Space Militarization Market to reach USD 77.7 billion in 2030, at a CAGR of 6.7%

The Space Militarization Market was estimated at USD 48.5 billion in 2023-e, and is projected to grow at a CAGR of 6.7% through 2030 to reach USD 77.7 billion. Technological innovations in satellite systems and increasing investments in space militarization technologies are driving the space militarization market growth. Space militarization is set to revolutionize the aerospace & defense industry.

Navigation is one of the most critical applications for military operations. In recent years, there have been significant investments made into upgrading navigation capabilities globally. For instance, in January 2023, the US Space Force successfully launched the Global Positioning System (GPS) III-6 mission. In November 2022, the US Space Force announced that it ordered three GPS 3F satellites from Lockheed Martin for USD 744 million. Thus, the increasing navigation satellite launches are driving the space militarization market.

The space-based equipment segment further includes space stations and satellites. There has been an uptake in military applications for space stations. For instance, in July 2020, Sierra Nevada Corporation (SNC), an aerospace and defense company, was awarded a contract to repurpose SNC's Shooting Star transport vehicle as a proposed commercial solution for an unmanned orbital outpost. Thus, an increasing uptake in space-based equipment is anticipated to provide significant growth opportunities.

Asia-Pacific has emerged as a strong region owing to the strong growth in economies and a high number of local and regional players entering the aerospace and defense industry. The region has witnessed a significant surge in military spending in recent years, driven by escalating geopolitical tensions and conflicts. Increasing focus on the defense capabilities of the key countries in the region is also driving market growth. For instance, in December 2023, South Korea launched its first military spy satellite using a SpaceX rocket.

Asia-Pacific has emerged in the space sector with China, India, and Japan leading the space industry. These countries have comprehensive end-to-end space capabilities and possess a complete space infrastructure including space technology, satellite manufacturing, rockets, and spaceports. Thus, Asia-Pacific is anticipated to be the fastest-growing region in the space militarization market.

The key companies in the space militarization market continuously strive to strengthen their portfolio to meet the growing demand. The companies are focused on establishing partnerships with government organizations and industries. Some of the key companies in the market are Airbus, BAE Systems, Boeing, CASC, General Dynamics, L3Harris, Lockheed Martin, Northrop Grumman, Raytheon, and Thales.