Loitering Munition Market

The global loitering munition market size is projected to grow from USD XX billion in 2024 to USD XX billion by 2030, at a CAGR of XX% from 2024 to 2030. The loitering munition market is expected to witness growth due to consistent increase in defense budget across the globe and the need for advanced precision guided munition to counter the modern combat around the country’s border. Furthermore, increasing number of conflicts, and high defense spending are some of the major factors driving the market globally. Governments of various countries, such as the US, China, India, and Russia, are spending heavily on modernizing their military resources. Thus, a large number of weapon manufacturers are shifting their focus towards developing precision guided loitering munitions.

Loitering munition market Trends

Loitering munition market Dynamics
Driver: Increasing use of UAVs as loitering munition

Certain remotely piloted UAVs are designed to operate as loitering munition for defense forces. A loitering munition is a weapon that hovers around a target location, searches for the target in that location, and attacks when the target is in its line of sight. Loitering munition is often portable and acts as a precision-guided weapon for ground units. UAVs used as loitering munition are essentially flying bombs that carry weapons integrated with their airframes. These UAVs are equipped with high-resolution cameras and electro-optics and infrared systems that help them carry out surveillance activities and identify the location of a target. Once located, the UAV is guided towards the target to destroy it. Several countries across the globe have acquired these UAVs as loitering munition to enhance their defense capabilities.

Restraints: Stringent regulations related to arms transfer

There are federal and legislative rules and regulations that the state-owned defense organizations must comply with, such as import-export control regimes, exchange controls, the Foreign Corrupt Practices Act, and the Export Administration Act. In many countries, manufacturers of munition are prohibited from exporting their products, thereby decreasing their chances of serving international customers. This hinders the manufacturers of munitions from accessing international markets.

The problem of transfer of technologies and weapons aggravated with terrorist organizations gaining access to various advanced weaponry, such as anti-tank guided weapons and advanced land mines. This has resulted in strict control over the transfer of technologies and weapons to other countries. This factor act as a restraint for the growth of the precision guided munition market.

Opportunities: Increased deployment of UAVs to carry out aerial remote sensing

Aerial remote sensing is used to ensure the protection of critical infrastructure such as military bases, government buildings, airports, and banks, among others, as well as in homeland security. UAVs offer prompt, efficient, low cost, and reliable services to police departments since they need to be ready to respond to any incident promptly and require quick and relevant information. The use of UAVs is a cost-effective option as compared to manhours and helps ensure public safety and carry out investigations. For instance, in February 2019, SWAT in Campbell, California used a US-1 quadcopter drone to obtain real-time feed of a hostage situation in a Denny’s restaurant. The drone used provided real-time feed to the SWAT team allowing them to neutralize the situation.

The Federal Aviation Administration provides limited authorization for the use of UAVs in military and non-military operations. In 2016, about 20 law enforcement organizations across the globe carried out an operational Small Unmanned Aerial Vehicle (SUAV) program in the US to encourage the use of SUAVs in the maintenance of law and order. In general, 80 to 90% of police departments across the globe have low operational funds and are adopting low-cost SUAVs as an alternative to helicopters.

In the US, increased Federal Grant funds from the US government to US Federal agencies, lead to increased local procurement of SUAVs. In 2014, AeroVironment was the first company to receive FAA Approval for commercial use of PUMA UAV and would be used for survey pipelines, roads, and equipment. For instance, in April 2019 AeroVironment signed a contract with undisclosed country to supply PUMA AE II small unmanned aircraft systems worth USD 17 million. This system would be used for remote sensing operations and also by the armed forces of the nation.

Challenges: Possible threats to safety and violation of privacy

Successful integration of UAVs within civil airspace requires assurance of safe operations without hazards to in-flight aircraft or people on the ground. The impact of UAVs on the environment can also influence their public and market acceptance. Several UAVs are loud and, if used on a large-scale, could become a nuisance in populated areas. The insurance liability of UAVs is also a major concern for manufacturers and commercial operators of UAVs. The cost of liability insurance of UAVs has a direct influence on the growth of the UAV market.

