Defense Communication Intelligence Market Report 2025

The defense communication intelligence market size has grown strongly in recent years. It will grow from $19.92 billion in 2024 to $21.58 billion in 2025 at a compound annual growth rate (CAGR) of 8.3%. The growth in the historic period can be attributed to rise in terrorist activities, rise in geopolitical tensions, increased defense budgets, increased use of satellites for reconnaissance, and increased adoption of electronic warfare capabilities.

The defense communication intelligence market size is expected to see strong growth in the next few years. It will grow to $29.32 billion in 2029 at a compound annual growth rate (CAGR) of 8%. During the forecast period, this growth will be supported by the increasing demand for interoperability across domains, the heightened focus on satellite-based communication intelligence, the rollout of 5G and future network technologies, the rising risk of hybrid warfare and misinformation, and the growing incorporation of cloud and edge computing in defense systems. Anticipated market trends include innovations in signal interception technologies, the development of secure mesh networks, adoption of blockchain for communication protection, integration of platforms supporting multi-domain operations, and advancements in quantum communication technology.

The increasing geopolitical tensions are contributing significantly to the expansion of the defense communication intelligence market. These tensions often stem from strained diplomatic, economic, or military relations among nations, sometimes escalating to conflict. Territorial disputes in particular can heighten such tensions, prompting greater reliance on intelligence systems. Defense communication intelligence plays a crucial role in improving situational awareness and enabling informed decision-making, helping nations foresee and counter potential threats. For example, in January 2025, Euronews SA, a France-based television network, reported that global conflict levels surged in 2024, with a 25% rise in political violence compared to 2023. This surge impacted one in eight individuals globally, resulting in approximately 223,000 deaths and a 37% increase in total fatalities. These developments highlight how geopolitical unrest is fueling the demand for advanced defense communication intelligence solutions.

Leading companies in the defense communication intelligence market are prioritizing the development of AI-powered platforms such as integrated multi-domain command and control (MDC2) systems to boost the speed and accuracy of threat detection and response. These MDC2 systems facilitate unified operations across land, air, sea, space, and cyber domains by merging real-time data to support rapid decision-making in complex environments. For instance, in March 2025, Ultra Electronics Advanced Tactical Systems, Inc., a U.S.-based defense technology firm, introduced its unified ADSI platform. This innovation marks a significant advancement in AI-integrated multi-domain C2, offering enhanced data translation and integration capabilities for sources like Link-16 platforms, net-enabled weapons, and hypersonic systems. The platform features an AI assistant that ensures effective intelligence delivery even under heavily contested or disconnected conditions. Its flexible architecture allows it to operate efficiently on both traditional and cloud-based networks, ensuring security and responsiveness for modern military operations.

In November 2022, QinetiQ Group plc, a U.S.-based defense and security firm, acquired Avantus Federal for $590 million. The acquisition was aimed at broadening QinetiQ’s footprint in the U.S. market and enhancing its defense and intelligence capabilities. Avantus Federal LLC, based in the U.S., offers federal services specializing in defense communications, data analytics, cybersecurity, software development, and intelligence-based solutions.

Major players in the defense communication intelligence market are Raytheon Technologies Corporation, The Boeing Company, Lockheed Martin Corporation, Airbus Defence and Space GmbH, General Dynamics Corporation, Northrop Grumman Corporation, BAE Systems Plc, Thales S.A, L3Harris Technologies Inc., Leonardo S.p.A., Elbit Systems Ltd., Israel Aerospace Industries, SAAB AB, Indra Sistemas S.A., Bharat Electronics Limited, HENSOLDT AG, Cubic Corporation, Ultra Electronics Holdings plc, Rohde And Schwarz GmbH And Co KG, Tata Advanced Systems Limited.

North America was the largest region in the defense communication intelligence market in 2024. Asia-Pacific is expected to be the fastest-growing region in the forecast period. The regions covered in defense communication intelligence report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East and Africa. The countries covered in the defense communication intelligence market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Russia, South Korea, UK, USA, Canada, Italy, Spain.

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 hike in U.S. tariffs and the associated trade disputes in spring 2025 are notably impacting the aerospace and defense sector by raising costs for titanium, carbon fiber composites, and avionics materials largely sourced from global suppliers. Defense contractors, locked into fixed-price government contracts, absorb these added costs, while commercial aerospace firms face airline pushback on higher aircraft prices. Delays in component shipments due to customs bottlenecks further disrupt tight production schedules for jets and satellites. The industry is responding by stockpiling critical materials, seeking waivers for defense-related imports, and collaborating with allied nations to diversify supply chain.

Defense communication intelligence involves gathering, analyzing, and interpreting communication signals and data to support military operations and uphold national security. This process includes monitoring adversary communications, intercepting electronic transmissions, and delivering actionable insights to improve strategic decision-making and situational awareness.

The primary categories of defense communication intelligence include satellite communication intelligence, radar intelligence, signal intelligence, cyber intelligence, and other related types. Satellite communication intelligence pertains to intercepting and analyzing communication signals transmitted via satellites for military, strategic, or security purposes. The components of this system include hardware, software, and services. These systems can be installed in various formats such as handheld, vehicle-mounted, fixed, and other configurations, operating across different platforms like land, airborne, naval, and space-based systems. Key uses span military command operations, surveillance and reconnaissance, situational awareness, electronic warfare, and combat missions.

The defense communication intelligence market research report is one of a series of new reports that provides defense communication intelligence market statistics, including defense communication intelligence industry global market size, regional shares, competitors with a defense communication intelligence market share, detailed defense communication intelligence market segments, market trends and opportunities, and any further data you may need to thrive in the defense communication intelligence industry. The defense communication intelligence 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.

The defense communication intelligence market consists of revenues earned by entities by providing services such as signal intelligence, cyber intelligence, electronic warfare support, secure communication solutions, and tactical communication analysis. The market value includes the value of related goods sold by the service provider or included within the service offering. The defense communication intelligence market also includes sales of secure communication equipment, signal interception systems, encryption devices, satellite communication tools, electronic warfare systems, and specialized software for intelligence analysis. 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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