest segment of expenditure in the US 75

6.2 Russia Market Size and Forecast 2013–2023 ................................................................................ 76

6.2.1 Space-based C2/C4ISR systems to be in demand in Russia over the forecast period ........................... 79

6.2.2 Airborne C2/C4ISR systems to register a CAGR of 11.32% over the forecast period ............................. 80

6.3 UK Market Size and Forecast 2013–2023 ...................................................................................... 82

6.3.1 Land-based systems to lead the UK C2/C4ISR market ........................................................................... 85

6.3.2 Airborne C4ISR market in the UK to increase over the forecast period ................................................... 87

6.3.3 Naval C2/C4ISR segment is expected to decline over the forecast period .............................................. 88

6.4 France Market Size and Forecast 2013–2023 ................................................................................ 90

6.4.1 Demand for land-based C2/C4ISR systems in France to remain high .................................................... 93

6.4.2 Space-based C2/C4ISR segment to value US$650 million by 2023 ....................................................... 94

6.4.3 Airborne C4ISR systems to register a CAGR of 3.35% over the forecast period .................................... 95

6.5 China Market Size and Forecast 2013–2023 .................................................................................. 96

6.5.1 Airborne C2/C4ISR market in China to account for the highest segment of expenditure ........................ 99

6.5.2 Chinese expenditure on space based military C4ISR systems expected to grow at a CAGR of 4.1% over the forecast period .............................................................................................................................................. 101

6.5.3 Chinese expenditure on land-based military C4ISR systems expected to account for the third largest segment of expenditure over the forecast period ............................................................................................... 103

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6.6 Australian Market Size and Forecast 2013–2023 ..........................................................................105

6.6.1 Land-based C2/C4ISR equipment expected to account for the largest segment of expenditure .......... 108

6.6.2 Market for airborne C2/C4ISR platforms to grow at a CAGR of 9.25% over the forecast period .......... 110

6.6.3 Naval C2/C4ISR segment expected to account for the third largest area of expenditure ...................... 112

6.7 India Market Size and Forecast 2013–2023 ..................................................................................113

6.7.1 Land-based C2/C4ISR solutions to account for the largest segment of expenditure............................. 116

6.7.2 Market for Airborne C2/C4ISR systems to grow at a CAGR of 10.07% over the forecast period .......... 118

6.7.3 Space-based C2/C4ISR platforms to account for the third largest share of Indian expenditure ............ 120

6.8 The UAE Market Size and Forecast 2013–2023 ............................................................................122

6.8.1 A number of Cyber Security projects have inflated expenditure in the land based C2/C4ISR systems segment in the UAE ............................................................................................................................................ 125

6.8.2 Airborne C2/C4ISR systems market to increase over the forecast period ............................................. 127

6.9 Saudi Arabia Market Size and Forecast 2013–2023 ......................................................................128

6.9.1 The market for land-based C2/C4ISR systems expected to increase over the forecast period ............ 130

6.9.2 The spending on Airborne C2/C4ISR systems is expected to almost double by 2023 .......................... 132

6.10 Brazil Market Size and Forecast 2013–2023 .................................................................................134

6.10.1 SISFRON program to lead the land-based C2/C4ISR market ............................................................... 137

6.10.2 Airborne C2/C4ISR to account for second largest share of C2/C4ISR market ...................................... 138

6.10.3 Navy‘s SISGAAZ program to contribute significantly to the naval C2/C4ISR market ............................ 139

6.11 Chile Market Size and Forecast 2013–2023 ..................................................................................140

6.11.1 Expenditure on land-based systems to lead the market during the forecast period .............................. 142

6.11.2 Naval C2/C4ISR systems constitute the second largest market in Chile ............................................... 143

6.12 South African Market Size and Forecast 2013–2023 .....................................................................144

6.12.1 Land-based C2/C4ISR segment to account for a major portion of expenditure by South Africa ........... 147

6.12.2 Airborne C22/C4ISR segment to account for the second largest segment of expenditure .................... 148

7 Major C2/C4ISR Programs ................................................................................................ 149

7.1 Land-based ...................................................................................................................................149

7.1.1 India - Network for Spectrum .................................................................................................................. 149

7.1.2 US - Strategic Services Sourcing (S3) program ..................................................................................... 150

7.1.3 Australia - Tactical Information Exchange Domain (Data Links - Upgrade) Phase 4 JP 2089 .............. 151

7.2 Space-based .................................................................................................................................152

7.2.1 Italy/France - Sicral 2 satellite program .................................................................................................. 152

7.2.2 India - Indian Regional Navigational Satellite System ............................................................................ 153

7.2.3 US - Advanced Extremely High Frequency (AEHF) Satellite Vehicle Program ..................................... 154

7.3 Airborne ........................................................................................................................................155

7.3.1 Saudi Arabia - Communication and navigation system upgrade program ............................................. 155

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7.3.2 India - Rohini ........................................................................................................................................... 156

7.3.3 US - Joint Surveillance Target Attack Radar System (Joint STARS) ..................................................... 157

7.4 Naval .............................................................................................................................................158

7.4.1 India - Three Dimensional (3D) Radars for Naval Warships .................................................................. 158

7.4.2 US - Naval C4ISR systems contract by Space and Naval Warfare Systems Center ............................. 159

7.4.3 Germany - TRS-4D/NR Radar Program ................................................................................................. 160

8 Competitive Landscape and Strategic Insights .............................................................. 161

8.1 Competitive Landscape Overview .................................................................................................161

8.1.1 Lockheed Martin Corporation: overview ................................................................................................. 162

8.1.2 Lockheed Martin Corporation: products and services ............................................................................ 162

8.1.3 Lockheed Martin Corporation: recent announcements and strategic initiatives ..................................... 162

8.1.4 Lockheed Martin Corporation: alliances ................................................................................................. 163

8.1.5 Lockheed Martin Corporation: recent contract wins ............................................................................... 163

8.1.6 Lockheed Martin Corporation: financial analysis .................................................................................... 164

8.1.7 Boeing: overview .................................................................................................................................... 166

8.1.8 Boeing: products and services ............................................................................................................... 166

8.1.9 Boeing: recent announcements and strategic initiatives ........................................................................ 167

8.1.10 Boeing: Alliances .................................................................................................................................... 167

8.1.11 Boeing: Recent Contract Wins ............................................................................................................... 167

8.1.12 Boeing: financial analysis ....................................................................................................................... 169

8.1.13 Raytheon: overview ................................................................................................................................ 171

8.1.14 Raytheon: products and services ........................................................................................................... 171

8.1.15 Raytheon: recent announcements and strategic initiatives .................................................................... 172

8.1.16 Raytheon: alliances ................................................................................................................................ 173

8.1.17 Raytheon: recent contract wins .............................................................................................................. 173

8.1.18 Raytheon: financial analysis ................................................................................................................... 174

8.1.19 CACI: overview ....................................................................................................................................... 176

8.1.20 CACI: products and services .................................................................................................................. 176

8.1.21 CACI: recent announcements and strategic initiatives ........................................................................... 176

8.1.22 CACI: alliances ....................................................................................................................................... 177

8.1.23 CACI: recent contract wins ..................................................................................................................... 177

8.1.24 CACI: financial analysis .......................................................................................................................... 177

8.1.25 L-3 Communications: overview............................................................................................................... 179

8.1.26 L-3 Communications: products and services .......................................................................................... 179

8.1.27 L-3 Communications: recent announcements and strategic initiatives .................................................. 180

8.1.28 L-3 Communications: alliances ............................................................................................................... 180

8.1.29 L-3 Communications: recent contract wins ............................................................................................. 181

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8.1.30 L-3 Communications: financial analysis ................................................................................................. 182

8.1.31 Northrop Grumman Corporation: overview ............................................................................................. 183

8.1.32 Northrop Grumman Corporation: products and services ........................................................................ 183

8.1.33 Northrop Grumman Corporation: recent announcements and strategic initiatives ................................ 184

8.1.34 Northrop Grumman Corporation: alliances ............................................................................................. 184

8.1.35 Northrop Grumman Corporation: recent contract wins ........................................................................... 185

VTOL-UAV. The UAV will perform intelligence, search and reconnaissance missions. ... 185

8.1.36 Northrop Grumman Corporation: financial analysis ............................................................................... 186

8.1.37 BAE Systems: overview .......................................................................................................................... 188

8.1.38 BAE Systems: products and services ..................................................................................................... 188

8.1.39 BAE Systems: recent announcements and strategic initiatives ............................................................. 189

8.1.40 BAE Systems: alliances .......................................................................................................................... 189

8.1.41 BAE Systems: recent contract wins ........................................................................................................ 190

8.1.42 BAE Systems: Financial Analysis ........................................................................................................... 190

8.1.43 SAIC: overview ....................................................................................................................................... 193

8.1.44 SAIC: products and services .................................................................................................................. 193

8.1.45 SAIC: recent announcements and strategic initiatives ........................................................................... 193

8.1.46 SAIC: recent contract wins ..................................................................................................................... 194

8.1.47 SAIC: Financial Analysis ......................................................................................................................... 195

8.1.48 Elbit Systems: overview .......................................................................................................................... 197

8.1.49 Elbit Systems: products and services ..................................................................................................... 197

8.1.50 Elbit Systems: recent announcements and strategic initiatives .............................................................. 197

8.1.51 Elbit Systems: alliances .......................................................................................................................... 198

8.1.52 Elbit Systems: recent contract wins ........................................................................................................ 198

8.1.53 Elbit Systems: financial analysis ............................................................................................................. 199

8.1.54 Rockwell Collins: overview ..................................................................................................................... 201

8.1.55 Rockwell Collins: products and services ................................................................................................ 201

8.1.56 Rockwell Collins: recent announcements and strategic initiatives ......................................................... 201

8.1.57 Rockwell Collins: alliances ...................................................................................................................... 202

8.1.58 Rockwell Collins: recent contract wins ................................................................................................... 203

8.1.59 Rockwell Collins: financial analysis ........................................................................................................ 204

8.1.60 General Dynamics: overview .................................................................................................................. 205

8.1.61 General Dynamics: products and services ............................................................................................. 205

8.1.62 General Dynamics: recent announcements and strategic initiatives ...................................................... 207

8.1.63 General Dynamics: alliances .................................................................................................................. 208

8.1.64 General Dynamics: recent contract wins ................................................................................................ 209

8.1.65 General Dynamics: financial analysis ..................................................................................................... 210

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8.1.66 Serco: overview ...................................................................................................................................... 211

8.1.67 Serco: products and services ................................................................................................................. 211

8.1.68 Serco: recent announcements and strategic initiatives .......................................................................... 212

8.1.69 Serco: recent contract wins .................................................................................................................... 212

8.1.70 VT Milcom: overview ............................................................................................................................... 213

8.1.71 VT Milcom: products and services .......................................................................................................... 213

8.1.72 VT Milcom: alliances ............................................................................................................................... 213

8.1.73 VT Milcom: recent contract wins ............................................................................................................. 214

8.1.74 Mantech International Corporation: overview ......................................................................................... 214

8.1.75 Mantech International Corporation: products and services .................................................................... 214

8.1.76 Mantech International Corporation: recent announcements and strategic initiatives ............................. 215

8.1.77 Mantech International Corporation: alliances ......................................................................................... 215

8.1.78 Mantech International Corporation: recent contract wins ....................................................................... 215

8.1.79 Mantech International Corporation: financial analysis ............................................................................ 216

8.1.80 Kratos Defense & Security Solutions: overview ..................................................................................... 218

8.1.81 Kratos Defense & Security Solutions: products and services ................................................................ 218

8.1.82 Kratos Defense & Security Solutions: recent announcements and strategic initiatives ......................... 218

8.1.83 Kratos Defense & Security Solutions: alliances...................................................................................... 219

8.1.84 Kratos Defense & Security Solutions: recent contract wins ................................................................... 219

8.1.85 Kratos Defense & Security Solutions: financial analysis ........................................................................ 220

8.1.86 Harris Corporation: overview .................................................................................................................. 222

8.1.87 Harris Corporation: products and services ............................................................................................. 222

8.1.88 Harris Corporation: recent announcements and strategic initiatives ...................................................... 222

8.1.89 Harris Corporation: alliances .................................................................................................................. 223

8.1.90 Harris Corporation: recent contract wins ................................................................................................ 223

8.1.91 Harris Corporation: financial analysis ..................................................................................................... 224

8.1.92 ThalesRaytheonSystems: overview ....................................................................................................... 226

8.1.93 ThalesRaytheonSystems products and services.................................................................................... 226

8.1.94 ThalesRaytheon Systems: recent announcements and strategic initiatives .......................................... 226

8.1.95 ThalesRaytheon Systems: alliances ....................................................................................................... 227

8.1.96 ThalesRaytheon Systems: recent contract wins..................................................................................... 227

8.1.97 Rheinmetall Defence: overview .............................................................................................................. 228

8.1.98 Rheinmetall Defence: products and services ......................................................................................... 228

8.1.99 Rheinmetall Defence: recent announcements and strategic initiatives .................................................. 229

8.1.100 Rheinmetall Defence: alliances .............................................................................................................. 229

8.1.101 Rheinmetall Defence: recent contract wins ............................................................................................ 229

8.1.102 Rheinmetall Defence: financial analysis ................................................................................................. 230

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8.1.103 SAAB: overview ...................................................................................................................................... 232

8.1.104 SAAB: products and services ................................................................................................................. 232

8.1.105 SAAB: recent announcements and strategic initiatives .......................................................................... 233

8.1.106 SAAB: alliances ...................................................................................................................................... 233

8.1.107 SAAB: recent contract wins .................................................................................................................... 233

8.1.108 SAAB: financial analysis ......................................................................................................................... 234

9 Appendix ............................................................................................................................ 237

9.1 Methodology .................................................................................................................................237

9.2 About SDI ......................................................................................................................................237

9.3 Disclaimer .....................................................................................................................................237

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LIST OF FIGURES

Figure 1: Global C2/C4ISR Market (US$ Billion), 2013–2023 ............................................................................................................................. 21 Figure 2: C2/C4ISR Market Breakdown by Region (%), 2013–2023 ................................................................................................................... 23 Figure 3: North American C2/C4ISR Market (US$ Billion), 2013–2023 ............................................................................................................... 24 Figure 4: European C2/C4ISR Market (US$ Billion), 2013–2023 ........................................................................................................................ 26 Figure 5: Asia-Pacific Military C2/C4ISR Market (US$ Billion), 2013–2023 ......................................................................................................... 28 Figure 6: Middle East C2/C4ISR Market (US$ Billion), 2013–2023 ..................................................................................................................... 29 Figure 7: Latin American C2/C4ISR Market (US$ Billion), 2013–2023 ................................................................................................................ 31 Figure 8: African C2/C4ISR Market (US$ Million), 2013–2023 ............................................................................................................................ 32 Figure 9: C2/C4ISR Market Breakdown by Segment (%), 2013–2023 ................................................................................................................ 34 Figure 10: Land-based C2/C4ISR Systems Market Size (US$ Billion), 2013–2023 ............................................................................................. 36 Figure 11: Airborne C2/C4ISR Systems Market Size (US$ Billion), 2013–2023 .................................................................................................. 38 Figure 12: Space-based C2/C4ISR Systems Market Size (US$ Billion), 2013–2023 ........................................................................................... 40 Figure 13: Naval C2/C4ISR Systems Market Size (US$ Billion), 2013–2023 ...................................................................................................... 42 Figure 14: Defense Capital Expenditure of Top Three European Defense Spenders (US$ Billion), 2013–2023 .................................................. 45 Figure 15: Defense Capital Expenditure of Top Three Asian Defense Spenders (US$ Billion), 2013–2023 ....................................................... 46 Figure 16: Defense Capital Expenditure of Top North American Defense Spenders (US$ Billion), 2013–2023 ................................................... 47 Figure 17: Defense Capital Expenditure of Top Three South American Defense Spenders (US$ Billion), 2013–2023 ........................................ 48 Figure 18: Defense Capital Expenditure of Top Three African Countries (US$ Billion), 2013–2023 ................................................................... 49 Figure 19: Defense Capital Expenditure of Top Three Middle Eastern Defense Spenders (US$ Billion), 2013–2023 .......................................... 50 Figure 20: C2/C4ISR Market in the US (US$ Billion), 2013–2023 ...................................................................................................................... 69 Figure 21: C2/C4ISR Market by Category in the US (%), 2013–2023 ................................................................................................................. 70 Figure 22: Land-based C2/C4ISR Market Size in the US (US$ Billion), 2013–2023 ............................................................................................ 72 Figure 23: Airborne C2/C4ISR Market Size in the US (US$ Billion), 2013–2023 ................................................................................................. 74 Figure 24: Space based C2/C4ISR Market Size in the US (US$ Billion), 2013–2023 .......................................................................................... 75 Figure 25: C2/C4ISR Market in the Russia (US$ Billion), 2013–2023 ................................................................................................................. 77 Figure 26: C2/C4ISR Market By Category in Russia (%), 2013–2023 ................................................................................................................. 78 Figure 27: Space-based C2/C4ISR Market Size in Russia (US$ Billion), 2013–2023 .......................................................................................... 79 Figure 28: Airborne C2/C4ISR Market Size in Russia (US$ Billion), 2013–2023 ................................................................................................. 81 Figure 29: C2/C4ISR Market in the UK (US$ Billion), 2013–2023 ....................................................................................................................... 83 Figure 30: C2/C4ISR Market Split by Sector in the UK (%), 2013–2023 .............................................................................................................. 84 Figure 31: Land-based C2/C4ISR Market Size in the UK (US$ Billion), 2013–2023 ............................................................................................ 86 Figure 32: Airborne C2/C4ISR Market Size in the UK (US$ Million), 2013–2023 ................................................................................................ 87 Figure 33: Naval C2/C4ISR Market Size in the UK (US$ Million), 2013–2023 ..................................................................................................... 89 Figure 34: C2/C4ISR Market in France (US$ Billion), 2013–2023 ....................................................................................................................... 91 Figure 35: C2/C4ISR Market Split by Sector in France (%), 2013–2023 ............................................................................................................. 92 Figure 36: Land-based C2/C4ISR Market Size in France (US$ Million), 2013–2023 ........................................................................................... 93 Figure 37: Space-based C2/C4ISR Market Size in France (US$ Million), 2013–2023 ......................................................................................... 94 Figure 38: Airborne C2/C4ISR Market Size in France (US$ Million), 2013–2023 ................................................................................................ 95 Figure 39: C2/C4ISR Market in China (US$ Billion), 2013–2023 ......................................................................................................................... 97 Figure 40: Military C2/C4ISR Market Split by Sector in China (%), 2013–2023 ................................................................................................... 98 Figure 41: Airborne C2/C4ISR Market Size in China (US$ Billion), 2013–2023 ................................................................................................. 100 Figure 42: Space Based Military C2/C4ISR Market Size in China (US$ Billion), 2013–2023 ............................................................................. 102 Figure 43: Space Based Military C2/C4ISR Market Size in China (US$ Million), 2013–2023 ............................................................................ 104 Figure 44: C2/C4ISR Market in Australia (US$ Billion), 2013–2023 .................................................................................................................. 106 Figure 45: C2/C4ISR Market Split by Sector in Australia (%), 2013–2023 ......................................................................................................... 107 Figure 46: Land-based Military C2/C4ISR Market Size in Australia (US$ Billion), 2013–2023 ........................................................................... 109 Figure 47: Airborne C2/C4ISR Market Size in Australia (US$ Million), 2013–2023............................................................................................ 111 Figure 48: Naval C2/C4ISR Market Size in Australia (US$ Million), 2013–2023 ................................................................................................ 112 Figure 49: Military C2/C4ISR Market in India (US$ Billion), 2013–2023 ............................................................................................................ 115 Figure 50: Military C2/C4ISR Market in India by Sector (%), 2013–2023 .......................................................................................................... 115 Figure 51: Land-based C2/C4ISR Market Size in India (US$ Billion), 2013–2023 ............................................................................................. 117 Figure 52: Airborne C2/C4ISR Market Size in India (US$ Billion), 2013–2023 .................................................................................................. 119 Figure 53: Space-based C4ISR Market Size in India (US$ Million), 2013–2023 ................................................................................................ 121 Figure 54: C2/C4ISR Market in the UAE (US$ Billion), 2013–2023 ................................................................................................................... 123

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Figure 55: C2/C4ISR Market Split By Category in the UAE (%), 2013–2023 ..................................................................................................... 124 Figure 56: Land-based C2/C4ISR Market Size in the UAE (US$ Billion), 2013–2023 ....................................................................................... 126 Figure 57: Airborne C2/C4ISR Market Size in the UAE (US$ Million), 2013–2023 ............................................................................................ 127 Figure 58: C2/C4ISR Market in Saudi Arabia (US$ Billion), 2013–2023 ............................................................................................................ 129 Figure 59: Land-based C2/C4ISR Market Size in Saudi Arabia (US$ Billion), 2013–2023 ................................................................................ 131 Figure 60: Airborne C2/C4ISR Market Size in Saudi Arabia (US$ Million), 2013–2023 ..................................................................................... 133 Figure 61: C2/C4ISR Market in Brazil (US$ Billion), 2013–2023 ....................................................................................................................... 135 Figure 62: C2/C4ISR Market Split By Category in Brazil (%), 2013–2023 ......................................................................................................... 136 Figure 63: Land-based C2/C4ISR Market Size in Brazil (US$ Million), 2013–2023 ........................................................................................... 137 Figure 64: Airborne C2/C4ISR Market Size in Brazil (US$ Million), 2013–2023 ................................................................................................ 138 Figure 65: Naval C2/C4ISR Market Size in Brazil (US$ Million), 2013–2023 ..................................................................................................... 139 Figure 66: C2/C4ISR Market in Chile (US$ Million), 2013–2023 ....................................................................................................................... 141 Figure 67: C2/C4ISR Market Split by Sector in Chile (%), 2013–2023 .............................................................................................................. 141 Figure 68: Land-based C2/C4ISR Market Size in Chile (US$ Million), 2013–2023 ............................................................................................ 142 Figure 69: Naval C2/C4ISR Market Size in Chile (US$ Million), 2013–2023...................................................................................................... 143 Figure 70: C2/C4ISR Market in South Africa (US$ Million), 2013–2023 ............................................................................................................ 145 Figure 71: C2/C4ISR Market Split By Category in South Africa (%), 2013–2023 ............................................................................................... 146 Figure 72: Land-based C2/C4ISR Market Size in South Africa (US$ Million), 2013–2023 ................................................................................. 147 Figure 73: Airborne C2/C4ISR Market Size in South Africa (US$ Million), 2013–2023 ...................................................................................... 148 Figure 74: Lockheed Martin Corporation – Revenue Trend Analysis (US$ Million), FY2008–2012 .................................................................... 164 Figure 75: Lockheed Martin Corporation – Operating Profit (US$ Million), FY2008–2012 ................................................................................. 165 Figure 76: Raytheon Company – Operating Profit (US$ Million), FY2008–2012 ............................................................................................... 175 Figure 77: CACI – Revenue Trend Analysis (US$ Million), FY2008–2012 ........................................................................................................ 178 Figure 78: CACI – Net Profit Trend Analysis (US$ Million), FY2008–20112 ...................................................................................................... 179 Figure 79: L-3 Communications. – Operating Profit (US$ Million), FY2008–2012 ............................................................................................. 182 Figure 80: L-3 Communications. – Net Profit Trend Analysis (US$ Million), FY2008–20112 ............................................................................. 183 Figure 81: Northrop Grumman Corporation. – Revenue Trend Analysis (US$ Million), FY2008–2012 .............................................................. 186 Figure 82: Northrop Grumman Corporation. – Operating Profit (US$ Million), FY2008–2012 ............................................................................ 187 Figure 83: Northrop Grumman Corporation. – Net Profit Trend Analysis (US$ Million), FY2008–20112 ............................................................ 187 Figure 84: BAE Systems – Revenue Trend Analysis (GBP Billion), 2008–2012 ................................................................................................ 191 Figure 85: BAE Systems – Operating Profit (GBP Million), 2008–2012 ............................................................................................................. 192 Figure 86: BAE Systems – Net Profit (GBP Million), 2008–2012 ....................................................................................................................... 192 Figure 87: SAIC – Revenue Trend Analysis (US$ Billion), 2009–2012 .............................................................................................................. 195 Figure 88: SAIC – Operating Profit (US$ Million), 2009–2012 ........................................................................................................................... 196 Figure 89: SAIC – Net Profit (US$ Million), 2009 – 2012 ................................................................................................................................... 196 Figure 90: Elbit Systems – Revenue Trend Analysis (US$ Million), FY2008–2012 ........................................................................................... 199 Figure 91: Elbit Systems – Operating income Trend Analysis (US$ Million), 2008–2012 ................................................................................. 200 Figure 92: Elbit Systems – Net income Trend Analysis (US$ Million), 2008–2012 ........................................................................................... 200 Figure 93: Rockwell Collins – Revenue Trend Analysis (US$ billion), 2008–2012 ............................................................................................. 204 Figure 94: Rockwell Collins – Operating Profit (US$ million), 2008–2012 ......................................................................................................... 204 Figure 95: Rockwell Collins – Net Profit Trend Analysis (US$ million), 2008–2012 ........................................................................................... 205 Figure 96: General Dynamics – Revenue Trend Analysis (US$ billion), 2008–2012 ......................................................................................... 210 Figure 97: General Dynamics – Operating Profit (US$ million), 2008–2012 ...................................................................................................... 210 Figure 98: General Dynamics – Net Profit Trend Analysis (US$ million), 2006–2010 ........................................................................................ 211 Figure 99: Mantech International Corporation – Revenue Trend Analysis (US$ billion), 2008–2012 ................................................................. 216 Figure 100: Mantech International Corporation – Operating Profit (US$ million), 2008–2012 ............................................................................ 217 Figure 101: Mantech International Corporation – Net Profit Trend Analysis (US$ million), 2008–2012 .............................................................. 217 Figure 102: Kratos Defense & Security Solutions – Revenue Trend Analysis (US$ million), 2008–2012 ........................................................... 220 Figure 103: Kratos Defense & Security Solutions – Operating Profit (US$ million), 2008–2012 ........................................................................ 221 Figure 104: Kratos Defense & Security Solutions – Net Profit Trend Analysis (US$ million), 2008–2012 .......................................................... 221 Figure 105: Harris Corporation – Revenue Trend Analysis (US$ Billion), 2008–2012 ....................................................................................... 224 Figure 106: Harris Corporation – Operating Profit (US$ Million), 2008–2012 .................................................................................................... 225 Figure 107: Harris Corporation – Net Profit Trend Analysis (US$ Million), 2008–2012 ...................................................................................... 225 Figure 108: Rheinmetall Defence – Revenue Trend Analysis (EUR billion), 2008–2012 ................................................................................... 230 Figure 109: Rheinmetall Defence – Operating Profit (EUR million), 2008–2012 ................................................................................................ 231 Figure 110: Rheinmetall Defence – Net Profit Trend Analysis (EUR million), 2008–2012 .................................................................................. 231 Figure 111: SAAB – Revenue Trend Analysis (SEK billion), 2008–2012 ........................................................................................................... 235