With advancements in technologies, privacy issues are expected to increase the legal complexity of the use of UAVs since they are majorly used for surveillance activities. This capability of UAVs to collect information and share it on public media could raise privacy concerns among people. Gaining public trust for UAVs is a time-consuming process and requires the demonstration of safe, economical, and socially responsible operation, which is currently a challenge.
The airborne segment is projected to grow at the highest CAGR rate for the loitering munition market during the forecast period.

A launch platform plays an important role in loitering munition market majorly for land, air, and marine platforms. The end user segment has been further sub-segmented into land, airborne, and naval. The airborne segment is projected to reach USD XX million by 2027. In the Asia Pacific region, this segment is projected to register the highest CAGR of XX% during the forecast period.

Increasing use of UAVs as loitering munition

Certain remotely piloted UAVs are designed to operate as loitering munition for defense forces. A loitering munition is a weapon that hovers around a target location, searches for the target in that location, and attacks when the target is in its line of sight. Loitering munition is often portable and acts as a precision-guided weapon for ground units. UAVs used as loitering munition are essentially flying bombs that carry weapons integrated with their airframes. These UAVs are equipped with high-resolution cameras and electro-optics and infrared systems that help them carry out surveillance activities and identify the location of a target. Once located, the UAV is guided towards the target to destroy it. Several countries across the globe have acquired these UAVs as loitering munition to enhance their defense capabilities.

The airborne segment is projected to grow at the highest CAGR rate for the loitering munition market during the forecast period.

A launch platform plays an important role in loitering munition market majorly for land, air, and marine platforms. The end user segment has been further sub-segmented into land, airborne, and naval. The airborne segment is projected to reach USD XX million by 2027. In the Asia Pacific region, this segment is projected to register the highest CAGR of XX% during the forecast period.

The GPS technology segment is projected to grow at the highest CAGR rate for the loitering munition market during the forecast period.
Based on technology, the loitering munition market has been segmented Infrared, Laser, INS, GPS, and radar homing. GPS is projected to grow at the highest CAGR of XX% for the loitering munition market during the forecast period.

The rotary wing type segment is projected to grow at the highest CAGR rate for the loitering munition market during the forecast period.

Based on type, the loitering munition market has been segmented rotary wing and fixed wing. Rotary wing is projected to grow at the highest CAGR of XX% for the loitering munition market during the forecast period.

The North American market is projected to contribute the largest share from 2022 to 2027
North America is projected to be the largest regional share of Loitering munition market during the forecast period. Major companies such Northrop Grumman Corporation, Lockheed Martin, Boeing, Raytheon Technologies, and General Dynamics Corporation are based in the US. These players continuously invest in the R&D of new and advanced technology used in loitering munition.

Study Coverage
The report on the Loitering Munition market provides an analysis from 2022 to 2027. It discusses industry and technology trends currently prevailing in the market, along with drivers, restraints, challenges, and opportunities that influence the growth of the market. This study also includes an in-depth competitive analysis of the key players operating in the market, along with their company profiles, key observations related to their product and business offerings, recent developments undertaken by them, and key market strategies adopted by them.

The GPS technology segment is projected to grow at the highest CAGR rate for the loitering munition market during the forecast period.
Based on technology, the loitering munition market has been segmented Infrared, Laser, INS, GPS, and radar homing. GPS is projected to grow at the highest CAGR of XX% for the loitering munition market during the forecast period.

The rotary wing type segment is projected to grow at the highest CAGR rate for the loitering munition market during the forecast period.
Based on type, the loitering munition market has been segmented rotary wing and fixed wing. Rotary wing is projected to grow at the highest CAGR of XX% for the loitering munition market during the forecast period.

The North American market is projected to contribute the largest share from 2022 to 2027
North America is projected to be the largest regional share of Loitering munition market during the forecast period. Major companies such Northrop Grumman Corporation, Lockheed Martin, Boeing, Raytheon Technologies, and General Dynamics Corporation are based in the US. These players continuously invest in the R&D of new and advanced technology used in loitering munition.

The Loitering munition market is dominated by a few globally established players such as Northrop Grumman Corporation (US), Lockheed Martin (US), Boeing (US), Raytheon Technologies (US), and General Dynamics Corporation (US).