Market Highlights
Ground tactical radios enable safe and secure ground-to-ground and ground-to-air/ship communications. Depending on the frequency bands and other technical characteristics, the ground tactical radios allow data, image, voice, and video transmission amongst the military personnel. Over the past decade, ground tactical communication, in particular, has gained significant prominence as a result of the modernization of the military forces worldwide.
The changing landscape of global warfare in recent times is one of the major factors driving the ground tactical radio market with the development of 21st-century digital warfare. In modern warfare, all elements of the armed forces work in close cooperation, from the ground-based soldiers to support aircraft and even naval forces. Not only do these forces rely on clear and secure voice communications, but they are also dependent on the shared data services, creating a vast information network, where all the elements have access to vital intelligence.
Moreover, there has been a rise in the production of lightweight tactical radios in recent years, which is expected to induce further demand in the overall market. For example, in 2018, Harris Corporation (now L3Harris Technologies, Inc.) launched the AN/PRC-163 Army Radio, an advanced two-channel handheld radio (for the transmission of voice and data to the army personnel), which would significantly fuel the market growth in the coming years. In addition, there have been several investments in the defense industry directed at ground tactical radios in recent years, which would boost the overall market. Some of them are:
- In September 2021, L3Harris Technologies, Inc. signed a five-year contract worth over US$ 200 million with the US Army, for the delivery of 100,000 multi-channel software-defined Falcon IV AN/PRC-163 handheld radios and 65,000 AN/PRC -158 manpack radios.
- In April 2021, the company had signed a contract worth around US$ 50 million with an Asian country, for the delivery of Falcon-III radios for dismounted soldiers, military ground vehicles, and base station applications.
- In December 2020, Elbit Systems Ltd. signed a six-year contract worth approximately US$ 338 million with the Swiss Armed Forces, to provide the army-wide tactical mobile software-defined radio (SDR) network.
Due to such numerous multi-year contracts and agreements across the globe, the overall ground tactical radio market is poised to grow at a reasonable pace in the forthcoming years. In addition, there has been a significant increase in the annual military expenditure in Asia and North America in recent years, which is expected to drive the market further. Overall, the ground tactical radio market is likely to grow at a decent CAGR of 4.4% during the forecast period to reach a value of US$ 5.1 Billion in 2027.
Market Segments' Analysis
Based on the device type, the market is bifurcated into ground-ground radio and ground-air/ship radio. Among these radios, ground-ground radio is likely to remain the major demand generator in the foreseen future. Currently, several countries are focusing and strengthening the capabilities of their ground-based forces by the development and procurement of sophisticated ground-ground radio systems, for seamless and wireless communication among the infantries.
Similarly, based on the product type, the market is classified as fixed and deployed tactical radios. The deployed tactical radios form the nucleus for all the defense industry stakeholders and are estimated to maintain their dominance throughout the forecast period. With the increasing demand for safe and secure ground-based communication for the armed forces on the move, the manpack, vehicle-mounted, and handheld tactical radios have gained prominence. As a result, the soldiers are able to maintain their communications in any situation or battlefield conditions.
On the basis of frequency type, the market is segmented as HF, VHF/UHF, and VHF/UHF with SATCOM. Among these frequency types, VHF/UHF is the most widely preferred frequency type for ground tactical radios. Several countries across the globe, invest in these radios as they are compact and have better data throughputs. While HF radios are typically used for long-range communications, the VHF/UHF with SATCOM is the least used frequency type for ground tactical radios as they are quite expensive because of the high bandwidth usage.
In terms of regions, North America is expected to remain the largest market for ground tactical radios over the forecast period. This is largely attributed to the large focus on the development of soldier effectiveness and efficiency, through the smart soldier programs in the region. Also, the US Pentagon has devised to increase its funding for communications, sensors, and electronics by about 20% over the next two years. The US has also developed the Handheld, Manpack, and Small Form Fit (HMS) program that is aimed at procuring a family of software reprogrammable radios for tactical voice and data communications, which is likely to generate a huge demand in the forthcoming years. Moreover, the country is home to the global market leader, L3Harris Technologies, Inc., which is the prime contractor for the US Department of Defense (DoD).
