The U.S. electro-optics/ infrared systems market size is expected to showcase considerable growth by reaching USD 7.40 billion by 2027 while exhibiting a CAGR of 6.19% between 2020 and 2027. The growth is attributable to the increasing demand for technologically advanced UAVs and the growing focus on upgrading military might by the U.S. that will drive the adoption of advanced electro-optics infrared systems. Fortune Business Insights, published this information, in its latest report, titled, “The U.S. Electro-Optics/ Infrared Systems Market Size, Share & COVID-19 Impact Analysis, By System (Imaging EO/IR and Non-Imaging EO/IR System), By Technology (Cooled and Uncooled), By Sensor Technology (Staring and Scanning Sensor), Imaging Technology (Multispectral and Hyperspectral), By Wavelength (Ultraviolet, Visible, Near Infrared, SWIR, MWIR, and LWIR), By Platform (Airborne, Land, and Marine/Naval), By Laser Range Finder (Airborne, Land, and Marine), By End User (Commercial and Military), and Country Forecasts, 2020-2027.” The report further mentions that the market stood at USD 5.55 billion in 2019.
Suspended EO/IR Contracts amid COVID-19 to Restrain Growth
The aerospace and defense industry is experiencing tremendous pressure due to the COVID-19 pandemic owing to a sudden halt in the operations and activities. The supply chain disruption has led the EO/IR system manufacturers to postpone the development and delivery of advanced surveillance systems leading to the postponement of contracts. This is expected to hinder the growth of the market to some extent. However, collaborations amongst enterprises to provide efficient solutions are likely to favor the market growth during the forecast period.
The electro-optics infrared (EO/IR) system usually consists of visible and infrared sensors that can efficiently detect target hologram that aids in military application. The sensors that are integrated provide detailed information such as target size, shape, and other minute details to prevent intrusion by enemies across borders.
What does the Report Include?
The report includes a detailed assessment of various growth drivers and restraints, opportunities, and challenges that the market will face during the projected horizon. Additionally, the report provides comprehensive research into the regional developments of the market, affecting its growth during the forecast period. It includes information sourced from the advice of expert professionals from the industry by our research analysts using several methodologies. The competitive landscape offers further detailed insights into strategies such as product launches, partnerships, mergers and acquisitions, and collaborations adopted by the companies to maintain market stronghold between 2020 and 2027.
Key DRIVING FACTORS
Increasing Adoption of Technologically Advanced UAVs to Propel Market Growth
The total U.S. military spending is estimated to be around USD 934 in 2020-21. The increasing focus on upgrading the military is expected to propel the manufacturers to develop advanced electro-optics infrared systems to cater to the defense applications in the region. Additionally, the deployment of advanced UAVs for surveillance purposes is expected to bode well for the U.S. electro-optics/ infrared systems during the forecast period.
Imaging EO/IR Segment Held 44.32% Market Share in 2019
The imaging EO/IR segment, based on system, held a market share of about 44.32% in 2019 and is expected to gain momentum backed by increasing adoption of advanced imaging solutions to improve target detection and target monitoring in different weather conditions.
Increasing Focus on Maritime Warfare to Augment Market Growth
The U.S. electro-optics infrared systems market is expected to showcase considerable growth in the forthcoming years. This is attributable to the increasing focus on developing advanced electro-optics/ infrared systems for maritime warfare in the region. The U.S. generated USD 5.55 billion in 2019 in terms of revenue.
Key Players Focus on Developing Advanced Systems to Brighten Their Market Prospects
The U.S. electro-optics infrared systems market comprises of small, medium, and large EO/IR systems manufacturers that are focusing on developing advanced electro-optics/ infrared systems to cater to the growing demand in the U.S. Additionally, adoption of strategies such as partnership, collaboration, and merger and acquisition by the major companies is expected to bode well for the market growth.
Browse Detailed Summary of Research Report with TOC: