Smart Weapons Market 2024 to Grow at 5.7 CAGR with 17.17 USD Billion  Market Size: Analysis and Forecasts 2032

Key Insights

The Smart Weapons Market size was valued at USD 17.17 USD Billion in 2023 and is projected to reach USD 25.31 USD Billion by 2032, exhibiting a CAGR of 5.7 % during the forecast period. Smart weapons, also known as precision-guided munitions (PGMs). They are a type of weapon designed to accurately hit predetermined targets and maximize the use of explosive force and minimize collateral damage and military casualties. PGMs have built-in computer systems and laser, television or satellite guidance systems that allow the smart weapon to lock onto a target designated by the military and follow a trajectory to the target. Smart weapons can be used in both surgical strikes and counterinsurgency operations in populated areas due to their fire-and-forget capabilities and superior accuracy. Smart weapons are removing more and more target acquisition, navigation and attack functions from human operators thanks to significant advances in algorithm, processor and sensor technology. Advances in technology, diversification of applications and responsible development practices could pave the way for a more efficient and potentially less destructive future of smart weapons. It is important to note that the ethical implications of the use of smart weapons are a complex issue, and debates about responsible development and deployment continue.

Smart Weapons Trends

• Increased demand for precision-guided munitions
• Growing adoption of unmanned systems
• Advancements in sensor technology

Driving Forces: What's Propelling the Smart Weapons Market

• Heightened geopolitical instability: Escalating territorial disputes, proxy wars, and regional conflicts are fueling demand for precision-guided weaponry.
• Advancements in guidance technology: Breakthroughs in artificial intelligence (AI), machine learning (ML), and sensor integration are enabling the development of highly autonomous and accurate weapons systems.
• Government modernization programs: Nations worldwide are prioritizing the acquisition of advanced smart weapons to enhance their military capabilities and respond to emerging threats.
• Counter-terrorism and asymmetric warfare: Smart weapons play a critical role in addressing threats posed by non-state actors and irregular forces, providing precision strike capabilities in urban and complex environments.
• Increased focus on situational awareness: Real-time battlefield information and enhanced situational awareness are crucial for effective decision-making in modern warfare. Smart weapons equipped with advanced sensors and data links provide commanders with a comprehensive view of the theater of operations.

Challenges and Restraints in Smart Weapons Market

• High cost: Smart weapons are significantly more expensive than conventional munitions.
• Ethical concerns: The use of smart weapons raises ethical questions about collateral damage and civilian casualties.
• Proliferation risks: The spread of smart weapons to non-state actors poses a security threat.

Emerging Trends in Smart Weapons

• Artificial intelligence (AI): AI is being integrated into smart weapons to improve target identification and decision-making capabilities.
• Hypersonic weapons: Hypersonic weapons are capable of reaching speeds of Mach 5 or higher, making them difficult to intercept and counter.
• Directed energy weapons: Directed energy weapons use lasers or other high-energy sources to destroy targets remotely and accurately.

Growth Catalysts in Smart Weapons Industry

• Increasing military expenditure: Governments are increasing their defense budgets to address security challenges.
• Technological advancements: Continuous research and development efforts are leading to new and improved smart weapon technologies.
• Growing demand for precision munitions: The need for accurate and effective weapons to minimize collateral damage is driving the market.

Market Segmentation: Smart Weapons Analysis

Product:

• Missiles
• Munitions
• Guided Projectiles
• Guided Rockets
• Directed Energy Weapons

Platform:

• Air
• Land
• Naval

Technology:

• Laser Guidance
• Infrared Guidance
• Radar Guidance
• Satellite Guidance
• Others

Leading Players in the Smart Weapons Market

• BAE Systems
• Boeing
• General Dynamics Corporation
• Lockheed Martin Corporation
• MBDA
• Northrop Grumman Corporation
• RTX
• Rheinmetall AG
• Textron Inc.
• Thales Group

Significant developments in Smart Weapons Sector

• Lockheed Martin wins a contract to develop the Long-Range Anti-Ship Missile (LRASM) for the U.S. Navy.
• BAE Systems unveils its new laser-guided rocket system, the APKWS II.
• Raytheon Technologies acquires Kongsberg Defense & Aerospace to strengthen its portfolio of precision-guided weapons.

Comprehensive Coverage Smart Weapons Market Report

This comprehensive report provides an in-depth analysis of the smart weapons market, including:

• Global market overview and market segmentation
• Comprehensive analysis of market drivers, challenges, and trends
• Detailed profiles of major market players
• Case studies of successful smart weapons deployments
• Regional insights and growth prospects

Regional Insight

The Asia-Pacific region is expected to witness significant growth in the smart weapons market due to increasing defense spending and territorial disputes. North America and Europe also hold major shares of the market, driven by advanced defense capabilities and technological advancements.