Radar Simulators Market Report 2025

The radar simulators market size has grown strongly in recent years. It will grow from $2.41 billion in 2024 to $2.57 billion in 2025 at a compound annual growth rate (CAGR) of 6.9%. The growth during the historic period can be attributed to increasing defense budgets in both developed and developing nations, a growing demand for advanced training solutions for military personnel, heightened need for realistic threat simulation in battlefield environments, modernization of existing radar systems within armed forces, and a shift toward electronic warfare training.

The radar simulators market size is expected to see strong growth in the next few years. It will grow to $3.31 billion in 2029 at a compound annual growth rate (CAGR) of 6.5%. The growth during the forecast period can be attributed to rising demand within commercial aviation training programs, expanded use in air traffic control (ATC) training, increased adoption in meteorological radar training, growth of simulation applications in autonomous vehicle testing, and integration with commercial drone navigation systems. Key trends in the forecast period include improved accuracy and realism in radar signal simulation, incorporation of artificial intelligence (AI) and machine learning in radar training systems, advancements in digital signal processing (DSP), development of software-defined radar simulators, and enhanced 3D modeling and visualization features.

The growth of the radar simulators market is expected to be driven by increasing orders of new aircraft. An aircraft is a machine designed to fly through the air by using atmospheric support. The rise in new aircraft orders is fueled by growing global air travel demand, which encourages airlines to expand and modernize their fleets to enhance fuel efficiency and accommodate passenger growth. These increasing aircraft orders boost demand for advanced pilot training and system validation tools, which rely on radar simulators to realistically replicate modern avionics and radar systems, thereby improving training effectiveness and operational readiness. For example, in December 2023, the International Air Transport Association, a Canada-based trade association, reported that 1,372 aircraft were delivered in 2023, up from 1,238 in 2022. Hence, the rising new aircraft orders are contributing to the expansion of the radar simulators market.

Leading companies in the radar simulators market are developing advanced solutions like multi-modal sensors to create more realistic training environments. A multi-modal sensor can detect and integrate data from various physical phenomena or modalities, such as visual, audio, thermal, or radar signals, offering a comprehensive and accurate environmental understanding. For instance, in May 2025, LeddarTech Holdings Inc., a Canadian technology firm, introduced LeddarSim, a simulation platform aimed at accelerating the development and validation of advanced driver assistance systems and autonomous driving technologies. This radar simulator uses AI-driven scenarios and threat libraries to mimic complex electromagnetic environments, enhancing training realism and speeding up radar technology development for defense and aviation sectors. LeddarSim supports flexible, high-fidelity simulation of driving scenarios and sensors, aiding autonomous vehicle development and testing.

In December 2024, Aechelon Technology Inc., a US-based simulation technology company, acquired the radar simulation division from Compro Computer Services for an undisclosed amount. This acquisition is intended to expand Aechelon’s radar simulation capabilities by adding expertise and resources, while maintaining the existing team, facilities, and infrastructure to ensure a smooth transition. Compro Computer Services is a US-based software engineering company specializing in radar simulation and real-time systems.

Major players in the radar simulators market are Raytheon Technologies Corporation, Lockheed Martin Corporation, Northrop Grumman Corporation, BAE Systems Plc, Thales Group, Leonardo S.p.A., L3Harris Technologies Inc., Elbit Systems Ltd., Keysight Technologies Inc., General Dynamics Corporation, Rohde & Schwarz GmbH & Co. KG, Mercury Systems Inc., Kratos Defense & Security Solutions Inc., Textron Systems, dSPACE India Solutions Private Limited, Plextek Services Limited, Adacel Technologies Limited, SkyRadar, Buffalo Computer Graphics Inc., NI Vehicle Radar Test System, Remcom Inc., Cambridge Pixel Limited, AceWavetech, and MVRsimulation Inc.

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

Radar simulators are specialized systems created to mimic the behavior and properties of radar signals and environments within controlled settings. They reproduce a variety of radar scenarios, such as signal traits, target movements, and environmental influences. Their primary function is to assess radar system performance, train operators, and facilitate the development of radar-related technologies in an efficient and cost-effective way.

The main components of radar simulators consist of both hardware and software. Radar simulator hardware includes the physical devices used to emulate radar signals and environments for purposes like testing, training, or development. These can be marine, airborne, or ground-based, serving various end-use sectors, including military and commercial industries.

The radar simulators market research report is one of a series of new reports that provides radar simulators market statistics, including radar simulators industry global market size, regional shares, competitors with a radar simulators market share, detailed radar simulators market segments, market trends and opportunities, and any further data you may need to thrive in the radar simulators industry. This radar simulators 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 radar simulators market consists of revenues earned by entities by providing services such as system integration, radar signal generation, support services, and validation services. The market value includes the value of related goods sold by the service provider or included within the service offering. The radar simulators market also includes sales of radar signal generators, antenna simulation systems, antenna array emulators, and high-speed data acquisition cards. 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 that 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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