Inertial Navigation Systems Global Market Report 2025

The inertial navigation systems market size has grown strongly in recent years. It will grow from $11.74 billion in 2024 to $12.43 billion in 2025 at a compound annual growth rate (CAGR) of 5.9%. The growth in the historic period can be attributed to rising demand for accurate navigation in defense applications, increasing adoption in aerospace and aviation sectors, a rise in unmanned vehicle usage, an increasing need for precise underwater navigation, and rising integration in commercial aircraft systems.

The inertial navigation systems market size is expected to see strong growth in the next few years. It will grow to $15.69 billion in 2029 at a compound annual growth rate (CAGR) of 6%. The growth in the forecast period can be attributed to increasing demand for autonomous vehicles, rising investments in space exploration, growing use of commercial drones, increasing adoption in industrial robotics, and rising need for GPS-independent navigation systems. Major trends in the forecast period include advanced miniaturization of inertial sensors, innovation in MEMS-based navigation systems, advanced integration with AI and machine learning, advancement in sensor fusion technologies, and advanced development of compact and lightweight systems.

The forecast of 6% growth over the next five years reflects a modest reduction of 0.4% from the previous estimate for this market.This reduction is primarily due to the impact of tariffs between the US and other countries. This is likely to directly affect the US through increased prices for fiber-optic gyroscopes from France and Germany, impacting precision guidance for missiles and drones.The effect will also be felt more widely due to reciprocal tariffs and the negative effect on the global economy and trade due to increased trade tensions and restrictions.

The growing demand for autonomous vehicles is expected to significantly drive the expansion of the inertial navigation systems (INS) market. Autonomous vehicles are self-driving cars that use a combination of sensors, software, and AI to operate without human intervention. Advancements in AI and sensor technologies are key factors fueling the rise in demand for autonomous vehicles, as they improve safety, efficiency, and convenience in transportation. Inertial navigation systems are crucial for these vehicles, providing accurate real-time positioning and motion tracking, even in GPS-denied environments, which ensures precise navigation and stability during operation. For example, in 2025, Salvi, Schostok & Pritchard P.C., a U.S.-based law firm, predicted that about 58 million self-driving cars would be sold by 2030. Additionally, the UK’s Department for Science, Innovation, and Technology (DSIT) reported in October 2023 that by 2035, up to 40% of automobiles in the United Kingdom could be capable of autonomous driving. Therefore, the increasing demand for autonomous vehicles is driving the growth of the inertial navigation systems market.

Companies in the inertial navigation systems market are focusing on developing innovative solutions, such as maritime inertial navigation systems, to meet the growing demand for applications in maritime environments. A maritime inertial navigation system (INS) is a self-contained navigation solution used on ships and submarines to determine their position, velocity, and orientation without relying on external references such as GPS. For example, in January 2025, ANELLO Photonics, a U.S.-based company specializing in silicon photonics optical gyroscopes, introduced the ANELLO Maritime INS, a cutting-edge inertial navigation system designed for maritime use. This technology significantly enhances navigation capabilities for marine operations in GPS-denied or vulnerable environments. The launch represents a major step forward in providing reliable navigation solutions for challenging maritime conditions. The ANELLO Maritime INS integrates advanced SiPhOG technology, offering precise and robust performance.

In March 2024, Honeywell International Inc., a U.S.-based company providing integrated automation and software solutions, acquired Civitanavi Systems S.p.A. for €200 million ($226 million). With this acquisition, Honeywell aims to bolster its high-precision inertial navigation solutions and strengthen its position in the autonomous technology market across aerospace, defense, and industrial sectors. Civitanavi Systems, an Italy-based company, specializes in the development, production, and commercialization of inertial navigation and stabilization systems.

Inertial navigation systems (INS) are self-contained navigation technologies that use motion and rotation sensors, such as accelerometers and gyroscopes, to determine the position, orientation, and velocity of a moving object without relying on external inputs. These systems are crucial for precise navigation in applications such as aerospace, defense, marine, and autonomous vehicles, especially where GPS signals may be unavailable or unreliable.

The primary components of inertial navigation systems include accelerometers, gyroscopes, and other sensors. Accelerometers are devices that measure the rate of change in velocity, commonly referred to as acceleration. The various technologies used in INS include mechanical gyros, ring laser gyros, fiber optic gyros, micro-electro-mechanical systems (MEMS), and others. These systems come in multiple grades, such as aircraft grade, marine grade, space grade, and tactical grade. Key applications of INS include space launch vehicles, unmanned ground vehicles, missiles, unmanned aerial vehicles, aircraft, military armored vehicles, marine, and unmanned marine vehicles. They are utilized by various industries, including automotive, commercial aviation, marine, and military and defense.

Note that the outlook for this market is being affected by rapid changes in trade relations and tariffs globally. The report will be updated prior to delivery to reflect the latest status, including revised forecasts and quantified impact analysis. The report’s Recommendations and Conclusions sections will be updated to give strategies for entities dealing with the fast-moving international environment.

The sharp increase in U.S. tariffs and resulting trade disputes in spring 2025 are significantly affecting the aerospace and defense sector. Prices for key materials such as titanium, carbon fiber composites, and avionics primarily sourced from international suppliers have surged. Defense contractors, constrained by fixed-price government contracts, are forced to absorb these rising costs. Meanwhile, commercial aerospace companies are encountering resistance from airlines over increased aircraft prices. In addition, customs delays are disrupting already tight production timelines for jets and satellites. In response, the industry is stockpiling essential materials, pursuing import waivers for defense-related goods, and working with allied nations to diversify supply chains.

The inertial navigation systems market research report is one of a series of new reports that provides inertial navigation systems market statistics, including inertial navigation systems industry global market size, regional shares, competitors with an inertial navigation systems market share, detailed inertial navigation systems market segments, market trends and opportunities, and any further data you may need to thrive in the inertial navigation systems industry. The inertial navigation systems market research report delivers a complete perspective of everything you need, with an in-depth analysis of the current and future scenario of the industry.

Major players in the inertial navigation systems market are Robert Bosch GmbH, RTX Corporation, Northrop Grumman Corporation, Honeywell International Inc., Safran SA, Thales Group, Parker Hannifin Corporation, TDK Corporation, STMicroelectronics N.V., Teledyne Technologies Inc., Trimble Inc., Moog Inc., MEMSIC Inc., iMAR Navigation GmbH, VectorNav Technologies LLC, Oxford Technical Solutions Ltd., SBG Systems S.A.S., Inertial Labs Inc., Point One Navigation, Tersus GNSS Inc.

North America was the largest region in the inertial navigation systems market in 2024. Asia-Pacific is expected to be the fastest-growing region in the forecast period. The regions covered in inertial navigation systems report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East and Africa.

The countries covered in the inertial navigation systems market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Russia, South Korea, UK, USA, Canada, Italy, Spain.

The inertial navigation systems market consists of revenues earned by entities by providing services such as navigation services, guidance services, surveying, and mapping services. The market value includes the value of related goods sold by the service provider or included within the service offering. The inertial navigation systems market includes sales of railway inertial navigation systems, personal/foot-mounted inertial navigation systems, and industrial inertial navigation systems. Values in this market are ‘factory gate’ values, that is, the value of goods sold by the manufacturers or creators of the goods, whether to other entities (including downstream manufacturers, wholesalers, distributors, and retailers) or directly to end customers. The value of goods in this market includes related services sold by the creators of the goods.

The market value is defined as the revenues that enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD unless otherwise specified).

The revenues for a specified geography are consumption values and are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.

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