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UAS Platforms Ride Out Defense Budget Cuts

by Asif Anwar | 6月 01, 2011

The success of unmanned aerial systems (UAS) in providing real-time information to military commanders has contributed to both mission effectiveness and in protecting personnel. Despite budgetary pressures, a number of factors will help drive demand and US DoD Budget Implications for UAS Electronics Demand forecasts that US military expenditure will continue to grow. Our analysis suggests that the UAS segment will maintain a growth trajectory through 2021 and account for 31% of US DoD budget expenditure on aircraft platforms by 2021, with the cumulative market for military UAS platforms approaching $64 billion over the 2011 to 2021 timeframe. 

While the global economic crisis has led to a reexamination of defense budgets, the continued shift towards asymmetric warfare, improving battlespace integration, and a move towards the development of UCAV (unmanned combat aerial vehicles) platforms will help drive continued demand for UAS platforms. This in turn will drive growth in the demand for EO-IR (electro-optic/infrared), radar, communications and EW (electronic warfare) systems and other associated electronics.

In terms of electronics, EO-IR payloads for ISR, radar and communications represented 75% of electronics demand in 2010 and this is projected to grow to 80% by 2021. Alongside demand for other electronics systems, this will drive a market opportunity approaching $21 billion.

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