Global Hypersonic Weapons Market

Hypersonic missiles will play a significant role in foreign policy in the coming years, as they can undermine geopolitical cornerstones such as geography and technological superiority. Hypersonic missiles are far closer than we realise, thanks to a recent rise in “successful” tests from countries like China and Russia, requiring a global re-evaluation of traditional conceptions of deterrence.

Definition / Scope
Market Overview
Market Risks
Top Market Opportunities
Market Drivers
Market Restraints
Industry Challenges
Technology Trends
Regulatory Trends
Post COVID-19 Recovery
Market Size and Forecast
Market Outlook
Technology Roadmap
Distribution Chain Analysis
Competitive Landscape
Competitive Factors
Key Market Players
Strategic Conclusion
References
Appendix

Definition / Scope

A hypersonic missile travels at Mach 5 or higher, which is five times faster than the speed of sound (3836 mph), or about 1 mile per second. Some missiles, such as Russia’s planned Kh-47M2 Kinzhal air-launched ballistic missile, are said to be capable of Mach 10 (7672 mph) speeds with ranges of up to 1200 miles.

The US Tomahawk cruise missile, which is the go-to long-range missile weapon for the US Navy and the Royal Navy, is subsonic, travelling at roughly 550 mph and covering a maximum range of around 1500 miles.

Hypersonic missiles come in two variants; hypersonic cruise missiles and hypersonic glide vehicles.

What is a hypersonic cruise missile?

This missile reaches its target with the assistance of a high-speed jet engine that permits it to fly at speeds exceeding Mach-5. It’s non-ballistic, in contrast to standard Intercontinental Ballistic Missiles (ICBMs), which rely on gravitational forces to reach their target.

What is a hypersonic glide vehicle?

Re-entry vehicles are used in this sort of hypersonic missile. The missile is launched into space on an arching trajectory, after which the warheads are released and descend at hypersonic speeds towards the atmosphere. Rather than relying on gravitational forces to deliver the payload, as is the case with traditional ICBMs, the warheads are attached to a glide vehicle that re-enters the atmosphere and, thanks to its aerodynamic shape, can ride the shockwaves created by its own lift as it exceeds the speed of sound, giving it enough speed to overcome existing missile defense systems. The glide vehicle glides through the atmosphere between 40 and 100 kilometers above ground level, relying on aerodynamic forces to get to its destination.

What impact will hypersonic missiles have?

Hypersonic missiles have a lot of benefits over subsonic and supersonic weapons, especially when it comes to pursuing time-critical targets (such as mobile ballistic missile launchers), when the extra speed of a hypersonic weapon is advantageous.

Hypersonic weapon systems’ development and deployment will give states vastly improved striking capabilities and, possibly, the ability to coerce. This will be especially true if a big regional power, such as Russia, uses the threat of hypersonic missiles against important targets to force a neighbor. As a result, the spread of hypersonic capabilities to regional powers might be destabilizing, upsetting regional power balances. However, it has the potential to increase deterrence.

Consider the consequences of Iran deploying hypersonic weapons vs an Israeli deployment in this regard. In the event of a NATO-Russia or US-China conflict, hypersonic weapons could provide a dilemma in terms of escalation control. This refers to dual-capable systems, such as the Kinzhal, which have both conventional and nuclear capabilities.

Furthermore, the development of submarine-launched hypersonic missiles would increase the fear – actual or perceived – of attempted decapitation strikes, which would take advantage of a nuclear-powered submarine’s innate stealth and the speed of a hypersonic missile.

Market Overview

The global hypersonic technology market was valued at $4.98 billion in 2020, and is projected to reach $12.18 billion by 2030, registering a CAGR of 9.7%.

Hypersonic glide vehicles and hypersonic cruise missiles are the two primary types of hypersonic missiles. Hypersonic glide vehicles are a form of hypersonic missile that uses a re-entry vehicle to break the sound barrier, allowing it to pass through conventional missile defense systems. It’s utilized in wire guiding, command guidance, terrain contour matching, terrestrial guidance, inertial guidance, beam rider guidance, laser guidance, radiofrequency, and GPS reference, and it’s used in military and civic applications.

Governments and defense forces are increasing their initiatives and funding, which is helping to drive the hypersonic missile market forward. Governments and defense industries have begun to sponsor hypersonic research in order to bolster their forces. For example, the Pentagon, the United States Department of Defense’s headquarters building, has requested a $3.8 billion budget for hypersonic research for fiscal year 2022. Furthermore, according to research released in 2021 by the Stockholm International Peace Research Institute, worldwide military spending grew to $2 trillion in 2020, up 2.6 percent from 2019. As a result, the market for hypersonic missiles is projected to rise in the next years as governments and defense forces raise their initiatives and financing.

The development of new hypersonic cruise missiles is a crucial trend in the hypersonic missiles market that is gaining traction. To enhance their position, major hypersonic missile companies are concentrating on creating hypersonic missiles. For example, in August 2020, Boeing, Lockheed Martin, and Raytheon announced plans to build a new solid-rocket air-breathing hypersonic standard cruise missile that would be launched from existing fighter-bomber aircraft. These companies, according to Air Force officials, are the only dependable sources of hypersonic cruise missiles. Hypersonic weapons travel at speeds between Mach 5 and Mach 10 — or 3,840 and 7,680 miles per hour.

Lockheed Martin, a US-based aerospace business, acquired Aerojet Rocketdyne for $4.4 billion in December 2020. Lockheed Martin’s allied security operations, space, and hypersonic technology are expected to benefit from the acquisition. Aerojet Rocketdyne is a rocket and missile propulsion company established in the United States.

Lockheed Martin, Raytheon Technologies, Northrop Grumman, Boeing, Saab AB, Systima Technologies, Mitsubishi Heavy Industries Ltd., Tactical Missiles Corporation, China Aerospace Science and Industry Corporation, Thales Group, and Denel Dynamics are all major competitors in the hypersonic missile business.

In 2021, North America was the main market for hypersonic missiles.

Market Risks

Any existing arms control agreements, as well as voluntary restrictions restricting the development and dissemination of missile technology, such as the International Code of Conduct against Ballistic Missile Proliferation and the Missile Technology Control Regime, do not apply to hypersonic weapons. A worldwide commitment to inspection methods and data exchange could be a step in the right direction. At this moment, however, there are no signs that major powers are interested in pursuing accords that would prevent or limit the use of such weapons.

Top Market Opportunities

Rise in government investment in hypersonic missile technology

Governments of major countries are investing substantially in military equipment to maintain sufficient safety and security. Major countries are substantially investing in hypersonic missile research and development. Since hypersonic missiles strengthen a country’s military and defense, they can be extremely beneficial in times of conflict or terrorist attacks. For example, in 2019, the United States Air Force granted Lockheed Martin a $81.5 million contract for solid-fuel rocket motors for hypersonic missiles and a $347 million deal for hypersonic weaponry. Furthermore, Lockheed Martin was awarded a $1.53 billion contract by Colorado in 2021 to deliver hypersonic weapons. As a result, government investment in missile technology may provide an opportunity for the hypersonic missile market to flourish.

Advancements in scramjet technology for hypersonic missiles

Only a few countries throughout the world have the capability to create scramjet technology for hypersonic missiles, which is critical for achieving hypersonic speeds. Although, in recent years, countries including as India, the United States, and Australia have pushed scramjet technology research. For example, India successfully tested an indigenously manufactured hypersonic technology demonstration vehicle (HSTDV) using a scramjet engine in September 2020. India has now entered the club of countries that have mastered hypersonic technology as a result of the successful launch. The United States Air Force Research Laboratory conducted a set of scramjet engine tests in November 2020. Furthermore, the United States and Australia joined forces in January 2021 to develop air-launched hypersonic cruise missiles that have the potential to change the military balance of power in the Asia-Pacific.

The Southern Cross Integrated Flight Research Experiment, or SCIFiRE, is a new US-Australian Allied Prototyping Initiative that was formally launched by both countries in December 2020. Hypersonic technologies require the development of powerful and reliable scramjet engines, and an increase in global activities to produce efficient scramjet engines is likely to move the hypersonic technology market forward throughout the forecast period.

Development of new-generation air and missile defense systems

The development of high-tech new-generation missiles poses a significant danger to important locations and platforms such as military airbases and ships. Nuclear-capable ballistic missiles and high-speed cruise missiles are among the latest developments. Various countries are working on sophisticated weapons that can counter high-end air defense systems including the medium extended air defense system (MEADS), Patriot Advanced Capability-3 (PAC-3), and the S-400. India, China, and Russia have developed hypersonic missiles that are tough for missile defense systems to intercept. The BrahMos missile, developed jointly by India and Russia, is difficult to intercept by earlier missile defense systems.

As a result of these advances, new-generation high-speed air defense electronic warfare systems are now required. Governments throughout the world are concentrating their efforts on the development of stealth aircraft while also investing considerably in improved surveillance systems to counter stealth technology.

Market Drivers

Increasing need for defense programs to defend nations against various threats

The performance of US weapon systems is unrivalled, giving US defense forces a tactical fighting edge over any foe in any weather. The US Department of Defense (DoD) has requested USD 247.3 billion in procurement (Procurement and Research, Development, Test, and Evaluation (RDT&E)) funding for Fiscal Year (FY) 2020, which includes funding from the Base budget and the Overseas Contingency Operations (OCO) fund, totaling USD 143.1 billion for Procurement and USD 104.3 billion for RDT&E. The amount requested in the budget request provides a well-balanced portfolio approach to achieving the National Defense Strategy’s military force goal. Major Defense Acquisition Programs (MDAPs), which are acquisition programme that surpass a cost threshold defined by the Under Secretary of Defense for Acquisition and Sustainment, receive USD 83.9 billion out of the USD 247.3 billion requested.

Approximately the last five years, the Missile Defense Agency reports a rise of over 1,200 more ballistic missiles. Outside of the United States, the North Atlantic Treaty Organization, Russia, and China, the total number of ballistic missiles has climbed to about 5,900. Hundreds of missile launchers and launchers are currently within range of deployed US soldiers. As a result, the market for Hypersonic Weapons is being driven by governments’ increasing demand for military programme to guard against numerous threats.

Rise in number of territorial conflicts throughout the world

Six nations have overlapping claims to the South and East China Seas, an area rich in natural gas and hydrocarbons and through which trillions of dollars in world trade pass each year. Other regional claimants like as Japan, Vietnam, and the Philippines have responded with growing forcefulness as China expands its naval dominance and builds military bases on man-made islands. From the Senkaku/Diaoyu Islands off China’s eastern coast to a large length of archipelagos in the South China Sea encompassing hundreds of islands, standoffs are common.

The United States has also increased its maritime presence in the area, indicating that it will play a larger role in the battles, which, if not handled properly, may change portion of Asia’s naval regions from booming trade corridors to battlegrounds. During the projected period, the worldwide hypersonic technology market is expected to rise due to an increase in conflicts across the globe to acquire dominance in commercial or defense sectors. Hypersonic technology’ advantages in war-like scenarios can be extremely useful in making quick military judgments. Hypersonic vehicles travel at speeds greater than five times the speed of sound, allowing for a new class of long-range military reaction. These factors are expected to open new avenues for growth of the hypersonic technology market during the forecast period.

Increase in developments regarding deployment of hypersonic technologies across the world

The United States plans to deploy hypersonic weapons in the future years, despite Russian and Chinese ambitions to deploy important hypersonic technologies much sooner than the United States. Russia declared its Avengard missile operational in 2019 and recently improved Kh-32s to carry hypersonic missiles, while China produced the DF-17, which could theoretically target the US mainland if launched from a naval vessel.

The United States continues to invest, including huge contracts to develop hypersonic weapons (Hacksaw). The US is also working on a common missile body that will be used by many armed branches (C-HGB). According to the Institute for Defense and Government (IDGA), an estimated global total of $127.3 billion would be spent on hypersonic weaponry by 2027, with the US Defense Department budgeting $2.5 billion in classified hypersonic work by 2024. Boeing, the aerospace behemoth, is working on its own hypersonic transportation technology, while startups like Hermeus are working on a Mach 5 plane that might cut travel time between New York and Paris in half. Such developments are expected to fuel growth of the hypersonic technology market during the forecast period.

Market Restraints

Testing challenges of hypersonic technologies

According to the Institute for Defense Analyses’ (IDA) most recent research on hypersonic technologies, the United States has 48 essential hypersonic test facilities and transportable assets that were required at the time for hypersonic technology maturation. These facilities are designed to recreate the unusual conditions that a missile might encounter during hypersonic flight, such as speed, pressure, and atmospheric heating effects. According to the report, these resources included ten Department of Defense hypersonic ground test facilities, eleven Department of Defense open-air ranges, eleven Department of Defense mobile assets, nine NASA facilities, two Department of Energy facilities, and five industry/academic facilities.

However, no present U.S. facility can provide full-scale, time-dependent, coupled aerodynamic and thermal-loading settings for flight durations required to analyse these properties above Mach 8, according to the report. This means that the United States requires more Federally Funded Research and Development Centers (FFRDCs), testing facilities, and research and development laboratories, among other things. Furthermore, facilities for testing navigation guidance and control systems, thermal propulsion systems, heat resistant materials, and shielding would be required by the US. All of these challenges are projected to drive up the cost of testing hypersonic technologies, limiting the hypersonic technology market’s growth throughout the forecast period.

