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Military Avionics to Witness a Realignment of Spending Patterns Finds Frost & Sullivan - Even though the programmed Department of Defense (DoD) spending shows a planned 4.7 percent increase in overall military avionics spending through 2015, there could be significant shifts in spending patterns
Military Avionics to Witness a Realignment of Spending Patterns Finds Frost & Sullivan

 

NewswireToday - /newswire/ - Mountain View, CA, United States, 2010/07/22 - Even though the programmed Department of Defense (DoD) spending shows a planned 4.7 percent increase in overall military avionics spending through 2015, there could be significant shifts in spending patterns.

   
 
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Spending will become more selective and specialized, except for new installations on the F-35 and remanufactured helicopters.

New analysis from Frost & Sullivan (aerospace.frost.com), U.S. Military Avionics Market Assessment, finds that the spending for military avionics exceeded $5.9 billion in 2009 and is expected to grow until 2011.

If you are interested in a virtual brochure for this study, please send an email to Sarah Saatzer, Corporate Communications, at sarah.saatzer[.]frost.com, with your full name, company name, job title, telephone number, company email address, company website, city, state and country.

The move toward more general-purpose aircraft and unmanned aerial vehicles (UAVs) require modular, integrated avionics, and greater information flow.

"Traditional avionics are making way for interconnected, fully integrated systems that provide pilots with greater situational awareness, giving them a fully integrated view of the battlefield," says Frost & Sullivan Research Analyst Wayne Plucker. "As part of this data-rich environment, UAVs will be providing more tactical information to both ground forces and airborne assets."

The 2011 DoD budget, including the overseas contingency operations (OCO) segment, provides significant retrofit funding. However, the 2012 budget is expected to significantly reduce the OCO funds, which will, in turn, lower war-related retrofit spending. Spending on intelligence, surveillance, reconnaissance (ISR) for avionics will continue to be strong, but the number of ISR airframes is declining.

"The DoD has been consistently spending modification dollars to update legacy aircraft for compliance with global air traffic management (GATM) requirements," observes Plucker. "There will also be considerable and continuous spending on communications and data capabilities, which allow for better coordination among assets."

Further, identification systems, which are crucial to the new air traffic systems, and operational necessities will require further purchases of Mode S and Mode 5 transponders.

One of the high-volume areas in military avionics over the next several years is likely to be datalink units and equipment that accommodates datalinkage. Spending on avionics research, development, test & evaluation (RDT&E) is likely to suffer on account of the DoD's preference for commercial-off-the-shelf (COTS) solutions.

"DoD increasingly searches out COTS-based solutions using mature, proven technology to meet the needs of end users, thus reducing the need for avionics RDT&E," notes Plucker. "Commercially mature equipment that can be configured for military-approved data configurations are in demand and many of the current military modification requests center around COTS technology."

Meanwhile, the integrated architecture of fifth-generation fighters is expected to become the norm for military avionics. Manufacturers need to make plug and play-compatible components as a standard offering to acquire a bigger share of DoD revenues.

U.S. Military Avionics Market Assessment is part of the Defense Growth Partnership Services program, which also includes research in the following markets: commercial and military aviation, homeland security, and C4ISR. All research services included in subscriptions provide detailed market opportunities and industry trends that have been evaluated following extensive interviews with market participants.

About Frost & Sullivan

Frost & Sullivan, the Growth Partnership Company, enables clients to accelerate growth and achieve best-in-class positions in growth, innovation and leadership. The company's Growth Partnership Service provides the CEO and the CEO's Growth Team with disciplined research and best-practice models to drive the generation, evaluation, and implementation of powerful growth strategies. Frost & Sullivan leverages over 45 years of experience in partnering with Global 1000 companies, emerging businesses and the investment community from 40 offices on six continents.

U.S. Military Avionics Market Assessment / N7D8

 
 
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Military Avionics to Witness a Realignment of Spending Patterns Finds Frost & Sullivan

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Frost & Sullivan |
Publisher Contact: Sarah Saatzer 
210.477.8427 sarah.saatzer[.]frost.com
 
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