Key Players
The global market for ground tactical radios is characterized by the presence of many global-level, regional-level, and local companies. The overall market is competitive with all the players competing to gain a higher market share. Intense competition and rapid technological advancements are the major factors that affect the overall competitive landscape.
Also, there have been some major mergers and acquisitions in the industry in recent years, which significantly influenced the competitive dynamics. For example, in June 2019, L3Harris Technologies, Inc. announced an all-stock merger of L3 Technologies and Harris Corporation.
Research Methodology
This strategic assessment report, from Stratview Research, provides a comprehensive analysis that reflects today’s ground tactical radio market realities and future market possibilities for the forecast period of 2022 to 2027. The report segments and analyzes the market in the most detailed manner in order to provide a panoramic view of the market. The vital data/information provided in the report can play a crucial role for the market participants as well as investors in the identification of the low-hanging fruits available in the market as well as to formulate the growth strategies to expedite their growth process.
This report offers high-quality insights and is the outcome of a detailed research methodology comprising extensive secondary research, rigorous primary interviews with industry stakeholders, and validation and triangulation with Stratview Research’s internal database and statistical tools. More than 1,000 authenticated secondary sources, such as company annual reports, fact books, press releases, journals, investor presentations, white papers, patents, and articles, have been leveraged to gather the data. We conducted more than 15 detailed primary interviews with the market players across the value chain in all four regions and industry experts to obtain both qualitative and quantitative insights.
Report Features
This report provides market intelligence in the most comprehensive way. The report structure has been kept such that it offers maximum business value. It provides critical insights into the market dynamics and will enable strategic decision-making for the existing market players as well as those willing to enter the market. The following are the key features of the report:
- Market structure: Overview, industry life cycle analysis, supply chain analysis.
- Market environment analysis: Growth drivers and constraints, Porter’s five forces analysis, SWOT analysis.
- Market trend and forecast analysis.
- Market segment trend and forecast.
- Competitive landscape and dynamics: Market share, Product portfolio, New Product Launches, etc.
- Attractive market segments and associated growth opportunities.
- Emerging trends.
- Strategic growth opportunities for the existing and new players.
- Key success factors.
The ground tactical radio market is segmented into the following categories:
Ground Tactical Radio Market, by Device Type
- Ground-Ground Radio (Regional Analysis: North America, Europe, Asia-Pacific, and Rest of the World)
- Ground-Air/Ship Radio (Regional Analysis: North America, Europe, Asia-Pacific, and Rest of the World)
Ground Tactical Radio Market, by Product Type
- Fixed Radio (Regional Analysis: North America, Europe, Asia-Pacific, and Rest of the World)
- Deployed Radio (Regional Analysis: North America, Europe, Asia-Pacific, and Rest of the World)
- Man-Portable Radio (Regional Analysis: North America, Europe, Asia-Pacific, and Rest of the World)
- Handheld Radio (Regional Analysis: North America, Europe, Asia-Pacific, and Rest of the World)
- Manpack Radio (Regional Analysis: North America, Europe, Asia-Pacific, and Rest of the World)
- Vehicle-Mounted Radio (Regional Analysis: North America, Europe, Asia-Pacific, and Rest of the World)
Ground Tactical Radio Market, by Frequency Type
- HF (Regional Analysis: North America, Europe, Asia-Pacific, and Rest of the World)
- VHF/UHF (Regional Analysis: North America, Europe, Asia-Pacific, and Rest of the World)
- VHF/UHF with SATCOM (Regional Analysis: North America, Europe, Asia-Pacific, and Rest of the World)
Ground Tactical Radio Market, by Region
- North America (Country Analysis: The USA, Canada, and Mexico)
- Europe (Country Analysis: Germany, France, The UK, Russia, and Rest of Europe)
- Asia-Pacific (Country Analysis: China, Japan, India, South Korea, and Rest of Asia-Pacific)
- Rest of the World (Country Analysis: Brazil, Saudi Arabia, Israel, and Others)
Report Customization Options
With this detailed report, Stratview Research offers one of the following free customization options to our respectable clients:
Company Profiling
- Detailed profiling of additional market players (up to three players)
- SWOT analysis of key players (up to three players)
Competitive Benchmarking
- Benchmarking of key players on the following parameters: Product portfolio, geographical reach, regional presence, and strategic alliances
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