Industry Challenges

Issues related to integration of larger rockets and missiles

In comparison to larger precision-guided munitions, the integration of smaller precision-guided munitions is a simpler operation. For example, a missile’s integration takes place on three levels: first, on the missile itself, then on the platform from which it is fired, and finally, on the existing command and control network. It is extremely difficult to integrate numerous electronic devices, sensors, warheads, death vehicles, propulsion systems, and other subsystems. Multiple Independent Re-entry Vehicle (MIRV) ballistic missiles with multiple warheads destined for multiple targets add to the challenge. Furthermore, if the missile is to be equipped with a nuclear warhead, the integration process is extremely difficult and requires the expertise of trained experts.

The advantages of integrating a missile with a launching platform are compatibility with a wider range of platform carriage, an unconstrained carriage envelope, safe and precise storage separation, and increased platform survivability. To verify for launch platform compatibility, restrictions, firepower, survivability, missile transport, and launch compatibility, an assessment is required.

It’s also a difficult challenge to integrate a missile with command, control, battle management, and communications systems. Individual sensors and weaponry must be integrated into the overall system through simulations and launch platform integration. These integration concerns may be a barrier to the market’s expansion.

Technology Trends

3D printing

3D printing is a computer-controlled additive manufacturing technology that converts a digital model into a three-dimensional object by layering thin horizontal material slices. Northrop has already employed 3D printing to 3D print a scramjet engine for Raytheon, and it will be crucial in both production and development. Because of its ability to manufacture complicated shapes and sizes of objects in a short amount of time and at a low cost, 3D printing is becoming increasingly popular. SpaceX, for example, has a big 3D printer that is used to create parts for rocket engines.

Artificial intelligence (AI)

Artificial intelligence is likely to have an impact on missile defense. Hypersonic missiles in the field will shorten the amount of time missile defense systems have to respond in order to lessen the threat. The human component of the chain will have to be eliminated or minimized. Large volumes of data will be generated by prospective systems like the space sensor array, necessitating the use of AI to go through the data and identify any dangers.

Regulatory Trends

Raytheon Co., Lockheed Martin Corp., and Northrop Grumman Corp. have each been awarded $20 million contracts by the US Missile Defense Agency (MDA) to develop prototypes of a hypersonic missile designed to intercept and destroy an adversary’s hypersonic projectile in the unpowered glide phase of its trajectory.

In 2022, the Russian Avangard hypersonic missile underwent a flight test. Anti-hypersonic devices are being developed by the US to intercept and destroy such projectiles. In 2022, the Russian Avangard hypersonic missile underwent a flight test. Anti-hypersonic devices are being developed by the US to intercept and destroy such projectiles. (Russian Ministry of Defense photo) The Pentagon intends to speed the development of the weapons and ensure early deployment by granting contracts to the three companies at the same time.

Post COVID-19 Recovery

Multiple issues have arisen as a result of the COVID-19 outbreak for the defense industry. Despite the fact that the industry was not badly impacted, it still faced numerous economic challenges following the COVID-19 epidemic. The defense industry has been hurt hard around the world since the outbreak began.

The military industry has been hurt by a lack of private finance, a fall in defense spending in 2020 across the globe, and the suspension of scheduled contracts. As a result, research and development operations linked to Hypersonic Weapons have been postponed, delaying the testing of some missile defense equipment. Furthermore, several companies are projected to have slack in production as a result of the slowdown in the supply chain for Hypersonic Weapons caused by COVID-19. As a result, the market’s growth is impacted.

Market Size and Forecast

The global hypersonic technology market was valued at $4.98 billion in 2020, and is projected to reach $12.18 billion by 2030, registering a CAGR of 9.7%.

The COVID-19 pandemic wreaked havoc on the global economy, particularly when it came to the deployment of high-investment technology like hypersonic. Due to severe economic conditions and disruptions in the supply chain of crucial components, the development and testing of hypersonic technology for the defense sector in several countries has been placed on hold. The global economic downturn has hampered the deployment of efficient and quick technology such as hypersonic weapons and planes. The hypersonic technology industry is projected to attract investments and, as a result, get back on track in the near years, thanks to continuous vaccination around the world.

A missile is used primarily for land, air, and marine platforms in ROCKETS AND MISSILES. The missile section is further divided into cruise missiles and ballistic missiles. By 2026, the missile segment is expected to be worth USD 5.1 billion. This segment is expected to grow at the fastest rate in the Asia Pacific region, with a CAGR of 9.7 percent over the forecast period.