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Figure 112: SAAB – Operating Profit (SEK million), 2008–2012 ....................................................................................................................... 235 Figure 113: SAAB – Net Profit Trend Analysis (SEK million), 2008–2012 ......................................................................................................... 236

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LIST OF TABLES

Table 1: Global C2/C4ISR Market Overview ....................................................................................................................................................... 22 Table 2: Global Military C2/C4ISR Market Overview ........................................................................................................................................... 33 Table 3: SWOT Analysis of the C2/C4ISR Market .............................................................................................................................................. 59 Table 4: Leading C2/C4ISR Markets and Top Three Segments .......................................................................................................................... 67 Table 5: US C2/C4ISR Market Overview ............................................................................................................................................................ 69 Table 6: Key US C2/C4ISR Programs ................................................................................................................................................................ 70 Table 7: Russian C2/C4ISR Market Overview .................................................................................................................................................... 77 Table 8: Major Russian C2/C4ISR Programs ...................................................................................................................................................... 78 Table 9: UK C2/C4ISR Market Overview ............................................................................................................................................................ 83 Table 10: Major UK C2/C4ISR Programs ............................................................................................................................................................ 84 Table 11: German C2/C4ISR Market Overview .................................................................................................................................................. 90 Table 12: Key French C2/C4ISR Programs ....................................................................................................................................................... 91 Table 13: Chinese C2/C4ISR Market Overview .................................................................................................................................................. 97 Table 14: Australian Military C2/C4ISR Market Overview ................................................................................................................................. 106 Table 15: Major Australian C2/C4ISR Programs ............................................................................................................................................... 107 Table 16: Indian Military C4ISR Market Overview ............................................................................................................................................. 114 Table 17: Major Indian Military C2/C4ISR Programs ......................................................................................................................................... 114 Table 18: The UAE C2/C4ISR Market Overview ............................................................................................................................................... 122 Table 19: Key UAE C2/C4ISR Programs .......................................................................................................................................................... 123 Table 20: Saudi Arabian C2/C4ISR Market Overview ....................................................................................................................................... 128 Table 21: Major Saudi Arabian C2/C4ISR Programs ........................................................................................................................................ 129 Table 22: Brazilian C2/C4ISR Market Overview ................................................................................................................................................ 135 Table 23: Key Brazilian C2/C4ISR Programs .................................................................................................................................................... 136 Table 24: Chilean C2/C4ISR Market Overview ................................................................................................................................................. 140 Table 25: The South African Military C2/C4ISR Market Overview ..................................................................................................................... 144 Table 26: Key South African C2/ C4ISR Programs ........................................................................................................................................... 145 Table 27: Program Details – Network for Spectrum .......................................................................................................................................... 149 Table 28: Program Details – Strategic Services Sourcing (S3) program ........................................................................................................... 150 Table 29: Program Details – Tactical Information Exchange Domain Program ................................................................................................. 151 Table 30: Program Details – Sicral 2 program .................................................................................................................................................. 152 Table 31: Program Details – Indian Regional Navigation Satellite System (IRNSS) .......................................................................................... 153 Table 32: Program Details – Advanced Extremely High Frequency Satellite Program ...................................................................................... 154 Table 33: Program Details – Communication and Navigation System Upgrade Program .................................................................................. 155 Table 34: Program Details – Rohini .................................................................................................................................................................. 156 Table 35: Program Details – Joint Surveillance Target Attack Radar System (Joint STARS) ............................................................................ 157 Table 36: Program Details – Procurement of 3D Radars for Naval Warships .................................................................................................... 158 Table 37: Program Details –Naval C4ISR systems contract.............................................................................................................................. 159 Table 38: Program Details – TRS-4D/NR radar ................................................................................................................................................ 160 Table 39: Lockheed Martin Corporation – Alliances .......................................................................................................................................... 163 Table 40: Lockheed Martin Corporation – Recent Contract Wins ...................................................................................................................... 163 Table 41: Boeing – Alliances ............................................................................................................................................................................ 167 Table 42: Boeing – Recent Contract Wins ........................................................................................................................................................ 167 Table 43: Raytheon – Alliances ........................................................................................................................................................................ 173 Table 44: Raytheon – Recent Contract Wins .................................................................................................................................................... 173 Table 45: CACI – Alliances .............................................................................................................................................................................. 177 Table 46: CACI – recent contract wins .............................................................................................................................................................. 177 Table 47: L-3 Communications – Alliances ....................................................................................................................................................... 180 Table 48: L-3 Communications – Recent Contract Wins ................................................................................................................................... 181 Table 49: Northrop Grumman Corporation – Alliances ...................................................................................................................................... 184 Table 50: Northrop Grumman Corporation – Recent Contract Wins .................................................................................................................. 185 Table 51: BAE Systems – Alliances .................................................................................................................................................................. 189 Table 52: BAE Systems – Recent Contract Wins .............................................................................................................................................. 190 Table 53:SAIC – Recent Contract Wins ............................................................................................................................................................ 194 Table 54: Elbit Systems – Alliances .................................................................................................................................................................. 198

