Big Data Analytics in Defense and Aerospace Global Market Report 2025

The big data analytics in the defense and aerospace market size has grown rapidly in recent years. It will grow from $8.61 billion in 2024 to $9.77 billion in 2025 at a compound annual growth rate (CAGR) of 13.5%. The growth in the historic period can be attributed to the increasing adoption of advanced radar and surveillance systems, the rise in global defense budgets, the growing need for real-time battlefield intelligence, the integration of legacy defense infrastructure with modern analytics platforms, and significant advancements in satellite and aerospace data collection technologies.

The big data analytics in the defense and aerospace market size is expected to see rapid growth in the next few years. It will grow to $16.05 billion in 2029 at a compound annual growth rate (CAGR) of 13.2%. The growth in the forecast period can be attributed to the expanding use of AI and machine learning in defense analytics, the increasing deployment of autonomous and unmanned systems, the rise in cybersecurity threats necessitating predictive analytics, the growing emphasis on space defense and satellite monitoring, and the adoption of cloud-based big data platforms for defense operations. Major trends in the forecast period include AI-powered predictive analytics, cloud-based data integration, the use of edge computing for real-time intelligence, the proliferation of IoT-enabled battlefield sensors, and the advancement of quantum computing for complex defense simulations.

The increasing defense budgets are expected to drive the growth of big data analytics in the defense and aerospace market going forward. Defense budgets refer to the financial allocations that governments make to fund military operations, personnel, equipment procurement, research and development, and national security programs. Rising geopolitical tensions and the growing need for military modernization are the primary factors behind these budget increases, as nations invest in advanced technologies to counter evolving security threats and maintain strategic dominance in contested regions. Expanded defense spending enables militaries to adopt sophisticated big data analytics systems that enhance operational intelligence, improve strategic decision-making, and optimize mission planning through the advanced processing of large-scale security, surveillance, and battlefield data. For instance, according to the Committee for a Responsible Federal Budget, a US-based nonpartisan organization, global defense spending reached a record 2.71 trillion dollars in 2024, reflecting a 9.4 percent real-term increase compared to 2023. Therefore, the increasing defense budgets are driving the growth of big data analytics in the defense and aerospace market.

Key companies operating in this market are focusing on developing advanced solutions such as fifth-generation collaborative combat aircraft to enable multi-domain, data-driven defense operations. A fifth-generation collaborative combat aircraft is a next-generation fighter jet that combines stealth, agility, and sensor fusion with real-time data-sharing capabilities, allowing seamless coordination with other air, land, and naval assets for enhanced battlefield awareness and precision engagement. For instance, in September 2025, Lockheed Martin Skunk Works, a US-based aerospace company, unveiled the Vectis drone, a Group 5 collaborative combat aircraft engineered for autonomous missions alongside fifth and next-generation fighter jets such as the F-35. The Vectis drone supports precision strike, electronic warfare, intelligence, surveillance, and reconnaissance (ISR), as well as offensive and defensive counter-air missions. Emphasizing survivability, agility, and affordability, the Vectis platform is designed to support multi-domain operations across Indo-Pacific, European, and Middle Eastern theaters.

In September 2025, Boeing Defense, Space, and Security, a US-based defense and aerospace division, partnered with Palantir Technologies Inc. to accelerate the adoption of AI-driven data analytics in defense production. The partnership aims to unify data across defense manufacturing operations, enhance predictive analytics, and improve decision-making, coordination, and mission readiness through AI-enabled insights. Palantir Technologies Inc., a US-based software company, provides advanced big data analytics platforms designed to integrate and analyze complex datasets from defense and aerospace operations, strengthening situational awareness and operational efficiency across global defense programs.

Major players in the big data analytics in defense and aerospace market are Google LLC, Microsoft Corporation, Amazon Web Services Inc, The Boeing Company, Airbus SE, Lockheed Martin Corporation, RTX Corporation, Accenture plc, International Business Machines Corporation, Cisco Systems Inc, Oracle Corporation, General Dynamics Corporation, Northrop Grumman Corporation, BAE Systems plc, Hewlett Packard Enterprise Company, Thales Group, Saab AB, SAS Institute Inc, Palantir Technologies Inc, Teradata Corporation.

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

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.

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

Big data analytics in defense and aerospace involves the systematic collection, processing, and analysis of vast amounts of structured and unstructured data from diverse sources. Its primary goal is to enhance decision-making, boost operational efficiency, and strengthen national security by delivering real-time insights, predictive intelligence, and actionable strategies. This technology enables faster, smarter, and more precise responses in complex defense and aerospace operations.

The primary components of big data analytics in defense and aerospace include software, hardware, and services. Software encompasses applications and programs designed to process, analyze, and visualize large volumes of defense and aerospace data to support informed decision-making and operational effectiveness. These solutions are deployed through on-premises or cloud-based systems and are applied in various areas such as military operations, aerospace management, defense intelligence, cybersecurity, and weapon systems. Key end-users include defense contractors, government agencies, aerospace manufacturers, research institutions, and private contractors.

The countries covered in the big data analytics in the defense and aerospace market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Russia, South Korea, UK, USA, Canada, Italy, Spain.

The big data analytics in the defense and aerospace market consists of revenues earned by entities by providing services such as data integration and management, predictive maintenance analytics, threat and risk analysis, mission planning support, and real-time operational intelligence. The market value includes the value of related goods sold by the service provider or included within the service offering. The big data analytics in the defense and aerospace market also includes sales of high-performance servers, data storage systems, networking equipment, data acquisition sensors, and edge computing devices. 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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