The HYPERSONIC WEAPONS market has been divided into Solid, Liquid, Hybrid Propulsion, Ramjet, Turbojet, and Scramjet segments based on propulsion type. Solid propulsion boosts missiles and rockets by using solid propellants. Solid propellants are made up of a homogeneous blend of various composites that are easier to store and manage than liquid propellants. These systems are less expensive and provide a lot of push to the missiles. Solid propulsion is improved by high-performance propellants and customized grains.

Since 2017, the United States and Australia have worked together to develop hypersonic technology under the Hypersonic International Flight Research Experimentation (HIFiRE) initiative. The most recent HIFiRE test, which was completed successfully in July 2017, looked at the flight dynamics of a Mach 8 hypersonic glide vehicle, whereas previous tests looked at scramjet engine technology. The Southern Cross Integrated Flight Research Experiment (SCIFiRE) programme, which succeeded HIFiRE, aims to advance hypersonic air-breathing technology. In addition to the Woomera Test Range facilities, which are one of the world’s largest weapons testing facilities, Australia has seven hypersonic wind tunnels that can test speeds up to Mach 30.

Market Outlook

The global hypersonic technology market was valued at $4.98 billion in 2020, and is projected to reach $12.18 billion by 2030, registering a CAGR of 9.7%.

In 2020, the Covid-19 epidemic had a significant impact on the world economy. Despite the fact that defense funding is expected to rise in 2020, the economic impact of the pandemic may cause governments to cut defense spending growth rates in the years ahead, impacting R&D spending. During the forecast period, this could have an impact on the market for supersonic and hypersonic weapons.

Countries such as Russia, China, India, and the United States are making headway in developing advanced hypersonic weapon systems, and many more are on the verge of joining the race. The expanding number of joint ventures between companies working on supersonic and hypersonic weaponry is assisting the industry’s technological progress.

The growing number of global wars, as well as the belief in deterrence theory, are leading countries to build sophisticated nuclear-capable supersonic and hypersonic weapons, resulting in market development.

Technology Roadmap

The advancement of hypersonic technology will inevitably lead to the advancement of related technologies. This will lead to the development of direct energy weapons in missile defense, which are expected to be a more effective kind of defense. For more effective missile tracking, advanced satellite arrays are anticipated to be installed. The United States is working on a space sensor array that might be used to track hypersonic weapons from birth to death.

Distribution Chain Analysis

The Distribution Chain of Hypersonic Weapon is as in the below image

Competitive Landscape

Some of the key companies in the industry are Raytheon Technologies Corporation, The Boeing Company, MBDA, Tactical Missiles Corporation, and Lockheed Martin Corporation. In the market, joint ventures such as the Ariane Group (between Airbus SE and Safran SA) and the MBDA (between Airbus SE, Leonardo Company, and BAE Systems PLC) are common. There are also joint ventures between corporations focused at producing technology that are targeted to the needs of military. Raytheon Technologies and Kongsberg Gruppen AS, for example, collaborated on a new Naval Strike Missile for the US Navy. In addition, Raytheon Technologies and Northrop Grumman Corporation are working together to create air-breathing hypersonic weapons for the US military.

Advanced technologies in hypersonic weaponry, particularly hypersonic glide vehicles, are also being researched, but only a few businesses have access to the technology. As a result, firms can target countries that are attempting to implement these technologies, allowing them to seize fresh possibilities to expand their market share.

Key Market Developments

March 2021- U.S. military researchers are teaming with Lockheed Martin Corp. to develop an intermediate-range ground-launched hypersonic weapon with an advanced booster than can deliver warheads at several different ranges.
March 2021- U.S. Navy seeks to develop cruiser, inter stage, and booster technologies for hypersonic weapons for F/A-18E/F combat jet under Screaming Arrow projects.
Dec 2020- Russia is in advance state of designing Hypersonic Glide Vehicle (HGV) and Hypersonic Cruise Missiles.
2020- France is currently the only EU member state developing hypersonic missile.
2020- United Kingdom also expressed their interests to acquire hypersonic missile by 2025.
2020- LOCKHEED MARTIN, U.S. is developing maneuverable rocket launched aircraft called FALCON HYPERSONIC TECHNOLOGY VEHICLE-2.
2020- U.S., Russia and China race towards nuke enabled hypersonic missiles.

