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Frost & Sullivan: Integration of C4ISR Systems Gets a New Thrust With Increased Deployment of NATO Forces

Integrated National Forces and Interoperable Coalition Forces to Assuage the Effects of Austerity Measures in the European C4ISR Market


News provided by

Frost & Sullivan

Feb 29, 2012, 09:36 ET

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LONDON, Feb. 29, 2012 /PRNewswire/ -- The European market is gravitating towards greater command and control, communications, computers (C2), intelligence, surveillance and reconnaissance (C4ISR) integration among the air, land and naval services at the national level, and among nationals at the North Atlantic Treaty Organization (NATO)-led coalition level. In the face of rising upheavals, NATO is looking for synergy in coalition forces, through greater integration of largely disparate national resources. Most of these synergies can be achieved by migrating C4ISR on service-oriented architecture (SOA) based federated system.

New analysis from Frost & Sullivan (http://www.aerospace.frost.com), European C4ISR Market Assessment, finds that the total spending on the market was $13.70 billion in 2011 and expects this to reach $15.02 billion in 2020, at a compound annual growth rate (CAGR) of 1.02 per cent.

The C4ISR market is receiving a huge boost from increased end-user investments in integration projects involving satellite communication/tactical command (SATCOM/TACOM) networks and strategic C2 systems. Other projects that are likely to earn substantial revenues are integration projects involving surveillance platforms, fire control and C2 systems; vehicular integrated communications (VIC), C2 and surveillance systems; as well as software-defined radio (SDR) upgrades on VIC/ high channel density receiver (HCDR).

Reconnaissance and targeting systems; datalinks-based air and missile defence (AMD) network backbone; and intelligence/image processing, exploitation and distribution (PED) also have significant revenue-generating potential.

"Integrated C2 at the national level is the most attractive sector in Europe in 2011-2020," says Frost & Sullivan Industry Analyst Sabbir Ahmed. A reliable, capable and quick-to-react crisis management chain (National C2 system) is considered the centrepiece of the C4ISR architecture and hence, the focus of all integration projects. Commercial-off-the-shelf (COTS)-based secured solutions that meet European and NATO standards is likely to eventually replace most embed systems.

"The market will also see higher spending on tactical network upgrades and vehicular C4 systems procurements/upgrades, based essentially on SDR technologies," notes Ahmed. However, continued adoption of interim SDR equipment and COTS wireless networks puts pressure on common SDR initiatives across the Atlantic, potentially inhibiting the much anticipated migration.

"The market is expected to see significant spending on data fusion or intelligence analysis systems," says Ahmed. Nevertheless, market participants have to harness the potential of intelligence PED technologies to make the most of market opportunities. While the market is capable of providing high-capacity sensors, it has not yet managed to utilise the output from those sensors optimally to create a coherent, situational awareness picture for decision channels.

"Tier1 companies' ability to integrate C4ISR and Survivability solutions under a common architecture in a platform environment (aircraft, vehicle and ship) holds the key to winning future contracts," notes Ahmed. However, they are increasingly facing unpredictable competition from smaller companies with compelling propositions.

If you are interested in more information on this study, please send an e-mail with your contact details to Joanna Lewandowska, Corporate Communications, at [email protected].

European C4ISR Market Assessment is part of the Aerospace Growth Partnership Services program, which also includes research in the following markets: European Tactical Communications Market Assessment, European Strategic Communications Market Assessment and APAC Land ISR- Radar Market Assessment. 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 50 years of experience in partnering with Global 1000 companies, emerging businesses and the investment community from more than 40 offices on six continents. To join our Growth Partnership, please visit http://www.frost.com.

European C4ISR Market Assessment
M6F1-22

Contact:
Joanna Lewandowska
Corporate Communications – Europe
P: +48 22 481 62 20
E: [email protected]
http://www.frost.com

SOURCE Frost & Sullivan

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