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Table 55: Elbit Systems – Recent Contract Wins .............................................................................................................................................. 198 Table 56: Rockwell Collins – Alliances .............................................................................................................................................................. 202 Table 57: Rockwell Collins – Recent Contract Wins .......................................................................................................................................... 203 Table 58: General Dynamics – Alliances .......................................................................................................................................................... 208 Table 59: General Dynamics – Recent Contract Wins ...................................................................................................................................... 209 Table 60: Serco – Recent Contract Wins .......................................................................................................................................................... 212 Table 61: VT Milcom – Alliances ....................................................................................................................................................................... 213 Table 62: VT Milcom – Recent Contract Wins ................................................................................................................................................... 214 Table 63: Mantech International Corporation – Alliances .................................................................................................................................. 215 Table 64: Mantech International Corporation – Recent Contract Wins .............................................................................................................. 215 Table 65: Kratos Defense & Security Solutions – Alliances ............................................................................................................................... 219 Table 66: Kratos Defense & Security Solutions – Recent Contract Wins ........................................................................................................... 219 Table 67: Harris Corporation – Alliances ........................................................................................................................................................... 223 Table 68: Harris Corporation – Recent Contract Wins ...................................................................................................................................... 223 Table 69: ThalesRaytheon Systems – Alliances ............................................................................................................................................... 227 Table 70: ThalesRaytheon Systems – Recent Contract Wins ........................................................................................................................... 227 Table 71: Rheinmetall Defence – Alliances ....................................................................................................................................................... 229 Table 72: Rheinmetall Defence – Recent Contract Wins ................................................................................................................................... 229 Table 73: SAAB – Alliances .............................................................................................................................................................................. 233 Table 74: SAAB – Recent Contract Wins .......................................................................................................................................................... 233

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1 Introduction

1.1 What is this Report About? This report offers detailed analysis of the global C2/C4ISR and virtual training market over the next ten years, also providing market size forecasts. It covers the key technological and market trends in the C2/C4ISR industry, and provides analysis of the factors influencing demand, and the challenges faced by industry participants. In particular, it provides an in-depth analysis of the following:

Global C2/C4ISR market size and drivers: detailed analysis of the market for C2/C4ISR during 2013–2023, including highlights of the demand drivers and growth stimulators. It also provides a snapshot of the spending and modernization patterns of different regions around the world

Recent developments and industry challenges: insights into the technological developments in the C2/C4ISR market and a detailed analysis of the changing preferences of military forces around the world. It also analyses changing industry structure trends and the challenges faced by the industry participants

SWOT analysis of the C2/C4ISR market: a study of the characteristics of the C2/C4ISR industry, using SWOT analysis to determine its strengths, weaknesses, opportunities and threats

Global C2/C4ISR country analysis: analysis of the key markets in each region, providing an analysis of the top three C2/C4ISR segments expected to be in demand in each region

Key programs: details of the top three programs in each segment expected to be executed over the forecast period

Competitive landscape and strategic insights: analysis of the competitive landscape in the global C2/C4ISR industry. It provides an overview of key defense companies, together with insights such as key alliances, strategic initiatives and a brief financial analysis

1.2 Definitions

For the purposes of this report, the following timeframes apply:

Forecast Period: 2013 to 2023 The following are definitions of military expenditure:

Capital expenditure (CAPEX) covers research and development (R&D), procurement, maintenance, transportation, and the storage of weaponry and other equipment. It also includes expenditure on aircraft and aero-engines, heavy and medium vehicles, naval equipment, and expenditure on the purchase of land, construction plants, and machinery

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The following are definitions of categories:

Land-based systems are C2/C4ISR platforms, which are designed for use in ground based operations. Examples of land based C4ISR systems include cyber security solutions, ground station radars, simulators, communication equipment for ground troops, land based components of missile defense systems, components from military vehicles, high resolution night vision equipment, and fire control systems

Naval systems are C2/C4ISR platforms which are designed for use in marine operations. Examples of naval C4ISR systems include ship deck radars, components for missile defense systems incorporated in naval surface combatants, submarine fire control systems, and marine communication devices

Space based systems are C2/C4ISR platforms which are designed for use in satellites and spacecraft. Examples of space based C4ISR systems include outer space communication equipment, visual display systems used in spacecraft and precision optics

Airborne systems are C2/C4ISR platforms which are designed for use in aerial operations. Examples of airborne C4ISR systems include in-flight radars, unmanned aerial vehicles (UAVs), communication equipment for aircraft, aerial functionality components from missile defense systems, visual display systems and information gathering sensors which are used in aircrafts, and aerial fire control systems

The following are miscellaneous definitions:

Network-Centric Warfare (NCW) focuses on the effective linking and networking of forces dispersed across the battlefield, enabling the real-time transfer of information to generate a clear situational awareness, resulting in combat effectiveness

Asymmetric Warfare is a type of conflict in which a weaker force exploits the weaknesses of a better-aligned, and technologically superior enemy, by adopting strategies and tactics to offset its deficiencies. Examples of asymmetric warfare include guerrilla warfare, insurgency, terrorism, and urban warfare

Command, Control, Communications Computers and Intelligence Systems (C4I) refers to information systems employed by a military‘s top command to direct its forces. This system provides

the military with information on various parameters associated with executing a strategy during a military exercise. The parameters include reconnaissance and surveillance, troop positions, inventory levels, and weather conditions. The communication system enables the transfer of images and video captured by surveillance systems, and data and voice between the command and control center. In addition, the system can assist in joint operations between the Army, Navy, and Air Force

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1.3 Summary Methodology Strategic Defence Intelligence‘s (SDI) dedicated research and analysis teams consist of experienced

professionals with a background in industry research and consulting in the defense sector. The market size is derived by consolidating ongoing procurement programs, modernization initiatives, and future procurement plans, utilizing information gathered through primary and secondary sources. Forecasting is conducted based on the lifetime of current inventory levels, suitability/need of the weapon category for a specific country, budget availability, and opinion of leading industry experts. The following research methodology is followed for all databases and reports: Secondary Research The research process begins with exhaustive secondary research to source reliable qualitative and quantitative information related to the C2/C4ISR market. The secondary research sources that are typically referred to include, but are not limited to:

Globally renowned think tanks Industry associations

National government documents and statistical databases

Company websites, annual reports, financial reports, broker reports and investor presentations

Industry trade journals and other literature

Internal and external proprietary databases News articles, press releases and webcasts specific to the companies operating in the market

Primary Research SDI conducts hundreds of primary interviews a year with industry participants and commentators in order to validate its data and analysis. A typical research interview fulfills the following functions:

It provides first-hand information on market size, market trends, growth trends, competitive landscape and future outlook

Helps to validate and strengthen secondary research findings

Further analyzes the team‘s expertise, and market understanding Participants who typically take part in such a process include, but are not limited to:

Industry participants: CEOs, VPs, business development managers, market intelligence managers and national sales managers

External experts: investment bankers, valuation experts, research analysts and key opinion leaders specializing in defense markets

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Conventions

Currency conversions are performed on the basis of average annual conversion rate format calculations

All the values in tables, with the exception of compounded annual growth rate (CAGR), are displayed to one decimal place. Growth rates may, therefore, appear inconsistent with absolute values due to this rounding method

1.4 About Strategic Defence Intelligence

This report is one of a series available to subscribers of our premium research platform, Strategic Defence Intelligence. Strategic Defence Intelligence provides a stream of continuously updated customer and competitor intelligence, as well as detailed research reports providing an unrivalled source of global information on the latest developments in the defense industry. Strategic Defence Intelligence's unique monitoring platform tracks global defense activity for over 2,500 companies and 65 product categories in real time and in a highly structured manner, giving a comprehensive and easily-searchable picture of all defense industry activity. The site features daily updated analysis, comment and news, company and customer profiles, defense spending, tenders and contracts, product and technology intelligence, a research and analysis database providing access to industry and competitor reports to enable business and market planning, and fully customizable tools, including instant personalized report generation and custom alerts.