Competitive Factors

The Market Players are engaged in both Organic and Inorganic strategies of Market Growth. The Market Players are adopting organic strategies such as improving quality of the hypersonic weapons by investing heavily on Research & Development (R&D) and inorganic strategies such as Mergers & Acquisitions (M&A), Strategic Partnerships and Alliances. For instance, In May 2020 – Lockheed Martin Corporation and the U.S. Army have signed a contract with a valuation of USD 6,000 million for the production of Patriot Advanced Capability-3 (PAC-3) Missile. Lockheed Martin Corporation provided the production and delivery of launcher modification kits, PAC-3 MSE interceptors, and associated equipment.

Key Market Players

Some of the Key Market Players in the Global Hypersonic Weapons Market are

The Lockheed Martin Corporation is a defense and aerospace firm. It is divided into four sections. Military aircraft, including combat and air mobility aircraft, unmanned air vehicles, and related technology, are researched, designed, developed, manufactured, supported, and upgraded by the Aeronautics section. Air and missile defense systems, fire control systems, manned and unmanned ground vehicles, and energy management solutions are all part of the Missiles and Fire Control section. The Rotary and Mission Systems division creates military and commercial helicopters, surface ships, sea and land-based missile defense systems, radar systems, sea and air-based mission and combat systems, command and control mission solutions, cyber solutions, and simulation and training solutions. Space segment is engaged in the research and development, design, engineering and production of satellites, missile systems and space transportation systems.

Raytheon Technologies Corporation, originally United Technologies Corporation, is a global aerospace and defense business that develops innovative technologies and services for commercial, military, and government customers. The operations of the company are divided into four main business segments: Pratt & Whitney is a supplier of aircraft engines for commercial, military, business jet, and general aviation customers; Raytheon Intelligence & Space is a developer and provider of integrated sensor and communication systems for advanced missions, advanced training, and cyber security; and Collins Aerospace Systems is a global provider of aerospace and defense products and aftermarket service solutions for aircraft manufacturers, defense, and commercial space operations. Raytheon Missiles & Defense segment, which is a designer, developer and producer of integrated air and missile defense systems.

Northrop Grumman is a multinational aerospace and defense corporation. Aeronautics Systems, Defense Systems, Mission Systems, and Space Systems are the company’s operating segments. Aeronautics Systems is a company that designs, develops, integrates, and manufactures unmanned and manned aircraft systems for war management, strike, intelligence, surveillance, and reconnaissance (ISR). Defense Systems designs, develops, manufactures, integrates, maintains, and modernises weapon and mission systems for US military and civilian agency customers, as well as a variety of overseas customers. Airborne Sensors & Networks, Maritime/Land Systems & Sensors, and Navigation, Targeting & Survivability are among the business sectors covered by Mission Systems. Through the design, development, integration, production, and operation of space, missile defense, launch, and strategic missile systems, Space Systems provides mission solutions.

Boeing is a company that specializes in aerospace. Commercial Airplanes (BCA), Defense, Space & Security (BDS), Global Services (BGS), and Boeing Capital are the company’s four segments (BCC). The BCA section designs, manufactures, and markets commercial jet aircraft, as well as providing fleet support services to the commercial airline industry. The BDS division develops, manufactures, and modifies manned and unmanned military aircraft and weaponry systems for strike, surveillance, and mobility. Commercial and defense customers are served by the BGS section. Equipment under operating leases, finance leases, notes and other receivables, and assets held for sale make up BCC’s segment portfolio.

Rafael Advanced Defense Systems Ltd. designs, develops, manufactures, and supplies a wide range of defense systems for air, land, sea, and space applications. The Company builds missiles, armor, combat vehicles, weapon and air defense systems, military electronics, and other defense products. Rafael serves the aerospace and defense industries throughout the world.

Strategic Conclusion

The increased defense expenditure of emerging economies such as China and India is likely to drive the market for rockets and missiles. Furthermore, the market is expected to grow due to the changing nature of military technologies around the world especially with the outbreak of the Russia-Ukraine Warfare. The development of superior autonomous missile technologies is one of the market’s emerging opportunities. The expensive expense of developing rockets and missiles, on the other hand, is stifling market expansion.

References

Appendix

SMEs – Small & Medium Enterprises
R&D – Research & Development
M&A – Mergers & Acquistions
GPS – Global Positioning Satellite
HSTDV – Hypersonic Technology Demonstration Vehicle
AI – Artificial Intelligence
HIFiRE – Hypersonic International Flight Research Experimentation
SCIFiRE – Southern Cross Integrated Flight Research Experiment